DLP.V · 2026-08-26 12:00:00

DLP Announces Positive Preliminary Economic Assessment (“PEA”) for the Aurora Copper-Molybdenum Project, with Significant Multi-Phase Expansion Potential (All figures in United States Dollars unless otherwise stated) The PEA establishes Aurora as a Large -Scale, Long -Life Copper-Molybdenum Asset; D

Economic Studies

DLP Announces Positive Preliminary Economic Assessment (“PEA”) for the Aurora Copper-Molybdenum Project, with

Significant Multi-Phase Expansion Potential

(All figures in United States Dollars unless otherwise stated)

The PEA establishes Aurora as a Large -Scale, Long -Life Copper-Molybdenum Asset; Deliberate Phased Development

Approach Designed to Maximize Returns on Initial Capital and Preserve Potential Multi-Phase Underground Expansion

Highlights

• Base case after -tax NPV8% of $2,703 M, after-tax IRR of 18.5%, and payback period of 5.2 years from start of

production, at long -term commodity price assumptions of $4.90/lb copper, $25.40/lb molybdenum, and

$45.30/oz silver.

• At spot prices as of August 26, 2026 ($6.47/lb copper, $33.57/lb molybdenum and $68.50/oz silver), a spot price

sensitivity case generates an after-tax NPV8% of $4,812 M, after-tax IRR of 24.9%, and payback period of 3.8 years.

• PEA establishes Aurora as one of the highest -grade molybdenum projects in the world, mining an average

molybdenum grade of 0.20% Mo across 15 years of underground mining, peaking at 0.25% in year 10.

• 17.5-year mine-life with 402.9 million tonnes processed at 65,000 tonnes per day with multi -phase expansion

potential beyond 17.5 years.

o a 7-year open pit phase mining 237.3 million tonnes of mineralized material at a 0.95:1 strip ratio

o a 15-year underground phase mining 165.6 million tonnes of mineralized material , with stockpile

processing in parallel.

• Average annual production of 90.5 million pounds payable copper, 37.4 million pounds payable molybdenum and

1.21 million ounces payable silver with peak copper production of 154 million payable pounds in year 3.

• Total payable production of approximately 1,629 million pounds of copper, 673 million pounds of molybdenum

and 21.8 million ounces of silver, generating total gross revenue of approximately $26,072 million over the mine

life.

• Initial capital cost estimate of $2,377 million, including contingency, with sustaining and underground

development capital of approximately $1,160 million and closure costs of approximately $121 million.

• Updated Mineral Resource Estimate contained in PEA establishes a strong foundation, with a combined open pit

and out of pit resource:

o Indicated: 614.84 Mt grading 0.19% Cu, 0.06% Mo, 2.09 g/t Ag (7,497.53 Mlbs Copper Equivalent at 0.55%

CuEq)

o Inferred: 1,118.80 Mt grading 0.18% Cu, 0.07% Mo, 1.95 g/t Ag (14,265.23 Mlbs Copper Equivalent at

0.58% CuEq)

Cranbrook, British Columbia (Newsfile Corp. – September 1, 2026) DLP Resources Inc. (“ DLP” or the “ Company”) (TSXV:

DLP) (OTCQB: DLPRF) (FSE: J8C) is pleased to announce the results of a Preliminary Economic Assessment (“ PEA”) for its

100%-owned Aurora Copper-Molybdenum-Silver Project (“Aurora” or the “Project”), located 60 km northeast of Cusco,

Peru. The PEA was prepared in accordance with National Instrument 43-101 (“NI 43-101") by Global Resource Engineering

Ltd. (“GRE”), Ausenco Engineering Canada ULC (“Ausenco”) and SRK Consulting (Canada) Inc. (“SRK”), and incorporates

an updated Mineral Resource Estimate (“ MRE”). The Company will also be hosting a live webcast regarding the PEA ,

featuring DLP’s CEO Ian Gendall and the Technical Committee on September 1 , 2026 at 1:00 pm (Toronto time).

Participants can register to attend at the following link:

https://zoom.us/webinar/register/WN_G1PhTuayTEeIomxTV5irOg

“The results of the Aurora PEA confirm what our geological and technical work has long suggested : this is a copper -

molybdenum-silver deposit with the scale, grade and production profile to support compelling development pathway .

