Mr. Richard McCloskey reports

MATACHEWAN ANNOUNCES PURCHASE AND SALE AGREEMENT TO MINERAL ROYALTIES

Matachewan Consolidated Mines Ltd. has entered into a definitive purchase and sale agreement with respect to the sale of certain of its mineral royalties on the Young-Davidson mine, located in the Matachewan, Ont., area, to Alamos Gold Inc., the owner and operator of the Young-Davidson mine. The transaction closed on May 21, 2025.

Prior to closing of the transaction, the company was the legal and beneficial owner of certain royalty rights on 24 mining claims in the Powell and Cairo townships, Matachewan, Ont., which forms part of the Young-Davidson mine owned and operated by Alamos. Pursuant to the agreement, the company sold all of its rights and interests in any and all present and future royalties generated from the 24 mining claims.

Pursuant to the terms of the agreement, the company together with the purchaser agreed to final consideration of $2.7-million payable on May 21, 2025, fully satisfying all conditions precedent to closing.

As stated by the president and chief executive officer of the company, Richard McCloskey, the sale provides Matachewan with immediate inflow of cash and provides the opportunity to pursue other investment opportunities.

We seek Safe Harbor.