Mr. Murray Nye reports

ODEMESNE COMPLETES FIRST PAYMENT ON OPTION AGREEMENT TO ACQUIRE THE IMA MINE PROPERTY

Further to its press release dated Nov. 6, 2024, Demesne Resources Ltd. has completed the first payment to IMA-1 LLC (the optionor) under the option agreement dated Nov. 5, 2024, pursuant to which the company can acquire a 100-per-cent interest in and to the Ima mine project located in Idaho, United States.

The first payment under the option agreement consisted of a cash payment of $100,000 (U.S.) to the optionor.

Under the terms of the option agreement, the company can acquire a 100-per-cent interest in the Ima mine property, subject to a 2-per-cent royalty in favour of the optionor, by making cash payments to the optionor in the aggregate amount of $5.8-million (U.S.) (inclusive of the first payment of $100,000 (U.S.)) in stages over an eight-year period. For more information concerning the option agreement and the Ima mine property, please refer to the company's press release dated Nov. 5, 2024.

The Ima mine is a past-producing underground tungsten mine situated on 22 patented claims located in eastern-central Idaho. With China controlling an estimated 80 per cent plus of global tungsten extraction and processing and no domestic tungsten producers in the United States, China's recently announced tungsten export restriction plans underscore the need for a reliable, domestic supply of defence critical metals for America.

Demesne's chief executive officer, Murray Nye, commented: "Completing the first payment under the option agreement to acquire the Ima mine property is a major milestone for Demesne and our shareholders. The Ima mine property is expected to be a key portfolio asset, enhancing our ability to build on the mine's past tungsten production and benefit from the capital that previous exploration companies invested to advance the Ima mine project. We are also fortunate that the asset is on patented ground and readily permittable. With the first payment under the option agreement satisfied, we can now focus on executing our potential next steps: verifying Ima's historical resources, identifying additional mineralization and driving toward a mine restart."

About Demesne Resources Ltd.

Demesne Resources is a British Columbia based company involved in the acquisition and exploration of magnetite mineral properties. The company's Star project consists of five contiguous mineral titles covering an area of approximately 4,615.75 hectares located in the Skeena mining division in British Columbia, Canada. The company has entered into an option agreement, pursuant to which it is entitled to earn an undivided 100-per-cent interest in the Star project. Demesne has also entered into an option agreement, pursuant to which it can acquire a 100-per-cent interest (subject to a 2-per-cent royalty) in and to the Ima mine project, a past-producing underground tungsten mine situated on 22 patented claims located in eastern-central Idaho, United States.

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