s
 UNITED STATES
 SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549

 FORM 10-K

 (Mark One)

 ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 For the fiscal year ended December 31, 2024
 OR

 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO

 Commission File Number 000-30371

 (Exact name of Registrant as specified in its Charter)

 Delaware

 94-1589426

 (State or other jurisdiction of incorporation or organization)

 (I.R.S. Employer Identification No.)

 222 W. Las Colinas Blvd., Suite 1910 North Tower
 Irving, TX

 75039

 (Address of principal executive offices)

 (Zip Code)

 Registrant's telephone number, including area code: ( 972) 868-9066

 Securities registered pursuant to Section 12(b) of the Act:

 Title of each class

 Trading
 Symbol(s)

 Name of each exchange on which registered

 None

 Securities registered pursuant to Section 12(g) of the Act: Common Stock, par value $0.01 per share
 Indicate by check mark if the Registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes No
 Indicate by check mark if the Registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act. Yes No
 Indicate by check mark whether the Registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No
 Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes No
 Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

 Large accelerated filer

 Accelerated filer

 Non-accelerated filer

 Smaller reporting company

 Emerging growth company

 If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
 Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report.
 If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements.
 Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b).
 Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes no
 The aggregate market value of the voting and non-voting common equity, par value $0.01 per share, held by non-affiliates computed by reference to the price at which the common equity was last sold, as of the last business day of the registrant's most recently completed fiscal year end, December 31, 2024, was $ 15,169,091 based on the closing price of $1.00 per share as reported on the OTCQX. For purposes of this computation, all officers, directors, subsidiaries, and 10% beneficial owners of the registrant are deemed to be affiliates. Such determination should not be deemed an admission that such officers, directors or 10% beneficial owners are, in fact, affiliates of the registrant.
 There were 29,315,726 shares outstanding of each of the registrant's classes of common stock (only 1 class) as of the latest practicable date (April 4, 2025)
 DOCUMENTS INCORPORATED BY REFERENCE
 Listed below are documents incorporated herein by reference. None.

 ITEM 1.

 BUSINESS

 ITEM 1A.

 RISK FACTORS

 ITEM 1B.

 UNRESOLVED STAFF COMMENTS

 ITEM 1C.

 CYBERSECURITY

 ITEM 2.

 PROPERTIES

 ITEM 3.

 LEGAL PROCEEDINGS

 ITEM 4.

 MINE SAFETY DISCLOSURES

 ITEM 5.

 MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

 ITEM 6.

 RESERVED

 ITEM 7.

 MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 ITEM 7A.

 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

 ITEM 8.

 CONSOLIDATED FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

 ITEM 9.

 CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

 ITEM 9A.

 CONTROLS AND PROCEDURES

 ITEM 9B.

 OTHER INFORMATION

 ITEM 9C.

 DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS

 ITEM 10.

 DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

 ITEM 11.

 EXECUTIVE COMPENSATION

 ITEM 12.

 SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 ITEM 13.

 CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

 ITEM 14.

 PRINCIPAL ACCOUNTING FEES AND SERVICES

 ITEM 15.

 EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

 ITEM 16.

 FORM 10K SUMMARY

 SIGNATURES

 CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

 This report contains numerous forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") relating to our mining business, including resource estimates, exploration efforts, results and expenditures, development initiatives at the San Jose de Gracia Project, estimated production and capacity, costs, capital expenditures, expenses, recoveries, gold prices, sufficiency of assets, ability to discharge liabilities, liquidity management, financing needs, environmental compliance expenditures, environmental, social and governance ("ESG") and human capital management initiatives, risk management strategies, including capital resources and use, cash flow maximization, mine life and other strategic initiatives. Such forward-looking statements are identified by the use of words such as "believes," "intends," "expects," "hopes," "may," "should," "plan," "projected," "contemplates," "anticipates" or similar words and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward-looking information in this report includes, but is not limited to, statements regarding the beliefs, plans, expectations or intentions of management, as of the date of this presentation, regarding: (i) DynaResource, Inc.'s (the "Company") ability to develop its exploration assets via operational cash flow from gold concentrate production; and (ii) the Company's plans and expectations regarding its proposed 2025 exploration program for its San Jose de Gracia Project. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that these expectations and

 assumptions will prove to be correct. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements including, without limitation, risks related to: (1) fluctuations in commodity pricing, specifically gold and silver; (2) the Company's ability to retain or engage qualified employees or contractors necessary to conduct mill operations at its San Jose de Gracia Facility; (3) a decreased demand for gold, silver and other minerals; (4) unexpected difficulties with the milling and the extraction of minerals from the Company's projects; (5) unexpected interruptions and problems encountered in the operation of the San Jose de Gracia Facility; (6) factors that delay or cause difficulties in timing of shipments of concentrates by the Company; (7) potential negative financial impact from regulatory investigations, claims, lawsuits and other legal proceedings and challenges; (8) the possibility that the Company may not have sufficient capital to operate its San Jose de Gracia Facility or facilitate the further exploration of San Jose de Gracia; (9) inflationary pressures; (10) continued access to financing sources; (11) government orders that may require temporary suspension of operations or effects on our suppliers; (12) the effects of environmental and other governmental regulations and government shut-downs; (13) the risks inherent in the ownership or operation of or investment in mining properties or businesses in foreign countries; (14) our ability to raise additional financing necessary to conduct our business, make payments or refinance our debt; and (15) other factors beyond the Company's control.

 There is a significant risk that such forward-looking statements will not prove to be accurate. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Given the current state of the global financial markets, global commodity markets, especially the recent volatility in gold and silver prices and current economic conditions, any forward-looking statements or projections may be impacted significantly. Consequently, there is no representation by the Company that actual results achieved will be the same as those forecast. You are cautioned not to place undue reliance on these forward-looking statements. No forward-looking statement is a guarantee of future results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

