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First Mining Receives Final US$5 Million Payment from First Majestic in Connection with Springpole Gold Project Silver Stream

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First Mining Gold Corp (TSX: FF) (OTCQX: FFMGF) has received the final US$5 million payment from First Majestic Silver Corp. regarding the silver stream agreement over the Springpole Gold Project in northwestern Ontario.

The companies amended their original Silver Purchase Agreement on March 13, 2025, modifying the final Tranche 3 Payment terms to US$5 million in cash, due by March 31, 2025. In exchange, First Mining revised the terms of 32,050,228 warrants previously issued to First Majestic, reducing the exercise price from $0.374 to $0.20 and extending the expiry date from July 2, 2025, to March 31, 2028.

The amendment includes an acceleration clause allowing First Mining to expedite the warrants' expiry if the company's TSX share price remains at or above $0.30 for 45 consecutive trading days.

First Mining Gold Corp (TSX: FF) (OTCQX: FFMGF) ha ricevuto il pagamento finale di 5 milioni di dollari USA da First Majestic Silver Corp. riguardo all'accordo di silver stream sul progetto Springpole Gold nel nord-ovest dell'Ontario.

Le aziende hanno modificato il loro accordo originale per l'acquisto di argento il 13 marzo 2025, modificando i termini del pagamento finale della Tranche 3 a 5 milioni di dollari in contanti, da versare entro il 31 marzo 2025. In cambio, First Mining ha rivisto i termini di 32.050.228 warrant precedentemente emessi a First Majestic, riducendo il prezzo di esercizio da 0,374 dollari a 0,20 dollari e prorogando la data di scadenza dal 2 luglio 2025 al 31 marzo 2028.

L'emendamento include una clausola di accelerazione che consente a First Mining di anticipare la scadenza dei warrant se il prezzo delle azioni della società TSX rimane pari o superiore a 0,30 dollari per 45 giorni di negoziazione consecutivi.

First Mining Gold Corp (TSX: FF) (OTCQX: FFMGF) ha recibido el pago final de 5 millones de dólares estadounidenses de First Majestic Silver Corp. en relación con el acuerdo de silver stream sobre el proyecto Springpole Gold en el noroeste de Ontario.

Las empresas enmendaron su Acuerdo de Compra de Plata original el 13 de marzo de 2025, modificando los términos del pago final de la Tranche 3 a 5 millones de dólares en efectivo, que debe pagarse antes del 31 de marzo de 2025. A cambio, First Mining revisó los términos de 32,050,228 warrants emitidos anteriormente a First Majestic, reduciendo el precio de ejercicio de 0.374 a 0.20 dólares y extendiendo la fecha de vencimiento del 2 de julio de 2025 al 31 de marzo de 2028.

La enmienda incluye una cláusula de aceleración que permite a First Mining acelerar la expiración de los warrants si el precio de las acciones de la compañía en TSX se mantiene en o por encima de 0.30 dólares durante 45 días de negociación consecutivos.

퍼스트 마이닝 골드 Corp (TSX: FF) (OTCQX: FFMGF)는 온타리오 북서부의 스프링폴 골드 프로젝트에 대한 실버 스트림 계약과 관련하여 퍼스트 마제스틱 실버 Corp로부터 500만 달러의 최종 지급금을 받았습니다.

두 회사는 2025년 3월 13일 원래의 실버 구매 계약을 수정하여 최종 트랜치 3 지급 조건을 500만 달러 현금으로 수정하였으며, 이는 2025년 3월 31일까지 지급되어야 합니다. 이에 따라 퍼스트 마이닝은 퍼스트 마제스틱에 이전에 발행된 32,050,228개의 워런트 조건을 수정하여 행사가를 0.374달러에서 0.20달러로 낮추고 만료일을 2025년 7월 2일에서 2028년 3월 31일로 연장했습니다.

이 수정안에는 퍼스트 마이닝이 회사의 TSX 주가가 45일 연속 거래일 동안 0.30달러 이상 유지될 경우 워런트의 만료를 앞당길 수 있는 가속 조항이 포함되어 있습니다.

