INTEGRA ANNOUNCES RECEIPT OF FINAL CASH INSTALLMENT OF US$4.875 FROM WHEATON PRECIOUS METALS IN CONNECTION WITH DELAMAR ROYALTY SALE

Rhea-AI Summary

Integra Resources has received the final cash installment of $4.875 million from Wheaton Precious Metals in connection with the DeLamar royalty sale. This marks the completion of a $9.75 million transaction, where Wheaton acquired a 1.5% net smelter returns royalty on metal production from DeLamar and Florida Mountain. The funds will be used for the continued development of the DeLamar Project, including supporting a Feasibility Study and advancing the National Environmental Policy Act permitting process in the U.S. Integra’s CEO, Jason Kosec, indicated that this final payment will aid the project's progression toward a construction decision.

Positive

• Final installment of $4.875 million received from Wheaton Precious Metals, increasing cash flow.
• Total transaction amounting to $9.75 million supports financial stability and ongoing project development.
• Funds allocated for Feasibility Study and National Environmental Policy Act permitting process, advancing project development.

Negative

• None.

Insights

Financial Analyst

The final cash installment of US$4.875 million received by Integra Resources is a significant development for the company. This infusion of capital will be directly used for the continued development of the DeLamar Project. For retail investors, this is a positive signal indicating that the company has successfully met the conditions required to complete this transaction, reflecting well on its operational capabilities and project viability.

Importantly, this payment from Wheaton Precious Metals can be seen as an endorsement of the DeLamar Project’s potential. A player of Wheaton's stature affirming the project’s value via a US$9.75 million investment underlines confidence in Integra’s assets and management. This could enhance investor sentiment and potentially lead to an upward movement in stock prices in the short term.

However, it's important to consider that the funds will be directed towards development activities such as the Feasibility Study and permitting processes, which are lengthy and complex. While this is a step towards production and eventual revenue generation, the actual financial returns may not materialize in the immediate future. Investors should balance this optimism with a recognition of the inherent risks and timeline involved in mining project developments.

From a broader perspective, this transaction helps in reducing the project’s financing risk, making it easier for Integra Resources to secure additional funding if necessary, as it shows a history of successful transactions and partnerships.

Market Research Analyst

From a market perspective, the receipt of this payment represents improved liquidity for Integra Resources, which is critical in the capital-intensive mining industry. The US$4.875 million received will enhance the company’s ability to fund its ongoing operations without immediately resorting to debt or equity markets, potentially preventing dilution of existing shares.

The allocation of these funds towards the Feasibility Study and the National Environmental Policy Act (NEPA) permitting process is also a strategic move. NEPA compliance is a important step in advancing mining projects in the U.S. and successful navigation of this process can significantly de-risk the project, improving its attractiveness to investors. This could lead to an increase in share value as the project moves closer to production readiness.

Additionally, the partnership with Wheaton Precious Metals could open doors for future collaborations and investments, which can be instrumental in furthering Integra’s development goals. This can potentially position Integra Resources as a more competitive player in the gold and silver mining sector.

Investors should also note that the completion of this transaction might indicate the company’s strong project management capabilities, which is a positive sign for future project milestones and timelines.

TSXV: ITR; NYSE American: ITRG
www.integraresources.com

VANCOUVER, BC, July 8, 2024 /PRNewswire/ - Integra Resources Corp. ("Integra" or the "Company") (TSXV: ITR) (NYSE American: ITRG) is pleased to announce that following the satisfaction of certain closing conditions, it has received the final cash installment of US$4.875 million in connection with the previously announced royalty transaction between its wholly-owned subsidiary, DeLamar Mining Company, and Wheaton Precious Metals (Cayman) Co., a wholly-owned subsidiary of Wheaton Precious Metals Corp. ("Wheaton").  Wheaton acquired a 1.5% net smelter returns royalty on metal production from all claims of the DeLamar and Florida Mountain Deposit (together "DeLamar" or the "Project") for an aggregate cash purchase price of US$9.75 million, paid in two installments (the "Transaction"). Integra received the first installment of US$4.875 million on March 7, 2024.

The net proceeds from the Transaction will be used for the continued development of DeLamar, including work to support a Feasibility Study and the advancement of the National Environmental Policy Act permitting process in the United States ("U.S.").

Integra's President, CEO & Director, Jason Kosec, commented: "We are pleased to receive the second and final payment of US$4.875 million from our partners at Wheaton, which will be used directly for the advancement of DeLamar toward a construction decision. The completion of this Transaction represents a significant endorsement for both the quality of the DeLamar Project and the team at Integra. We would like to thank Wheaton for the continued support in helping us achieve our ultimate goal of becoming a leading U.S. focused gold and silver producer."

Qualified Person

The scientific and technical information contained in this news release has been reviewed and approved by Raphael Dutaut, Ph.D (P.Geo), Integra's Vice President, Exploration. Mr. Dutaut is a "qualified person" as defined in National Instrument 43- 101 – Standards of Disclosure for Mineral Projects ("NI 43-101").