The PEA demonstrates robust cashflows, competitive operating costs, reasonable capital costs and robust financial

returns, including an after-tax NPV8% of $2,703 million and an 18.5% IRR with substantial upside leverage to rising copper

and molybdenum prices. Importantly, this PEA represents only the first chapter of the Aurora story, reflecting 402.9

million tonnes of mineralized material, or approximately 30% of the MRE, which shows an Indicated resource of 614.84

million tonnes at 0.19% Cu, 0.06% Mo and 2.09 g/t Ag and an Inferred resource of 1,118.80 million tonnes at 0.18% Cu,

0.07% Mo and 1.95 g/t Ag. As such, a significant portion of the MRE has not been included in the PEA, preserving future

underground expansion optionality beyond what is contemplated within this initial 17 .5-year mine plan. We intend to

advance Aurora towards pre-feasibility while simultaneously scoping the underground expansion optionality and look

forward to engaging with strategic partners on this multi-phase development program.” commented Ian Gendall, CEO of

DLP.

Project Overview

The 100%-owned Aurora spans 12,500 hectares in Peru’s Cusco province, with easy road access and power infrastructure

nearby. On June 22, 2026, DLP announced that the local Parobamba Community, where Aurora is located, approved a

six-year extension of the land use and exploration agreement, demonstrating the strong, collaborative relationship DLP

has built with the local community and providing the Company with the long -term access and social license to advance

the project through its next stages of development.

The PEA represents an initial development case for Aurora, deliberately designed to maximize after-tax returns and capital

efficiency on initial invested capital. The PEA mine plan encompasses 402.9 million tonnes of mineralized material,

representing approximately 30% of Aurora’s MRE, concentrating the initial 17.5-year mine plan on the highest-confidence,

highest-value portions of the deposit accessible by open pit and underground mining methods. The resources outside of

the mine plan define a clear expansion opport unity. As such, the Company intends to advance an infill and extensional

drill program at Aurora to advance resource classification and support incorporation of material outside of the mine plan

into subsequent Prefeasibility or Feasibility studies. Manag ement views this PEA as an initial Phase 1, providing a

foundation for a long-term, multi-decade mining district, with today’s mine plan representing the first of several possible

development phases. The PEA establishes Aurora as one of Peru’s emerging cop per-molybdenum-silver development

assets, with a project profile characterized by a long -life, high-value molybdenum production base alongside meaningful

copper and silver co-production.

The Company notes the PEA is preliminary in nature and there is no certainty that the PEA will be realized. The PEA includes

Inferred Mineral Resources that are considered too speculative geologically to have economic considerations applied to

them that would enable them to be categorized as mineral reserves. Mineral Resources that are not Mineral Reserves do

not have demonstrated economic viability. The Company also notes that a multi -phase underground development

scenario has not been evaluated in the current PEA, no economic analysis has been applied to potential additional

resources, and there is no certainty that any multi-phase underground expansion would be realized. DLP views the multi-

phase underground expansion opportunity as a significant source of longer-term value not captured in the PEA economics

and intends to advance dedicated multi-phase underground scoping work as a priority workstream.

Table 1) PEA Economic Summary

Metric Unit Base Case

Base Case After-Tax Economics

NPV8% $M 2,703

After-Tax IRR % 18.5

Payback Period years 5.2

NPV / Initial CAPEX ratio 1.14

Pricing Assumptions

Copper $/lb 4.90

Molybdenum $/lb 25.40

Silver $/oz 45.30

LOM Gross Revenue Contribution

LOM Revenue $M 26,072

Copper % 30.6

Molybdenum % 65.6

Silver % 3.8

Mining Metrics

Mine Life Years 17.5

OP Mineralized Material Mt 237.3

OP Strip Ratio w:o 0.95

OP Copper Grade (LOM) % 0.33

OP Molybdenum Grade (LOM) % 0.01

OP Silver Grade (LOM) g/t 3.52

UG Mineralized Material (LOM) Mt 165.6

UG Copper Grade (LOM) % 0.07

UG Molybdenum Grade (LOM) % 0.20

UG Molybdenum Grade (Peak – Year 10) % 0.25

UG Silver Grade (LOM) g/t 0.72

Processing Metrics

Mineralized Material Milled Mt 402.9

Copper grade (LOM) % 0.22

Copper grade (years 1-6) % 0.30

Molybdenum grade (LOM) % 0.09

Molybdenum grade (years 7-14) % 0.14

Silver grade (LOM) g/t 2.37

Copper recovery % 85.50

Molybdenum recovery % 88.50

Silver recovery % 74.00

Payable Copper (Annual) Million pounds per year 90.5

Payable Copper (LOM) Million pounds 1,629

Payable Molybdenum (Annual) Million pounds per year 37.4

Payable Molybdenum (LOM) Million pounds 673

Payable Silver (Annual) Million ounces per year 1.21

Payable Silver (LOM) Million ounces 21.8

Payable Copper Equivalent (Annual) Million pounds 301.0

Payable Copper Equivalent (LOM) Million pounds 5,418

Cost Metrics

Initial Capital Cost $M 2,377

Sustaining + UG Development Capital $M 1,160

Closure & Reclamation $M 121

Mining Methods

The mine plan consists of two principal mining methods: a conventional truck-and-shovel open pit operation to year 4 of

