Update on December contract note

Besra Gold Inc (Besra or the Company) refers to its ASX announcements dated 28 December 2023 wherein it advised that Quantum Metal Recovery Inc (Quantum) is to remit a further US$9,827,854.60 to Besra.

Besra advises that despite Quantum’s considerable efforts and confirmations that the US$9.8m will be remitted, unfortunately (as of today) these funds have not been received by Besra.

As a consequence, both parties have agreed to terminate the December 2023 contract note for the delivery by Besra to Quantum pursuant to the Gold Purchase Agreement (GPA) of 98,140 ounces of gold at a price of US$2,002.82 per ounce.

Besra confirms that the GPA has not been cancelled or terminated and that Quantum can make additional monthly payments pursuant to the GPA.

Statement from Besra’s and Quantum’s Chairman, Dato Lim

In a statement issued by Mr Dato Lim (Chairman of both Besra and Quantum) dated 16 July 2024, Mr Lim said, on behalf of Quantum:

“As Chairman of Quantum, Besra’s largest CDI holder with a holding of 30%, I take this opportunity to publicly refute the many false claims that have been published recently concerning Quantum’s financial position, viability and commitment to Besra.”

“Unfortunately, despite executing contracts with third parties for the delivery of funds to Quantum, these contracts were not honoured by the contracting parties and as such Quantum was unable to deliver to Besra the US$9.8m as agreed.”

“Having provided Besra with in excess of US$25.6 million in working capital pursuant to our Gold Purchase Agreement, as Chairman of Quantum I irrevocably confirm Quantum’s ongoing support for Besra, our commitment to the Gold Purchase Agreement and to bringing the Bau Gold Project into commercial production as quickly as possible.”