 ITEM 1. BUSINESS
 History and Organization
 DynaResource, Inc. operates its 100% owned San Jose de Gracia producing gold mine in M xico. The Company is a minerals investment, management, and exploration company, focused on the advancement of precious metals assets in M xico. The Company was originally incorporated in the State of California on September 28, 1937, under the name West Coast Mines, Inc. In November 1998, the Company re-domiciled from California to Delaware and changed its name to DynaResource, Inc. ("DynaUSA"). Our common stock is traded on the OTCQX, the top tier of the OTC Markets Group under the symbol "DYNR".
 DynaUSA owns 100% of the outstanding shares of DynaResource de M xico, S.A. de C.V. ("DynaMexico") which owns 100% of the mining concessions, equipment, camp and related facilities which comprise the San Jose de Gracia mining project. We have one wholly owned subsidiary in the USA, DynaM xico US Holding LLC ("US Holding") and four in Mexico, DynaResource de Mexico S.A. de C.V. ("DynaM xico"), Mineras de DynaResource S.A. de C.V. ("DynaMineras"), DynaResource Operaciones, S.A. de C.V. ("DynaOperaciones") and Minera de Alica S.A. de C.V.("DynaAlica"), collectively referred to as "the Company". Although we consider the four Mexican subsidiaries to be wholly owned, each has issued one qualifying share to a second shareholder as required under Mexican law, with such qualifying shares held by US Holding. The Company currently conducts exploration, project developments, and site based processing activities at the San Jose de Gracia Property ("SJG"), in northern Sinaloa State, M xico.
 Product
 The end use product resulting from the Company's site-based processing activities at SJG is in the form of gold-silver concentrate. Gold-silver concentrate, or simply concentrate, is raw precious metals materials that has been crushed and ground finely to a sand-like product where gangue (waste) and non-precious metals are removed or reduced, thus concentrating the precious metals component. Concentrate processed and produced from San Jose de Gracia is transported and sold to a third-party for further processing.
 During 2024, we reported the delivery and sale of 22,003 ounces (Oz) gold (subject to final settlements) contained in concentrate. All gold concentrate originated from the San Jose de Gracia Property in M xico. Gold concentrates are sold at a small discount, the payability adjustment, to the prevailing spot market price, based on the price per ounce of gold quoted at the London PM gold fix, with the actual net payable precious metals prices received depending on the sales contract. Concentrates are priced by the assay of the gold content in the concentrate deliveries and the final selling price and gold quantities are subject to final adjustments at the time of final purchase settlement.
 Metals Prices
 The results of the Company are substantially dependent upon the market prices of gold and silver, which fluctuate widely. In September 2024, the Company entered into a derivative contract to protect the selling price for certain anticipated gold and silver production and to manage risks associated with foreign currencies with 75% of the production being sold at $2,495 per ounce for a total delivery under the contract of 9,000 ounces. The effect of this hedging activity was approximately negative $850 thousand in fiscal 2024. In March 2025, the Company fulfilled its delivery obligation under the commodity pricing contract.
 Gold and Silver Pilot Processing Methods
 Gold and silver are extracted from mined mineralized material, by crushing, grinding, milling, and further primarily by flotation recovery as well as some gravity recovery. The mineralized material is extracted by underground mining methods. The processing plant at the San Jos de Gracia mine site is composed of conventional crushing and grinding circuits, and primarily flotation recovery methods. A single gravity concentrator is in operation which produces a separate gravity concentrate and the Company expects to expand the gravity circuit in 2025. The gravity and flotation concentrates are partially dewatered and transported to purchasers in armored and secured semi-trailer trucks.
 Commodities
 We purchase materials and supplies from third parties to conduct our business, including electricity, fuel, chemical reagents, explosives, steel and concrete. Prices for these commodities are volatile and can fluctuate due to conditions that are difficult to

 predict, including inflation, currency fluctuations, global competition for resources, consumer or industrial demand and other factors. For most of these commodities, we have existing alternate sources of supply or alternate sources of supply are readily available. We continuously monitor supply and cost trends for these items.
 Exploration Stage
 The Company is an exploration stage issuer as defined in Section 1300 of Regulation S-K.
 Segment Information
 The Company operates in one reportable segment focused on exploration and related site-based processing activities at its gold-silver project in Mexico. Any concentrate produced is incidental to exploration and evaluation efforts and not the result of commercial production.
 General Government Regulations
 M xico
 In Mexico, we are subject to various governmental laws and regulations, including environmental regulations. Other than operating licenses for our mining and processing facilities and concessions granted under contracts with the host government, there are no third-party patents, licenses or franchises material to our business. The applicable laws and regulations applicable to us include but are not limited to:
 Mineral Concession Rights. Exploration and exploitation of minerals in M xico may be carried out through Mexican companies incorporated under Mexican law by means of obtaining mining concessions. The Company's mining concessions were granted by the Mexican government for a period of fifty years from the date of their recording in the Public Registry of Mining and are renewable for a further period of fifty years upon application within five years prior to the expiration of such concession in accordance with the Mining Law and its regulations at their issuance. These mining concessions are subject to annual work requirements and payment of annual surface taxes which are assessed and levied on a semi-annual basis. Such concessions may be transferred or assigned by their holders, but such transfers or assignments must be registered with the Public Registry of Mining in order to be valid against third parties. The holder of a concession must pay semi-annual duties in January and July of each year on a per hectare basis and in accordance with the amounts provided by the Federal Fees Law. During the month of May of each year, the concessionaire must file the work assessment reports made on each concession or group of concessions for the preceding calendar year with the General Bureau of Mines. The regulations of the Mining Law provide tables containing the minimum investment amounts that must be made on a concession. This amount is updated annually in accordance with the changes in the Consumer Price Index.
 Surface Rights. In M xico, while mineral rights are administered by the federal government through federally issued mining concessions, Ejidos (communal owners of land recognized by the federal laws in M xico) control surface access rights to the land. An Ejido may sell or lease lands directly to a private entity. While the Company has agreements or is in the process of negotiating agreements with the Ejido that impact all of its projects in M xico, some of these agreements may be subject to renegotiation.
 Mining Permits. The Secretariat of Environmental and Natural Resources, the Mexican Government environmental authority ("SEMARNAT"), is responsible for issuing environmental permits associated with mining. Three main permits required before construction can begin are: Environmental Impact Statement (known in M xico as Manifesto Impacto Ambiental) ("MIA"), Land Use Change (known in M xico as Estudio Tecnico Justificativo Para Cambio de Uso de Suelo) ("ETJ"), and Risk Analysis (known in M xico as An lisis de Riesgo) ("RA"). A construction permit is required from the local municipality and an archaeological release letter must be obtained from the National Institute of Anthropology and History (known as "INAH"). An explosives permit is required from the ministry of defense before construction can begin. The Environmental Impact Statement is required to be prepared by a third-party contractor and submitted to SEMARNAT and must include a detailed analysis of climate, air quality, water, soil, vegetation, wildlife, cultural resources and socio-economic impacts. The Risk Analysis study (which is included into the Environmental Impact Statement and submitted as one complete document) identifies potential environmental releases of hazardous substances and evaluates the risks in order to establish methods to prevent, respond to, and control environmental emergencies. The Land Use Change requires that an evaluation be made of the existing conditions of the land, including a plant and wildlife study, an evaluation of the current and proposed use of the land, impacts to naturally occurring resources, and an evaluation of reclamation/re-vegetation plans.
 We believe we operate in compliance with all applicable governmental laws and regulations and the costs of compliance are paid for on an ongoing basis. Due to the nature of our permit, we have requirements for landscape restoration which are fulfilled on an

