Ascot Announces Strategic Review Process

Core Viewpoint - Ascot Resources Ltd. has decided to place the Premier Gold Project on care and maintenance due to unsuccessful negotiations with its mining contractor and delays in mobilizing a mining fleet, impacting the timeline for restarting operations [3][4]. Company Update - Ascot has been in negotiations with Procon Mining regarding proposed price increases for mining services, but these discussions have not yielded a satisfactory cost structure [2][3]. - The delays in mobilizing a mining fleet to the Big Missouri deposit, a critical component of the restart plan, have led to the decision to pause operations at the Premier Gold Project [3][4]. - The management team is assessing strategic alternatives to advance the project towards sustainable production, with a Special Committee appointed to lead this review process [5]. Operational Challenges - The new management team has made progress in the past five months, but operational challenges have arisen that require time and capital to address [5]. - The mill is now expected to remain non-operational beyond the previously planned early August timeline due to these challenges [3][4]. Strategic Review - The Special Committee has retained financial advisors to explore various strategic alternatives, although there is no assurance that this process will lead to a transaction [5].