"Our recently announced earn-in and joint-venture agreement with Westhaven Gold reflects the type of disciplined, project-level capital allocation that we believe can create long-term and sustainable value for Dundee shareholders," Mr. Goodman continued. "The agreement provides Dundee with a path to earn up to a 60% interest in a district-scale portfolio of gold projects in the Spences Bridge Gold Belt, including the Shovelnose Gold Project, through staged expenditures tied to defined work programs. It allows us to deploy capital directly into the ground while maintaining discipline around timing, ownership, technical milestones and future decision-making."
"Dundee has a long history of identifying high-quality mining opportunities early, applying technical and financial judgment, and supporting the patient advancement of assets" Mr Goodman added. "The strategic partnership with Westhaven builds on that experience and brings together the elements we believe are critical to unlocking long-term value: disciplined capital allocation, technical engagement, strong governance, and the operating processes and accountability required to support a durable mining platform over time."
Mr. Goodman concluded: "Fair value movements are an inherent feature of our mining investment portfolio, but they do not define the direction of the business. In the first quarter, we remained focused on the areas that we can control: disciplined execution, prudent capital deployment and the steady accumulation of technical, environmental and project data that will inform future decisions. With a strong capital base, no debt at the parent level, and an experienced team, Dundee is well positioned to advance this next phase of its growth and pursue opportunities that can support future cash flow generation and long-term shareholder value. The progress we have made reflects the strength of our team and their continued focus, discipline and commitment to execution."
FIRST QUARTER 2026 RESULTS
In February 2026, Dundee Corporation (the "Corporation" or "Dundee") and Westhaven Gold Corp. ("Westhaven"), a gold-focused exploration and development company, announced that an $85.0 million Earn-In and Joint Venture Agreement had become effective, granting the Corporation the sole and exclusive right to acquire up to a 60% interest in a newly incorporated company ("JVCO"), established on April 7, 2026, that will hold Westhaven's Shovelnose Gold Project, Prospect Valley Gold Project, Skoonka Gold Project and Skoonka North Project located in the Spences Bridge Gold Belt of southern British Columbia (collectively, the "Projects") upon the funding by the Corporation of certain project expenditures totalling $85.0 million. Under the terms of the Earn-in Agreement, the Corporation has committed to fund a minimum of $30.0 million in project expenditures by February 20, 2029, in exchange for an initial 25% interest in JVCO. In March 2026, the Corporation funded $1.0 million of project expenditures, followed by an additional $5.5 million subsequent to quarter-end. The Corporation expects to earn its first interest in JVCO in late 2026 or early 2027.
In January 2026, Dundee recognized a $47.5 million gain on the sale of its net smelter royalty on the Borborema Gold Project for an aggregate purchase price of $65.8 million, consisting of $41.4 million in cash and 3.6 million shares of Gold Royalty Corp ("GROY").
On October 23, 2025, the Corporation resolved its outstanding matter with the Tax Court of Canada. The Department of Justice consented to judgments allowing the appeals. During the first quarter of 2026, the Corporation received a refund of $13.7 million inclusive of interest.
Reported net loss from portfolio investments of $71.6 million (2025, income of $28.1 million). The key drivers of the current quarter's negative performance include fair value declines of $28.0 million and $31.1 million from the Corporation's investments in New Found Gold Corp. and Magna Mining Inc. During the same period of last year, the Corporation recognized a $14.2 million gain on the sale of G Mining Ventures Corp.
Reported share of loss from equity accounted investments of $0.9 million for the first quarter of 2026 (2025, income of $0.3 million).
Reported consolidated general and administrative expenses for the first quarter of 2026 of $3.5 million (2025, $4.5 million).
Reported a net loss attributable to owners of the Corporation for the first quarter of 2026 of $6.7 million (2025, earnings of $24.5 million), or loss per share on a diluted basis of $0.07 (2025, earnings per share of $0.25).
SEGMENTED FINANCIAL RESULTS
Mining Investments
In the first quarter of 2026, the Corporation reported a pre-tax loss from the mining investments segment of $18.5 million (2025, earnings of $29.8 million). This result included a pre-tax loss of $70.9 million from the mining portfolio investments (2025, earnings of $29.6 million). The key drivers of performance are described in the highlights above. The share of loss from equity accounted mining investments during the first quarter of 2026 was $0.3 million (2025, earnings of $0.2 million).
The pre-tax loss from the mining portfolio investments was partially offset by a $47.5 million gain on the sale of the Corporation's net smelter royalty on the Borborema Gold Project for an aggregate purchase price of $65.8 million, consisting of $41.4 million in cash and 3.6 million shares of GROY. In addition, the Corporation recognized a $5.2 million gain on the remeasurement of the derivative financial liability associated with the sale of New Found Gold Corp. common share purchase ...
