# MDA

Source Brief: https://evesgoldminers.com/research/source-briefs/eloro-resources-ltd-mda-4c8ee9a9
Original source: https://elororesources.com/site/assets/files/6876/eloro_q1_2027_md_a_file_copy.pdf
EGM generated: 2026-09-27
Company: Eloro Resources Ltd. (ELO)

## Use Note

This is the Eve's Gold Miners normalized Markdown copy of an official or regulatory public source. It is provided for readability, search discovery, and research resilience. The original source remains authoritative for legal, regulatory, and investment decisions.

## Extracted Document Text

# MDA

Source: https://elororesources.com/site/assets/files/6876/eloro_q1_2027_md_a_file_copy.pdf
Fetched: 2026-09-12T07:01:38.433+00:00
Source artifact: 4c8ee9a9-99a7-4349-91bf-230dd0c4d197
Normalizer input: text

## Content

# MDA
Eloro Resources Ltd.
Management's Discussion and Analysis
This Management’s Discussion and Analysis (“MD&A”) provides discussion and analysis of the financial condition and
results of operations of Eloro Resources Ltd. (the “Company”) for the 3 months ended June 30, 2026 and should be read
in conjunction with the condensed interim consolidated financial statements and the accompanying notes.
The MD&A is the responsibility of management and is dated as of August 12, 2026.
All dollar amounts in the MD&A are stated in Canadian dollars unless otherwise indicated.
Additional information relating to the Company is available on SEDAR+ at www.sedarplus.ca and the Company’s website
at www.elororesources.com.
Forward-Looking Statements
This MD&A may contain, without limitation, statements concerning possible or assumed future operations, performance or
results preceded by, followed by or that include words such as “believes”, “expects”, “potential”, “anticipates”, “estimates”,
“intends”, “plans” and words of similar connotation, which would constitute forward-looking statements. Forward-looking
statements are not guarantees. The reader should not place undue reliance on forward-looking statements and information
because they involve risks and uncertainties that may cause actual operations, performance or results to be materially
different from those indicated in these forward-looking statements. The Company is under no obligation to update any
forward-looking statements contained herein should material facts change due to new information, future events or other
factors. These cautionary statements expressly qualify all forward-looking statements in this MD&A.
See page 8 for Material assumptions and risk factors for forward-looking statements.
The Company
The Company is a Canadian-based exploration and development company with a silver-tin polymetallic property in Bolivia
and a gold-silver property in Peru.
The Company is a reporting issuer in Ontario, Alberta, British Columbia, Manitoba, Saskatchewan, Nova Scotia, New
Brunswick, Prince Edward Island and Newfoundland and Labrador and its common shares are listed for trading on the
Toronto Stock Exchange (“TSX”) under the symbol ELO, on the OTCQX under the symbol ELRRF, and on the Frankfurt
Stock Exchange under the symbol WKN 909833.
Overall Performance
Status of use of available funds for March 6, 2026 Listed Issuer Financing Exemption offering (to August 12, 2026)
Available funds $
Amount raised by the offering 17,000,360
Selling commissions and fees (1,020,000)
Offering costs (295,000)
Net proceeds 15,685,360
Working capital as at January 31, 2026 9,248,819
24,934,179
Proposed Actual
Use of funds $ $
Continued exploration and development of the Iska Iska Project through up to 40,000 m of 16,000,000 1,390,869
drilling
Studies 1,000,000 316,338
General corporate purposes 2,985,000 1,741,250
Other corporate purposes 340,000 340,000
Option payment advance – 413,130
Working capital1 4,609,179 20,732,592
24,934,179 24,934,179
1. Proposed and actual working capital representing excess capital that will remain available to the Company for future use and includes proposed and
actual working capital from the September 4, 2025, Listed Issuer Financing Exemption offering.
Subsequent to March 6, 2026, the Company received $999,951 on the exercise of 556,284 warrants.
Option payment advance
