Mr. Brandon Rook reports
SILVER VALLEY METALS TO ACQUIRE 100% INTEREST IN TWO GOLD PROJECTS IN FINLAND
Silver Valley Metals Corp. has entered into a definitive agreement to acquire 100-per-cent ownership of two highly prospective gold-focused exploration projects in Finland: the Leilipalo project and the Pasto project. These projects are located within two of Finland's geologically prolific and underexplored greenstone belts, representing a significant step in the company's strategic growth into precious metals.
"This acquisition represents an important step forward for Silver Valley as we diversify into gold exploration," said Brandon Rook, president and chief executive officer of Silver Valley Metals. "Leilipalo and Pasto give us exposure to highly prospective greenstone belts in Finland, supported by quality historical work, infrastructure and a mining-friendly jurisdiction. These projects fit well within our strategy of advancing assets with clear exploration upside and a path to value creation."
The acquisition is being completed through a share purchase agreement signed with 1531472 B.C. Ltd., an arm's-length private party (PrivCo). The agreement was dated and signed on Aug. 5, 2025. Pursuant to the terms of the agreement, Silver Valley will acquire 100 per cent of the issued and outstanding shares of PrivCo, which holds the Leilipalo and Pasto projects in Finland. The agreement includes customary representations and warranties, conditions precedent, and closing deliverables. A 2-per-cent net smelter return royalty will be retained by the underlying vendor of the projects who sold them to PrivCo. The vendors of the shares of PrivCo are arm's-length parties. There will be no change of control, and there are no finders' fees payable in connection with the transaction. The transaction is subject to TSX Venture Exchange approval and customary closing conditions. Neither TSX Venture Exchange nor its regulation service provider accepts responsibility for the adequacy or accuracy of this release.
In consideration, Silver Valley will issue 18 million common shares of the company to the shareholders of PrivCo at a deemed price of nine cents per share, for total consideration of $1.62-million. The consideration shares may be subject to escrow provisions as determined by the TSX Venture Exchange upon final review. There are no resale restrictions beyond applicable statutory hold periods.
No disclosure is required under Multilateral Instrument 61-101 as the transaction does not involve a related party. Furthermore, there are no relationships between the company and its directors, officers or insiders, and the vendor, or the vendor's directors, officers or insiders.
The assets being acquired include two mineral exploration licences (Leilipalo and Pasto) totalling 8,611 hectares and 1,737 hectares respectively and 63 historical drill holes (4,124 m) across both properties, in addition to an extensive technical data set including regional geophysical surveys, gold-in-till sampling, geological mapping and interpreted structural models. The projects are at the advanced exploration stage and do not currently have mineral resources.
The consideration and number of securities to be issued were determined based on a combination of:
- Comparable transactions involving advanced-stage exploration gold assets in Finland;
- The strength of historical exploration results and structural setting of the projects;
- The jurisdictional quality and peer land positioning in the belts;
- Market valuations of nearby exploration companies (for example, Valkea Resources and Finex Resources).
Although PrivCo had previously acquired the projects from the underlying vendor, the consideration paid by PrivCo is not materially different from the consideration being offered by the company in the present transaction. The underlying vendor has retained a royalty interest in the projects as part of PrivCo's original acquisition, which represents the core economic interest for that party.
Project overview -- Leilipalo and Pasto projects
Both the Leilipalo and Pasto projects are situated in regions recognized for their gold endowment but remain underexplored with respect to modern discovery methods. The projects are infrastructure accessible and supported by strong historical data sets. With this acquisition, Silver Valley enters one of the world's most mining-friendly jurisdictions, recently ranked No. 1 in the world by the Fraser Institute for investment attractiveness and No. 2 in the world for policy perception.
Leilipalo project highlights
The Leilipalo project, covering 8,611 hectares, is among the most expansive junior land positions in Finland's central Lapland greenstone belt. Strategically positioned just 10 kilometres southwest of Agnico Eagle's Kittila mine -- Europe's largest primary gold mine -- with measured and indicated resources totalling 5.4 million ounces (32.6 million tonnes of 5.2 grams per tonne gold) and cumulative gold production exceeding two million ounces, Leilipalo is uniquely situated at the convergence of two of the region's important gold-bearing structures: the Hanhimaa shear zone and the Sirkka thrust.
The Hanhimaa shear zone trends north to south directly through the project area, while the Sirkka thrust crosses the southern boundary -- an intersection unique to Leilipalo across the CLGB. These structural corridors are known to host significant mineralization elsewhere in the belt. The Kittila mine, located farther east along the parallel Kittila shear, underscores the regional potential.