 ongoing basis. We are working under a permit which required a Forest Fund bond of approximately 134,487 pesos and does not require, other than the replanting of like vegetation material, any reclamation work since we are mining underground. We maintain a greenhouse of approximately 10,000 trees and a full-time gardener to undertake rehabilitation work programs.
 Customers
 The Company sells its concentrates to the buyer who offers the best terms based upon price, treatment costs, refining costs, and other terms of payment. During the year ended December 31, 2024 and 2023, the Company sold gold-silver concentrates to one purchaser pursuant to an Advance Credit Line Facility ("ACL") and a Revolving Credit Line Facility (the "RCL") in accordance with the Commercial Offtake Agreement. As gold-silver concentrate can be sold through numerous gold and silver market traders worldwide, and the price paid to the Company under the ACL/RCL varies based on market conditions, the Company is effectively not economically dependent on a limited number of customers for the sale of its product.
 Products and Raw Materials
 Gold-silver concentrate is the only product we produce. Additionally, we have no major suppliers of raw materials as the ore we mine is the most important raw material we use. Supplementary supplies such as fuel and organic reagents are in ready supply from a number of vendors.
 Competitive Business Conditions
 We compete with many companies in the mining and mineral exploration and production industry, including large, established mining companies with substantial capabilities, personnel, and financial resources. There is a limited supply of desirable mineral lands available for claim-staking, lease, or acquisition in the United States, Canada, Mexico, and other areas where we may conduct our mining or exploration activities. We may be at a competitive disadvantage in acquiring mineral properties, since we compete with these entities, many of which have significantly greater financial resources and larger technical staff than we do. From time to time, specific properties or areas that would otherwise be attractive to us for exploration or acquisition may be unavailable due to their previous acquisition by other companies or our lack of financial resources.
 Competition in the industry is not limited to the acquisition of mineral properties, but also extends to the technical expertise to find, advance, and operate such properties; the labor to operate the properties; and the capital for the purpose of funding such exploration and development. Many competitors not only explore for and mine precious and base metals but conduct refining and marketing operations on a world-wide basis. Such competition may result in our company not only being unable to acquire desired properties, but to recruit or retain qualified employees or to acquire the capital necessary to fund our operation and advance our properties. Our inability to compete with other companies for these resources could have a material adverse effect on our results of operation, financial condition and cash flows.
 Human Capital Resources
 As of December 31, 2024, we had approximately 220 employees in Mexico and 5 in the United States and Canada. All our employees based in the United States and Canada work in an executive, technical or administrative position, while our employees in Mexico include management, laborers, craftsmen, mining, geologist environmental specialists, information technologists, accountants and various other support roles. We also frequently engage independent contractors in connection with certain administrative matters and the exploration of our properties, such as drillers, geophysicists, geologists, and other specialty technical disciplines. For the United States and Canada, we also engage independent contractors for technical and professional expertise. None of our employees in M xico are covered by union contracts and the Company believes it has good relations with our employees.
 As part of our fundamental need to attract, reward and retain talent, we regularly evaluate our compensation, benefits and employee wellness offerings. We believe that our compensation arrangements are competitive in the industry.
 Responsibility

 The San Jose de Gracia community is home to DynaM xico activities. We've devoted significant capital and resources to ensuring our project is a good neighbor to SJG and the surrounding villages. We strive for best-in-class safety and environmental policies through an approach of responsible production, including the sole use of biodegradable and organic solvents and a focus on best safety practices.

 DynaResource has constructed and donated a medical clinic to the SJG community and contributed funds for repairs and upgrades to the local church and school, and provided education and business training to adults, creating new opportunities for current residents. Additionally, we've funded and constructed roads within the community and improved a road from Sinaloa de Leyva to SJG, a distance of over 60 kilometers.
 Available Information
 We make available links on our website ( to our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and Proxy Statements, as well as Forms 3, 4 and 5 with respect to our common stock, including any amendments to any of the foregoing, as soon as reasonably practicable after such reports are electronically filed with the U.S. Securities and Exchange Commission ("SEC"). These filings are also available at
 Copies of our Code of Business Conduct and Ethics, applicable to the executive officers, are also available on our website. Information contained on our website is not a part of this report.
 ITEM 1A. RISK FACTORS
 Not applicable.
 ITEM 1B. UNRESOLVED STAFF COMMENTS
 None.
 ITEM 1C. CYBERSECURITY

 The Company has adopted processes designed to assess, identify, and manage material risks from cybersecurity threats that are integrated into the Company's overall risk management system. The Company's cybersecurity risk management processes are managed by Tuearis Cyber ("Tuearis") an outside contractor with significant experience and expertise in designing and implementing cybersecurity programs for corporate entities such as the Company.

 During the year ended December 31, 2024, the Company did not experience any risks from cybersecurity threats that materially affected or were reasonably likely to materially affect the Company's business strategy, results of operations, or financial condition.

 The Company's Board of Directors, through its Audit Committee (the "Committee"), provides oversight of risks from cybersecurity threats by monitoring incident-based reports from Tuearis as to the existence and severity of such risks. When risks are identified, the Committee works with the Company's Chief Financial Officer to develop appropriate responses, based on the recommendations of Tuearis. The Company does not have an employee with specific expertise in cybersecurity risk management but relies on Tuearis to provide that expertise. All material cybersecurity risks, incidents, and responses are reported to the Committee as a routine matter.

 ITEM 2. PROPERTIES
 Corporate Headquarters
 The Company leases office space for its corporate headquarters in Las Colinas, Irving, Texas. In February 2023, the Company entered into a 52-month extension of the original lease from September 2017 and added additional office space. As part of the agreement the new lease term commenced and the Company received four months free rent upon completion of the finish out of the expansion space. The expansion was complete and the Company occupied the office space effective August 1, 2023. The Company makes tiered lease payments on the first of each month.
 Administrative and Logistics Offices
 DynaM xico maintains administrative and logistics offices in Guamuchil and Mazatlan, Mexico, both of which are under month-to-month payment terms.

 Mining Project Location
 The San Jose de Gracia mining project ("SJG Project") is located on map sheet G13-A81 in the Culiacan mining district of Sinaloa State, Mexico, at Latitude 26, 9' N, Longitude 107, 53' W, approximately 120 kilometers east northeast of the coastal city of Los Mochis. The property on which the SJG Project resides, straddles the border separating the Mexican States of Sinaloa and Chihuahua. The SJG Project is located in the south-western portion of the property, and is located entirely within the State of Sinaloa, as shown in the maps below.

 DynaM xico owns the San Jose de Gracia mineral concessions, which are comprised of 33 distinct concessions covering an aggregate of approximately 9,920 hectares. The concessions are held 100% by DynaM xico and there are no royalty or other interests.
 The property on which the SJG Project resides is located in and around the village of San Jose de Gracia, approximately 100 km northeast of Guamuchil, on the west side of Mexico. The village of San Jose de Gracia has a small airstrip and can be accessed by a small airplane, or alternatively, by a dirt mountain road. There are roads providing access to the property on which the SJG Project resides which are accessible throughout the year.
 Local Resources and Infrastructure
 Accommodations
 The Village of San Jose de Gracia maintains a few stores which offer essential goods and services. The mine site area camp maintains facilities which can accommodate about 65 persons in 32 rooms. Contractors manage their own camps for their personnel. The Village of SJG has additional rooms via hotels and boarding houses. Out of a total workforce of 223 employees, 143 reside in San Jose de Gracia.

