Mr. J. Duane Poliquin reports

ALMADEX ANNOUNCES CORPORATE UPDATE

Almadex Minerals Ltd. is providing an update on its involvement in the international arbitration proceedings against the United Mexican States under the comprehensive and progressive agreement for Trans-Pacific Partnership (CPTPP) discussed in the company's press releases of Dec. 14, 2023, March 14, 2024, and June 17, 2024. The company has recently signed with Almaden Minerals Ltd. agreements which will strengthen and streamline the corporate management of the arbitration process.

Litigation management agreement

The company and its Mexican subsidiary have agreed with Almaden and its Mexican subsidiary to streamline the management of the arbitration proceedings by entering into a litigation management agreement. Under the LMA, Almaden will bear the upfront costs of the arbitration and provide overall direction to the arbitration process for itself and its subsidiaries, as well as Almadex and its subsidiaries, with certain limitations. Almadex will remain a party to the arbitration and continue in its co-operation and support of the process. In its press release of today, Almaden announced that it has secured litigation funding in the amount anticipated to be needed to fully prosecute the arbitration proceedings.

Should the arbitration proceedings result in an award of damages, the pro rata portion of those damages, if any, which may be attributable to Almadex, from the 2.0-per-cent NSR royalty it held on the Ixtaca project will be determined. Almadex's award will consist of this pro rata portion, less the company's pro rata share of the costs of pursuing the legal claims, including the financing costs. Almadex will compensate Almaden in the amount of 10 per cent of the Almadex award in exchange for Almaden managing the claim proceedings.

Gold loan amendment

Almadex also reports that it has agreed with Almaden to extend the maturity of the gold loan (see press release of May 14, 2019) from March 31, 2026, to the earlier of March 31, 2030, or the receipt by Almaden or its subsidiary of any amount relating to its legal claims against Mexico.

In return for this amendment, in addition to its obligation to repay the gold loan, Almaden has agreed to pay the company 2.0 per cent of the gross amount of any damages that it may be awarded from the legal claims, such repayment to be subordinate to amounts due under Almaden's litigation funding agreement, and any additional legal and management fees.

J. Duane Poliquin, chairman of Almadex, commented, "These agreements provide us with exposure to an award that may be forthcoming from the legal claims, without the requirement to contribute any money going forward, and thus are similar to the royalty that we used to hold on the Ixtaca project."

About Almadex Minerals Ltd.

Almadex Minerals is an exploration company that holds a large mineral portfolio consisting of projects and NSR royalties in Canada, the United States and Mexico. This portfolio is the direct result of many years of prospecting and deal-making by Almadex's management team. The company owns several portable diamond drill rigs, enabling it to conduct cost-effective first pass exploration drilling in-house.

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