Generation Mining Agrees to a Term Sheet with the Ontario Government for Funding to Support Construction of the Marathon Processing Facility

Article content

Support from Ontario’s Critical Minerals Processing Fund advances the Company’s 100%-owned Marathon Copper-Palladium Project in Northwestern Ontario

Article content

TORONTO — Generation Mining Limited (TSX: GENM) (OTCQB: GENMF) (“Generation Mining” or the “Company”) is pleased to announce that it has agreed to a non-binding term sheet with the Government of Ontario (the “Ontario Facility”) to support construction of the mineral processing facility at its 100%-owned Marathon Copper-Palladium Project (“Marathon Project”) in Northwestern Ontario.

Article content

Article content

Article content

The terms of the Ontario Facility provide for a loan of up to $11 million through Ontario’s Critical Minerals Processing Fund (“CMPF”) which is administered by Invest Ontario. The loan amount is based on a percentage of eligible project expenditures incurred and on maintaining a minimum level of employment at the Marathon Project.

Article content

Article content

The construction costs for the processing facility at the Marathon Project, together with other eligible expenditures and infrastructure that qualify for the funding, total approximately $410 million. These costs form part of the Marathon Project’s total capital cost of $992 million, as set out in the technical report and feasibility study entitled “Marathon Copper-Palladium Project Feasibility Study Report Update, Marathon, Ontario, Canada” dated March 28, 2025.

Article content

The Ontario Facility is subject to final documentation which will include customary terms and conditions for a facility of this nature.

Article content

The CMPF loan complements the Company’s previously announced construction financing package for the Marathon Project (see press release dated September 14, 2026).

Article content

“Marathon is one of the most advanced undeveloped copper-palladium projects in North America, and this support helps us finance the construction of the Marathon Project,” said Jamie Levy, President and Chief Executive Officer of Generation Mining. “I want to thank the Government of Ontario for standing behind the Project. Minister Lecce, Minister Fedeli and their teams, together with Invest Ontario, have been true partners through this process. We look forward to working with the Province and with Canada to build the next critical minerals mine in this country.”

Article content

About the Marathon Project

Article content

The Marathon Project is a fully permitted, construction-ready open-pit copper-palladium mining and processing complex located near the Town of Marathon in Northwestern Ontario. The Project is backed by established offtake agreements and is expected to produce copper and palladium for a domestic and allied supply chain at a time when access to critical minerals has become a strategic priority.

Article content

At full operation, the Marathon Project is expected to support more than 100 jobs at the processing complex and approximately 350 direct mining jobs, with approximately 800 construction jobs during the build. Beyond direct employment, the Project is expected to generate contracting and supply opportunities for local and Indigenous-owned businesses across the region.

Article content

Article content

Generation Mining is committed to meaningful Indigenous participation at the Marathon Project, supported by established agreements with local Indigenous communities.

Article content

Copper is fundamental to electric vehicles, clean energy infrastructure and power transmission, while palladium is used in emissions-reduction technologies and a range of industrial applications. Both metals face rising demand from electrification, advanced manufacturing and defence end-markets.

Article content

Ontario’s Critical Minerals Processing Fund

Article content

The CMPF is a $500 million Government of Ontario program designed to accelerate critical minerals processing capacity across the province. Launched in December 2025, the program is managed by the Ministry of Economic Development, Job Creation and Trade, delivered by Invest Ontario, and supported by advisory expertise from the Ministry of Energy and Mines.

Article content

Commenting on the announcement, Khawar Nasim, Chief Executive Officer of Invest Ontario, said:

Article content

“Ontario’s competitive advantage in critical minerals goes beyond the resources in the ground. It comes from our ability to help companies move strategic projects forward. We’re proud to support Generation Mining’s investment in Marathon, which will create jobs, strengthen supply chains and reinforce Ontario’s role as a reliable source of the materials needed by global manufacturers. This is exactly the type of investment that helps build a stronger, more resilient economy for Ontario.”

Article content

Qualified Person

Article content

The scientific and technical content of this news release has been reviewed and approved by Daniel Janusauskas, P.Eng., Technical Services Manager of Generation PGM, and a Qualified Person as defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Article content

About Generation Mining Limited

Article content

Generation Mining’s focus is the development of the Marathon Project, a large undeveloped copper-palladium deposit in Northwestern Ontario. The Feasibility Study (the “Technical Report”) with an effective date of November 1, 2024, estimated a Net Present Value (using a 6% discount rate) of $1.07 billion, an Internal Rate of Return of 28%, and a 1.9-year payback based on the 3-year trailing average metal prices at the effective date of the Technical Report. Over the anticipated 13-year mine life, the Marathon Project is expected to produce approximately 2,161,000 ounces of palladium, 532 million lbs. of copper, 488,000 ounces of platinum, 160,000 ounces of gold and 3,051,000 ounces of silver in payable metals.