the mine life (including stockpiling mineralized material), followed by underground mining of the higher -grade

molybdenum core between years 3 and 17. Underground mineralized material will be processed alongside stockpiled

open pit material.

Open Pit Mining (Years -3 to 4)

The open pit mine plan is based on a conventional truck -and-shovel operation producing a total of 237.3 million tonnes

of mineralized material at a design throughput of 65,000 tonnes per day. The open pit strip ratio of 0.95:1

(waste:mineralized material) reflects the favorable geometry and continuity of the near -surface mineralized body. The

open pit mine plan will see average mined grades of 0.33% copper, 0.01% molybdenum and 3.52 g/t silver.

Underground Mining (Years 3 to 17)

Following completion of open pit mining, operations transition to underground extraction of the higher -grade

molybdenum-enriched core of the Aurora deposit. Underground development commences simultaneously with the

opening of the open pit mine, using a block cave mining method, with level access established during late open pit years.

The underground mine plan will see 165.6 million tonnes mined at an average molybdenum grade of 0.20% Mo,

positioning Aurora as a robust, high grade molybdenum project.

Figure 1) Open Pit Mine Production

Figure 2) Underground Cave Production

Updated Mineral Resource Estimate

In connection with the PEA, an updated MRE has been completed for the Aurora deposit by Terre Lane of Global Resource

Engineering, an independent Qualified Person as defined by NI 43 -101. The MRE has an effective date of April 30, 2026.

The updated MRE incorporates data from 28 drill holes totaling 22,613.38 metres and reflects revised geological

modelling, updated metallurgical recovery assumptions, and the incorporation of recent infill drilling results.

The MRE is classified in accordance with the 2014 CIM Definition Standards on Mineral Resources and Reserves and was

estimated in accordance with the CIM 2019 Best Practices Guidelines. The resource has been constrained by an open pit

shell (OP domain) or by a conceptual underground extraction envelope (UG domain) demonstrating reasonable prospects

for eventual economic extraction.

Table 2) Updated Mineral Resource Estimate (effective April 30, 2026)

Classification Tonnes (Mt) Cu (%) Mo (%) Ag (g/t) CuEq (%) CuEq (Mlbs)

Open Pit (NSR Cut-off: $6.9/t)

Indicated 382.58 0.24 0.020 2.55 0.37 3,118.21

Inferred 537.86 0.25 0.023 2.96 0.40 4,737.91

Underground (NSR Cut-off: $25/t)

Indicated 232.27 0.12 0.134 1.32 0.86 4,379.31

Inferred 580.94 0.11 0.117 1.02 0.74 9,527.32

Total

Indicated 614.84 0.19 0.06 2.09 0.55 7,497.53

Inferred 1,118.80 0.18 0.07 1.95 0.58 14,265.23

Notes: CuEq(lb) = Cu(lb)+Mo(lb)*((Mo P rice*Mo Recovery *Mo Payability)/(Cu Price*Cu Recovery *Cu Payability ))+Ag(lb)*((Ag Price *Ag Recovery *Ag

Payability)/(Cu Price*Cu Recovery*Cu Payability)), using $4.90/lb Cu, $25.40/lb Mo, $45.30/oz Ag, 85.5% Cu recovery, 88.5% Mo recovery, 74% Ag recovery,

96.5% Cu payability, 96% Mo payability, 96% Ag payability (2) Cut-off grades: OP domain US$6.9/t NSR; UG domain US$25/t NSR. (3) Mineral Resources that

are not Mineral Reserves do not have demonstrated economic viability. (4) Numbers may not sum due to rounding.

QP Disclosure

The geological setting, mineralization, deposit characterization, exploration, drilling, sampling, analytical information, and

data verification were prepared under the direction of Hamid Samari, Ph.D., QP, Principal Geologist at GRE. Dr. Samari

meets the requirements for a QP as set out in his Certificate of Qualified Person.

