Meryllion Resources Announces Related Party Loan

Rhea-AI Summary

Meryllion Resources Corporation (CSE: MYR) has secured a CAD$195,000 loan from company director David Steinepreis. The loan comes with a 12-month term and carries a 6% annual interest rate, payable quarterly. The unsecured loan can be prepaid without penalty, and the proceeds will be used for working capital and settling accrued liabilities. As a related party transaction under MI 61-101, the company has utilized exemptions from valuation and minority shareholder approval requirements, citing its market listing status and the transaction value being below 25% of market capitalization.

Positive

• Secured immediate working capital through CAD$195,000 loan
• Favorable 6% interest rate in current market conditions
• Flexible prepayment terms with no penalties
• Director's willingness to provide funding shows confidence in company

Negative

• Need for related party financing could indicate limited access to traditional funding sources
• Additional interest expenses will impact cash flow
• Existence of accrued liabilities requiring immediate attention

Vancouver, British Columbia--(Newsfile Corp. - June 10, 2025) - Meryllion Resources Corporation (CSE: MYR) ("Meryllion" or the "Company") wishes to announce that it has entered into a loan agreement providing for a loan in the aggregate principal amount of CAD$195,000 (the "Loan") from Mr. David Steinepreis, a director of the Company. The Loan (i) is unsecured; (ii) has a term of 12 months; and (iii) bears interest at the rate of 6% per annum (said interest to be payable on a quarterly basis). The Company may prepay the Loan at any time, or from time to time, without penalty. The proceeds of the Loan will be used to pay certain accrued liabilities and for working capital purposes.

The Loan is a related party transaction pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). With respect to the Loan, the Company has relied on the exemption from the valuation requirement pursuant to Section 5.5(b) (issuer not listed on specified markets) of MI 61-101 and from the minority shareholder approval requirement prescribed by Section 5.7(1)(a) (fair market value not more than 25% of market capitalization) of MI 61-101.

For further information, please contact:

Mr. Richard Revelins
Director and Chief Executive Officer
Meryllion Resources Corporation

+1-310-405-4475
rrevelins@peregrinecorporate.com

Forward-Looking Statements

Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such.

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/255059

FAQ

What are the key terms of Meryllion Resources' (MYRLF) new loan agreement?

The loan is for CAD$195,000, has a 12-month term, bears 6% annual interest payable quarterly, is unsecured, and can be prepaid without penalty.

Who provided the loan to Meryllion Resources (MYRLF)?

The loan was provided by Mr. David Steinepreis, who is a director of Meryllion Resources Corporation.

How will Meryllion Resources (MYRLF) use the loan proceeds?

The loan proceeds will be used to pay certain accrued liabilities and for working capital purposes.

Why didn't Meryllion Resources (MYRLF) require minority shareholder approval for this loan?

The company was exempt from minority shareholder approval as the fair market value of the loan was not more than 25% of market capitalization, per MI 61-101.

What is the interest payment structure for MYRLF's new loan?

The loan bears interest at 6% per annum, with interest payments required to be made on a quarterly basis.