Mr. Cliff James reports

TVI PACIFIC'S 30.66% OWNED TVIRD CLOSES US $30 MILLION TERM LOAN FACILITY THROUGH GRC FOR ITS SIANA GOLD MINE

Greenstone Resources Corp. (GRC), the owner and operator of the Siana Gold mine and an entity wholly owned by TVI Resource Development Phils. Inc. (TVIRD), a Philippines corporation in which TVI Pacific Inc. holds a 30.66-per-cent interest, has closed an omnibus loan and surety agreement (OLSA) with China Banking Corp. (the lender) providing for a $30-million (U.S.) principal amount term loan facility, the proceeds of which shall be used to partially finance its 3,000-metric-tonne-per-day (MTPD) Siana mine.

GRC financing highlights:

• $30-million (U.S.) facility concluded with China Banking;
• Five-year term with a fixed interest rate per annum (pa) for the first two years that shall be repriced on the second anniversary from the initial drawdown date;
• Repayable in 15 equal quarterly instalments to start at the end of the sixth quarter from the initial drawdown date. Interest is payable starting at the end of the first quarter from the initial drawdown date.

GRC financing

The facility is a five-year term loan facility from the lender in the aggregate principal amount of up to $30-million (U.S.), the proceeds of which shall be used to partially finance GRC's 3,000 MTPD Siana mine.

GRC has elected to apply a fixed interest rate for the first two years of any amounts borrowed through the facility that shall be based on the sum of the benchmark rate plus a spread of 200 basis points or 6.50 per cent pa, whichever is higher, as established one banking day prior to the relevant drawdown date. A day after the second anniversary of the initial drawdown date, a new repriced interest rate will be applied based on the sum of the applicable benchmark rate plus a spread of 200 basis point or 6.50 per cent pa, whichever is higher, as established one banking day prior to the relevant anniversary from the initial drawdown date. The new interest rate will be applicable for the remaining tenor of the loan.

The benchmark rate is the simple average bid yield for the applicable tenor of U.S.-dollar bonds issued by the Republic of the Philippines as displayed on the ALLQ Screen source-BGN (or successor screen) of Bloomberg (or such successor electronic service provider) at approximately 5 p.m. GMT +8 for the three banking days ending on and inclusive of the interest rate setting date.

The principal shall be repaid in 15 equal quarterly instalments to start at the end of the sixth quarter from the initial drawdown date, with interest payable quarterly in arrears starting at the end of the first quarter from the initial drawdown date. An option exists to prepay the facility, in full or in part, subject to a prepayment penalty.

The facility shall be secured by:

1. A corporate surety provided by Prime Asset Ventures Inc.;
2. Fine Properties Inc., a member of the Villar Group, acting as mortgagor;
3. A corporate surety provided by TVIRD and TVIRD acting as share security grantor whereby a first-ranking security interest over all of TVIRD's shares in GRC is provided;
4. First-ranking security interest over, or assignment of, GRC's rights/interests/receivables in its contracts with buyers and all material contracts of Siana, excluding the mineral production sharing agreement (MPSA);
5. The debt service reserve account that shall hold at least the amount equivalent to the next principal repayment and interest due up to 90 days in advance of the due date;
6. Insurance contract rights related to Siana.

The facility has been fully drawn on Dec. 28, 2023.

"Conclusion of a loan facility with China Banking Corp. will help Siana to move toward commercial production and to proudly become the fifth mine for TVIRD following the Canatuan gold-silver mine from 2004 to 2008, the Canatuan copper-zinc mine from 2009 to 2014, the Agata nickel direct shipping ore mine from 2014 to 2023 and in which TVIRD holds a 60-per-cent interest, and the Balabag gold/silver mine that commenced operations in 2021," stated Cliff James, chairman and chief executive officer of TVI and chairman of TVIRD. "This represents yet another exciting step for both TVIRD and TVI Pacific as we continue to be focused on adding value to TVIRD's portfolio of projects."

About TVI Resource Development Phils. Inc.

TVIRD, a Philippine corporation in which TVI holds a 30.66-per-cent interest, is a diversified mining company that focuses on the acquisition, exploration, development and production of resource projects in the Philippines. TVIRD owns 100 per cent of the operating Balabag gold/silver mine, 100 per cent of the Siana gold mine that is proceeding through the stage of soft-commissioning, 100 per cent of the Mapawa project (gold), a 60-per-cent indirect interest in the Mabilo project (a copper-gold-iron skarn deposit that offers potential for multimetal products, namely copper, gold and silver, with byproducts magnetite and pyrite) and a 60-per-cent interest in Agata Mining Ventures Inc. (nickel/iron DSO mine).

About TVI Pacific Inc.

TVI Pacific is a Canadian resource company focused on mining projects in the Philippines, one of the most prolifically mineralized countries in the world. TVI currently holds a 30.66-per-cent equity interest in TVIRD, a Philippines corporation. Through TVIRD, TVI has ownership in a currently producing gold mine and is focused on bringing on stream the Siana gold mine at which equipment has been rehabilitated and commissioning of the plant has commenced in line with TVIRD's plan to restart operations.

We seek Safe Harbor.