The Company holds two royalties on portions of the Lance Project, being the 4% Lance Royalty and the 1% Lance Royalty (each as defined below).

The 4% Lance Royalty

The Company acquired a royalty equal to 4.0% of the gross income from certain portions of the Lance Project (the "4% Lance Royalty") on March 5, 2019. The 4% Lance Royalty is equal to 4.0% of the gross income from the underlying property without any deduction, provided that such royalty cannot exceed 7% of the gross income from the underlying property when combined with royalties paid to the State of Wyoming. The 4% Lance Royalty does not apply to the entire Lance Project area. The Company believes that this royalty currently applies to approximately 5,586 acres of an estimated 67,500 permit acres or 8% of the currently proposed permitted area. The aggregate surface and minerals rights disclosed by Peninsula in its quarterly report for the period ended March 31, 2024, is 51,449 acres. The Company believes that the area subject to the 4% Lance Royalty represents approximately 11% of such aggregate acreage.

The 1% Lance Royalty

On April 1, 2022, the Company announced that it had acquired an additional 1% gross revenue royalty interest that covers the entirety of the current permitted Ross production area, as well as the Kendrick and Barber expansion areas of the project (the "1% Lance Royalty"). The 1% Lance Royalty is applicable to all uranium and related minerals from the Lance Project area, and the royalty is calculated based on gross sales proceeds, with no deductions for costs or expenses.

The following information regarding project milestones and recent developments for the Lance Project has been summarized from Peninsula's public disclosure.

In an announcement dated July 28, 2025, Peninsula stated that they had reset their offtake contract book, terminating five of six offtake contracts, subject to total compensation payments of US$6.6M for the termination. In Peninsula’s Quarterly Activities Report for the quarter ended October 30, 2025, Peninsula stated that yellowcake production had commenced at the operation following pre-operational inspection by the Wyoming Uranium Recovery Program. Peninsula also stated revised future production guidance of up to 50,000 pounds U₃0₈ in 2025, between 400,000 and 500,000 pounds U₃O₈ in 2026, and between 500,000 and 600,000 pounds U₃O₈ in 2026. In addition, Tees River Uranium Fund had invested A$22.5 million in the project, which represented an 18.4% undiluted ownership interest.

In an ASX release dated January 31, 2024, Peninsula announced that regulatory inspections and commissioning of the Central Processing Plant (CPP) at the Lance Uranium Project was now scheduled for the June Quarter of 2025, resulting in anticipated production of first yellowcake. In Peninsula’s quarterly activities report for its quarter ended December 31, 2024, Peninsula announced operations at the Lance Project were restarted within selected areas of Mine Unit 1 in late December 2024 after a five-year hiatus.

Peninsula provided an update on the Lance Project in an ASX announcement dated November 15, 2024. The announcement reiterated a December 2024 start up but indicated that the final CPP capital cost was projected to be US$9.5M higher than the previous estimate. Peninsula further disclosed that the Wyoming Department of Environmental Quality (“WDEQ”) has completed their technical review of the applications and has recommended approval of the Permit and the License that will allow Peninsula to conduct production operations throughout the Kendrick area.

On May 13, 2024, Peninsula announced an update to the JORC-compliant mineral resource estimate for the Lance Project. The update was based on the results of additional drilling in 2023 within the Ross and Kendrick areas of the project. The new resource states measured and indicated resource of 16.2 Mlbs U₃O₈ (14.3 million tonnes at an average grade of 0.051% U₃O₈) and an inferred resource of 41.7 Mlbs U₃O₈ (38.3 million tonnes at an average grade of 0.049% U₃O₈). The resource estimate was calculated by applying a combined constraint of a grade thickness product (GT) of 0.2 contour and 200ppm U₃O₈. The resources in the Barber area remained unchanged.

Mineralization in the area of the Lance Project was initially discovered in the 1970s. From October of 1977 to April of 1978, an ISR pilot plant was constructed and operated, but was shut down and remediated after the incident at Three Mile Island. According to publicly available information, Peninsula acquired the precursor Sundance project from PacMag Metals Limited in February of 2007. The project lands were expanded through land acquisitions in 2008 and 2009. Metallurgical testing announced in August of 2009 confirmed that the project was amenable to ISR extraction.

