The TSX Venture Exchange has accepted for filing a call option agreement dated June 23, 2026, among Li-FT Power Ltd., Stornoway Diamonds (Canada) Inc., 11272420 Canada Inc. and Deloitte Restructuring Inc. (the monitor) within the context of the Companies' Creditors Arrangement Act (CCAA) proceedings.

Pursuant to the agreement, the company is granted an exclusive and irrevocable right for up to two years (subject to a potential one-year extension) to acquire either the purchased assets or the purchased shares of Stornoway or 1127 Canada. Stornoway owns all of the purchased assets comprising the Renard diamond mine, processing plant, supporting infrastructure (power station, office buildings, camp and airstrip) and associated permits. Prior exchange acceptance will be required for any material changes to the proposed acquisition agreement terms from those outlined in the agreement upon exercise of the option.

As consideration for the call option, the company paid an upfront option fee of $12-million. Throughout the option period, the company is solely responsible for care and maintenance (C&M) costs to maintain the site in good order, estimated at $18-million annually. Should the company exercise the call option, it will assume full responsibility for closure and remediation of the Renard site. The exercise price for the call option is $1, which may be increased by the value of held cash collateral (approximately $5.3-million) should the company elect to include specific XL insurance agreements in the purchase.

The transaction is arm's length in nature and no finders' fees are payable.

For more information, please refer to the company's news releases dated June 24, 2026, July 14, 2026, and Oct. 5, 2026.