 Power
 A power line to the San Jos de Gracia Project has been installed by the Comisi n Federal de Electricidad, the only authorized power producer in Mexico. The power line was installed in March 2012 from the La Estancia area of the municipality of Sinaloa de Leyva, a distance of approximately 75 kilometers.
 The power line is currently 220 volts maximum capacity, which supplies the plant, including the office and camp facilities at SJG, such as water pump, air conditioning, refrigeration, lights, internet, and fans, as well as local residential use. The SJG Project can produce its own diesel-generated power as a backup to the power grid in case of interruptions.
 Offices – Camp Facilities
 The SJG Project sources many of its supplies from nearby towns, Guamuchil, Los Mochis and Culiacan. There is a satellite dish installed at the SJG Project providing communications from the SJG Project. At the SJG Project, DynaM xico maintains a camp staff, including geologists, field helpers, consultants, security, cooks and cleaners. Most of these employees come from the local community.
 Mining Concessions
 The San Jos de Gracia Property consists of the following 33 contiguous mining concessions which covers an area of approximately 9,920 hectares (24,513 acres):
 Current Mining Concessions - San Jos de Gracia

 Claim Name

 Claim Number

 Staking date

 Expiry

 Hectares

 AMPL. SAN NICOLAS

 183815

 22/11/1988

 21/11/2038

 17.4234

 AMPL. SANTA ROSA

 163592

 30/10/1978

 29/10/2028

 25.0000

 BUENA VISTA

 211087

 31/03/2000

 30/03/2050

 17.9829

 EL CASTILLO

 214519

 02/10/2001

 01/10/2051

 100.0000

 EL REAL

 212571

 07/11/2000

 07/11/2052

 2038.0000

 EL REAL 2

 216301

 30/04/2002

 29/04/2052

 280.1555

 FINISTERRE FRACC. A

 219001

 28/01/2003

 27/01/2053

 18.7856

 FINISTERRE FRACC. B

 219002

 28/01/2003

 27/01/2053

 174.2004

 GUADALUPE

 189470

 05/12/1990

 04/12/2040

 7.0000

 LA GRACIA I

 215958

 02/04/2002

 01/04/2052

 300.0000

 LA GRACIA II

 215959

 02/04/2002

 01/04/2052

 230.0000

 LA LIBERTAD

 172433

 15/12/1983

 14/12/2033

 97.0000

 LA NUEVA AURORA

 215119

 08/02/2002

 07/02/2052

 89.3021

 LA NUEVA ESPERANZA

 226289

 06/12/2005

 05/12/2055

 40.0000

 LA UNION

 176214

 26/08/1985

 25/08/2035

 4.1098

 LOS TRES AMIGOS

 172216

 27/10/1983

 26/10/2033

 23.0000

 MINA GRANDE

 163578

 10/10/1978

 09/10/2028

 6.6588

 NUEVO ROSARIO

 184999

 13/12/1989

 12/12/2039

 32.8781

 PIEDRAS DE LUMBRE 2

 215556

 05/03/2002

 04/03/2052

 34.8493

 PIEDRAS DE LUMBRE 3

 218992

 28/01/2003

 27/01/2053

 4.3098

 PIEDRAS DE LUMBRE No.4

 212349

 29/09/2000

 28/09/2050

 0.2034

 PIEDRAS DE LUMBRE UNO

 215555

 05/03/2002

 04/03/2052

 40.2754

 SAN ANDRES

 212143

 31/08/2000

 30/08/2050

 385.0990

 SAN JOS

 208537

 24/11/1998

 23/11/2048

 27.0000

 SAN MIGUEL

 183504

 26/10/1988

 25/10/2038

 7.0000

 SAN NICOLAS

 163913

 14/12/1978

 13/12/2028

 55.5490

 SAN SEBASTIAN

 184473

 08/11/1989

 07/11/2039

 40.0000

 SANTA MARIA

 218769

 17/01/2003

 16/01/2053

 4.2030

 SANTA ROSA

 170557

 13/05/1982

 12/05/2032

 31.4887

 SANTO TOMAS

 187348

 13/08/1986

 12/08/2036

 312.0000

 TRES AMIGOS 2

 212142

 31/08/2000

 30/08/2050

 54.4672

 FINISTERRE 4

 231166

 18/01/2008

 17/01/2058

 2,142.1302

 FRANCISCO ARTURO

 230494

 06/09/2007

 27/03/2057

 3,279.5600

 TOTAL

 9,920.0000

 Title to 32 of the 33 mining concessions is registered in the sole name of DynaM xico. The one exception is the San Miguel concession. For the San Miguel concession, DynaM xico has entered into transfer agreements with the registered owners of 50% of the concession title, and DynaM xico has also entered into promise to sell and purchase agreements with registered owners of the balance of the concession title. Under Mexican law, such agreements require the consent or relinquishment of first rights of refusal from the registered owners of 100% of the concession title, in order to have legal effect and be eligible for registration before the Mines Recorders' Office.
 Under amendments to the Mining Act of Mexico that came into effect in December 2006, the classifications of Mining Exploration Concessions and Mining Exploitation Concessions were replaced by a single classification of Mining Concessions valid for a renewable term of 50 years, commencing from the initial issuance date. To be converted into Mining Concessions at the time these amendments came into effect, former mining exploration and mining exploitation concessions had to be in good standing at the time of conversion.
 All of the SJG concessions were in good standing and consequently were converted to 50-year Mining Concessions in December 2006, at the time the amendments to the Mining Act came into effect. To renew the 50-year term, Mining Concessions must be in good standing at the time an application for renewal is filed, and an application for renewal must be filed within 5 years prior to expiration of the term.
 To maintain Mining Concessions in good standing, the registered owner must (a) pay bi-annual mining duties in advance, by January 31 and July 31 each year, (b) file assessment work reports by May 30 each year, for the preceding year (some exceptions apply), and (c) by January 31 each year, file statistical reports on exploration / exploitation work conducted for the preceding year. The Company believes it is in good standing regarding all above noted obligations.
 Notice of Commencement of Production Activities and Annual Production Reports must be filed annually by January 31 each year for those concessions where mineral ore extraction is taking place. As a general provision, registered owners of Mining Concessions must follow environmental and labor laws and regulations in order to maintain their Mining Concessions in good standing.
 The following claim location map shows the location of each of the concessions and the legend presents various areas of mining and drilling.