First Mining Gold Corp (TSX: FF) (OTCQX: FFMGF) a reçu le paiement final de 5 millions de dollars américains de First Majestic Silver Corp. concernant l'accord de silver stream sur le projet Springpole Gold dans le nord-ouest de l'Ontario.

Les entreprises ont modifié leur accord d'achat d'argent original le 13 mars 2025, modifiant les conditions du paiement final de la Tranche 3 à 5 millions de dollars en espèces, dus d'ici le 31 mars 2025. En échange, First Mining a révisé les conditions de 32 050 228 bons de souscription précédemment émis à First Majestic, réduisant le prix d'exercice de 0,374 $ à 0,20 $ et prolongeant la date d'expiration du 2 juillet 2025 au 31 mars 2028.

La modification comprend une clause d'accélération permettant à First Mining d'accélérer l'expiration des bons de souscription si le prix de l'action de la société à la TSX reste à 0,30 $ ou plus pendant 45 jours de négociation consécutifs.

First Mining Gold Corp (TSX: FF) (OTCQX: FFMGF) hat die endgültige Zahlung von 5 Millionen US-Dollar von First Majestic Silver Corp. im Zusammenhang mit der Silberstream-Vereinbarung über das Springpole Gold-Projekt im Nordwesten Ontarios erhalten.

Die Unternehmen haben am 13. März 2025 ihren ursprünglichen Silberkaufvertrag geändert und die Bedingungen der endgültigen Tranche-3-Zahlung auf 5 Millionen US-Dollar in bar geändert, die bis zum 31. März 2025 fällig sind. Im Gegenzug hat First Mining die Bedingungen von 32.050.228 Warrants, die zuvor an First Majestic ausgegeben wurden, überarbeitet, den Ausübungspreis von 0,374 US-Dollar auf 0,20 US-Dollar gesenkt und das Ablaufdatum vom 2. Juli 2025 auf den 31. März 2028 verlängert.

Die Änderung enthält eine Beschleunigungsklausel, die es First Mining ermöglicht, das Ablaufdatum der Warrants zu beschleunigen, wenn der Aktienkurs des Unternehmens an der TSX 45 aufeinanderfolgende Handelstage lang bei oder über 0,30 US-Dollar bleibt.

Positive
  • Receipt of final US$5 million payment from silver stream agreement
  • Extended warrant expiry provides longer financing flexibility until 2028
Negative
  • Warrant exercise price reduced from $0.374 to $0.20, potentially diluting shareholder value
  • Additional share dilution possible from 32,050,228 warrants if exercised

VANCOUVER, BC, March 28, 2025 /PRNewswire/ - First Mining Gold Corp. ("First Mining" or the "Company") (TSX: FF) (OTCQX: FFMGF) (FRANKFURT: FMG) announces that it has received the final payment of US$5 million from First Majestic Silver Corp. ("First Majestic") in connection with the silver stream that First Majestic has over First Mining's Springpole Gold Project ("Springpole Project") located in northwestern Ontario.  On June 10, 2020, First Mining, Gold Canyon Resources Inc. (First Mining's wholly-owned subsidiary that owns the Springpole Project) and First Majestic entered into a silver purchase agreement (the "Silver Purchase Agreement") pursuant to which First Majestic was granted a stream over silver produced from the Springpole Project in exchange for certain cash and share payments.  The parties recently entered into an amending agreement to the Silver Purchase Agreement on March 13, 2025 (the "Amending Agreement") to amend the terms of the final payment due from First Majestic under the Silver Purchase Agreement (the "Tranche 3 Payment"), such that the Tranche 3 Payment would be for US$5 million in cash, and payable on or before March 31, 2025.

