Discovery Silver Corp. (TSX:DSV) entered into a definitive agreement to acquire Kidd Creek Timber Ltd. from Glencore Canada Corporation for $85 million on March 2, 2026. The consideration consists of common equity of Discovery Silver Corp. having a value of $10 million to be issued for common equity of Kidd Creek Timber Ltd. Discovery Silver Corp. will pay an earnout/contingent payment of $75 million cash. The consideration includes the assumption of all financial assurances and environmental and rehabilitation obligations associated with the Kidd Met Site and the Kidd Creek Mine, subject to terms and conditions of the agreement.

The transaction is subject to certain conditions, including, among other things, the transfer of the Kidd Creek Mine, Kidd Met Site, Kidd TMA, and all associated property, claims and assets, as well as all of the issued and outstanding shares of Kidd Creek Timber Ltd., to Discovery Silver from Glencore. The transfer requires certain approvals, including the consent of Ontario's Ministry of Mines. The transaction is also subject to the receipt of all required regulatory approvals, including the approval of the Toronto Stock Exchange and approval, or expiry of the applicable waiting period, under the Competition Act (Canada), and other customary closing conditions for a transaction of this nature. The expected completion of the transaction is during the first half of 2026.

SCP Resource Finance LP acted as financial advisor for Discovery Silver Corp. John Tumazos Very Independent Research, LLC acted as financial advisor for Discovery Silver Corp. Cassels Brock & Blackwell LLP acted as legal advisor for Discovery Silver Corp.