Denarius Metals Announces Decision Not to Proceed with 50/50 Joint Venture with Quimbaya Gold

Rhea-AI Summary

Denarius Metals (OTCQX:DNRSF) has announced its decision to terminate the previously announced letter of intent with Quimbaya Gold Inc. The company has opted not to proceed with the proposed 50/50 joint venture that was intended to formalize small-scale mining operations within Quimbaya's Tahami Project in the Segovia Gold District of Antioquia, Colombia.

Following extensive due diligence, Denarius Metals' executive chairman Serafino Iacono stated that the company does not see favorable circumstances in the area to implement small-scale mining operations that would provide the necessary social right to operate through the joint venture relationship.

Positive

• None.

Negative

• Termination of planned 50/50 joint venture with Quimbaya Gold
• Unfavorable conditions for implementing small-scale mining operations in the target area
• Loss of potential mining expansion opportunity in the Segovia Gold District

News Market Reaction

+2.49%

1 alert

+2.49% News Effect

On the day this news was published, DNRSF gained 2.49%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Toronto, Ontario--(Newsfile Corp. - August 1, 2025) - Denarius Metals Corp. (Cboe CA: DMET) (OTCQX: DNRSF) ("Denarius Metals" or the "Company") announced today that the Company has given notice of termination to Quimbaya Gold Inc. ("Quimbaya") of the previously announced letter of intent. Following the completion of its due diligence and analysis, the Company has decided not to proceed with the proposed 50/50 joint venture aimed at formalizing existing small-scale mining operations located within Quimbaya's Tahami Project which is located in the Segovia Gold District of Antioquia, Colombia.

Serafino Iacono, Executive Chairman of Denarius Metals, commented, "Our team has considerable experience in exploration, mining and community relations in Colombia, particularly in the Segovia Gold District. After carrying out our extensive due diligence process, we do not see the circumstances in the area that will enable us to implement the small-scale mining operations in a manner that we believe will provide the social right to operate through a joint venture relationship with Quimbaya."

About Denarius Metals

Denarius Metals is a Canadian junior company engaged in the acquisition, exploration, development and eventual operation of precious metals and polymetallic mining projects in high-grade districts in Colombia and Spain. Denarius Metals is listed on Cboe Canada where it trades under the symbol "DMET". The Company also trades on the OTCQX Market in the United States under the symbol "DNRSF".

In Colombia, Denarius Metals commenced mining operations in the second quarter of 2025 at its 100%-owned Zancudo Project, a high-grade gold-silver deposit, which includes the historic producing Independencia mine, located in the Cauca Belt, about 30 km southwest of Medellin.

In Spain, Denarius Metals has interests in three projects focused on in-demand critical minerals. The Company owns a 21% interest in Rio Narcea Recursos, S.L. and is the operator of its Aguablanca Project, which has been recognized by the EU as a Strategic Project. The Aguablanca Project comprises a turnkey 5,000 tonnes per day processing plant and the rights to exploit the historic producing Aguablanca nickel-copper mine, located in Monesterio, Extremadura. Denarius Metals also owns a 100% interest in the Lomero Project, a polymetallic deposit located on the Spanish side of the prolific copper rich Iberian Pyrite Belt, approximately 88 km southwest of the Aguablanca Project, and a 100% interest in the Toral Project, a high-grade zinc-lead-silver deposit located in the Leon Province, Northern Spain.

Additional information on Denarius Metals can be found on its website at www.denariusmetals.com and by reviewing its profile on SEDAR+ at www.sedarplus.ca.

Cautionary Statement on Forward-Looking Information

This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to anticipated business plans or strategies. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Denarius Metals to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could cause actual results to differ materially from those anticipated in these forward-looking statements are described under the caption "Risk Factors" in the Company's Annual Information Form dated March 31, 2025 which is available for view on SEDAR+ at www.sedarplus.ca. Forward-looking statements contained herein are made as of the date of this press release and Denarius Metals disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.

For Further Information, Contact:

Michael Davies
Chief Financial Officer
(416) 360-4653
investors@denariusmetals.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/261059

FAQ

Why did Denarius Metals (DNRSF) terminate its joint venture with Quimbaya Gold?

After completing due diligence, Denarius Metals determined that local conditions would not enable them to implement small-scale mining operations in a way that would provide the necessary social right to operate through the joint venture.

What was the proposed joint venture between Denarius Metals and Quimbaya Gold?

The proposed venture was a 50/50 joint venture aimed at formalizing existing small-scale mining operations within Quimbaya's Tahami Project in the Segovia Gold District of Antioquia, Colombia.

Where is the Tahami Project located that Denarius Metals was considering?

The Tahami Project is located in the Segovia Gold District of Antioquia, Colombia.

What impact does this decision have on Denarius Metals' operations?

The decision means Denarius Metals will not expand its mining operations into the Tahami Project area, despite their considerable experience in exploration, mining, and community relations in Colombia's Segovia Gold District.