Key exploration highlights -- Leilipalo project:
- 8,611 hectares -- among the largest junior landholdings in the CLGB;
- Leilipalo shares its northern boundary with Valkea Resources, a well-capitalized junior focused on the Hanhimaa shear; Valkea's Paana project returned 55 metres of 1.63 grams per tonne Au at Aarnivalkea West early in its program; its strong market valuation underscores growing investor confidence in Finland's gold potential and structural corridor upside shared with Leilipalo;
- Sirkka thrust intersects the southern boundary -- the same structure that hosts Rupert Resources' Ikkari deposit, approximately 50 km east-southeast (52 Mt of 2.1 g/t Au); Rupert's market capitalization is approximately $1.12-billion;
- Unique convergence of the Hanhimaa shear and Sirkka thrust occurs exclusively at Leilipalo -- the only known location within the CLGB where these two major structures intersect;
- Strong phase 1 gold-in-till anomalies with shallow overburden;
- No Natura 2,000 restrictions -- supports streamlined permitting;
- Excellent road and power line access; near Kittila airport;
- Next steps: structural interpretation, rock chip sampling, base-of-till drilling and deep-sensing geophysics programs, followed by drill target definition and prioritization.
Pasto project highlights
The Pasto project is in the Seinajoki greenstone belt of western Finland -- an emerging gold district situated within Precambrian terranes that have hosted modest-scale historical mining, including small-scale orogenic gold, copper and base metal production. While still underexplored, the belt shares geological similarities with more prolific belts to the north. Regional gold production includes the Pahtavaara mine (approximately 450,000 ounces gold over 16 years), reinforcing the potential for meaningful discovery.
Within this setting, the Pasto project stands out for its combination of accessible infrastructure, shallow overburden and extensive historical work. The project hosts two main gold occurrences -- Pasto and Ylijoki -- that were the focus of Geological Survey of Finland programs, including:
- 63 shallow diamond drill holes totalling 4,124 metres;
- Geological mapping, rock and till sampling, and ground magnetic/induced polarization geophysics.
These early-stage programs delineated broad, continuous zones of gold mineralization, including higher-grade intervals and surface values up to 10.0 g/t Au. Many holes ended in mineralization and were never followed up. Structural continuity was identified, but the project has yet to benefit from modern geophysics, 3-D modelling or deeper drill testing.
The Pasto West gold occurrence is a standout area for near-term advancement. Historical drilling encountered gold mineralization coincident with interpreted regional fault intersections -- structural traps -- with quartz vein-hosted gold subparallel to shear trends. Importantly, holes remain shallow yet end in mineralization, reinforcing the upside at depth and along strike.
Key exploration highlights -- Pasto project:
- 63 shallow diamond drill holes;
- Regional till sampling, detailed mapping rock geochemistry;
- Coincident magnetic and IP geophysical surveys;
- Notable intercepts:
- 69 metres of 0.42 gram per tonne gold (open at depth);
- 13 m of 0.79 g/t Au including four m of 1.21 g/t Au;
- 4.75 m of 1.58 g/t Au including 1.2 m of 5.92 g/t Au;
- 0.45 m of 10.0 g/t Au (Ylijoki);
- Disseminated and structurally controlled mineralization remains open;
- Shallow glacial till enables low-cost drilling;
- No Natura restrictions; excellent road access;
- Next steps: reprocess historical data, refine structure and prioritize drill targets.
Summary
The Leilipalo and Pasto projects mark a significant expansion into gold for Silver Valley. Both assets offer scale, structural upside and underexplored mineralization supported by historical data. The company sees strong potential to build value through thoughtful, staged exploration. With a mining-friendly jurisdiction, excellent access and growing peer activity, Silver Valley is well positioned for its next chapter of discovery in Finland.
Qualified person
The scientific and technical information contained in this news release has been reviewed and approved by Timothy Mosey, BSc, MSc, SME registered member, a qualified person as defined by National Instrument 43-101 (Standards of Disclosure for Mineral Projects). Mr. Mosey is an independent director and technical adviser to Silver Valley.
About Silver Valley Metals Corp.
Silver Valley is a Canadian exploration company composed of a group of experienced exploration, mining and financing specialists focused on the pursuit of mineral discovery and development. The company is advancing strategic and precious mineral properties, including lithium and potash in Mexico, gold and silver advanced exploration in Finland, and an ownership stake in the Ranger-Page silver-zinc-lead project in Idaho through equity in Silver Dollar Resources and residual royalties.
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