Between 2009 and 2015, Peninsula completed additional work to progress the project toward production, including completion of permitting and relevant studies. Production commenced at the Lance Project in December of 2015, utilizing an alkaline leach method. Peninsula has disclosed that such method presented challenges and has been exploring utilizing a mild acid (low pH) production method.

In its annual report for the year ended June 30, 2017, Peninsula disclosed that the Lance Project operated for its first full year and produced 145,000 pounds of U₃O₈. In its annual report for the year ended June 30, 2018, Peninsula disclosed that the Lance Project produced approximately 155,035 pounds of U₃O_8, and it sold 177,934 pounds of U₃O₈ from the Lance Project in the fiscal year ended June 30, 2018, at a cash sale price of US$46.73/lb. In its September 30, 2019, quarterly activities report, Peninsula disclosed that 731 pounds of U₃O₈ were recovered and 31,035 pounds of U₃O₈ were dried and drummed in the quarter.

On September 17, 2018, Peninsula announced that it had completed a JORC compliant feasibility study, which considered a low pH mining option for the project. It disclosed direct operating expenditures over the life of mine of US$15.59/lb. of U₃O₈ produced, capital expenditures to complete low pH transition of US$5.3 million, stage 2 and 3 expansion capital expenditures of US$113.4 million, life of mine all-in sustaining cost average of US$31.77/lb. of U₃O₈ produced with a break-even price of US$34.00/lb. of U₃O₈, a net present value of US$156.5 million and internal rate of return of 30%, based on a long-term average sales price assumption of US$49.00/lb. of U₃O₈. Peninsula disclosed that the study included life of mine production of 33.4 Mlbs of U₃O₈ over a 17-year mine life.

On September 17, 2018, Peninsula announced that it was seeking permitting amendments to allow for low pH mining at the project. In order to preserve resources for future low pH extraction and to reduce cash expenditures, Peninsula announced that it suspended the majority of alkaline-based production activity within one of the mining units at the Lance Project. On November 28, 2018, Peninsula announced that it received approval to advance to the review process to change to a low pH solution in the mine operations. On December 28, 2018, Peninsula further announced that it had initiated field demonstration activities related to such low pH recovery at the Lance Project.

On January 14, 2019, in its quarterly report for the three months ended December 31, 2018, Peninsula announced that production from the Lance Project during the quarter was 20,364 pounds of U₃O₈. In its annual report for the year ended June 30, 2019, Peninsula disclosed that 8,491 pounds of U₃O₈ were produced in the quarter ended June 30, 2019.

In July 2019, Peninsula announced that it had determined to idle alkaline-based production activities and focus on completion of the low pH field demonstration. In its annual report for the year ended June 30, 2020, Peninsula disclosed that a total of 5,708 pounds of U₃O₈ were captured in its 2020 fiscal year. It further disclosed that U₃O₈ captured in the December 2019 quarter was higher than other quarters during the year following the completion of reconciliations for uranium drying campaigns completed during the 2019 calendar year. This resulted in a positive reconciliation, which was recognized in the December 2019 quarter. Production in subsequent quarters was negligible.

On February 26, 2021, Peninsula announced an update on its low pH field demonstration activities at the project. It disclosed that it started operating a field demonstration in August 2020 after its trial activities in 2019, with the primary objective being to operate in an unmined area of the orebody at the project to confirm the optimal operating conditions for the project. Peninsula further announced on May 17, 2021, that the company continued refinements to the low-Ph field demonstration testing and were now seeing the results of changes instituted in April including adjustments to the well pattern and oxygenation.

On March 28, 2022, Peninsula announced that it was commencing an update to its 2018 Low-Ph ISR Feasibility Study, incorporating results and conclusions from Peninsula's technical de-risking activities, including the recently completed MU1A Field Demonstration.