Group Eleven Announces Settlement of Director's Fees

Group Eleven will satisfy C$32,250 of accrued director fees in shares, preserving cash while adding a small, TSXV-approved equity issuance.

Rhea-AI Summary

Group Eleven Resources (GRLVF) agreed to settle C$32,250 in outstanding director fees owed to former director Alessandro Bitelli through the issuance of 38,393 common shares at C$0.84 per share.

The fees were accrued in 2025 and 2026 and became payable upon his retirement at the last annual general meeting. The company states that using shares instead of cash helps preserve cash resources for ongoing and planned operations. Completion of the debt settlement is subject to TSX Venture Exchange approval, and the issued shares will carry a four-month hold period under Canadian securities laws.

Positive

• C$32,250 in director fees settled without cash outlay, preserving liquidity
• Debt settlement priced at C$0.84 per share, implying agreed share valuation
• Limited issuance of only 38,393 shares keeps dilution relatively small

Negative

• Equity issuance of 38,393 shares adds incremental shareholder dilution
• Transaction completion remains subject to TSX Venture Exchange approval
• New shares will be under a four-month hold period, limiting immediate liquidity for the recipient

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Vancouver, British Columbia--(Newsfile Corp. - September 4, 2026) - Group Eleven Resources Corp. (TSXV: ZNG) (OTCQB: GRLVF) (FSE: 3GE) ("Group Eleven" or the "Company") is pleased to announce that the Company and its former director, Mr. Alessandro Bitelli, have agreed to settle C$32,250 in outstanding director fees (accrued in 2025 and 2026) owed to him at the time of his retirement from the board of directors at the last annual general meeting through the issuance of 38,393 common shares of the Company at a price of $0.84 per share (the "Debt Settlement").

The Company's board of directors and management believe that completing the Debt Settlement is in the best interests of the Company as it will allow the Company to preserve its cash resources for ongoing and planned operations.

Completion of the Debt Settlement remains subject to the approval of the TSX Venture Exchange. The shares issued as part of the Debt Settlement will be subject to a four-month hold period from the date of issuance in accordance with applicable Canadian securities laws.

About Group Eleven Resources

Group Eleven Resources Corp. (TSXV: ZNG) (OTCQB: GRLVF) (FSE: 3GE) is actively drilling its 100%-owned Ballywire zinc-lead-silver-copper discovery located in the Republic of Ireland. Ballywire is located 20km from Company's 78.62%-owned Stonepark property, which itself is located adjacent to Glencore's Pallas Green project. The Company's two largest shareholders are Michael Gentile (13.6% interest) and Glencore Canada Corp. (12.8%). Additional information about the Company is available at www.groupelevenresources.com.

ON BEHALF OF THE BOARD OF DIRECTORS
Bart Jaworski, P.Geo.
Chief Executive Officer

E: b.jaworski@groupelevenresources.com | T: +353-85-833-2463
E: j.lau@groupelevenresources.com | T: 604-781-4915

Neither 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 release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/312943

FAQ

What did Group Eleven Resources (GRLVF) announce about settling director fees?

Group Eleven Resources announced a debt settlement with former director Alessandro Bitelli, agreeing to satisfy C$32,250 in outstanding director fees by issuing 38,393 common shares at C$0.84 per share, instead of paying the amount in cash.

How many shares will be issued in Group Eleven’s (GRLVF) director fee settlement and at what price?

Group Eleven plans to issue 38,393 common shares to settle outstanding director fees, at a price of C$0.84 per share. This issuance corresponds to C$32,250 in accrued fees from 2025 and 2026 owed to former director Alessandro Bitelli.

Why is Group Eleven (GRLVF) settling director fees in shares instead of cash?

The company’s board and management state that completing the debt settlement in shares is in the company’s best interests because it allows Group Eleven to preserve cash resources for ongoing and planned operations while still satisfying its obligation to the former director.

Is the Group Eleven (GRLVF) debt settlement with its former director already approved?

No. Completion of the debt settlement between Group Eleven and its former director remains subject to approval by the TSX Venture Exchange. The transaction will only be completed once this regulatory approval is obtained.

Will the shares issued in the Group Eleven (GRLVF) director fee settlement be subject to a hold period?

Yes. The common shares issued as part of Group Eleven’s debt settlement will be subject to a four-month hold period from the date of issuance, in accordance with applicable Canadian securities laws, restricting their resale during that time.