Paragon Advanced Labs converts debt to equity

Toronto, Ontario--(Newsfile Corp. - June 12, 2026) - Paragon Advanced Labs Inc. (TSXV: PALS) ("Paragon" or the "Company"), a provider of innovative analytical technologies to the global mining industry, today announced that it has agreed to settle outstanding indebtedness, through the issuance of common shares of the Company (the "Debt Settlement"). Under the Debt Settlement, the Company will settle the face value of USD $2,000,000 together with accrued amounts of the secured promissory note issued in connection with the Paragon Geochemical acquisition, through the issuance of 1,356,135 common shares at a deemed price of C$2.42 per share. The conversion is being completed at the election of the creditor.

Following the completion of the Debt Settlement (including existing common shares held), the creditor will hold approximately 6% of the Company's issued and outstanding common shares. "This proposed transaction further aligns a significant shareholder with our business and the reduction in debt removes a key balance sheet risk," said Peter Shippen, Chief Executive Officer of Paragon. The Debt Settlement remains subject to the acceptance of the TSX Venture Exchange and to compliance with applicable securities laws.

About Paragon Advanced Labs Inc. Paragon Advanced Labs Inc. (TSXV: PALS) is a geochemical analytical testing company building a network of laboratories equipped with Chrysos PhotonAssay™ technology to address structural bottlenecks in drill-sample processing. Through a hub-and-spoke network across key North American mining jurisdictions, Paragon provides fast, accurate, and environmentally responsible assay services to mining and exploration clients, generating recurring, volume-based revenue across the resource exploration cycle. ON BEHALF OF THE BOARD OF DIRECTORS OF PARAGON ADVANCED LABS INC. Peter Shippen Chief Executive Officer and Director Paragon Advanced Labs Inc. For more information, contact: Peter Shippen, Chief Executive Officer and Director Email: peter.shippen@paragongeochem.com Forward-Looking Statements This news release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation.

Forward-looking statements are based on expectations, estimates and projections as of the date of this news release and are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this release may include, but are not limited to, statements regarding the Company's plans, business objectives, strategy, financial or operational performance, exploration or development programs, future market conditions, and other future events or conditions. Forward-looking statements are often identified by words such as "anticipate," "believe," "expect," "estimate," "intend," "may," "plan," "project," "should," "will," and similar expressions.

These statements are not guarantees of future performance and involve risks and uncertainties, including those described in the Company's public filings available under its profile on SEDAR+. Readers are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly, are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. Neither the TSXV nor its Regulation Services Provider (as the term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/301275 Newsfile Corp. June 12, 2026 - 5:45 AM PDT News by QuoteMedia www.quotemedia.com