PPX Mining Corp. announced that the Board of Directors of the Company passed a resolution authorizing management to subscribe to a binding term sheet for a USD 6,000,000 debt facility received on September 15, 2023 from a shareholder and Control Person of the Company, as defined in the policies of the Exchange, to fund most of the capital cost of the CIL and flotation plant that the Company intends to build to process the oxides and sulfides currently mined from its high grade Callanquitas Mine, located in La Libertad, Peru. The key terms of this financing are as follows: USD 6,000,000 total debt facility to be disbursed in 4 tranches.

11.75% annual interest rate. 1.5 years grace period, paying only interest, to cover the construction and commissioning periods. 3 years principal amortization period, following the grace period.

The facility will be administered through a trust structure that will guarantee the repayment of the loan obligations. In addition, other trusts will be established to ensure the construction funding flow and to protect the surface rights and shares of the Peruvian subsidiary holding the construction and processing permits. Total and partial prepayments are authorized with no penalties.

Certain conditions precedent are applicable to this transaction, including TSXV approval. A 3% finder's fee payable in shares of PPX Mining Corp. is applicable to this transaction.