Adyton Resources Receives Non-Binding Letter of Intent  for the Purchase of Gold Concentrate from Its Wapolu Project

Adyton Resources Receives Non-Binding Letter of Intent for the Purchase of Gold Concentrate from Its Wapolu Project

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES.

Adyton Resources Corporation (TSXV: ADY,OTC:ADYRF) ("Adyton" or the "Company") is pleased to announce that it has received a Non-Binding LOI from Korean group Hyosung TNC Corporation on December 8, 2025 for the purchase of gold concentrate from its Wapolu Gold Project in Papua New Guinea.

HIGHLIGHTS

  • Strong demand interest from concentrate traders: Adyton has attracted strong interest from global trading houses for concentrate from its Wapolu project, which is targeted to restart production in late 2026;
  • Payable terms significantly improved: Adyton's discussions with a range of traders indicate that payable terms for concentrates with the expected Wapolu specifications have materially improved, with an anticipated 15% improvement from terms previously provided and used in Adyton's internal modelling;
  • Significant project value uplift expected: Supported by a strong gold price environment, Adyton expects that should the improved payability terms be reflected in final sale and purchase agreements, there will be a significant and material enhancement to the value of the Wapolu and Gameta projects on Fergusson Island.

Tim Crossley, Chief Executive Officer, commented:

"This LOI is a very positive indicator for our Fergusson Island projects, highlighting robust demand for precious-metal concentrates. The material improvement in payable terms combined with the current strength in gold prices positions our Fergusson projects to generate strong cash flows."

Gary Wang, Chief Executive Officer, EVIH, stated:

"This indicative concentrate pricing is very positive for our Fergusson Island projects and, combined with the strong gold price, provides us with strong motivation to accelerate all aspects of project permitting and development."

Project Update

Adyton, together with its joint venture (JV) partner EVIH, is advancing the Wapolu project with a targeted production restart in late 2026. Current work streams are focusing on completing all precursor inputs to the submission of the Mining Lease (ML) application and the Conservation and Environment Protection Authority (CEPA) permit.

Background

Adyton's gold projects, held in JV with EVIH, are located on easily accessible islands in Papua New Guinea (PNG). The Gameta and Wapolu projects are situated on Fergusson Island in the Milne Bay province of PNG, which also hosts the Woodlark and Misima projects (refer to map of PNG deposits at the end of this document).

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Figure 1: Fergusson Island Projects

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The Wapolu gold project (refer to Figure 1) is a proposed restart of the past-producing Wapolu mine which operated in the mid 1990's, producing about 9,000oz of gold before shutting down due to low gold prices. The restart of Wapolu will be substantially easier than a green field project, being enabled by significant existing infrastructure such as airstrips, workshop and warehouse structures, basic wharf infrastructure and tailings impoundments.

The neighboring Gameta project is an advanced exploration asset being prepared to be taken into permitting and development, that lies approximately 30 km from Wapolu and has the benefit of being able to leverage some of the Wapolu infrastructure, such as the airstrip.

Resource Estimate

The existing Gameta and Wapolu Mineral Resource Estimate is highlighted in Table 1, with resources open at depth and along strike. The current drill programs at both Wapolu and Gameta are in part designed to test depth and strike extensions but also importantly to increase resource confidence to enable progression to establish reserve estimates and the Mining License (ML) application.

Table 1: Mineral Resource Estimates:

Project Indicated Inferred
Au
(g/t)
Tonnes
(million)
Au
(koz)
Au
(g/t)
Tonnes
(million)
Au
(koz)
Gameta exploration licence 1.33 4.0 173 1.01 10.5 340
Wapolu exploration licence - - - 1.06 5.8 200
Fergusson Island Gold Project 1.33 4.0 173 1.02 16.3 540

 

Gameta and Wapolu resources at 0.5g/t gold cut-off 1

For further information, please contact:
Tim Crossley, Chief Executive Officer
E‐mail: ir@adytonresources.com
Phone: +61 7 3854 2389
Phone: +1 778 549 6768

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 press release.

ABOUT Adyton Resources Corporation

Adyton Resources Corporation is focused on the development of gold and copper resources in world class mineral jurisdictions. It currently has a portfolio of highly prospective mineral exploration projects in Papua New Guinea on which it is exploring to expand its identified gold Inferred and Indicated Mineral Resources and expand on its recent significant copper drill intercepts on the 100% owned Feni Island ‎project. The Company's mineral exploration projects are located on the Pacific Ring of Fire on easy to access island locations which hosts several globally significant copper and gold deposits including the Lihir gold mine and ‎Panguna copper/gold mine on Bougainville Island, both neighboring projects to the ‎Company's Feni Island project.

Adyton has a total Mineral Resource Estimate inventory within its PNG portfolio of projects comprising indicated resources of 173,000 ounces gold and inferred resources of 2,000,000 ounces gold.