On July 29, 2020, the Company granted a 2% interest in its wholly-owned Bolivian subsidiary, Minera Tupiza, to an officer
of Minera Tupiza. The Company has an option to increase its interest in Minera Tupiza to 99% by purchasing a 1% interest
from the officer for US$3,000,000. The option was scheduled to expire on July 27, 2024, but was extended by mutual
agreement to July 27, 2026, and subsequently extended to July 27, 2029. As at June 30, 2026, the Company had made
option payments of US$900,000 (March 31, 2026 - US$600,000).
Investment in Cartier Silver Corporation (“Cartier”)
At June 30, 2026, the Company held 9,993,500 common shares of Cartier with a fair value of $1,299,155, representing
11.83% of the outstanding common shares of Cartier. At August 11, 2026, the Company held 11,054,500 common shares
of Cartier, representing 13.09% of the outstanding common shares of Cartier, with a fair value of $1,768,720. Cartier owns
2,602,049 common shares of the Company and has three directors who are also directors of the Company.
Grant of stock options
On April 2, 2026, the Company granted 2,200,000 stock options to directors, officers, and consultants, with each stock
option entitling the holder to purchase one common share for $1.92 until April 2, 2031.
Cancellation of stock options
On May 1, 2026, the Company cancelled 200,000 stock options to consultants that entitled the holders to purchase one
common share for $3.30 until February 2, 2028.
Iska Iska
The Company owns a 98% interest in Minera Tupiza which holds a 99% joint venture interest and 100% economic
participation and operational control in Iska Iska, a polymetallic property consisting of one mineral concession totaling 900
hectares located in Bolivia. The Company also has an option to increase its interest in Minera Tupiza to 99% (see page 2,
Option payment advance).
In addition, the Company has 19 staked claims (March 31, 2026 - 8 claims) covering 488.25 km2 (March 31, 2026 - 292.5
km2). The Company has submitted applications for the staked claims in accordance with Bolivian mining laws and
regulations. Applications are pending for staked claims covering 112.75 km2 and a Prospecting and Exploration Licence is
pending for staked claims covering 375.50 km2.
Iska Iska is located in the Sud Chichas Province of the Department of Potosi, southern Bolivia, approximately 48 kilometres
(“km”) north of Tupiza city. The project can be classified as a major silver-tin polymetallic porphyry-epithermal complex
associated with a Miocene possibly collapsed/resurgent caldera, emplaced on Ordovician age rocks with major breccia
pipes, dacitic domes and hydrothermal breccias. The caldera is 1.6km by 1.8km in dimension with a vertical extent of at
least 1 km. Mineralization age is similar to Cerro Rico de Potosi and other major deposits such as San Vicente, Chorolque,
Tasna and Tatasi located in the same geological trend. Geological mapping and diamond drilling suggest that the potential
strike length of the entire Iska Iska system may be as much as 4km, the width up to 2km, with a depth extent of 1km or
more.
Figure 1: Location Map – Iska Iska Silver-Tin Polymetallic Property, Bolivia
2
The Iska Iska silver-tin polymetallic project is a road accessible, royalty-free property, wholly controlled by the Company,
located 48 km north of Tupiza city, in the Sud Chichas Province of the Department of Potosi in southern Bolivia. The
Company has a 99% joint venture interest and 100% economic participation and full operational control in Iska Iska.
Iska Iska is a major silver-tin polymetallic porphyry-epithermal complex associated with a Miocene possibly
collapsed/resurgent caldera, emplaced on Ordovician age rocks with major breccia pipes, dacitic domes and hydrothermal
breccias. The caldera is 1.6km by 1.8km in dimension with a vertical extent of at least 1km. Mineralization age is similar to
Cerro Rico de Potosí and other major deposits such as San Vicente, Chorolque, Tasna and Tatasi located in the same
geological trend.
Since the start of diamond drilling on Iska Iska on September 13, 2020, the Company has completed 118,467 metres of
diamond drilling in 182 holes as of August 12, 2026. In 2025 and 2026, drilling was focused on resource definition in the
