Entrée Resources Ltd. (TSX:ETG; OTCQB:ERLFF – the “Company” or “Entrée”) today issued the following letter to shareholders from Chris Adams, President and CEO.
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Ltd. → issue → Adams
Since my appointment as President and CEO in July, I have been focused on building personal relationships with many of our larger shareholders, our Joint Venture partner, and other key stakeholders.
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I → focus → shareholders
Most importantly, I traveled to Mongolia at the start of September to personally see our interest in the Oyu Tolgoi copper-gold project and to meet Entrée’s Mongolian employees as well as in-country representatives of Rio Tinto and Oyu Tolgoi LLC, the Minister of Industry and Mineral Resources, and certain leaders in the business community.
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I → travel → community
We also welcomed an experienced new director to our Board in August following Stephen Scott’s retirement.
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With this important groundwork completed, I would like to take the opportunity to introduce myself, update you on recent developments, and give you a preview of several initiatives that we have underway at Entrée.
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we → complete → Entrée
Before I begin, on behalf of the Board of Directors and our teams in Vancouver and Ulaanbaatar, I would like to convey our deepest sympathies to the family and friends of our former President and CEO, Stephen Scott, who passed away suddenly earlier this month.
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who → begin → President
Steve was a valued colleague and friend, and he will be greatly missed.
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he → miss → ?
For those shareholders I haven’t yet had the pleasure to meet I’d like to introduce myself and provide some insight as to how I became involved with Entrée.
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I → have → Entrée
I joined the Board and the Audit Committee as an independent director in January 2026, when Dr. Michael Price retired after many years of service.
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Price → join → service
Prior to this I spent over 30 years working for CIBC Capital Markets and Macquarie Group in all aspects of mining finance including equity research, equity capital markets, mergers and acquisitions, debt finance and investing in growth-stage mining companies.
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I → spend → companies
I was initially attracted to Entrée for its carried interest in a portion of the world-class Oyu Tolgoi copper-gold project managed by Rio Tinto, the potential for near-term production on the Joint Venture property, and Entrée’s experienced Board and management team.
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I → attract → property
Following the announcement in May of Steve’s upcoming retirement, I had the honor of being selected by the Board to lead the management team at the head office in Vancouver, working alongside a group of dedicated professionals.
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I → follow → professionals
As CEO, I remain focused on engagement with Oyu Tolgoi project stakeholders and the Government of Mongolia in order to finish the work Steve started.
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Steve → remain → work
Resolution of outstanding issues to enable the resumption of Hugo North Extension Lift 1 underground mining would mark a pivotal moment in Entrée’s 25-year history, unlocking value for Entrée shareholders and the people of Mongolia alike.
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Resolution → enable → Mongolia
Source: Entrée Resources – Sept 2026
Recent Board Refreshment Initiatives
Entrée has a robust Board refreshment program in place to ensure the collective skill set possessed by its members meets the evolving needs of the Company.
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set → have → Company
In August, Sarah Strunk was appointed to the Board as an independent director.
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Sarah has served on the board of international copper producer Teck Resources since 2022 and was a director of Arizona Sonoran Copper until its acquisition in June 2026 by Hudbay Minerals in an all-share transaction valued at approximately US$1.5 billion.
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Sarah → serve → billion
Sarah is also a highly accomplished business and finance lawyer with extensive experience in the mining industry, serving as a director and shareholder of the law firm Fennemore Craig, P.C. based in their San Diego office.
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Sarah → serve → office
Richard Williams, who was elected as a director at our 2026 Annual General Meeting of shareholders held in June, is also a valuable addition to our Board.
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who → elect → Board
Richard is a geologist by training and brings extensive experience acquired over a 35-year career with exploration and development companies in both emerging and developed jurisdictions.
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Our Board, with its great balance of retained institutional knowledge possessed by our Chair, Alan Edwards, and other longer tenured directors, complemented by the fresh voices and perspectives brought by Sarah, Richard and me, is well-positioned to guide Entrée forward.
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Board → retain → Entrée
Visit to Mongolia
One of my immediate priorities as the new President and CEO was to visit Mongolia and the Oyu Tolgoi project in order to spend time with our valued employees, Joint Venture partner and project stakeholders in-country, and to gain a more detailed and holistic understanding of the interest we hold in this world-class asset.
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we → visit → asset
In early September, Oyu Tolgoi LLC hosted me and our CFO, Duane Lo, on a site visit to see the project and meet their management team.
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LLC → host → team
We were impressed with the scale, efficiency, and longevity of the operations, and the expertise of their people.
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In addition to the site visit, we also held productive meetings with other project stakeholders and local business leaders in Ulaanbaatar, including the Mongolian Minister of Industry and Mineral Resources and our in-country advisors.
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we → hold → country
key part of our in-country community engagement is our commitment to fund scholarships for students studying mining related programs at three of Mongolia’s leading universities.
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part → fund → universities
A very gratifying part of the trip was visiting two of the universities to meet their faculty leaders and to hear about the positive impact our scholarship program has had on the students and the country.
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program → visit → students
Representatives of Entrée and Mongolia University of Science & Technology, where Entrée provides scholarships.
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Entrée → provide → scholarships
Source: Entrée Resources Ltd. files May 2024 and Sept 2026
Updated Technical Report
We are targeting Q1 2027 for completion and release of a technical report discussing Oyu Tolgoi LLC’s updated resource model for Hugo North Extension Lifts 1 and 2.
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We → update → Lifts
The update follows significant Lift 2 in-fill drilling and other work undertaken since 2022 on the Joint Venture property.
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update → follow → property
Oyu Tolgoi LLC has advised us that an updated Lift 1 underground mine plan and production schedule, which will be incorporated into our technical report, are expected to be completed in Q4 2026.
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which → advise → Q4
The updated technical report will also use current costs and forecast metal prices that reflect today’s market environment (compared to an assumed copper price of US$3.25/lb and a gold price of US$1,591/oz used in the 2021 report) allowing investors to better understand the potential value of our interest in Hugo North Extension Lift 1.
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investors → update → Lift
The technical report will include a new resource estimate for Hugo North Extension Lift 2, where in-fill drilling designed to support a feasibility study has increased the level of resource confidence.
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drilling → include → confidence
Our QPs continue to review and validate data as it is received from our Joint Venture partner.
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it → continue → partner
We continue to engage with the Government of Mongolia in cooperation with our Joint Venture partner and our respective advisers.
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In June, the Joint Venture partners updated the valuation calculations for the licenses and paid the license transfer tax to the Mongolian tax authority in accordance with applicable laws.
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partners → update → laws
The parties continue to engage with the Mongolian tax authority to obtain the tax payment certificate required to be submitted to the Mineral Resources and Petroleum Authority of Mongolia for registration of the transfer of the licenses.
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parties → continue → licenses
We note reports that Rio Tinto CEO Simon Trott was in Mongolia in September to formalize an agreement to lower the management fees and shareholder loan interest rate in the 2011 Oyu Tolgoi Amended and Restated Shareholders Agreement.
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Trott → note → Agreement
Rio Tinto also reaffirmed its commitment to work with the Government of Mongolia towards a dividend for both Oyu Tolgoi LLC shareholders (Rio Tinto and State-owned Erdenes Oyu Tolgoi LLC) in 2027.
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Tinto → reaffirm → 2027
Rio Tinto had publicly announced on June 30 its agreement to work together with the Government of Mongolia to bring forward distributions to shareholders, as well as to resolve matters relating to the Joint Venture license areas in a timely manner.
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Tinto → announce → manner
…and 15 more, not listed.
The Aporia
