ValOre Metals: Brazil's Hidden PGM Gem

• ValOre Metals (TSX-V: VO) owns 100% of the Pedra Branca PGE project in Ceará, Brazil, hosting a 2.2 million ounce inferred resource of platinum, palladium and gold at 1.08 g/t (NI 43-101, 2022)
• The World Platinum Investment Council confirms platinum recorded its third consecutive annual deficit in 2025, estimated at 692,000 ounces, with above-ground stocks declining to 3,187,000 ounces
• Johnson Matthey confirms platinum mine supply fell 3% in 2025 to multi-year lows, with South African output constrained by restructuring, severe weather and maintenance
• ValOre trades at a C$26M market cap compared to peers ranging from C$126M to C$550M for comparable PGE projects globally
• A Preliminary Economic Assessment is targeted for Q4 2026, with a Brazil gold acquisition announcement targeted for Q1 2026

Why the Platinum Market Is at a Turning Point Right Now

The global platinum market is experiencing one of the most structurally significant supply squeezes in recent history. According to the World Platinum Investment Council (WPIC), platinum recorded its third consecutive annual supply deficit in 2025, estimated at 692,000 ounces. Total platinum supply declined 2% year-on-year to 7,129,000 ounces, its lowest level in five years, while total mine supply fell 5% to 5,510,000 ounces. Above-ground stocks fell to 3,187,000 ounces by year-end 2025, providing less than five months of demand coverage.

Trevor Raymond, CEO of the World Platinum Investment Council, stated: "The substantial 2025 platinum market deficit has been accentuated by trade tension-linked investment flows. If these tensions continue, then 2026 is likely to be another year where we see platinum supply again fall short of demand."

2025 PGM Market Report, independently confirmed the platinum market remained in deficit for a third consecutive year, with primary supply projected to decline 3% due to operational restructuring, severe weather and maintenance across South African operations. Palladium faced a shortfall of approximately 500,000 ounces in 2024, data before moving toward balance in 2025 as recycling supply improved. For investors, this sets a compelling macro backdrop for any company holding quality PGE assets outside the dominant South African and Russian jurisdictions.

A World-Class Team With a Proven Track Record

ValOre Metals Corp. is led by Chairman Jim Paterson, co-founder of the Discovery Group, and CEO Nick Smart, a chemical engineer with 21 years of experience at Anglo American and De Beers. Together, the leadership team has participated in over CAD$1.7 billion in mining M&A transactions and raised more than $300 million in equity across previous ventures. The Discovery Group has facilitated over $2.6 billion in M&A activity and raised more than $1 billion in equity since its 2002 founding.

"Part of Discovery Group ($1BN raised, $2.6BN M&A activity). World Class team on the ground in Brazil. Track record of geological resource expansion, exploration success and operational execution."

CEO Nick Smart brings direct operational experience from platinum and zinc projects in South Africa, nickel in Brazil, and diamonds in Canada. VP of Exploration Thiago Diniz holds an M.Sc. in Economic Geology from Queen's University and leads an all-Brazilian technical team with proven expertise in the country's regulatory and geological environment, a genuine competitive advantage in an increasingly complex permitting landscape.

A Rare Asset in One of the World's Scarcest PGE Jurisdictions

Pedra Branca is ValOre's flagship asset, a 51,096-hectare PGE project located in Ceará State, northeast Brazil. The project hosts an NI 43-101 inferred resource of 2,198,000 ounces of platinum, palladium and gold in 63.3 million tonnes grading 1.08 grams per tonne, established in a 2022 independent technical report. Seven near-surface resource zones have been identified, with four core deposits, Esbarro, Curiu, Cedro and Cana Brava, plus the Trapia and Massape zones collectively containing the full resource. The project sits approximately four hours by paved highway from Fortaleza, which offers both an international airport and a deep-water port.

"100% owned Pedra Branca Asset: 2.2M oz, Platinum, Palladium and Gold. Near surface, accessible orebodies with excellent regional infrastructure and exploration upside."

The scarcity of this asset class cannot be overstated. According to WPIC data, approximately 88.9% of the world's PGE reserves are concentrated in South Africa, with Russia holding approximately 7.8%. ValOre's February 2026 presentation makes the strategic logic clear:

"ValOre's 100% owned Pedra Branca project [is] one of few greenfields PGE projects outside South Africa and Russia."

That geographic differentiation carries increasing strategic value as supply concentration and geopolitical risk remain persistent concerns for investors and end-users of platinum group metals alike.

