Forge Resources Advances La Estrella Coal Project with Key Infrastructure and Personnel to Bolster Continuous Operations

Rhea-AI Summary

Forge Resources (OTCQB: FRGGF) reported significant progress at its La Estrella Coal Project in Colombia, achieving 55% completion of initial mining camps. The company announced three key developments: construction of 12-room camps accommodating 24 people, development of a new Mechanical Station for power generation, and hiring of Mining Engineer Claudia Patricia Gutiérrez Santamaría as third-shift boss.

Additionally, Forge announced a flow-through private placement of up to $1,000,000 at $0.55 per Unit, with each unit including one flow-through share and half a warrant exercisable at $0.70. The company's subsidiary, Aion Mining Corp., plans to sell up to 5,984,750 common shares of Forge, with proceeds supporting the La Estrella project development.

Positive

• None.

Negative

• Significant capital expenditure required for ongoing construction and infrastructure
• Potential market impact from subsidiary's planned sale of 5,984,750 shares

Vancouver, British Columbia--(Newsfile Corp. - September 9, 2025) - Forge Resources Corp. (CSE: FRG) (OTCQB: FRGGF) (FSE: 5YZ) ("FRG" or the "Company") announces progress at its La Estrella Coal Project with new camps, a mechanical station, and the hiring of a third-shift Mining Engineer, Flow-Through financing and marketing of shares.

Construction Updates

The company is pleased to announce that it has reached a 55% completion milestone with the construction of the initial mining camps at its fully permitted flagship La Estrella coal project in Colombia. These camps were designed to include 12 rooms, providing accommodations for over 24 people. The facilities also feature six sanitary units (one sanitary unit serving every two rooms). Importantly, the camp foundations were engineered to support a future second floor, which will be constructed as the project expands to meet operational demands (Figures 1 and 2).

Figure 1. Construction of foundations and second floor slabs

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Figure 2. Pouring and drying of the concrete on second-floor slab

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In the same way, construction is underway on a new Mechanical Station designed to house the project's compressor and energy generation plant (Figure 3). This dedicated facility will provide a stable and efficient source of power to sustain underground operations, reduce dependence on external supply, and enhance the overall reliability of site infrastructure. The mechanical station will also support future expansion of production capacity, ensuring that the project has the necessary energy backbone to operate multiple shifts per day and improve its development rate.

Figure 3. Construction of the structural base and concrete columns of mechanical station

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New Team Addition

The Company is also pleased to announce the hiring of Claudia Patricia Gutiérrez Santamaría as Mining Engineer and Shift Boss for the third shift of operations. Ms. Gutiérrez brings extensive underground coal mining experience and is a certified Specialist in Occupational Health and Safety (SG-SST). She has held leadership roles in mine supervision, production planning, and workforce management, including serving as Mine Chief at Grupo JARR and advisor to Ferrpol de Colombia and ASOMISAR. With her appointment, Forge Resources is set to operate three shifts per day, improving the rate of advance at the project. Her combined expertise in operations and health and safety will be central to driving both productivity and compliance across Forge's underground operations.

PJ Murphy, CEO of Forge Resources, states:

"The construction of our mining camps and mechanical station, together with the hiring of Mining Engineer Claudia Patricia Gutiérrez Santamaría, represent significant milestones for the La Estrella project. These investments not only ensure the well-being of our workforce and provide reliable energy for operations, but also expand our capacity to three shifts per day, improving both efficiency and the rate of advance. Taken together, these steps reinforce our commitment to building strong, sustainable foundations that will support long-term success for our shareholders, employees, and local communities."

Flow-through Private Placement

The Private Placement will be comprised of up to 1,818,182 Units at a price of $0.55 per Unit for aggregate gross proceeds of up to approximately $1,000,000, with each Unit consisting of one flowthrough common share (each a "Share") and one-half of one transferable non-flow-through share purchase warrant (each whole warrant, a "Warrant"). Each Warrant will enable the holder to acquire an additional non-flow-through common share of the Company ("Warrant Share") at a price of $0.70 per Warrant Share for a period of 36 months from the date of issuance (the "Warrant Expiry Date").

The gross proceeds from the Units will still be utilized for incurring Canadian exploration expenses and flow-through mining expenditures. Finders' fees may be payable in connection with the Private Placement, subject to and in accordance with the policies of the CSE.

Corporate Update

The Company also announces that its subsidiary, Aion Mining Corp. ("Aion") will sell up to 5,984,750 common shares held by it in Forge (the "Subject Shares"). The Subject Shares were issued to Aion in the course of the Company's acquisition of an increasing share position in Aion. As at the date of this news release, the Company holds an 80% equity interest in Aion.

The Subject Shares may be sold by Aion off-market, with sales to be made for no less than 80% of the trading price of the Company's common shares on the CSE at the time of trade. The Subject Shares will not be sold to non-arm's length parties. Net proceeds of any such sales will be used by Forge and Aion to support the companies and to further the La Estrella coal project in Colombia, comprised of eight known seams of metallurgical and thermal coal.

Management of the Company views such sales as being a beneficial and responsible way to raise the funds needed to progress the La Estrella coal project, while minimizing any dilution to the Company's shareholders.

About Forge Resources Corp.

Forge Resources Corp. is a Canadian-listed junior exploration company. The Company holds an 80% interest in Aion Mining Corp., a company that is developing the fully permitted La Estrella coal project in Santander, Colombia. La Estrella contains eight known seams of metallurgical and thermal coal.

The Company also holds an option on the Alotta project, a prospective porphyry copper-gold-molybdenum project located 50 km south-east of the Casino porphyry deposit in the unglaciated portion of the Dawson Range porphyry/epithermal belt in the Yukon Territory of Canada.

On behalf of the Board of Directors
"PJ Murphy", CEO Forge Resources Corp.
info@forgeresources.com

Forward Looking Statements

Certain of the statements made and information contained herein may contain forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, information concerning the Aion Acquisition. Forward-looking information is based on the views, opinions, intentions and estimates of management at the date the information is made, and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated or projected in the forward-looking information (including the actions of other parties who have agreed to do certain things and the approval of certain regulatory bodies). Many of these assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. In particular, there can be no assurance that the Proposed Transaction will be completed as described or at all. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by applicable securities laws, or to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities. The reader is cautioned not to place undue reliance on forward-looking information. We seek safe harbor.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/265648

FAQ

What is the status of Forge Resources' (FRGGF) La Estrella Coal Project construction in September 2025?

The project has reached 55% completion of initial mining camps, which include 12 rooms accommodating 24 people and six sanitary units. A new Mechanical Station is also under construction.

How much is Forge Resources' (FRGGF) flow-through private placement worth and what are the terms?

The private placement is worth up to $1,000,000, offering units at $0.55 each, consisting of one flow-through share and half a warrant exercisable at $0.70 for 36 months.

Who is the new Mining Engineer hired by Forge Resources for La Estrella Coal Project?

Claudia Patricia Gutiérrez Santamaría was hired as Mining Engineer and Shift Boss for the third shift, bringing extensive underground coal mining experience and certification in Occupational Health and Safety.

How many shares is Aion Mining Corp. planning to sell in Forge Resources?

Aion Mining Corp. plans to sell up to 5,984,750 common shares in Forge Resources, with sales to be made for no less than 80% of the trading price on the CSE.

What infrastructure improvements is Forge Resources implementing at La Estrella?

Forge is building mining camps with expandable foundations, and a new Mechanical Station to house compressors and energy generation plant for sustainable power supply to underground operations.