Announcement • Jul 11
Riverside Resources and Questcorp Complete Geophysics Programs and Continue Drilling At La Union Project Riverside Resources Inc. announced, with partner Questcorp Mining Inc., the completion of expanded geophysical programs linked to the current drilling at the La Union Project, Sonora, Mexico. The programs included an aeromagnetic drone survey and an Induced Polarization ground geophysics survey. The aeromagnetic survey has been completed, and the processed data has now been received and can be integrated into the ongoing summer core drilling program at La Union. The Induced Polarization ground survey has also been completed, with processed results expected soon; this data will build on current drill targets and is anticipated to identify expansions and additional targets, consistent with the robust First Half 2026 exploration efforts at the project. The geophysics can potentially be applied immediately to the active drill program, which has so far focused on three areas: Union, Union North, and Jabali. The Induced Polarization data covering these areas is being used to interpret results from completed drilling and to expand targets, extending the potential for drilling along strike and at depth. Initial work had generally relied on surface mapping, geochemistry, and past mine activity as a guide. This more robust and expansive geophysical dataset helps place Union's discovery potential in a larger regional context, similar to major deposits in Arizona and Sonora where these tools have proven effective at that scale. The completed Induced Polarization survey consists of 5 lines, which integrate with the magnetic data to define both current drill targets and broader targets. The Induced Polarization lines cross over the current drilling, providing context for how the drilling fits into the larger target framework and allowing for expansion. Similarly, the aeromagnetic data defines structures, with targets particularly common along the NE and NW-trending structures, where feeder fault zones are currently being drilled. The Union Project is located in northwestern Sonora and shows district-scale carbonate replacement deposit mineralization. The project hosts historical mining areas and multiple exploration targets associated with gold, silver, zinc and lead mineralization within carbonates and structurally controlled settings. Riverside operates the project through its Mexican subsidiary while advancing exploration in partnership with Questcorp. New Risk • Jun 23
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -CA$4.1m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$4.1m free cash flow). Earnings have declined by 77% per year over the past 5 years. Shareholders have been substantially diluted in the past year (62% increase in shares outstanding). Revenue is less than US$1m. Market cap is less than US$10m (CA$10.3m market cap, or US$7.23m). Minor Risk Share price has been volatile over the past 3 months (15% average weekly change). New Risk • May 13
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: CA$13.7m (US$9.99m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 82% per year over the past 5 years. Shareholders have been substantially diluted in the past year (80% increase in shares outstanding). Revenue is less than US$1m. Market cap is less than US$10m (CA$13.7m market cap, or US$9.99m). Minor Risk Share price has been volatile over the past 3 months (15% average weekly change). 