DeLamar Project Overview

The past producing DeLamar Project, which includes the adjacent DeLamar and Florida Mountain gold and silver deposits, is located in Owyhee County in southwest Idaho. Since acquiring the Project in 2017, the Company has demonstrated significant resource growth and conversion while demonstrating robust economic studies in its maiden Preliminary Economic Assessment and Preliminary Feasibility Study. An independent technical report for the DeLamar Project has been prepared in accordance with the requirements of NI 43-101 and is available under the Company's profile at www.sedarplus.ca

About Integra Resources

Integra is one of the largest precious metals exploration and development companies in the Great Basin of the Western U.S. Integra is currently focused on advancing its two flagship oxide heap leach projects: the past producing DeLamar Project located in southwestern Idaho and the Nevada North Project, comprised of the Wildcat and Mountain View deposits, located in northwestern Nevada. The Company also holds a portfolio of highly prospective early-stage exploration projects in Idaho, Nevada, and Arizona. Integra's long-term vision is to become a leading U.S. focused mid-tier gold and silver producer.

ON BEHALF OF THE BOARD OF DIRECTORS

Jason Kosec
President, CEO and Director

Forward Looking and Other Cautionary Statements

Certain information set forth in this news release contains "forward‐looking statements" and "forward‐looking information" within the meaning of applicable Canadian securities legislation and applicable United States securities laws (referred to herein as forward‐looking statements). Except for statements of historical fact, certain information contained herein constitutes forward‐looking statements which includes, but is not limited to, statements with respect to: the use of proceeds from the Transaction; advancement of the Project towards a construction decision; the future financial or operating performance of the Company and the Company's mineral properties and project portfolio; the results from work performed to date; the estimation of mineral resources and reserves; the realization of mineral resource and reserve estimates; the development, operational and economic results of technical reports on mineral properties referenced herein; magnitude or quality of mineral deposits; the anticipated advancement of the Company' mineral properties and project portfolios; exploration expenditures, costs and timing of the development of new deposits; underground exploration potential; costs and timing of future exploration; the completion and timing of future development studies; estimates of metallurgical recovery rates; exploration prospects of mineral properties; requirements for additional capital; the future price of metals; government regulation of mining operations; environmental risks; the timing and possible outcome of pending regulatory matters; the realization of the expected economics of mineral properties; future growth potential of mineral properties; and future development plans.

Forward-looking statements are often identified by the use of words such as "may", "will", "could", "would", "anticipate", "believe", "expect", "intend", "potential", "estimate", "budget", "scheduled", "plans", "planned", "forecasts", "goals" and similar expressions. Forward-looking statements are based on a number of factors and assumptions made by management and considered reasonable at the time such information is provided. Assumptions and factors include: the Company's ability to complete its planned exploration programs; the absence of adverse conditions at mineral properties; no unforeseen operational delays; no material delays in obtaining necessary permits; the price of gold remaining at levels that render mineral properties economic; the Company's ability to continue raising necessary capital to finance operations; and the ability to realize on the mineral resource and reserve estimates. Forward‐looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or result expressed or implied by such forward‐looking statements. These risks and uncertainties include, but are not limited to: integration risks; general business, economic and competitive uncertainties; the actual results of current and future exploration activities; conclusions of economic evaluations; meeting various expected cost estimates; benefits of certain technology usage; changes in project parameters and/or economic assessments as plans continue to be refined; future prices of metals; possible variations of mineral grade or recovery rates; the risk that actual costs may exceed estimated costs; geological, mining and exploration technical problems; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); title to properties; and management's ability to anticipate and manage the foregoing factors and risks. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in the forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Readers are advised to study and consider risk factors disclosed in Integra's annual report on Form 20-F dated March 28, 2024 for the fiscal year ended December 31, 2023.

There can be no assurance that forward‐looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward‐looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The forward-looking statements contained herein are presented for the purposes of assisting investors in understanding the Company's plans, objectives and goals, and may not be appropriate for other purposes. Forward-looking statements are not guarantees of future performance and the reader is cautioned not to place undue reliance on forward‐looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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SOURCE Integra Resources Corp.

FAQ

What was the final cash installment received by Integra Resources from Wheaton Precious Metals?

Integra Resources received a final cash installment of $4.875 million from Wheaton Precious Metals.

What is the total amount of the royalty transaction between Integra Resources and Wheaton Precious Metals?

The total amount of the royalty transaction is $9.75 million.

How will Integra Resources use the proceeds from the royalty transaction with Wheaton Precious Metals?

The proceeds will be used for the continued development of the DeLamar Project, including a Feasibility Study and advancing the National Environmental Policy Act permitting process.

Which project is related to the royalty transaction between Integra Resources and Wheaton Precious Metals?

The royalty transaction is related to the DeLamar Project, including the DeLamar and Florida Mountain gold and silver deposits.

What percentage of net smelter returns royalty did Wheaton Precious Metals acquire in the DeLamar Project?

Wheaton Precious Metals acquired a 1.5% net smelter returns royalty in the DeLamar Project.

When did Integra Resources receive the first installment of the royalty transaction from Wheaton Precious Metals?

Integra Resources received the first installment of $4.875 million on March 7, 2024.