As consideration for amending the terms of the Tranche 3 Payment, First Mining has amended the terms of the common share purchase warrants (the "Warrants") that were issued to First Majestic on July 2, 2020 under the terms of the Silver Purchase Agreement.  The 32,050,228 Warrants that were issued to First Majestic had an exercise price of $0.374 per Warrant and were set to expire on July 2, 2025.  Pursuant to the Amending Agreement, the exercise price of the Warrants has been revised to $0.20, and the expiry date of the Warrants has been extended to March 31, 2028.  In addition, if the closing price of the Company's common shares on the Toronto Stock Exchange (the "TSX") equals or exceeds $0.30 for 45 consecutive trading days, First Mining may accelerate the expiry date of the Warrants to the date which is 30 days following the dissemination of a news release announcing the acceleration.  The amended terms of the Warrants were approved by the TSX, and all other terms and conditions of the Warrants remain unchanged.  None of the Warrants being extended are held by insiders of the Company.

About First Mining Gold Corp. 

First Mining is a gold developer advancing two of the largest gold projects in Canada, the Springpole Gold Project in northwestern Ontario, where we have commenced a Feasibility Study and permitting activities are on-going with a final Environmental Impact Statement / Environmental Assessment for the project submitted in November 2024, and the Duparquet Gold Project in Quebec, a PEA-stage development project located on the Destor-Porcupine Fault Zone in the prolific Abitibi region. First Mining also owns the Cameron Gold Project in Ontario and a portfolio of gold project interests including the Pickle Crow Gold Project (being advanced in partnership with Firefly Metals Ltd.) and the Hope Brook Gold Project (being advanced in partnership with Big Ridge Gold Corp.).

First Mining was established in 2015 by Mr. Keith Neumeyer, founding President and CEO of First Majestic Silver Corp.

ON BEHALF OF FIRST MINING GOLD CORP.
Daniel W. Wilton
Chief Executive Officer and Director

Cautionary Note Regarding Forward-Looking Statements

This news release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable Canadian and United States securities legislation including the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of this news release. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "plans", "projects", "intends", "estimates", "envisages", "potential", "possible", "strategy", "goals", "opportunities", "objectives", or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions.

Forward-looking statements in this news release, including, without limitation, statements proposed extension of the expiry dates of the Warrants, relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events.  All forward-looking statements are based on First Mining's or its consultants' current beliefs as well as various assumptions made by them and information currently available to them. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Such factors include, without limitation the Company's business, operations and financial condition potentially being materially adversely affected by the outbreak of epidemics, pandemics or other health crises, and by reactions by government and private actors to such outbreaks; risks to employee health and safety as a result of the outbreak of epidemics, pandemics or other health crises, that may result in a slowdown or temporary suspension of operations at some or all of the Company's mineral properties as well as its head office; fluctuations in the spot and forward price of gold, silver, base metals or certain other commodities; fluctuations in the currency markets (such as the Canadian dollar versus the U.S. dollar); changes in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding); the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities, indigenous populations and other stakeholders; availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development; title to properties.; and the additional risks described in the Company's Annual Information Form for the year ended December 31, 2023 filed with the Canadian securities regulatory authorities under the Company's SEDAR+ profile at www.sedarplus.ca, and in the Company's Annual Report on Form 40-F filed with the SEC on EDGAR.

First Mining cautions that the foregoing list of factors that may affect future results is not exhaustive. When relying on our forward-looking statements to make decisions with respect to First Mining, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. First Mining does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by the Company or on our behalf, except as required by law.

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/first-mining-receives-final-us5-million-payment-from-first-majestic-in-connection-with-springpole-gold-project-silver-stream-302413546.html

SOURCE First Mining Gold Corp.

FAQ

What is the value of First Majestic's final payment to First Mining Gold Corp (FFMGF) for the Springpole silver stream?

First Majestic made a final payment of US$5 million to First Mining Gold Corp for the Springpole Project silver stream agreement.

How did First Mining Gold (FFMGF) modify the warrant terms in March 2025?

First Mining reduced the warrant exercise price from $0.374 to $0.20 and extended the expiry date from July 2025 to March 2028.

What is the acceleration clause in FFMGF's amended warrant agreement?

If First Mining's share price stays at or above $0.30 for 45 consecutive trading days, the company can accelerate the warrants' expiry to 30 days after announcing.

How many warrants did First Majestic receive from First Mining Gold (FFMGF)?

First Majestic received 32,050,228 warrants from First Mining Gold Corp.
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