An anonymous director reports

PEPCAP RESOURCES ENTERS NEGOTIATIONS WITH BLOCKMETRIX FOR POTENTIAL ASSET ACQUISITION OR BUSINESS COMBINATION

Pepcap Resources Inc. is in preliminary negotiations with Blockmetrix LLC, a Texas-based digital infrastructure and high performance computing company, regarding a potential asset acquisition or business combination.

The proposed transaction, if completed, would represent a significant strategic expansion for Pepcap into the digital asset infrastructure sector. While discussions are at an early stage, the parties have agreed to explore a range of possible structures that may include the acquisition of operating assets, equity interests or a merger of operations.

Given the international nature of the companies involved, any transaction is expected to address cross-border tax, accounting and regulatory considerations, including compliance with Canadian and U.S. securities laws. Both parties have engaged legal and financial advisers to assist in due diligence and structuring.

No definitive agreement has been signed, and there can be no assurance that the discussions will result in a transaction. However, the companies are targeting a potential closing by late 2025 or some time in 2026, subject to corporate, regulatory and shareholder approvals.

Further updates will be provided as material developments occur.

About Pepcap Resources Inc.

Pepcap Resources is a Canadian-listed issuer focused on strategic growth opportunities across emerging technology and resource sectors. The company is committed to identifying ventures that align with long-term shareholder value.

About Blockmetrix LLC

Blockmetrix is a United States-based operator of digital asset infrastructure and high performance computing assets. Founded by industry veterans, the company has built and operated bitcoin mining.