Initial Bitcoin purchase into Treasury

Gem Resources Plc (LSE: GEMR), the emerald mining and development company with operations in South Africa and Australia, announces that it has completed its first allocation into Bitcoin under its Cryptocurrency and Digital Asset Treasury Policy (the "Policy").

As at 6 February 2026, the Company's wholly owned subsidiary, Gem Resources Hong Kong Limited ("GEMR HK"), has acquired an aggregate of:

• 9.00000000 Bitcoin ("BTC") for total execution consideration of approximately US$633,200.00, excluding trading fees of approximately US$1,484.60. Including trading fees, the total cash outlay was approximately US$634,684.60.

The BTC purchases were executed through multiple individual trades on on HashKey Exchange, a regulated digital asset trading platform in Hong Kong, at a volume weighted average execution price, excluding fees, of approximately US$70,355.56 per BTC, and an all in average acquisition price, including fees, of approximately US$70,520.51 per BTC.

This initial Bitcoin allocation has been funded entirely from existing Group cash resources. To date, all acquisitions under the Policy have been Bitcoin and no other digital assets have yet been acquired. The board of the Company will continue to review the capital adequacy parameters of the cash reserves for the Company to ensure that sufficient working capital for its near-term costs are held in cash.

Summary of the Policy

The Board formally approved and adopted the Policy, which was announced on 9 October 2025, to provide a defined framework for the holding and use of cryptocurrencies within GEMR's treasury and commercial operations.

In summary:

• Purpose - Cryptocurrencies, led by Bitcoin, may be used as a treasury asset and, where appropriate, as a form of settlement for emerald sales with approved counterparties. Fiat currencies, principally GBP and USD, will continue to be used to meet the Group's operating, payroll and listing obligations.
• Assets and allocation - Initial approved assets include Bitcoin (BTC), Ethereum (ETH) and Solana (SOL). Unless otherwise resolved by the Board, at least fifty per cent of GEMR's crypto treasury holdings will be maintained in Bitcoin, with any balance allocated to other approved assets, in accordance with the Policy.
• Operating structure - GEMR HK acts as the operational hub for crypto activities, including interaction with regulated exchanges such as HashKey Exchange, management of operational wallets, executing cryptocurrency transactions, and receipt of any crypto settled emerald sales.
• Risk management and controls - A "cold storage first" custody model, dual authorisation, whitelisted wallets (pre-approved wallet addresses) and institutional grade custodial arrangements are used, supported by a Crypto Treasury Standard Operating Procedure and the Group's Financial Position and Prospects Procedures .
• Reporting - Crypto assets will be classified and accounted for as intangible assets under International Accounting Standard 38 "Intangible Assets" at cost less any accumulated impairment losses and disclosed in the Group's financial statements where material. Detailed disclosures regarding cryptocurrency holdings, accounting policies, risk exposures, and fair value information will be provided in the Company's financial statements in due course, in accordance with International Financial Reporting Standards ("IFRS") 7 "Financial Instruments: Disclosures" and IFRS 13 "Fair Value Measurement". The Board and Audit Committee will receive regular reporting on balances, valuation and risk.

The Board regards this initial 9 BTC position as a measured commencement of the Policy, providing GEMR with direct exposure to Bitcoin while maintaining a conservative overall treasury profile. The Company will continue to review the size and composition of its crypto treasury holdings in light of market conditions and its broader capital allocation priorities, and will update the market as and when required pursuant to UK MAR, the UK Listing Rules ("UKLRs") or other applicable regulations.

Shareholders should be aware that ownership of cryptoassets, including Bitcoin, is subject to significant risks. These include, but are not limited to:

• high price volatility, which may result in substantial losses;
• regulatory uncertainty in the UK and internationally;
• exposure to fraudulent activity and the failings of service providers;
• cybersecurity threats and operational risks associated with cryptocurrency custody and transactions; and
• liquidity risks that may affect the Company's ability to convert cryptoassets into fiat currencies.

By holding cryptoassets on its balance sheet, GEMR's shareholders will have indirect exposure to these high-risk characteristics of cryptoassets. The Company's Policy is subject to regulatory developments which may materially affect the implementation or continuation of cryptocurrency activities.

No change of principal activities

The adoption and implementation of the Policy is a treasury and operational measure only. The Group's principal activities remain focused on exploration, development and mining and there is no change to the nature of GEMR's core exploration, mining and development business as a result of the initial acquisition of Bitcoin. The Board has assessed that the Policy does not constitute a fundamental change of business or a reverse takeover under UKLR 22.3, as cryptocurrency activities remain ancillary to core operations and below relevant size thresholds. If the Company were to contemplate any transaction involving cryptoassets that, when aggregated with other transactions, may amount to a reverse takeover, the Company would make the requisite announcements and, where required, seek shareholder approval in accordance with the UKLRs.

Louis Ching, Executive Chairman of GEM Resources, commented:

"We have now completed our first allocation into Bitcoin under the Cryptocurrency and Digital Asset Treasury Policy announced last year. We have been able to capitalise on the recent dip in the Bitcoin price and establish a modest, controlled position at an attractive average entry level of c. US$70,000 per BTC. This allocation has been implemented through a regulated venue in Hong Kong and is supported by our cold-storage-first and dual-authorisation controls. Our primary focus, however, remains on advancing our mining and natural resources assets to value realisation events"

The person responsible for releasing this Announcement pursuant to UK MAR is Bernard Olivier, Chief Executive Officer of the Company.