 Surface Rights
 In addition to the surface rights held by DynaM xico pursuant to the Mining Act of M xico and its Regulations (Ley Minera y su Reglamento), the Company maintains access and surface rights for the SJG Project pursuant to a 20-year Land Lease Agreement. This lease agreement with the Santa Maria Ejido Community (the owners of the surface rights) is dated January 6, 2014 and continues through 2033. The lease agreement covers an area of 4,399 hectares surrounding the main mineral resource areas of SJG and provides for annual lease payments of $1,359,443 Pesos (adjusted for inflation). The 2024 payment was $5,296,950 pesos (approx. $288,000 USD).
 The lease agreement provides the Company with surface access to the core resource areas of SJG (4,399 hectares), and allows for all permitted mining, pilot production and exploration activities.
 Water Concession
 The Company has secured the Water Rights Concession for the area surrounding SJG. The Director of Water Administration of the National Water Commission of M xico (CONAGUA) formally certified in writing the rights of DynaM xico to legally "use", exploit and extract 1,000,000 cubic meters of water per year from the DynaM xico extraction infrastructure located within the perimeter of the mining concessions. CONAGUA determined that the DynaM xico water rights are not subject to any water rights

 concession or any other water extraction restriction. Water extracted by DynaM xico will be subject to applicable levies imposed by the Mexican tax authorities in accordance with current Mexican tax laws. The water concession provides sufficient water for current operations, and for the anticipated future needs of the project. The Company recycles water from the tailings pond back through the test milling circuit, then back to the tailings pond.
 Royalties, Encumbrances and Environmental Liabilities
 The SJG Property is not subject to any royalties or encumbrances, other than in accordance with our Revolving Credit Line, and there are no known environmental liabilities.
 Required Permits for Exploration, Drilling and Mining
 In respect of permit requirements for mineral exploration and mining in Mexico, the most relevant applicable laws, regulations and official technical norms are the Federal Mining Act (plus its regulations), the Federal Environmental Protection and Ecological Equilibrium Act (plus its regulations), the Federal Sustainable Forestry Development Act (plus its regulations), the Federal Explosives and Firearms Act, the National Waters Act and the Mexican Official Norm 120.
 To carry out mineral exploration activities, holders of mining concessions in Mexico are required to file at the offices of the Federal Secretariat of the Environment and Natural Resources ("SEMARNAT") a "Notice of Commencement of Exploration Activities" or "Preventive Exploration Notice" in accordance with the guidelines of the Mexican Official Norm 120 ("NOM- 120").
 If contemplated mineral exploration activities fall outside of the guidelines of the NOM-120 (e.g. exploration activities on rain forest areas), a "Change of Soil Use Permit Application" ("CSUP") is required to be filed at SEMARNAT under the guidelines of the Federal Sustainable Forestry Development Act and its Regulations. To meet the requirements for issuance of a change of soil use permit, the applicant must file (together with the CSUP) a Technical Study ("Technical Justification Study") to justify the change of soil use from forestry to mining, in order to demonstrate that biodiversity will not be compromised and that there will be no soil erosion or water quality deterioration on completion of the mineral exploration activities.
 To carry out mining activities in Mexico, holders of mining concessions are required to file an "Environmental Impact Assessment Study" under the guidelines of the Federal Environmental Protection and Ecological Equilibrium Act and its Regulations, in order to evaluate the environmental impact of the contemplated mining activities.
 If the use of explosives materials is required for execution of mineral exploration or mining activities, an Application for General Permit for Use, Consumption and Storage of Explosive ("GPCSE") is required to be filed at the offices of the Secretariat of National Defense ("SEDENA") under the guidelines of the Federal Explosives and Firearms Act. Under the Federal Mining Act, holders of mining concessions in Mexico have the right to the use of the water coming from the mining works. Certification of water rights and/or issuance of water rights concessions are required from the National Water Commission ("CONAGUA") under the guidelines of the National Waters Act.
 Fees or Bonding Requirements Necessary To Explore or Mine
 As a pre-requisite for issuance of a CSUP, Article 118 of the Federal Sustainable Forestry Development Act provides the posting of a bond to the Mexican Forestry Fund for remediation, restoration and reforestation of the areas impacted by the mineral exploration activities.
 As a pre-requisite for approval of Preventive Exploration Notice and Environmental Impact Assessment Study, the Federal Environmental Protection and Ecological Equilibrium Act and its Regulations require the posting of a bond to guarantee remediation and rehabilitation of the areas impacted by the mining activities.
 Government Agencies Responsible For Any Applicable Permits
 SEMARNAT is the office of the Federal Government of Mexico responsible for the review and issuance of a CSUP, the review of a Technical Justification Study and the filing of NOM-120. The Federal Attorney's Office for the protection of the Environment is the enforcement branch of SEMARNAT responsible for the monitoring and enforcement of environmental laws and regulations. SEDENA is the office responsible for issuance of a GPCSE. CONAGUA is the office responsible for certification of water rights and issuance of water rights concessions.

