#FCM First Class Metals PLC – Funding secured to support Sunbeam exploration

First Class Metals PLC (LSE: FCM) (“FCM” or the “Company”), the UK listed company focused on the discovery of economic metal deposits across its exploration properties in Ontario, Canada, is pleased to announce that it has entered into an unsecured loan facility (the “Facility”) of up to £1 million with, an international investment firm.

The Facility provides additional working capital flexibility to maintain the required exploration momentum at Sunbeam following the Company’s exceptional recent results. It is intended to bridge the timing of expected receipts under the Kerrs Gold agreement with nGRND Inc. (“nGRND”).

Highlights

Maintaining exploration momentum at Sunbeam: The Facility will support planned exploration following the Company’s exceptional recent results, with further work focused on priority targets.
Bridging the timing of expected nGRND receipts: The Facility provides interim funding ahead of anticipated payments under the Kerrs Gold agreement with nGRND, without undertaking a traditional dilutive equity placing to fund the programmes.
Cash repayment intended from nGRND receipts: The Board remains highly confident that the anticipated payments will be received and intends to apply those funds towards repayment of the Facility in cash.

James Knowles Executive Chair commented:

“Sunbeam’s ongoing and exceptional recent results give us a compelling reason to keep the positive exploration momentum going. We want to build on that momentum, advance our numerous priority targets and test the exciting opportunity emerging across the property. This Facility provides the financial flexibility to move forward with confidence, without undertaking a traditional equity placing to fund the intended programme”.

“We have strong confidence in the anticipated nGRND receipts and our ability to repay this Facility in cash from those funds. Our clear intention is to use those receipts to discharge the borrowing. This funding bridges the timing of those payments, giving us the flexibility to put capital to work at Sunbeam now and pursue the next phase of exploration”.

Maintaining Sunbeam exploration momentum

The Company’s exploration updates of 5, 7 and 26 October 2026 highlighted extremely encouraging progress at Sunbeam, including a new visible gold occurrence approximately 1.1 kilometres northeast of the historic Roy shafts and further work to advance Pettigrew towards drill targeting. The Board believes these results warrant consistent momentum in follow-up exploration. The Facility is intended to support multiple programmes while providing a cash flow buffer ahead of nGRND receipts.

The Company’s intended repayment source is cash received under the existing Kerrs Gold agreement with nGRND announced on 30 June 2026. Those receipts remain subject to the terms of that agreement and their timing.

Principal terms of the facility

Amount and drawdown: up to £1 million in two £500,000 tranches. The first tranche is fundable on closing, providing £495,000 after deduction of a £5,000 commitment fee. The second tranche is fundable within three business days of a qualifying request.

Term and interest: maturity is six months from the date of the instrument. Interest accrues at 12.5% per annum on principal actually funded and outstanding, including the full £500,000 first-tranche principal, and is payable at maturity or earlier repayment.

Security and use: the loan is unsecured. Proceeds may be used for operational activity, general working capital and corporate purposes.

Associated equity: the transaction provides for the issue to the lender a fee of £75,000, which will be settled by the issue of 2,707,581 ordinary shares under a separate subscription agreement and the issue of 6,363,636, 5.5p warrants under a separate warrant instrument which is to be granted. Such warrants may be exercised within a period of 3 years from the date of grant.

Issue of Equity

The lender has elected to receive its arrangement fees in ordinary shares rather than cash, reflecting its strong confidence in the potential of the Sunbeam project. Accordingly, the Company has agreed to issue 2,707,581 new ordinary shares (the “Fee Shares”) at an issue price of 2.77 pence per share, in settlement of fees totalling £75,000.

The Fee Shares will rank pari passu in all respects with the Company’s existing ordinary shares.

Application will be made for the Fee Shares to be admitted to trading on the Main Market of the London Stock Exchange (“Admission”). Admission is expected to take place at 8.00 a.m. on or around 16 November 2026

In accordance with the provisions of the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority, the Company confirms that, following the issue of the Fee Shares, its issued ordinary share capital will comprise 427,778,930 ordinary shares. All ordinary shares have equal voting rights and none are held in treasury. The total number of voting rights in the Company will therefore be 427,778,930.

The above figure may be used by shareholders as the denominator for the calculations to determine whether they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure Guidance and Transparency Rules.

For Further Information:

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