Summary of Highlights
Highlights for the three months ended March 31, 2026 ("Q1 2026"), and subsequent period thereto, include the following, details of which are discussed later in the release:
Phase 4 Lunahuasi drill program achieves campaign objectives. The Company's Phase 4 drill program at Lunahuasi is now complete, with a total of 27,318 metres drilled in 32 holes. Phase 4 assay results received to date have continued to demonstrate the deposit's scale and high grades, particularly in the Mars and Saturn zones. Notable intersections released during Q1 2026 include:
Mars zone: DPDH054, which intersected 94.00 metres at 8.99% copper equivalent ("CuEq"), including 21.70 metres at 31.92% CuEq; and
Saturn zone: DPDH051, which intersected 327.40 metres at 3.74% CuEq and DPDH059, which intersected 335.15 metres at 4.08% CuEq.
Final Phase 4 assays, representing approximately 50% of the drilling completed, are expected to be released as received until the third quarter of 2026.
Confirmation of two new high-grade zones. Phase 4 drilling has also confirmed and begun to define two new high-grade zones, which reaffirm a key feature of the Lunahuasi system: the occurrence of multiple mineralized zones and multiple overlapping styles of mineralization. In summary:
At the northern limit of the current drill pattern, DPDH058 intersected 109.00 metres at 3.37% CuEq, including 6.00 metres at 14.53% CuEq; and
300m east of the Mars zone, geotechnical hole DPGT004 intersected 23.10 metres at 4.71% CuEq including 4.20 metres at 17.94% CuEq.
Environmental approval received for a proposed exploration adit at Lunahuasi. In March 2026, NGEx Minerals received approval from the Mining Authority of San Juan Province, Argentina, for a proposed exploration adit at the Lunahuasi project. Approval of the Environmental Impact Statement for the adit was a crucial step in the Lunahuasi story, which will enable the Company to proceed with underground development once additional sectoral permits are received. When complete, the adit is expected to provide a platform to conduct exploration and definition drilling, metallurgical sampling, and geotechnical assessment, which are all key inputs for future technical studies and project evaluation. The approval significantly increases NGEx's optionality for future exploration and development at the project.
Wojtek Wodzicki, President and CEO, commented, "We have now completed our Phase 4 drill program at Lunahuasi, the project's largest campaign to date. The earlier part of the campaign successfully completed short-range definition drilling that expanded and better defined the Saturn, Mars and Jupiter zones, which consist of the high-sulphidation vein mineralization that formed the original discovery. Phase 4 drilling has increased our understanding of each of these individually unique and sizeable high-grade zones, with Saturn and Mars in particular continuing to expand and deliver high-grade intercepts throughout and showing potential for at least three very high-grade cores within broader envelopes of good grade material.
The latter portion of the drill program focused on mid-range step-outs to test the potential for discovery of new high-grade zones, and long-range exploration holes to test district scale anomalies. These holes tested the broader potential of Lunahuasi, which is part of a much larger system that may still host new high-grade zones as well as new styles of mineralization in addition to the four already identified. Results to date have confirmed the existence of two new high-grade zones, which share common characteristics with our previously identified zones and will be exciting targets for our next drill program.
Final assays will steadily come in over the next few weeks, and our attention will turn to a full analysis of the Phase 4 results, which will guide planning for Phase 5, scheduled to begin in the fourth quarter of 2026. With a robust balance sheet and no shortage of drill targets, we are looking forward to getting started on the exploration adit and having rigs turning again at Lunahuasi after a short austral winter break."
Board and Management Changes
Effective March 20, 2026, Mr. Peter J. O'Callaghan was appointed by the Company to its Board of Directors. Mr. O'Callaghan was a Partner at Blake, Cassels & Graydon LLP for over twenty-five years, and served as Office Managing Partner from 2018 until his retirement in December 2022. Mr. O'Callaghan's practice encompassed all types of M&A and corporate finance transactions, with a focus on the mining sector. He holds a Bachelor of Laws degree and a Bachelor of Commerce (Finance) degree from the University of British Columbia. As a result of this change, NGEx's Board of Directors is now comprised of a total of nine members.
