Joint Letter from the Executive Chairman and CEO
Dear Shareholders,
This year has marked a significant milestone for Defense Metals Corp. as we have actively progressed the Wicheeda Rare Earth Project. Our achievements have not only reinforced our leadership and governance structure but have also significantly strengthened our financial standing. With the global demand for secure rare earth supplies on the rise, we have strategically positioned ourselves to meet these growing needs.
In 2025, we took considerable steps to enhance our leadership by officially appointing Mark Tory as President and CEO. Alongside, we fortified our Board and senior management team, bringing in individuals with deep expertise in technical, financial, and corporate development. This team is dedicated to steering the company toward fulfilling our long-term visions effectively.
A major achievement this year was completing the Pre-Feasibility Study (PFS) of the Wicheeda Project. This study has confirmed Wicheeda as the foremost undeveloped rare earth project in both North America and Europe boasting proven mineral reserves. This pivotal finding underlines the project’s vital role in the global rare earth supply landscape. Looking ahead, we will soon embark on a Definitive Feasibility Study (DFS), with plans to initiate it in early 2026.
To fuel the progress of our projects, we successfully closed several private placement financings during the year, including a particularly successful C$16.2 million financing. These funds have bolstered our financial framework and provided essential resources for metallurgical optimization, extensive engineering studies, and other critical technical projects related to the Wicheeda Project.
What’s remarkable about these financings is the robust participation from insiders, including board members and additional senior leadership who invested alongside institutional investors. The commitment of our Executive Chairman, who increased his stake through significant open-market purchases, further endorses our strategy, reflecting strong confidence in our trajectory and a dedication to aligning closely with our shareholders.
This year also saw us make significant strides in our interactions with Indigenous partners and governmental authorities. The unwavering support from the McLeod Lake Indian Band, combined with constructive discussions with federal and provincial officials, has remained essential to our approach for responsible project development. Notably, we received a Letter of Interest from Export Development Canada (EDC) for potential financing of up to US$250 million, pending standard conditions.
As we transition to 2026, Defense Metals is precisely positioned to push forward with the Wicheeda Project's next stages. We are eager to explore strategic partnerships and offtake agreements while maintaining disciplined management of our capital resources. The achievements of the past year lay an essential foundation for creating long-term value for our stakeholders, and we are excited about the possibilities ahead.
We express our heartfelt gratitude to our shareholders for your continued trust and support as we advance one of North America’s most strategically significant rare earth projects.
Sincerely,
Guy de Selliers
Executive Chairman
Mark Tory
President and Chief Executive Officer
Defense Metals Corp.
About Defense Metals Corp. and Its Wicheeda Rare Earth Project
Defense Metals Corp. is committed to developing its wholly owned Wicheeda Rare Earth Element mineral deposit, which is strategically located for accessibility and proximity to essential infrastructure. The Wicheeda Project is situated approximately 80 kilometers northeast of a significant urban center and is well-connected via a paved highway, as well as an all-weather gravel road. The site benefits from nearby power resources, including hydroelectric capability, gas pipelines, reliable rail services, and the port facilities at Prince Rupert.
Frequently Asked Questions
What key developments occurred for Defense Metals in 2025?
In 2025, Defense Metals made significant progress on the Wicheeda Rare Earth Project, including completing a Pre-Feasibility Study and enhancing leadership structures.
How did Defense Metals engage with its shareholders and stakeholders?
The Company fostered positive relationships with Indigenous partners and employed robust dialogue with governmental bodies, demonstrating its commitment to responsible development.
What was the financial outcome of Defense Metals' recent activities?
The Company completed several successful financings, securing C$16.2 million aimed at advancing the Wicheeda Project and supporting technical studies.
What role does the Wicheeda Rare Earth Project play in the market?
The Wicheeda Project is recognized as a critical asset in the rare earth supply chain due to its proven mineral reserves, positioning it uniquely in the North American and European markets.
What is the company's outlook for 2026 and beyond?
Defense Metals is focused on advancing the Wicheeda Project, exploring strategic partnerships, and maintaining disciplined capital management to create long-term value.
