CoTec Holdings Corp. Files Third Quarter 2023 Results and Reports $3.2 Million Net Income with Continued Focus on Operational Roll-Out

VANCOUVER, BC / ACCESSWIRE / November 13, 2023 / CoTec Holdings Corp. (TSXV:CTH) ("CoTec" or the "Company") is pleased to announce it has filed its unaudited interim condensed consolidated financial statements and the accompanying management discussion and analysis ("MD&A") for the three and nine months ended September 30, 2023. The financial statements and MD&A can be accessed under the Company's SEDAR profile at www.sedarplus.ca.

The Company announced its third profitable quarter with net income for the quarter and nine months ended September 30, 2023, of $3.2 million and $13.1 million respectively. The net income for the quarter was driven by an upward revaluation of CoTec's investments in Binding Solutions Limited ("BSL") and Maginito Limited ("Maginito") as a result of arm's length investment activities during the quarter.

Other highlights for the quarter include:

• CoTec's investee, Maginito, completed its purchase of the remaining 58% equity interest in HyProMag Limited ("HyProMag") bringing its interest to 100% ("HyProMag Acquisition"). During the first quarter, Maginito provided HyProMag GmbH ("HyProMag Germany") with a convertible loan of EUR2.5 million. Following the HyProMag Acquisition, Maginito's interest in HyProMag Germany will increase by a net 10% from 80% to 90% on conversion of the loan.
• Converted its GBP2 million convertible loan to Mkango Resources Ltd. ("Mkango") into Maginito stock, increasing its ownership stake from 10% to 20.6%.
• CoTec's investee, BSL, secured a US$17.5 million equity investment from Australian based Mineral Resources Limited ("MinRes") at an increased valuation.
• BSL commissioned and began commercial testing at their pilot plant in Teesside, United Kingdom.
• Entered a binding option agreement for the acquisition of the Lac Jeannine mining claims for application of BSL's technology and made the first payment of US$40,000 to the vendors pursuant to the option agreement.
• Engaged a drilling contractor for Lac Jeannine and completed a bulk sample and maiden resource drilling program early October 2023.
• CoTec's investee, Ceibo Inc. ("Ceibo"), secured an investment from BHP Ventures to support its early-stage revolutionary copper leaching technology.
• Invested a further US$120,000 in MagIron LLC ("MagIron") to fund working capital and maintain the Company's interest at ~16.94% on a fully diluted basis.
• Engaged Hybrid Financial Ltd ("Hybrid") to assist in creating awareness of the Company with financial professionals.
• Entered a Memorandum of Understanding for collaboration with the University of Birmingham in the United Kingdom to identify and commercialize new disruptive technologies related to critical mineral extraction.

Mr. Julian Treger, CEO of the Company commented, "The third quarter was another exceptional quarter for CoTec. We reported a further $3.2 million net income during the quarter, bringing our net income for the year to date to $13.1 million."