Paramount Gold Nevada Corp. SEC 10-K Report

Paramount Gold Nevada Corp., a company focused on acquiring, exploring, and developing precious metals projects in the United States, has released its Form 10-K report for the fiscal year ended June 30, 2025. The report provides a comprehensive overview of the company's financial performance, business operations, strategic initiatives, and the challenges it faces in the highly competitive mineral exploration industry.

Financial Highlights

• Net Loss: $9.05 million. The company reported a net loss for the year ended June 30, 2025, which increased by approximately 12% compared to the previous year. This increase is attributed to higher exploration and development expenses, as well as increased professional fees and directors' compensation.
• Loss per Common Share: $0.13. The loss per common share remained consistent with the previous year, reflecting the ongoing financial challenges faced by the company as it continues its exploration and development activities without generating revenue.

Business Highlights

• Business Overview: Paramount Gold Nevada Corp. is engaged in acquiring, exploring, and developing precious metals projects in the United States, with a focus on Nevada and Oregon. The company aims to enhance project value through exploration and engineering programs to expand and upgrade mineral resources into reserves.
• Key Projects: The company's material properties include the Sleeper Gold Project in Nevada and the Grassy Mountain Project in Oregon. These projects are in various stages of exploration and development, with ongoing efforts to complete technical studies and permitting processes.
• Operational Highlights: During the fiscal year ended June 30, 2025, Paramount continued its permitting activities at the Grassy Mountain Project. The State of Oregon's Technical Review Team approved the Environmental Evaluation and all components of the mining, processing, and closure scenarios for the proposed operation.
• Federal Program Inclusion: The Grassy Mountain project was selected for inclusion in the federal government's FAST-41 program, which provides comprehensive permitting timetables and collaborative management on the Federal Permitting Dashboard.
• Reclamation Activities: Paramount is responsible for managing reclamation activities at the Sleeper Gold Mine, including ongoing monitoring, stabilizing, contouring, pond conversions, and re-vegetating activities as directed by the BLM and NDEP.
• Human Capital Resources: As of June 30, 2025, the company employed four full-time employees and one consultant, with a focus on attracting and retaining talent through competitive compensation and benefits programs.
• Environmental, Social, and Governance (ESG) Commitment: Paramount is committed to integrating sustainability into its business practices, focusing on minimizing environmental impact, engaging with local communities for economic development, and implementing strong governance practices.
• Future Outlook: Paramount plans to continue its exploration and development activities, focusing on completing the permitting process for the Grassy Mountain Project and managing liquidity to support its operations. The company anticipates ongoing losses as it advances its projects towards production.

Strategic Initiatives

• Strategic Focus: Paramount Gold Nevada Corp. is focused on advancing its Grassy Mountain Project through the completion of state and federal permitting processes. The company is also engaged in exploration and development activities at its Sleeper Gold Project. Strategic initiatives include managing exploration and engineering programs to expand and upgrade known mineral resources to mineral reserves, and participating in the federal FAST-41 program to streamline permitting processes.
• Capital Management: The company has been actively managing its capital through an 'at the market' equity offering program, raising $2,356,709 in the fiscal year ended June 30, 2025. Paramount issued 4,728,165 shares under this program. Additionally, the company issued 3,845,273 shares for payment of interest on its outstanding Secured Royalty Convertible Debenture. The company has a Secured Royalty Convertible Debenture with Sprott for $15,000,000, which may be repaid in cash or converted into a royalty. The company is also managing its liquidity by maintaining a positive cash balance and working capital, and by reducing cash expenditures where possible.
• Future Outlook: Paramount expects to continue incurring losses as it advances its exploration and development programs. The company plans to fund operations through existing cash, equity financings, and the sale of royalties. It anticipates spending $2.7 million on corporate, land claim maintenance, and general expenses, and $2.0 million on completing the permitting process at the Grassy Mountain Project. The company is exploring additional financing options to support its operations and maintain its properties, with a focus on securing construction financing for the Grassy Mountain Project.

Challenges and Risks

• Competitive Industry: Paramount Gold Nevada Corp. operates in a highly competitive mineral exploration industry, facing competition from larger companies with greater financial resources.
• Regulatory Challenges: The company is subject to extensive federal, state, and local regulations, which could lead to substantial costs and delays in exploration and development activities. The company’s operations are dependent on maintaining valid mining claims and obtaining necessary permits, which are subject to regulatory changes and challenges.
• Uncertainty in Mineral Reserves: The estimation of mineral reserves and resources is imprecise and subject to significant uncertainty, which could adversely affect financial results.
• Market Volatility: The volatility of precious metals markets directly impacts revenues and profitability.
• Operational Risks: Mining operations are hazardous and pose environmental and insurance risks.
• Going Concern: The company faces substantial doubt about its ability to continue as a going concern due to significant losses and limited cash reserves. The company has not generated revenue from operations and requires significant additional capital for exploration and development.
• Property Acquisition: The industry is highly competitive, and the company may struggle to acquire quality properties. Title to mineral properties can be uncertain, posing risks of ownership loss.
• Exploration Costs: The company has no history of mining operations, and exploration costs may exceed expectations.
• Price Fluctuations: Fluctuating gold and mineral prices, along with regulatory and environmental compliance, present ongoing challenges.
• Foreign Currency Risk: The company is exposed to foreign currency exchange rate risk, primarily due to cash balances held in Canadian dollars. Interest rate fluctuations could impact the company’s cash balances, although the company does not use derivative instruments to manage these risks. The strengthening of the U.S. dollar could positively impact expenses transacted in Canadian dollars, while a weakening could increase costs.

SEC Filing: Paramount Gold Nevada Corp. [ PZG ] - 10-K - Sep. 25, 2025