The Feni Island Project currently has a mineral ‎resource prepared in accordance with NI 43-101 dated October 14, 2021, which has outlined an initial inferred ‎mineral resource of 60.4 million tonnes at an average grade of 0.75 g/t Au, for contained gold of 1,460,000 ounces, ‎assuming a cut-off grade of 0.5 g/t Au. See the NI 43-101 technical report entitled "NI 43-101 Technical Report on the Feni Gold-Copper Property, New Ireland ‎Province, Papua New Guinea prepared for Adyton Resources by Mark Berry (MAIG), Simon ‎Tear (MIGI PGeo), Matthew White (MAIG) and Andy Thomas (MAIG), each an independent mining consultant ‎and "qualified person" as defined in NI 43-101,available under Adyton's profile on SEDAR+ at www.sedarplus.ca. Mineral resources are not mineral reserves and have not demonstrated economic viability.

The Fergusson Island Project currently has a mineral resource prepared in accordance with NI 43-101 dated October 14, 2021, which outlined an indicated mineral resource of 4.0 million tonnes at an average grade of 1.33 g/t Au for contained gold of 173,000 ounces and an inferred mineral resource of 16.3 million tonnes at an average grade of 1.02 g/t Au for contained gold of 540,000 ounces. See the technical report entitled "NI 43-101 Technical Report on the Fergusson Gold Property, Milne Bay ‎Province, Papua New Guinea" prepared for Adyton Resources by Mark Berry (MAIG), Simon ‎Tear (MIGI PGeo), Matthew White (MAIG) and Andy Thomas (MAIG), each an independent mining consultant ‎and "qualified person" as defined in NI 43-101,available under the Company's profile on SEDAR+ at www.sedarplus.ca. Mineral resources are not mineral reserves and have not demonstrated economic viability.

For more information about Adyton and its projects, visit www.adytonresources.com.

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Qualified Person

The scientific and technical information contained in this press release has been prepared, reviewed, and approved by Dr Chris Bowden, PhD, GCMEE, FAusIMM(CP), FSEG, the Chief Operating Officer and Chief Geologist of Adyton, who is a "Qualified Person" as defined by National Instrument 43‐101 ‐ Standards of Disclosure for Mineral Projects.

Forward-looking statements

This press release includes "forward‐looking statements", including forecasts, estimates, expectations, and objectives for future operations that are subject to several assumptions, risks, and uncertainties, many of which are beyond the control of Adyton. Forward‐looking statements and information can generally be identified by the use of forward‐looking terminology such as "may", "will", "should", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements in this news release include plans pertaining to the drill program, the intention to prepare additional technical studies, the timing of the drill program, uses of the recent drone survey data, the timing of updating key findings, the preparation of resource estimates, and the deeper exploration of high-grade gold and copper feeder systems. The forward‐looking information contained herein is provided for the purpose of assisting readers in understanding management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes.

Forward‐looking information are based on management of the parties' reasonable assumptions, estimates, expectations, analyses, and opinions, which are based on such management's experience and perception of trends, current conditions and expected developments, the receipt of any necessary permits, licenses and regulatory approvals in connection with the future development of the projects in a timely manner; the availability of financing on suitable terms for the development; construction and continued operation of the Fergusson Island Project and the Feni Island Project; the ability to effectively complete the drilling program; and Adyton's ability to comply with all applicable regulations and laws, including environmental, health and safety laws.

Investors are cautioned that forward-looking statements are not based on historical facts but instead reflect Adyton's management's expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of managements considered reasonable at the date the statements are made. Although Adyton believes that the expectations reflected in such forward-looking statements are reasonable, such information involves risks and uncertainties, and under reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements expressed or implied by Adyton. Among the key risk factors that could cause actual results to differ materially from those projected in the forward-looking statements are the following: impacts arising from the global disruption, changes in general macroeconomic conditions; reliance on key personnel; reliance on Zenex Drilling; changes in securities markets; changes in the price of gold or certain other commodities; change in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations pressures, cave‐ins and flooding); discrepancies between actual and estimated metallurgical recoveries; inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability of and changes in the costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward‐looking statements. Such forward‐looking information represents management's best judgment based on information currently available. No forward‐looking statement can be guaranteed, and actual future results may vary materially. Readers are cautioned not to place undue reliance on forward-looking statements or information. Adyton Resources Corporation undertakes no obligation to update forward‐looking information except as required by applicable law.


1 See the technical report entitled "NI 43-101 Technical Report on the Fergusson Gold Property, Milne Bay ‎Province, Papua New Guinea" dated October 14, 2022 and prepared for the Company in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") by Mark Berry (MAIG), Simon ‎Tear (MIGI PGeo), Matthew White (MAIG) and Andy Thomas (MAIG), each an independent mining consultant ‎and "qualified person" as defined in NI 43-101, available under the Company's profile on SEDAR+ at www.sedarplus.ca. Mineral resources are not mineral reserves and have not demonstrated economic viability.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/277415

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