 Time Frame to Obtain Any Permit or Approval To Explore or Mine
 NOM-120 is a notice to SEMARNAT only and has no prescribed processing time. Processing time for review and approval of a CSUP Application and Technical Justification Study varies depending on the workload of the SEMARNAT regional office where application is filed, but a processing time of four months is typical.
 Processing time for review and approval of an Environmental Impact Assessment Study varies depending on workload of SEMARNAT regional office where application is filed, but a processing time of six months is typical. Processing time for issuance of a GPCSE by SEDENA is approximately six months. Processing time for issuance of a Water Rights Concession by CONAGUA is approximately six months.
 DynaM xico Permits and Bonding Requirements
 Exploration Permit: On June 28, 2010, DynaM xico filed a Preventive Exploration Notice (Preventive Exploration Notice) at the office of SEMARNAT in connection with contemplated mineral exploration activities at the La Prieta, San Pablo, La Pur sima, La Uni n, Tres Amigos and La Cece a areas of the SJG Project. On July 21, 2010, SEMARNAT approved, for a term of 36 months, the execution of the mineral exploration activities at SJG set out in the Preventive Exploration Notice, as it determined that such activities fall within the framework of the NOM-120, subject to the following conditions: (a) filing and approval by SEMARNAT of a CSUP with respect to SJG (see below), and (b) posting of a bond in the amount of $134,487 Pesos to guarantee remediation and rehabilitation measures following the conclusion of the mineral exploration activities.
 Change of Soil Use Permit
 On August 9, 2010, DynaM xico filed at the offices of SEMARNAT a CSUP Application and Technical Justification Study to carry out certain mineral exploration activities set out in the Preventive Exploration Notice approved by SEMARNAT on July 21, 2010 (see above) at the La Prieta, San Pablo, La Pur sima, La Uni n, Tres Amigos and La Cece a areas of SJG). On December 20, 2010, SEMARNAT approved the CSUP Application filed by DynaM xico with respect to SJG and authorized DynaM xico the execution of mineral exploration activities on 5,463 hectares of SJG for a term of 36 months, and it is continually renewed as required.
 Water Rights Certification
 On March 8, 2012 the Director of Water Administration of CONAGUA certified in writing the rights of DynaM xico to use, exploit and extract 1,000,000 cubic meters of water per year from the Company's extraction infrastructure located in SJG. CONAGUA determined that DynaM xico's water rights are not subject to any other water rights concession or any other water extraction restriction.
 Bonding Requirements
 Under the CSUP issued to DynaM xico on December 20, 2010, SEMARNAT imposed upon DynaM xico the obligation to post a bond in the amount of $116,911 Pesos for reforestation and remediation measures in SJG. The Company maintains a greenhouse of 10,000 trees which are used in the reforestation efforts as necessary.
 Under Preventive Exploration Notice (Preventive Exploration Notice) approved by SEMARNAT on July 21, 2010, SEMARNAT imposed upon and DynaM xico complied, the obligation to post a bond in the amount of $134,487 Pesos, to guarantee remediation and rehabilitation measures following the conclusion of the mineral exploration activities. As required by US Generally Accepted Accounting Principles ("US GAAP") the Company also has an asset retirement obligation recorded as of December 31, 2024 for the net present value of the cost to dismantle and dispose the plant and remove the tailings pond.
 DynaM xico has sought and obtained all required environmental permits, temporary land occupation rights and consent letters from the regulatory agencies, local municipalities and the State of Sinaloa, in order to conduct its mining, production, exploration and drilling activities on the four main deposit areas at SJG. DynaM xico will be required to obtain further permits in order to conduct drilling in these four areas and the other areas, and in order to carry out future mining, milling, and production activities, and will timely obtain such permits, as and when required.
 HISTORY OF SAN JOSE DE GRACIA
 Historical production at San Jos de Gracia dates from the 1800's and totals approximately one million ounces of gold mined from high-grade quartz veins. Large-scale mining in the camp began in 1870 and ended in 1910 with the onset of the Mexican Revolution. The majority of the production came from the Anglo, Rosario and La Cruz Mines on the Purisima Ridge trend, and from the La

 Prieta Mine on the La Prieta trend (reference Fig. 2). The remainder of the production was derived from as many as 60 smaller mines throughout the 12 square kilometer area, including the Palos Chinos, San Pablo, Tres Amigos, La Cece a, Los Hilos, Santa Rosa, Veta Tierra, La Union, Santa Eduwiges, La Mochomera and La Parilla Mines.
 This table presents the historic reported gold production for San Jose de Gracia prior to 1970:

 Area

 Gold
Production (oz)

 Gold
Grade (g/t)

 Mined
Width (m)

 Purisma Ridge Trend (includes the Anglo, Rosario, Jesus Maria and La Cruz Mines)

 471,000

 67.0

 Unknown

 La Prieta Trend (La Prieta Mine)

 215,000

 28.0

 1.5 – 3 m

 Other areas

 300,000

 Unknown

 Unknown

 It was not until the 1970's when mining could resume at San Jos de Gracia, when the first road to SJG was opened, allowing Compa ia Rosarito to begin producing gold from the Palos Chinos, San Pablo, Tres Amigos and La Union mines.
 Recent Ownership of the Property
 By 1977, the underlying owners of the mining concessions and subsequent vendors to Minera Finisterre SA de CV. ("Finisterre") succeeded in acquiring control of most of the district, and installed a 70 ton per day flotation concentrator. Finisterre subsequently acquired the property through option agreements with the underlying vendors and continued some exploration work, although most of its financial resources were expended in erecting a larger, 200 ton per day concentrator.
 Golden Hemlock Explorations Ltd., a Canadian company, obtained an option to acquire majority control of Finisterre and commenced work on the property in 1997. The actual exploration and development work was performed by Perforaciones Quest de Mexico ("PQM"), which was under contract to Finisterre, and whose efforts consisted primarily of core drilling, trenching and mapping. PQM completed a 63-hole, 6,000-meter core drilling program in 1997.
 In 1998-1999, Pamicon Developments Ltd., a Canadian company, examined the results of the 1997 drilling program, including PQM's technical work, in order to calculate possible mineral reserves, and to review the general status of the property.
 During the first half of 1999, DynaResource, Inc. and its agents arranged to collect samples for metallurgical testing. In June of 2000, DynaResource formed its subsidiary DynaMexico, in order to acquire and consolidate ownership of the San Jose de Gracia Project. By December 2003, DynaMexico had completed the acquisition of and consolidation of 100% of the San Jose de Gracia Project from Golden Hemlock and Finisterre - with the sole exception of the San Miguel mining concession.
 Infrastructure Improvements, Expansion and Increased Output
 As part of its ongoing exploration and project advancement activities at San Jose de Gracia, the Company continues to upgrade the on-site infrastructure and processing facilities. Significant improvements have been made such that the condition of the equipment is new, relatively new or in good condition. The Company has four primary ball mills currently running 800 tons per 24-hour day at the end of 2024.
 The Company's exploration efforts at San Jose de Gracia are aimed at increasing the mineral resource base, with particular focus on gold. Since initiating on-site processing activities in January 2015, the Company has expanded its throughput capacity from an initial 75 tons per 24-hour operating day to 800 tons per day by year-end of 2024.

 In accordance with SEC requirements for an exploration stage issuer under S-K 1300, the Company expenses all costs related to site operations, project improvements, and development activities. As a result these expenditures are not capitalized on the Company's balance sheet. Through December 31, 2024, this treatment has resulted in a net operating loss carry-forward which may be used to offset future taxable earnings.
 The Company is currently classified as an exploration stage issuer under Section 1300 of Regulation S-K. In accordance with SEC requirements all costs related to site operations, infrastructure improvements, and project expansion are expensed as incurred. As such these costs are not capitalized as assets on the Company's balance sheet.

