Rio2 Receives Final US$50 Million Payment from Wheaton Precious Metals for Fenix Gold Project

• Rio2 received the fourth and final US$50 million deposit from Wheaton Precious Metals International under their amended precious metals purchase agreement
• The payment completes a series of deposits that began in 2021, with previous instalments received in 2022, 2024, and 2025
• The Fenix Gold Project hosts 4.8 million ounces of gold in measured and indicated mineral resources
• The project is expected to employ 1,200 people during construction and 550 people during its 17-year operational phase
• Total initial and sustaining capital investment is approximately US$235 million

Rio2 Limited (TSX: RIO) is a mining company focused on development and mining operations in South America. The company's primary asset is the Fenix Gold Project located in Chile's Atacama Region, which it is advancing towards production using a staged development strategy. Rio2 operates through its wholly owned subsidiary, Fenix Gold Limitada, and states its commitment to environmental standards and responsible development practices addressing social, environmental, and economic considerations.

Receipt of Fourth and Final US$50 Million Deposit from Wheaton Precious Metals

Rio2 announced receipt of US$50 million from Wheaton Precious Metals International as the fourth and final deposit under their amended and restated precious metals purchase agreement and flexible prepay arrangement. The payment follows previous deposits received on November 16, 2021, March 29, 2022, October 21, 2024, and March 24, 2025. The funds will be used to continue advancing mine construction at the Fenix Gold Project in Chile.

The agreement represents a streaming arrangement where Rio2 receives upfront capital in exchange for delivering a portion of future precious metals production from the Fenix Gold Project. This financing structure allows the company to fund construction without additional equity dilution or conventional debt financing. The arrangement with Wheaton Precious Metals International provides the capital necessary for construction activities currently underway at the mine site.

The completion of the fourth deposit concludes the prepayment portion of the agreement between Rio2 and Wheaton Precious Metals International. The company can now allocate these funds towards ongoing construction activities at Fenix Gold without seeking additional financing for the current phase of development.

Fenix Gold Project Construction Advancement and Funding

The Fenix Gold Project requires approximately US$235 million in initial and sustaining capital investment. The funding from Wheaton Precious Metals International forms part of the capital structure supporting construction and eventual operations. The mine construction is currently progressing, with the company using the received deposits to advance development work at the Chilean site.

During the construction phase, the project is expected to generate employment for approximately 1,200 people. Once operational, the mine will employ around 550 people throughout its projected 17-year operational life. These positions will be based in the Atacama Region of Chile, where the Fenix Gold Project is located.

The company continues construction activities using the funds received from the streaming agreement. The capital structure in place allows Rio2 to progress through the remaining construction phases required before commencing production operations at the Fenix Gold Project.

Fenix Gold Project Overview and Development Parameters

The Fenix Gold Project is described as one of the largest undeveloped gold oxide heap leach projects in the Americas. The project hosts a measured and indicated mineral resource of 4.8 million ounces of gold, as defined under National Instrument 43-101 Standards of Disclosure for Mineral Projects. The resource estimate and project parameters are detailed in the feasibility study dated October 16, 2023, available on Rio2's SEDAR+ profile.

The mine design utilises a run-of-mine heap leach operation, which does not require crushing or tailings storage facilities. In heap leach processing, ore is placed on lined pads where a leaching solution is applied to extract gold. This method reduces the physical footprint compared to operations requiring crushing facilities and tailings storage.

The feasibility study provides technical and economic parameters for the project, including assumptions and risk factors associated with development. Rio2 has stated the project incorporates technical, environmental, and social considerations in its design. The mine is planned to operate for 17 years based on current resource estimates and production plans outlined in the feasibility study.

Next Steps

Rio2 has completed the funding arrangement with Wheaton Precious Metals International with receipt of the final US$50 million deposit. The company will continue construction activities at the Fenix Gold Project in Chile using the proceeds from the streaming agreement. Construction will progress through remaining phases as the company works towards commissioning and eventual production operations. The timeline for reaching commercial production will depend on completion of construction milestones and operational readiness at the site.

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