Mr. Mark Brennan reports

ASCENDANT APPOINTS BANCO SANTANDER S.A. AS MANDATED LEAD ARRANGER FOR EXPORT CREDIT AGENCY SUPPORTED PROJECT FINANCING AT ITS LAGOA SALGADA PROJECT, PORTUGAL

Further to the announcement on Oct. 18, 2023, in relation to the Export Credit Agency (ECA) supported project financing of up to $158-million (U.S.), Ascendant Resources Inc. has appointed Banco Santander SA as mandated lead arranger for the Lagoa Salgada project in Portugal.

As announced on Sept. 5, the company together with its advisers, SD Capital Advisory Ltd. and GKB Ventures Ltd. initiated a tender process to solicit interest from a number of global project finance banks to act as MLA for the company's projects. As a result of this competitive process, the company received several compelling bids. Together with the company's advisers, the bids were evaluated based on ECA project finance experience, execution capabilities and ultimately the financial terms for the project financing. Santander is a well-respected global institution with extensive experience in ECA financing, a significant presence in Portugal and a long-standing relationship with UKEF. This, together with the competitive and compelling terms presented for the financing, was the basis for the company awarding the mandate to Santander.

The UKEF backed facility is expected to be for up to $158-million (U.S.) on a non-recourse project financing basis for a total tenor of 7.5 years. The financing will be to cover 70 per cent of the expected project capital expenditures for the Lagoa Salgada project.

As is common for ECA supported project financing, UKEF provides political and commercial guarantees to project lenders, thereby lowering the overall project risk to the lender and resulting in lower costs of capital. This reduces the cost of debt to Ascendant whilst at the same time extending tenors and creating debt capacity not normally available in the commercial bank market. To secure such support, project developers commit to a preagreed level of procurement from United Kingdom based organizations for goods, services and materials. UKEF's mandate is to promote and support exports from British companies in the global market.

The appointment of the MLA is on an exclusive basis and sets out the indicative terms upon which the proposed ECA financing is expected to be based. For the avoidance of doubt, the terms are purely indicative and do not constitute an offer of finance or a legally binding commitment of any kind to provide finance. The provision of any binding offer is subject to, among other things: credit and other internal approvals, E&S approvals, satisfactory due diligence and documentation, satisfaction of KYC requirements, and other terms customary for this type of transaction.

While the conclusion of project financing remains subject to the granting of construction permits and due diligence, amongst other requirements, the appointment of Santander as MLA is a significant milestone for the project financing of the Lagoa Salgada project. At Lagoa Salgada, work continues to advance the permitting over the coming months. The company is preparing the issuance of its 43-101 feasibility study and, once completed, will commence comprising a formal due diligence period before a final binding offer and documentation.

Mark Brennan, executive chairman, stated: "We are very pleased to have Santander as our mandated lead arranger for our project financing in partnership with UKEF, and look forward to working with these two experienced and respected institutions and their respective teams. The initiation of the project financing process is the next step to make Lagoa Salgada the next producing mine on the Iberian pyrite belt."

About Ascendant Resources Inc.

Ascendant is a Toronto-based mining company focused on the exploration and development of the highly prospective Lagoa Salgada volcanogenic massive sulphide project located on the prolific Iberian pyrite belt in Portugal. The Lagoa Salgada project is a high-grade polymetallic project, demonstrating a typical mineralization endowment of zinc, copper, lead, tin, silver and gold. Extensive exploration upside potential lies both near deposit and at prospective stepout targets across the large 7,209-hectare property concession.

Located 80 kilometres from Lisbon and surrounded by exceptional infrastructure, Lagoa Salgada offers a low-cost entry to a significant exploration and development opportunity, already showing its minable scale and cash flow generation potential.

Ascendant currently holds an 80-per-cent interest in the Lagoa Salgada project through its position in Redcorp -- Empreendimentos Mineiros Lda. The company's common shares are principally listed on the Toronto Stock Exchange under the symbol ASND.

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