Ascot to Launch C$0.01 Per Share Rights Offering and 50:1 Share Consolidation; Enters into Advisory Agreement with Fiore and Support of Major Shareholders and Creditors

Core Viewpoint - Ascot Resources Ltd. has entered into an advisory services agreement with Fiore Management and Advisory Corp. to assist in restructuring, refinancing, and enhancing the leadership team, focusing on the Red Mountain Deposit and the Premier Gold Project [1][8] Restructuring Details - The restructuring will include a non-brokered rights offering to raise approximately C$14.9 million, fully backstopped by Fiore, allowing eligible shareholders to acquire new common shares at C$0.01 each [2] - Following the rights offering, a 50:1 share consolidation will occur, and Fiore will assist in facilitating an equity financing of C$150 million [3] - The restructuring has majority support from the company's shareholders and creditors [3] Financing Arrangements - Advanced negotiations are underway with Nebari Gold Fund and its affiliates for bridge financing of up to US$18 million, subject to certain conditions [4] - The financing arrangements will also involve settling existing lien claims related to the Premier Gold Mine from the proceeds of the rights offering [5] Debt Restructuring - Ascot will work with Fiore to restructure existing indebtedness with Nebari and amend secured streams with Sprott Private Resource Streaming and Royalty Corp. [6] Management Enhancement - Fiore is committed to assisting Ascot in enhancing its management team to advance the Red Mountain deposit and restart the Premier Gold Project [7] Project Status - The Premier Gold Mine and Red Mountain have been on care and maintenance since June 25, 2025, with approximately C$538 million incurred in construction and development costs since mid-2021 [11] - Following the reorganization, studies will be conducted to determine the best path to commercial production [11]