Mr. Jonathon Deluce reports

MELKIOR ANNOUNCES GENEX UPDATE

Melkior Resources Inc. has released an update at its Genex project. On Jan. 31, 2024, the company provided International Explorers & Prospectors Inc. (IEP) with a formal notice of default outlining the terms of non-compliance by IEP under the option agreement dated April 19, 2022. The agreement provides Melkior an option to acquire a 100-per-cent interest in the Genex project (see the company's news release dated April 20, 2022, for additional information).

The company contends that IEP has not met its obligations to complete the required remediation work on the Genex project and deliver to the company and the Ministry of Energy, Northern Development and Mines of Ontario an environmental report confirming that all remediation work has been completed. As such, in accordance with the terms of the agreement, the company intends to suspend performance of its obligations under the agreement until such time as the required environmental report is delivered by IEP. This includes suspension of its second anniversary payments and cumulative work expenditures (as set out in the April 20, 2022, news release), until such time as the environmental report has been delivered.

IEP has responded to Melkior claiming that it is not in breach of the agreement, as it is actively working with the Ministry in respect of the required remediation work. IEP has not responded regarding Melkior's intention to suspend performance of its obligations under the agreement. The matter is continuing, but the parties are continuing to work on a satisfactory resolution.

About Melkior Resources Inc.

Melkior Resources is an exploration stage resource company in world-class mining jurisdictions with a strong partner. Melkior's flagship Carscallen project is being advanced by Agnico Eagle Mines Ltd. through an option agreement pursuant to which Agnico Eagle has the option (but not the obligation) to acquire up to a 75-per-cent interest to the Carscallen project by spending $110-million on the Carscallen project over a 10-year period. See the company's news release dated Sept. 28, 2020, for more information. Melkior, under 100-per-cent ownership, is focused on advancing its Genex, Val D'Or, White Lake and Maseres projects. Agnico Eagle also owns approximately 6 per cent of the issued and outstanding common shares of company.

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