Dr. Samari reviewed and verified the data supporting the Mineral Resource Estimate, including the geological and drillhole

database, sampling information, analytical data, QA/QC results, and supporting documentation. As part of the data

verification, Dr. S amari conducted a site visit to the Aurora Project on June 2 –3, 2026, during which he reviewed the

project geology, drill core, core logging and sampling procedures, and other relevant geological information. Independent

check samples were collected and submitted for laboratory analysis. The copper (Cu), silver (Ag), and molybdenum (Mo)

assay results obtained from the independent check samples were compared with the corresponding assay results reported

in the project database. The comparison showed reasonab le agreement between the two sets of results and provided

additional verification of the analytical data supporting the Mineral Resource Estimate. Based on these verification

procedures, Dr. Samari considers the data and information used to support the Min eral Resource Estimate to be

sufficiently reliable for this purpose. No material limitations on the verification process or material failures to verify th e

data were identified.

Processing & Metallurgy

The Aurora PEA contemplates a conventional milling and froth flotation process plant designed to treat 65,000 tonnes of

mineralized material per day. The process plant is designed to produce a copper concentrate grading approximately 25%

Cu and a molybdenum concentrate grading approximately 55% Mo.

Metal recoveries to concentrate average 85.5% for copper, 88.5% for molybdenum, and 74.0% for silver. Silver reports to

the copper concentrate as a by-product credit. The recoveries take into account mineralized material from various zones

and the blending of various zones to feed the plant. Payable metal assumptions applied in the economic analysis reflect

smelter and refinery terms of 96.5% payability for copper and 96.0% payability for molybdenum and silver.

Tailings from the flotation circuit will be filtered and placed in a drystack tailings facility and managed in accordance with

applicable Peruvian regulatory requirements, including the standards established under the Environmental Impact

Assessment (EIA-d) process overseen by Peru's Ministry of Energy and Mines (MINEM). The Company is evaluating tailings

storage facility design options as part of ongoing engineering studies.

Figure 3) Processing Schedule

Capital & Operating Costs

Initial capital is estimated at $2,377 million over a 3-year construction period, and is based on the costs outlined in Table

3, below:

Table 3) Breakdown of Initial Capital

Initial Capital Expenditure Cost ($M)

Mine (OP) 530.9

Mine (UG) 202.4

Plant 502.1

Tailings 332.1

Infrastructure 219.1

Indirects 137.6

Permitting 4.0

Owner’s costs 76.5

Contingency 372.3

Total 2,377

Sustaining and underground development capital over the life of mine (through year 20) is estimated at $1,160 million,

with total closure costs estimated at $121M.

Working capital of $24.7 million in year 1.

100

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Year -1

Year 1

Year 2

Year 3

Year 4

Year 5

Year 6

Year 7

Year 8

Year 9

Year 10

Year 11

Year 12

Year 13

Year 14

Year 15

Year 16

Year 17

Year 18

NSR/tonne ($)

1000s tonnes

Tonnes to Stockpile Tonnes from Stockpile Tonnes Direct to Plant NSR/tonne

Operating costs are estimated at $13.05/t processed based on the costs outlined in Table 4, below.

Table 4) Breakdown of Operating Costs

Operating Cost Cost ($/t mined)1 Cost ($/t milled)2

Mining (OP) 1.72 1.08

Mining (UG) 6.90 2.35

Processing 5.19

Rehandling 0.32

Tailings 1.78

Water treatment 0.07

G&A 1.07

Contingency 1.19

Total 13.05*

1 Total mine operating costs per tonne mined, including pre-production mining costs

2 Operating costs less capitalized pre-production mining costs per total tonnes milled

Life of Mine C1 cash costs are calculated on a co -product basis: $0.90/lb copper; $7.83/lb molybdenum. Stockpiled

material costs (during the pre -production period) have been excluded from the C1 cash cost and included in the pre -

production capital cost.

Economic Analysis Results

The PEA highlights an after-tax NPV8% of $2,703 million corresponding to an IRR of 18.5% and a 5.2-year payback period.

Assumptions, including commodity pricing used as part of the economic analysis is outlined in Table 6 below:

Table 5) Commodity Price Assumptions

Pricing Assumptions

Copper $/lb 4.90

Molybdenum $/lb 25.40

Silver $/oz 45.30

Table 6) Sensitivity to Copper and Molybdenum Prices, Capital Cost and Operating Cost

Copper Price Sensitivity

-25% Base Case +25%

After-Tax NPV8% $2,101 $2,703 $3,286

IRR 16.0% 18.5% 20.8%

Payback 6.2 5.2 4.4

NPV to Initial Capex 0.88 1.14 1.38

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