The Company is also pleased to announce that Mr. Alex Tong has been appointed by the Board as the Company's Chief Financial Officer to be effective as of June 10, 2026. Mr. Tong is a seasoned mining finance professional with over 20 years of experience supporting exploration, development, and operating companies. He has held senior finance roles with international mining companies and is currently Vice President, Finance at Lucara Diamond Corp. ("Lucara"). Prior to Lucara, Mr. Tong served as Chief Financial Officer for several mineral exploration companies, overseeing financial reporting, capital markets strategy, and corporate development. Mr. Tong is a member of the Chartered Professional Accountants of British Columbia (CPA, CA).
Mr. Tong succeeds Mr. Jeff Yip, who has notified the Company of his resignation as Chief Financial Officer to take effect on June 10, 2026.
Wojtek Wodzicki, President and CEO, remarked, "On the corporate front, we report Jeff Yip's decision to resign as CFO to pursue other interests and the appointment of Alex Tong as his successor. Jeff has been a valued member of NGEx's senior management team since the Company's inception in 2019 and has served in senior financial management roles in a number of Lundin Group companies over the years. We thank him for his contributions to the success of NGEx and wish him well in his future endeavors. We are pleased that Jeff will continue in an advisory role as a consultant to ensure a smooth transition.
Alex brings a wealth of knowledge and executive leadership experience to the role, having worked for over two decades supporting resource companies of all stages. He joins us from Lucara, where as VP Finance he has played a key role in Lucara's recent financing initiatives including a $165 million private placement and $350 million bond financing. In March, we welcomed Peter O'Callaghan to the Board, where his extensive experience in corporate finance and M&A transactions and the mining industry will be invaluable to NGEx moving forward. Alex and Peter's appointments to our leadership group come at an exciting time for NGEx, as we embark on the next phase of growth and advance Lunahuasi down the pathway to eventual development."
Q1 2026 Operating Highlights and Outlook
Phase 4 Improves Size and Definition of Three Initial High-grade Zones; Tests Broader District Scale Potential
During the three months ended March 31, 2026, the Company was focused on execution of its Phase 4 drill program at Lunahuasi, which has been another successful endeavour and is now complete. Phase 4 drilling is the Company's fourth exploration campaign at Lunahuasi, and has continued to expand, delineate and define the four distinct styles of mineralization found to date at Lunahuasi, while continuing to test the potential for additional discoveries at the project.
The program commenced in October 2025, reached steady state operations with eight rigs by mid-November, and continued at that scale until drill rigs completed their final holes of the season beginning mid-April.
The objectives of Phase 4 program were to test the Lunahuasi system at three distinct scales. Namely:
Short-range definition drilling, to further define and expand the Mars, Saturn and Jupiter zones;
Mid-range step-out holes, to extend the outer edges of the Lunahuasi deposit, and also identify new zones of mineralization outside of the current drill pattern; and
Long-range exploration drilling, to test anomalies and district scale targets, with the objective of discovering new components of the Lunahuasi system and demonstrating the system's true potential.
Phase 4 drilling has been successfully completed across all three scales. To date, Phase 4 assay results received and released by the Company have only covered short-range definition drilling and some of the mid-range step-out holes completed during the program (see News Releases dated December 17, 2025, January 12, 2026 and February 10, 2026, March 23, 2026, and April 30, 2026).
Highlights of Phase 4 assays released during the three months ended March 31, 2026, and subsequent period thereto, include:
Confirmation and delineation of new zones
DPDH058 intersected 109.00 metres at 3.37% CuEq (1.77% Cu, 1.65 g/t Au, and 45.4 g/t Ag), including 6.00 metres at 14.53% CuEq (6.13% Cu, 8.17 g/t Au, and 277.7 g/t Ag), and is helping to outline a new zone located at the northern limit of the current drill pattern that was first intersected by DPDH043 from the Phase 3 campaign. Further analysis will be required to fully delineate this new zone, however preliminary indications are that it remains open in all directions and exhibits high-grade intersections and sub-intervals with even more elevated grades, as seen in the Saturn, Mars and Jupiter zones.
DPGT004 was a geotechnical hole drilled along the ...
