Entrée Resources Ltd. (TSX:ETG,OTC:ERLFF; OTCQB:ERLFF the "Company" or "Entrée") provides an update on matters pertaining to the Shivee Tolgoi and Javkhlant mining licenses (the "JV Licenses") held by Entrée LLC on behalf of the EntréeOyu Tolgoi joint venture participants in Mongolia.
Parliamentary Temporary Oversight Committee
As previously disclosed by the Company, on July 2, 2025, the Parliament of Mongolia approved Resolution No. 62 to establish a Temporary Oversight Committee to conduct a special investigation related to the protection of Mongolia's interests and the enhancement of benefits derived from the exploitation of the Oyu Tolgoi strategic group of deposits. The scope of the special investigation includes conducting oversight and inspection in connection with determining the State's ownership interest and percentage, based on the established reserves and valuation of the JV License areas, as well as other relevant documents. The Company supported the activities of the Temporary Oversight Committee by submitting thousands of pages of requested documents in a timely manner and participating in numerous inspector meetings and discussions.
The Temporary Oversight Committee held a three-day public hearing in the first half of December. Approximately 300 witnesses received summons, including former Mongolian Prime Ministers, Presidents, and Ministers, as well as current and former representatives of Rio Tinto and the Company's joint venture partner Oyu Tolgoi LLC ("OT LLC"). Stephen Scott, the Company's President and Chief Executive Officer, attended the December 8 hearing on matters related to the JV Licenses to answer questions on behalf of Entrée. The December 10 and 12 hearings focused on OT LLC's 2011 Amended and Restated Shareholders' Agreement. The Company understands from media reports that on December 19, 2025, the Temporary Oversight Committee reported its findings and submitted a draft resolution to Parliament. The draft resolution was returned to the Parliamentary Standing Committee on Economics for further consideration before it is resubmitted to Parliament for debate.
Government Working Group
As previously reported by the Company, the Prime Minister of Mongolia by Order No. 73 dated August 22, 2025 established a renewed working group (the "Government Working Group") led by the Minister of Industry and Mineral Resources to negotiate the State's interest in the area of the JV Licenses. The Company received official notice of the formation of the Working Group on September 18, 2025, and on October 17, 2025, the Company responded to a request from the Minister of Industry and Mineral Resources to advise the Working Group of the composition of the Company's negotiating team. A preliminary meeting between the Company and the Government Working Group was held in Ulaanbaatar on December 10, 2025, and negotiations are expected to commence shortly. The Company will work closely with its joint venture partner OT LLC and the Government Working Group to ensure State participation in the area of the JV Licenses is resolved in a mutually beneficial manner in accordance with applicable laws. OT LLC has an 80% (or 70% depending on the depth of mineralization) economic interest in the area of the JV Licenses and has the exclusive right under the Entrée/Oyu Tolgoi Joint Venture Agreement and the Oyu Tolgoi Investment Agreement to construct and operate infrastructure, conduct mineral exploration, and conduct the operations of mining and processing in the area of the JV Licenses.
Administrative Court Claim
During the third quarter 2025, Entrée LLC filed a claim with the Administrative Court of Mongolia seeking an order for the Mongolian tax authority to review and confirm the calculations of values of the JV Licenses in accordance with applicable laws of Mongolia. Taxes must be paid before the documentation necessary to affect the transfer of the JV Licenses to OT LLC may be submitted to the Mineral Resources and Petroleum Authority of Mongolia for registration. The Court hearing is expected to be scheduled shortly.
ABOUT ENTRÉE RESOURCES LTD.
Entrée Resources Ltd. is a Canadian mining company with a unique carried joint venture interest on a significant portion of one of the world's largest copper-gold projects – the Oyu Tolgoi project in Mongolia. Entrée has a 20% or 30% carried participating interest in the Entrée/Oyu Tolgoi joint venture, depending on the depth of mineralization. Royal Gold, Inc. (through its subsidiary International Royalty Corporation) and Rio Tinto are major shareholders of Entrée, holding approximately 24% and 16% of the shares of the Company, respectively. More information about Entrée can be found at www.EntreeResourcesLtd.com.

Published Date:2025-12-23