Buchans Resources Limited (“Buchans” or the “Company”), a Canadian mineral exploration and development company, reports its financial results for the year ended December 31, 2024.

This news release should be read in conjunction with the Company’s audited consolidated financial statements and the associated management’s discussion and analysis (MD&A) for the year ended December 31, 2024 which are available on the Company’s website at www.BuchansResources.com or under the Company’s profile at www.sedarplus.ca. 

FINANCIAL RESULTS 

Buchans recorded no revenue in the years ended December 31, 2024 or December 31, 2023.

On June 28, 2024, Buchans distributed to its shareholders, as a return of capital, 113,243,613 common shares of Canterra Minerals Corporation (TSXV: CTM) (“Canterra Shares”) at a ratio of 1.75 Canterra Shares for each common share of Buchans held as of March 28, 2024. The effective price of the Canterra Shares distributed was $0.055, based on the closing price of the Canterra Shares on June 27, 2024, giving a total value of the distribution of $6,228,399, the equivalent of $0.096 per Buchans share.

For the year ended December 31, 2024, the Company recorded a loss of $4,768,080. The loss included a reduction in marketable securities in the amount of $4,444,563, consisting of a fair value adjustment of marketable securities of $2,079,690 and a loss on the distribution of marketable securities to shareholders in the amount of $2,264,872.

For the year ended December 31, 2023, the Company recorded income of $5,610,921. This income included a gain on disposal of exploration and evaluation assets of $1,612,194, a reversal of impairment on exploration and evaluation assets of $64,223, a gain on reclassification of investment in associate to marketable securities of $2,795,000, a gain in fair value of marketable securities of $1,854,972, and a loss on disposal of marketable securities of $100,000.

For the three months ended December 31, 2024, the Company recorded income of $2,029,674. The income included a gain in fair value of marketable securities of $2,194,553 and a loss on disposal of marketable securities of $100,000. During the same period in 2023, the Company recorded income of $4,134,176, including a gain on reclassification of investment in associate to marketable securities of $2,795,000, a gain in fair value of marketable securities of $2,467,624, and a loss on disposal of marketable securities of $100,000.

During the year ended December 31, 2024, Buchans invested $75,551 (net of a government refund of $6,100) (2023 – $533,343) on exploration expenditures on its mineral properties.

At April 30, 2025, Buchans held 35,501,054 common shares of Canterra, with a total estimated value of $2,485,074 determined based on the quoted market price of Canterra shares as at that date of $0.07 per share.

EXPANDED LAND POSITION AT LABRADOR NI-CU-CO EXPLORATION PROPERTY AT SOUTH VOISEY’S BAY

Buchans is pleased to announce that it has entered into an agreement with SSAF Inc. and its associates to purchase additional claims at South Voisey’s Bay. The agreement grants the Company an option to purchase 100% interest in 25 additional adjacent claims (additional 6.25 km²) (the “Pants Lake Claims”), adjacent to Buchans’ South Voisey’s Bay Ni-Cu-Co property in Labrador.

To acquire this interest, Buchans agreed to (i) pay the Vendors an aggregate total of $40,000, (ii) issue a total of 1,000,000 Buchans shares, both over four years, and (iii) grant the Vendors a two percent (2%) net smelter returns royalty (“NSR Royalty”) on the vended claims. Buchans may purchase one half (1%) of the NSR Royalty at any time for a cash payment of $1,500,000 and retains a right of first refusal on the transfer of the NSR Royalty. Buchans has made the first payment of $10,000 and issued 250,000 Buchans shares to the Vendors.

Buchans’ South Voisey’s Bay Property covers portions of the Pants Lake Intrusive Complex that host mineralized troctolitic gabbros comparable in age and composition to the Voisey’s Bay Mine located 80 km north of the property. Acquiring the adjacent Pants Lake Claims expands Buchans’ existing property that covers multiple historical drilled mineralized intercepts, including 1.1 m (core length) assaying 11.9% Ni, 9.6% Cu, and 0.43% Co and 0.65 m (core length) assaying 1.93% Ni, 1.07% Cu and 0.26% Co returned by previous property holders in 1997¹. The newly acquired claims provide additional coverage of geophysical targets identified by past explorers, including an untested, deep AMT conductive anomaly identified in 2003².

John F. Kearney, Chairman & CEO of Buchans commented:

“We are pleased to have expanded South Voisey’s Bay, one of Buchans’ two Voisey’s Bay-style Ni-Cu-Co projects in Labrador. Voisey’s Bay is one of the world’s premier Ni-Cu-Co mines where Vale recently completed a US $2.94 billion underground expansion in 2024 to extend the mine’s life to 2034.  Buchans is encouraged by the vast critical metal endowment of the Voisey’s Bay mine where Vale continues to enjoy exploration success at depth.”

Angie Stockley, President of SSAF Inc., commented:

“This transaction reflects a shared belief in the geological prospectivity of the Pants Lake Intrusive Complex on the South Voisey’s Bay property, and the enduring value of disciplined, high-quality exploration. As a family-led vendor group and through SSAF Inc., we’re proud to contribute assets that support the advancement of critical mineral development in Labrador. We look forward to Buchans Resources Limited applying their technical expertise to unlock the full mineralization potential of the South Voisey’s Bay property.”

SSAF Inc. is an established prospecting group that controls over 50 properties in the very desirable jurisdiction of Newfoundland and Labrador. SSAF takes pride in conducting their operations with expertise, innovation, and precision; all of which contribute to unlocking the full potential of Newfoundland and Labrador’s mineral resources.

Qualified Person:

Paul Moore, M.Sc., P.Geo., (NL), Vice President Exploration of Buchans Resources Limited and a Qualified Person as defined by National Instrument 43-101, has approved the scientific and technical disclosure in this news release.  Historical drilling assays for the Property¹, including drilled intercept for holes SVB-97-75 (1.1 m core length assaying 11.9% Ni, 9.6% Cu, & 0.43% Co) and SVB-97-67 (0.65 m core length assaying 1.93% Ni, 1.07% Cu & 0.26% Co) returned by drilling by Teck Exploration and Donner Minerals in 1997. Historical geophysical surveys² referred to herein were completed by Falconbridge Limited in 2003.  Details for this historical information available from reports filed with the Government of Newfoundland and Labrador (geofiles) and have not been verified by the QP.  Drilling information for Voisey’s Bay³ from Vale XXII Analyst & Investor Tour Presentation, September 7th, 2022.

Figure 1.  Geology & historical drilling, Buchans Resources’ South Voisey’s Bay Properties, Labrador.  Red outline – is expanded property.  Highlighted drill intercept from historical drillhole SVB-97-75¹. Historical drill holes are shown as red dots.

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