 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY
 Topography, Physiography, and Vegetation
 The topography of the San Jos de Gracia district is generally rugged with elevations varying from 400 meters in the valley bottoms to over 1600 meters in the higher Sierra. A network of small roads and tracks winds around areas nearer the old workings at San Jos de Gracia. Access to the remainder of the large property at the current stage of development is difficult without the use of horse or helicopter.
 The SJG Project can be accessed by road, from either the City of Culiac n or the City of Guamuchil. Either route goes through the small town of Sinaloa de Leyva, then from Sinaloa de Leyva by gravel mountainous road to the village of San Jos de Gracia (population 750), which covers approximately 90 kilometers and is roughly a five-hour trip.
 The SJG Project can also be accessed by air. A gravel airstrip is located adjacent to the San Jose de Gracia Village. The airstrip is suitable for light aircraft and charter flights of 45 minutes duration are available from the cities of Los Mochis or Culiac n. Much of the labor for mining and production activities of DynaM xico is provided by the local community of SJG.
 Climate and Operating Season
 The climate is semi-tropical with a rainy season dominating June and July. For some activities on the SJG project, operations may be suspended during the rainy season.
 MINERAL PROCESSING AND METALLURGICAL TESTING
 Bulk Sample, Hazen Process Development Metallurgical Report
 Ore and existing mill tailings samples were collected prior to DynaM xico's acquisition and consolidation of San Jose de Gracia. The ore samples consisted of a bulk (about 500 kg) of stockpiled ore from the lower adit of the Tres Amigos mine (intercept of the Tres Amigos and Orange Tree veins). In addition, approximately 100 kg of ore as a bulk sample was taken from the surface at the Gossan Cap area. Three additional ore samples (approximately 5-15 kg each) were assembled from splits of the cores from several of the 1997 drilling program core holes to develop samples representing different ore types for testing. These included: 1) composite drill cores from Palos Chinos, 2) massive sulfide from the Tres Amigos vein and 3) disseminated, nonsurprise mineralized zones at the bottom of several Tres Amigos core holes. The logic was that major exploratory test work to define a metallurgical process would be done on the bulk sample from the adit at Tres Amigos and the other samples would have limited testing done at the selected metallurgical process conditions to verify the performance of the selected metallurgical process circuit on other types of San Jos mineralization. Finally, several bulk samples (50-100 kg) of existing tailings from the Rosarito mill and the old Rosarito mill were collected and used to conduct flotation, gravity, and limited leachability test work on the tailings." Samples were shipped to the laboratory of Carbonyx Carbon Technologies in Plano, Texas where in 2000 and 2001 two separate preliminary test programs were conducted, one for the tailings, and the other for a portion of the bulk Tres Amigos ore. The Company developed a concept for the metallurgical processing to produce both gravity and flotation concentrates. The tests confirmed a metallurgical flow sheet to be utilized at San Jos to recover up to 90% of the feed gold into the concentrates. The above "in-house" testing established a preliminary flowsheet for a mill circuit for processing either primary ore or for reprocessing the existing tailings. Subsequently Hazen Research Laboratories of Golden, Colorado ("Hazen") was engaged to provide independent verification of the in-house work and carry out additional optimization test work. Lockwood Greene Company and Mr. Henderson prepared and verified completion of the scope of work.
 In summary, various interim reports and the final metallurgical report, the Official Hazen Test Report, ("Hazen Report")" provided results as follows:
 1. The initial gravity beneficiation/flotation test work on the Tres Amigos and Gossan Cap bulk ore samples were very encouraging with up to 80% recovery of the feed gold into the gravity concentrates while maintaining a minimum concentrate grade of 100 g Au/t

 2. The existing tailings samples (feed grades of 3 -8 g Au/t) returned similar recovery results, but had to be cleaned to produce a final concentrate with > 100 g Au/t

 3. The overall gold recoveries into the gravity cleaner concentrate still were in excess of 50% of the total feed gold

 4. Flotation tests on primary ore samples resulted in recoveries of 85 - 90% of the feed gold into the rougher concentrates, however, recoveries after cleaning (to get > 100 g Au/t grade) dropped to the 65-75% range.

 A combination circuit of a gravity pre-concentration stage with flotation on the gravity tailings indicated the potential to recover > 90% of the feed gold into the gravity concentrate, the rougher flotation and the cleaner flotation concentrates while maintaining a 100 g Au/t grade in all of the concentrates.
 EXPLORATION
 DynaResource uses a multiple phase method of exploration. The initial activity consists of surface mapping and sampling to identify areas of interest. The next phase is detailed mapping and systematic sampling. Mapping and sampling of mine workings are also performed to define potential areas for future work. Geological mapping and samples have been collected in the past and sent for laboratory analysis by the Company. The prospects are then catalogued and prioritized for drilling.
 Exploration and Drilling Protocol
 The Company's internal controls are designed to provide reasonable assurance that information and processes utilized in assessing its exploration results and resource estimates are reasonable and in line with industry best practices. These internal controls include QA/QC in the collection, analysis, verification, storage, reporting and use of drillhole, assay, metallurgical and other technical and scientific information, including the following internal control protocols in place for exploration data:
 1. Written procedures and guidelines to support preferred sampling methods and approaches, with periodic compliance reviews of adherence to such written procedures and guidelines;

 2. Maintenance of a complete chain-of-custody, ensuring the traceability and integrity of the samples at all handling stages from collection, transportation, sample preparation and analysis to long-term sample storage;

 3. Geological logs are checked and verified, and there is a physical sign-off to attest to the validation protocol required;

 4. Quality control checks on collar and downhole survey data for errors or significant deviations;

 5. Third-party fully certified labs are used for assays used in public disclosure or resource models;

 6. Appropriate types of quality control samples are inserted into the sample stream at appropriate frequencies to assess analytical data quality;

 7. Regular inspection of analytical and sample preparation facilities by appropriately experienced personnel;

 8. QA/QC data are regularly verified to ensure that outliers, sample mix-ups, contamination, or laboratory biases during the sample preparation and analysis steps are correctly identified, mitigated or remediated. Changes to database entries are required to be documented;

 9. Database upload and verification procedures to ensure the accuracy and integrity of the data being entered into the project database. These are typically performed using software data-checking routines. Changes to database entries are required to be documented. Data are subject to regular backups.

 EXPLORATION PLANS FOR 2025
 The Company plans to continue its exploration drilling program with dedicated geologists currently mapping underground updating the structure interpretation of the mine. Management and geologists will make decisions based on capital available, the drill results, corporate strategies and market conditions, surface mapping, sampling and target generation. The Company has contracted with a "Qualified Person" within the meaning of subpart 1300 of Regulation S-K to interpret the data collected for a formal mineral resource analysis.
 ITEM 3. LEGAL PROCEEDINGS
 From time to time, the Company is involved in legal matters in the ordinary course of its business. The Company intends to defend itself vigorously against any such claims. It is the Company's policy to accrue for amounts related to lawsuits brought against it if it is probable that a liability has been incurred and an amount can be reasonably estimated. Although the outcome of such matters cannot be predicted with certainty and no assurances can be given with respect to such matters, the Company believes that the outcome of those ordinary course matters in which it is currently involved will not have a materially adverse effect on its results of operations, liquidity, or financial position.
 2014 Arbitration Proceeding Filed by Goldgroup Resources Inc.

