MONTE ORO RESOURCES & ENERGY, INC.

Monte Oro Resources & Energy, Inc. (MOREI) has projects in oil and gas, mining, and solid waste management, both locally and abroad.

MOREI is a wholly-owned subsidiary of APX.

2024 ANNUAL REPORT

Monte Oro Resources & Energy, Inc. (MOREI), a wholly-owned subsidiary of APX, has projects in oil and gas, mining, and solid waste management, both locally and abroad.

Mining

Paracale Gold Limited (PGL), through its subsidiary, Bulawan Mineral Resources Corporation (BMRC), oversees eight (8) mining tenements — both directly and thru a Royalty Agreement with Option to Purchase (RAWOP) arrangements. These tenements are located across different areas of Jose Panganiban, Paracale, and Labo in Camarines Norte.

In November 2024, the two tenements — EP-006-2008-V and EP-007-2008-V —were granted the second renewal. Additionally, four (4) other tenements — EXPA-000102-A-V, EXPA-000237-V, EXPA-000251-V, and EXPA-000253-V — were endorsed to the Mines and Geosciences Bureau (MGB) Central Office for final evaluation before their conversion into Exploration Permits. BMRC has yet to secure area clearance from the Tourism Department for tenement EXPA-0000254-V prior to its conversion.

Also in November 2024, EXPA-000236-V (formerly APSA-0020), where the CRPI Gold Processing Plant site is located, was reinstated to BMRC and is expected to undergo conversion process into

Exploration Permit

Meanwhile, Coral Resources Philippines, Inc. (CRPI) which owns and operates a Mineral Processing Plant, pursued the issuance of a Mineral Processing Permit (MPP) by the MGB Regional Office V, following approval of the required Environmental Protection and Enhancement Program (EPEP), Final Mine Rehabilitation and Decommissioning Plan (FMRDP), Social Development and Management Program (SDMP), and Feasibility Study.

PGL has likewise authorized small-scale mining activities within EXPA-000236-V through a Minahang Bayan declaration, with Mambulao Miner Mining & Quarrying Services (MMMQS) as proponent. With the approval of their Small-Scale Mining Contract and Environmental Compliance Certificate (ECC) in November 2024, MMMQS, with PGL’s assistance, has embarked on the conduct of mining activities.

Service Contract 72

MOREI has a 30% participating interest in Service Contract 72 (SC 72), located in the Recto Bank, West Philippine Sea. SC72 has an area of 8,800sq. kms. (880,000 Hec.) which contains the Sampaguita Gas Field along with a number of exploration leads and prospects. Forum (GSEC 101) Ltd. (Forum) holds the remaining 70% participating interest and is the operator of the SC.

The Service Contract remains under Moratorium in 2024. In April 2022, the exploration activities had to be stopped upon orders of the Philippine government, again due to geopolitical issues involving the area. While the consortium has expressed its readiness to drill the commitment wells, the government approval of the same has yet to be secured.