major Santa Barbara target zone. The breakdown of drilling completed by target area as of August 12, 2026, is as follows:
Target Area Date Commenced Date Completed No. of Holes Total Metres
Huayra Kasa Breccia Pipe September 13, 2020 November 11, 2020 13 2,895
Santa Barbara Breccia Resource
Definition Drilling Zone November 13, 2021 In progress 134 89,459
Central Breccia Pipe March 1, 2021 August 8, 2021 11 7,473
Porco Breccia Pipe April 16, 2021 May 4, 2022 12 9,508
Casiterita February 25, 2023 May 15, 2023 8 5,727
Porco-Mina 2 February 6, 2023 March 9, 2023 4 3,405
182 118,467
On April 2, 2026, the Company announced an updated mineral resource estimate (“Updated MRE”) for the Iska Iska Project
prepared by Micon International Limited (“Micon”). The Updated MRE outlines an Indicated Category of 85.17 million tonnes
grading 40 g/t Ag, containing 109.53 million ounces of silver, 1.03 million tonnes zinc grading 1.21% Zn, 0.60 million tonnes
of lead grading 0.71% Pb and an Inferred category of 945.43 million tonnes grading 8.5 g/t Ag, containing 248.60 million
ounces silver, 4.72 million tonnes zinc grading 0.47% Zn, 1.50 million tonnes lead grading 0.16% Pb, 290,000 tonnes tin
grading 0.03% Sn and 1.21 million ounces gold grading 0.04 g/t Au. The results confirm the significant scale and mineral
endowment of the Iska Iska Project, with substantial resources defined in both the Indicated and Inferred categories.
On July 7, 2026, the Company announced the commencement of its expansion drilling program, which is focused on
upgrading and expanding higher grade Silver-Tin (Ag-Sn)-Polymetallic mineralization. The drilling campaign comprises
40,000m of diamond drilling in approximately 75 holes. Initially, 35 holes totalling 18,250m will be drilled, followed by
approximately 40 holes totalling 21,750m. The expansion drilling program aims to define the full extent of the mineralized
system, which has a major influence on overall grade and resources for the planned Preliminary Economic Assessment
("PEA"). The Company’s drilling contractor, Major Drilling Group International Inc. (“Major Drilling”) has mobilized two
diamond drill rigs to the Iska Iska Project, with a third rig expected to be added at a later date. To date, the first drill hole
(DSB-94) has been completed to a final depth of 400 metres and samples have been submitted for laboratory analysis, with
assay results expected by the end of August 2026. Drilling is currently underway on holes DSB-95 and DSB-96.
The geological and engineering team continues to advance the planned PEA. In addition to the expansion drilling program,
the Company is conducting topographic surveys of roads and areas of interest to support mine planning and the
identification and placement of key mining infrastructure. Advanced hydrogeological studies are also underway to assess
water availability for future mining operations. Metallurgical testing of core sample rejects has been conducted at the Faculty
of Engineering (FNI) and SPECTROLAB, both in Oruro, Bolivia, to evaluate the metallurgical response of silver and tin using
various processing methods and techniques. In parallel, the environment, health and safety division continues to advance
strategic environmental initiatives to support current and future operations.
Technical documentation is being prepared for the ongoing drilling activities, which are currently covered by a valid
Environmental License. However, the Company has identified the need to update this license to reflect the new exploration
and drilling programs planned for the current operational phase. Additionally, the 2025 Annual Environmental Monitoring
Report (IMA) has been completed, providing the technical documentation required to record the activities undertaken and
support the continuity of the Company's environmental management and permitting processes.
Furthermore, mineralogical studies of selected Iska Iska samples are being conducted at laboratories in Europe and Asia
under the supervision of the Company’s advisor, Prof. Dr. Bernd Lehmann. Detailed geological mapping was completed in
areas ad

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