Summit Royalties Ltd. (TSX-V: SUM) (OTCQB: SUMMF) is pleased to announce that it has entered into an agreement to acquire a 1.0% net smelter return royalty on the Saddle North deposit owned by Newmont Corporation for consideration of C$5 million paid in shares of Summit. The acquisition is subject to conditions precedent which are customary for a transaction of this nature. Subject to satisfaction of conditions precedents, Summit expects to complete the acquisition in the near future.

“We are excited to announce this proposed acquisition of a large, high-quality royalty on Newmont’s Saddle North project,” commented Drew Clark, President and CEO of Summit. “The acquisition of the Saddle North royalty is highly accretive on a net asset value per share basis and provides exposure to a large gold-copper deposit under the stewardship of the world’s largest gold producer. Having royalty coverage on a porphyry target that boasts nearly 9 Moz of gold and 4.8 Blbs of copper supports our mandate of providing Summit shareholders with high-quality precious metals exposure, and we are excited to have Newmont as the operator of the underlying asset as we continue to build our company on an accretive per-share basis.”

Transaction Key Terms

• Royalty Interest: 1% NSR royalty on the Saddle North deposit
• Owner/Operator: Saddle North is owned by Newmont Corporation
• Consideration: C$5 million, to be paid in 2,832 ,861 Common Shares at a deemed price of $1.765 per Common Share, being the 20-day weighted average price of the Common Shares as of the date of the royalty purchase agreement for the NSR
• Buyback Option: Newmont may repurchase 50% of the NSR royalty for C$750,000 at any time during the five-year period commencing on the date Saddle North is put into commercial production
• Mineral Resource: The Saddle North Technical Report (as defined herein) reported indicated resources containing approximately 3.47 Moz Au and 1.81 Blbs Cu and inferred resources containing approximately 5.46 Moz Au and 2.98 Blbs Cu⁽¹⁾

Saddle North is a gold-rich copper porphyry deposit located in the Golden Triangle in northwest British Columbia, Canada. Newmont acquired Saddle Nor th in 2021, prior to which Saddle North was owned by GT Gold Corp., which published a maiden mineral resource estimate for the project in 2020 (see Saddle North Technical Report (as defined herein)). The maiden mineral resource estimate in the Saddle North Technical Report includes 1.81 Blbs of copper and 3.47 Moz of gold contained in indicated mineral resource category, and 2.98 Blbs of copper and 5.46 Moz of gold contained in the inferred mineral resource category. Mineralization at Saddle North remains open at depth and to the northwest and southeast, while additional upside potential exists from near-mine exploration success.⁽¹⁾

Saddle North is located in a top-tier mining jurisdiction in the Golden Triangle, with strong access to existing infrastructure, power, and a capable workforce.⁽¹⁾ Saddle North is situated near the Red Chris mine, which is currently operated by Newmont.

Saddle North Resources⁽¹⁾

Notes:

About Summit Royalties Ltd.

Summit Royalties Ltd. is a precious metals royalty and streaming company. Its current portfolio is anchored by cash-flowing production with additional royalties on advanced development- and exploration-stage properties. Summit’s mandate is to build its portfolio on a disciplined, per-share accretive basis through royalty and streaming acquisitions that deliver high-quality precious metals exposure and long-term cash flow growth. The Corporation has no debt and has sufficient cash on hand for future acquisitions.