Update to Zijin Put Option and Exclusivity Arrangements

Core Viewpoint - Xanadu Mines Ltd has faced challenges in finalizing a control transaction with its major shareholder Zijin Mining Group, leading to the expiration of exclusivity arrangements and a re-evaluation of options, including the potential exercise of a 25% Put Option [2][3][4]. Group 1: Transaction Developments - Following discussions, the exclusivity commitment to Zijin has expired, prompting the Independent Board Committee (IBC) to explore other opportunities [2][4]. - The IBC had previously extended the 25% Put Option and granted exclusivity to Zijin based on a non-binding indicative offer, which was deemed superior at the time [3][4]. - Despite efforts, Zijin has indicated it cannot finalize transaction documentation within the required timeframe, leading to a reassessment of the Put Option [3][4]. Group 2: Shareholder Engagement - The Xanadu Board has initiated a shareholder approval process for the 25% Put Option, with an Extraordinary General Meeting scheduled for June 4, 2025 [4][5]. - Shareholders will be invited to vote on the exercise of the Put Option, which could solidify the Kharmagtai project as a long-term investment without further cash outlay [6][7]. Group 3: Future Outlook - The Executive Chairman expressed disappointment over the inability to finalize a transaction but remains optimistic about the Kharmagtai project and plans to engage with other interested parties [6][7]. - The company is prepared to pursue alternate funding options if the Put Option does not proceed and no superior transaction is available [7][8].