Purebase Bets on Metals Pivot, Funded by CEO's Own Firm

Tonopah, NV – March 24, 2026 – Purebase Corporation, a long-time supplier of agricultural minerals, today announced a dramatic pivot, aiming to transform itself into a diversified multi-commodity resource platform. The move is backed by a "Strategic Growth Initiative" with CoreTer LLC, an entity that will provide both operational management and a critical $1 million line of credit. While the company hails the shift as the dawn of a "fundamentally different company," a deeper look reveals a high-stakes survival play fraught with financial risk and potential conflicts of interest.

A New Strategy in the Face of Financial Crisis

The strategic overhaul comes at a critical time for the OTCQB-listed company. According to its most recent annual report for the fiscal year ending November 30, 2025, Purebase is in a precarious financial state. The company generated just $285,435 in revenue while posting a net loss of over $2.27 million. With an accumulated deficit swelling to nearly $66.5 million and a working capital deficit exceeding $1.1 million, its independent auditors have expressed "substantial doubt" about the company's ability to continue as a "going concern."

This grim financial backdrop casts the company's announcement in a different light. The press release paints a picture of proactive evolution, with CEO Scott Docktor stating, “This initiative gives Purebase the capital support, operational scale, and resource exposure we’ve never had access to before.” He added, “We’re building a stronger, more diversified company—one that can generate recurring industrial revenue while continuing to serve our long-standing agricultural customers.” The plan is to transition from a single-product supplier into a developer of high-value industrial and precious minerals, a move the company claims will unlock immediate cash flow and long-term growth. However, the path to this new future is paved with a financing structure that raises as many questions as it answers.

The CoreTer Connection: A CEO's Lifeline

At the heart of Purebase's revitalization plan is CoreTer LLC. While presented as a strategic partner, public records indicate that CoreTer LLC is a Nevada limited liability company owned and managed by A. Scott Dockter—Purebase's own Chief Executive Officer. This makes the entire arrangement a related-party transaction, continuing a pattern of reliance on insider financing for survival.

Under the agreement, CoreTer will act as the "Operator" for the new resource ventures and provide an unsecured $1 million line of credit. This credit line is the financial engine for the pivot, allowing Purebase to execute its plan without "traditional fundraising," according to the company. However, the funds drawn are not a simple loan; they are convertible into Purebase common stock at a price based on the 20-day volume-weighted average closing price.

This structure effectively makes the CEO the company's primary financier. As of March 18, 2026, Purebase had already drawn $532,756 from this line of credit, signaling that significant equity conversion—and subsequent dilution for existing shareholders—is already underway. This follows the cessation of financial support from a previous related-party lender, US Mine Corporation (USMC), in June 2025, reinforcing the company's dependence on insider capital to keep operations afloat. While this arrangement provides a much-needed cash infusion, it also concentrates immense operational and financial control in the hands of its chief executive.

From Agriculture to Precious Metals: An Ambitious Leap

The company's new focus represents a radical departure from its roots. Purebase is now targeting "precious metals — gold, silver, and platinum-group metals" as well as "critical and rare minerals" that are essential for clean energy, manufacturing, and defense supply chains. To support this ambition, Purebase highlights its existing infrastructure, including industrial crushing plants and direct rail access to the Port of Stockton, which it claims provides a logistical "Infrastructure Advantage" for shipping processed minerals to Pacific markets.

Despite these assets, questions surrounding the company's operational capacity loom large. The 2025 annual report revealed that Purebase operates with a skeleton crew of just two full-time and one part-time employee, relying heavily on independent contractors for technical expertise. The ability of such a lean organization to suddenly manage a complex, multi-commodity portfolio spanning precious metals and critical minerals appears to be a significant challenge.

Furthermore, the company's track record with diversification is mixed. It recently abandoned a project focused on supplementary cementitious materials (SCM), writing off a pilot plant investment. This past difficulty in executing a new strategy adds a layer of caution to the optimism surrounding its latest, and far more ambitious, pivot into the competitive world of mineral resources.

Market Doubts and the Dilution Dilemma

The announcement has been met with a degree of market skepticism. Financial news platforms were quick to point out that the convertible nature of the CoreTer credit line presents a clear risk of shareholder dilution. One "small-cap credit and restructuring analyst" offered a blunt assessment, highlighting the company's deepening losses, the "going concern" risk, and the problematic reliance on related-party financing as major red flags for investors.

For current shareholders, the deal presents a difficult choice. The infusion of capital is undeniably necessary for the company's survival. Yet, this survival comes at the cost of ceding more equity and control to an entity owned by the CEO. Each dollar drawn from the CoreTer line of credit chips away at the ownership stake of public investors, a process that is already well in motion. The strategic shift is therefore not just a bet on new commodities, but a bet on a management team whose interests are now intertwined with the company's debt, creating a complex governance landscape as Purebase fights to build its new future.