2025 Exploration Breakthroughs That Strengthen the Investment Case

In 2025, ValOre completed an 87-hole Trado auger drilling campaign at the Esbarro deposit, successfully extending mineralisation beyond the existing resource footprint into the Esbarro East Extension zone. Multiple high-grade intercepts were returned from surface, including 10 metres at 12.95 g/t 2PGE and gold and 9.5 metres at 5.62 g/t 2PGE and gold, demonstrating that the system remains open and continues to deliver economic-grade material from near surface.

Equally significant was a regulatory milestone: the Brazilian National Mining Agency approved Final Exploration Reports for Esbarro, Cedro, Curiu and Cana Brava. These four core deposits have now advanced to the Mining Concession Application Phase.

"Significant regulatory de-risking achieved, positioning Pedra Branca for future economic studies and permitting."

The 2026 plan builds on this momentum, targeting district-scale exploration through VRIFY 3D geological technology, advancement of the Pitombeiras target along an 8-kilometre mineralised trend, relogging of historical drill core, and continued metallurgical and engineering studies. A Preliminary Economic Assessment is targeted for Q4 2026.

The Acquisition Strategy That Creates Near-Term Value

ValOre is not positioning itself solely as a PGE developer. The company has articulated a clear strategy to become an integrated precious metals producer in Brazil, with gold acquisitions forming the near-term production bridge. Acquisition targets are advanced-stage gold projects in northeast Brazil with established operating teams, assets where ValOre's management expertise and capital market access can accelerate value creation.

"Building an integrated precious metals company, focused on most prospective areas of Brazil. Actively pursuing acquisition and partnership strategy."

A Brazil gold acquisition announcement is targeted for Q1 2026, with gold production from acquisitions targeted by Q3 2026. Brazil produces approximately $3.8 billion in gold annually, with forecasts pointing to over $6 billion by 2030 according to Grand View Research data cited in the company's February 2026 presentation. The company intends to finance M&A growth through TSX and potential Bovespa listings, supported by strategic equity partnerships and the institutional network of the Discovery Group.

The Investment Thesis for ValOre Metals

• Consider initiating a position ahead of the Q1 2026 Brazil gold M&A announcement, which represents an immediate re-rating catalyst that could close the gap between ValOre's C$26M market cap and peers trading at C$126M to C$550M.
• Monitor the Q4 2026 PEA publication as the primary valuation anchor event, as Preliminary Economic Assessments typically drive meaningful re-ratings for junior PGE developers by establishing the first formal economic parameters for mine planning.
• Diversify into quality PGE developers if platinum supply deficits persist, as WPIC projects deficits of approximately 500,000 ounces annually through to 2029, a structural dynamic unlikely to be resolved by incremental mine supply improvements alone.
• Track the upcoming resource update, expected to incorporate both the 2023 drill program results and the 2025 Esbarro East Extension campaign, both of which confirmed mineralisation beyond the current 2.2 million ounce resource footprint.
• Evaluate the peer valuation gap: at C$26M, ValOre trades at approximately 5% of Bravo Mining's C$550M market cap and roughly 10% of Generation Mining's C$245M cap, despite holding a resource of comparable scale.
• Consider insider and institutional alignment: insiders and advisors hold 20% of shares, resource and mining funds hold 25%, and close associates hold 10%, with 55% of the register held by aligned parties, substantially reducing dilution risk.

Key Takeaways for Investors

ValOre Metals presents a case study in undiscovered value at the intersection of three converging structural forces: a verified and persistent platinum supply deficit, a genuine scarcity of quality PGE development projects outside South Africa and Russia, and a company with credible near-term catalysts across both acquisition and development. At C$26M market capitalisation against a 2.2 million ounce NI 43-101 inferred PGE resource and a Discovery Group-backed team with over $1.7 billion in M&A experience, the disconnect is difficult to ignore.

"After years of being undervalued, Pt and Pd [are] experiencing breakout price growth. However, lack of new supply [is] leading to a multi-year deficit of 500 to 700k oz."

The convergence of a resource expansion catalyst, a gold acquisition announcement and a PEA all within a 12-month window makes the current period arguably the most consequential in ValOre's corporate history. Investors considering PGE sector exposure would do well to evaluate ValOre not as a speculative junior, but as a strategically positioned developer with clean title, near-surface mineralisation, strong infrastructure and experienced leadership in one of the world's fastest-growing mining jurisdictions.

TL;DR

‍ValOre Metals owns a 2.2M oz platinum-palladium-gold inferred resource in Brazil, trades at C$26M versus peers at C$126M to C$550M, and faces multiple near-term catalysts including a gold M&A deal in Q1 2026 and a PEA in Q4 2026, against a backdrop of WPIC-confirmed platinum deficits forecast through 2029.

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