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Cygnus Metals Limited (ASX: CY5; TSXV: CYG; OTCQB: CYGGF) ("Cygnus" or the "Company") is pleased to announce that Chief Operating Officer "COO") Nick Kwong will be promoted to PresidentChief Executive Officer ("CEO") of the Company following the transition of Ernest Mast from Managing Director to Non-Executive Director on 12 December 2025.
Mr Kwong is a globally experienced Mining Engineer who has led operations, feasibility studies and mine building activities over the past 20 years. He has been COO of the Chibougamau Project since 2022 and has worked extensively with Mr Mast over this time. His previous positions include General Manager of two gold mines at Maaden in Saudi Arabia and multiple senior roles within New Gold Inc. for 14 years, with his final role being Director of Technical Services.
Cygnus now has a dual strategy centred on exploration/resource growth, which is led by VP Exploration & Corporate Development Duncan Grieve, and updating the 2022 Preliminary Economic Assessment ("PEA").* Mr Kwong is leading the PEA update in conjunction with independent consultants Ausenco. The updated study will take into account the growth and upgrade in mineral resources, including the addition of the high-grade Golden Eye deposit, and improved commodity price environment (copper, gold and silver). Following the completion of the PEA update, which considers the refurbishment of the existing 900ktpa processing plant, the Company's focus will shift to completing a feasibility study and finalising the environmental approvals, which match Mr Kwong's skillset.
Mr Mast has been integral to the success of the Chibougamau Project and has developed strong local ties with the local community, First Nations and government authorities. Importantly for Cygnus, the relationships and project knowledge will endure with his appointment as a Non-Executive Director. The terms and conditions of Mr Kwong's new contract are outlined in Appendix A.
This announcement has been authorised for release by the Board of Directors of Cygnus.
| David Southam Executive Chairman T: +61 8 6118 1627 E: info@cygnusmetals.com | Media: Paul Armstrong Read Corporate +61 8 9388 1474 |
* The outcomes of the PEA were first announced by Doré Copper Mining Corp. ("Doré") on 10 May 2022 and the comprehensive technical report underpinning the PEA was announced by Doré in accordance with the requirements of NI 43-101 on 15 June 2022. The Technical Report was prepared by BBA Inc. with several consulting firms contributing to sections of the study, including SLR, SRK Consulting (Canada) Inc. and WSP Inc, and is available on SEDAR+. Cygnus cautions that the PEA is a preliminary technical, conceptual and economic study undertaken by Doré of the initial evaluation and potential development of the Chibougamau Project. It is at scoping study level only, which is based on a lower level of technical assessment that is not sufficient to support the estimation of Ore Reserves and is inherently uncertain. The production targets and forecast financial information disclosed in the PEA are underpinned by Measured Mineral Resources (approximately 1.17%), Indicated Mineral Resources (approximately 32.10%) and Inferred Mineral Resources (approximately 66.73%). However, Cygnus is not able to disclose the outcomes of the PEA as the significant proportion of Inferred Resources included in the Life of Mine means that pursuant to ASX and ASIC guidance there is not considered to be sufficiently reasonable grounds for the production targets and forecast financial information disclosed in the PEA. Accordingly, Cygnus is not disclosing the production targets and forecast financial information reported in the PEA and cautions investors against making investment decisions based on such targets and forecasts.
APPENDIX A – Terms and Conditions of CEO/President Contract
| Commencement Date | 12 December 2025 |
| Term | No fixed term |
| Consultancy fee | C$300,000 per annum |
| Long term incentive | The Company has agreed to issue to Mr Kwong (or his nominees) a total of 3,000,000 additional performance rights which expire on 31 May 2030 ( Performance Rights ). The Performance Rights are to be issued under the Company's Omnibus Equity Incentive Plan on the same terms as existing performance rights (refer to the Company's notice of annual general meeting released to ASX on 14 April 2025), with a summary of the vesting conditions below:
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| Termination | Company or Executive initiated termination by notice : 6 months' notice in writing if within 12 months of appointment as CEO, otherwise 3 months' notice in writing. A payment in lieu of notice may be made at the Company's discretion. Summary termination : Immediate termination upon the provision of notice in writing. No entitlement to a notice period or termination payment (except for any entitlements accrued as at the termination date). |
| Change of control | If Mr Kwong's services are no longer required within 6 months of a "change of control", he shall receive a payment equal to 6 months of service. |