 On March 14, 2014, Goldgroup Resources, Inc. ("Goldgroup") filed for arbitration in the United States with the American Arbitration Association ("AAA"), seeking monetary and nonmonetary relief under an Earn In/Option Agreement. On August 25, 2016, the AAA issued a ruling in favor of Goldgroup against the Company and DynaM xico (the "Arbitration Award"). On May 9, 2019, the United States District Court for the District of Colorado (the "Colorado U.S. District Court") confirmed the Arbitration Award. The Company fulfilled its obligations under the Arbitration Award prior to the beginning of 2023. On March 5, 2024, the Colorado U.S. District Court issued an Order denying requests for additional relief by both the Company and Goldgroup and stating that the case is closed.
 DynaResource de Mexico SA de CV Legal Update and Disclosure:
 On March 3, 2023, Goldgroup Resources Inc. ("Goldgroup") filed a formal notice with the M xico Federal Legal Authorities, which confirmed Goldgroup's complete withdrawal of all legal claims in Mexico and under Mexican law against DynaResource de M xico SA de CV.
 Goldgroup's complete legal withdrawal is the result and culmination of 7 years of legal actions undertaken in Mexico by DynaM xico. Accordingly, all matters before the courts in M xico with respect to DynaM xico and Goldgroup Resources Inc. are fully resolved and are no longer subject to appeal.
 Consequence of the M xico legal rulings and the Goldgroup legal withdrawal:
 • The $48,280,808 USD damages award (dated October 05, 2015) in favor of DynaM xico and against Goldgroup Resources Inc., confirmed by Mexican courts in 2019, is final, conclusive, and enforceable under Mexican law. Goldgroup Resources' challenges to that award have been fully denied and the damages award is final.

 • Goldgroup's challenges to DynaM xico's share ownership have also been fully denied and consequently, under Mexican law, Goldgroup owns no shares in DynaM xico.

 Mercuria Energy Trading S.A vs Mineras de DynaResource S.A. de C.V.
 In 2020, Mercuria Energy Trading, S.A. ("Mercuria") initiated an arbitration proceeding against Mineras de DynaResource, S.A. de C.V. ("Mineras"), arising out of the earlier-terminated supply agreement between the parties. In January 2022, the arbitration panel awarded Mercuria the sum of US$1,822,674, plus interest at 2% over the quarterly compounded USD three- month LIBOR rate, from February 2020 forward. In August 2022, the panel also assessed costs of the arbitration proceeding against Mineras, in the aggregate amount of 376,233. DynaResource has accrued $1,000,000 for the arbitration award and related costs.
 The Company notes the following: since Mineras is a company of Mexican nationality, under Mexican law Mineras has the right to legally oppose the recognition and enforcement of the award to Mercuria, the assessment of any costs, and any supplemental award.
 ITEM 4. MINE SAFETY DISCLOSURES
 Not applicable.

 ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

 The Company's common stock is traded on the OTCQX, the top tier of the OTC Markets under the symbol "DYNR". The following table sets forth, for the periods indicated, the high and low bid quotations which reflect inter-dealer prices, without retail mark-up or mark-down and without commissions, and may not reflect actual transactions. All amounts are denominated in U.S. dollars.

 Year Ended December 31, 2024

 Low

 High

 First Quarter

 1.72

 2.04

 Second Quarter

 1.52

 1.94

 Third Quarter

 0.80

 1.50

 Fourth Quarter

 0.75

 1.16

 Year Ended December 31, 2023

 Low

 High

 First Quarter

 2.10

 2.50

 Second Quarter

 1.80

 2.30

 Third Quarter

 1.90

 3.00

 Fourth Quarter

 1.96

 2.61

 As of December 31, 2024, there were 29,315,726 shares of our common stock outstanding, which were held by approximately 417 shareholders of record. The number of shareholders of record does not include shareholders that hold their shares in street name or with a broker.

 Dividend Policy

 No cash dividends on the Company's common stock have been declared or paid since the Company's inception. Payment of future dividends, if any, will be at the discretion of our Board of Directors after considering various factors, including the terms of any credit arrangements, our financial condition, operating results, current and anticipated cash needs and plans for growth. Our initial earnings, if any, will likely be retained to finance our growth. At the present time, we are not party to any agreement that would limit our ability to pay dividends.

 ITEM 6. RESERVED

 ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
 The Company

 The Company is a minerals investment, management, and exploration company, and currently advancing its high-grade San Jose de Gracia gold project in M xico through an operating subsidiary. Activities are focused on exploration, technical evaluation, and project development in support of expanding the mineral resource base.

 We currently conduct activities in M xico through our operating subsidiary DynaM xico. We currently own 100% of the outstanding shares of DynaM xico, and DynaM xico owns 100% of mining concessions, equipment, camp and related facilities which comprise the SJG.

 In addition to investing in the continued advancement and development of its San Juan de Gracia Project, the Company has also focused on strengthening corporate governance practices, with the objective of meeting the listing requirements of additional exchanges in the US and/or Canada.
 Project Improvements, Expansion and Increased Output

 Since 2015, the Company has carried out limited site-scale processing and operational activities at SJG in support of its exploration and evaluation programs. These activities have been aimed at enhancing technical understanding of the deposit, optimizing on-site infrastructure, and supporting project advancement. In 2022, the company expanded its focus on exploration efforts at SJG with the objective of increasing the project's mineral resource base, primarily targeting gold.

 From initial small-scale operations averaging of 100 tons per 24-hour operating day in 2015, throughput has steadily increased, reaching an average of approximately 700 tons per day in 2024. In 2023 alone, daily processing volumes rose by 30%, from 550 to 700 tons.

 For 2025, the Company expects to increase in daily throughput to an average of 800 tons, with installed capacity now in place to support up to 1,000 tons per day.
 The Company remains classified as an exploration stage issuer under Regulation S-K 1300 and does not currently meet the criteria for designation as an operating stage issuer.

 The Company is currently reporting all costs of mine operations, improvements, and expansion as expenses in accordance with United States Generally Accepted Accounting Principles ("GAAP") The result of expensing all costs is that the Company has accumulated a net loss carry forward from M xico operations of approximately $18 million USD which is available to offset future taxable earnings.
 Results for the Years Ended December 31, 2024 and 2023
 Summary of Site Based Processing and Operational Activity, 2018 to 2024:

 Year

 Total Tonnes
Processed

 Reported Mill
Feed Grade
(g/t Au)

 Reported
Recovery
%

 Gross Gold
Concentrates
Produced
(Au oz.)

 Net Gold (1)
Concentrates
Sold
(Au oz.)

 2018

 52,038

 9.82

 86.11

 %

 14,147

 13,418

 2019

 66,031

 5.81

 86.86

 %

 10,646

 9,713

 2020

 44,218

 5.65

 87.31

 %

 7,001

 5,828

 2021

 97,088

 9.67

 88.79

 %

 26,728

 22,566

 2022

 137,740

 8.18

 88.05

 %

 31,905

 25,554

 2023

 198,518

 5.58

 76.50

 %

 27,252

 24,829

 2024

 257,676

 4.07

 76.24

 %

 25,677

 22,003

 In 2024, on-site operational activities at San Jose de Gracia resulted in the processing of 257,676 Tons and the production of approximately 25,677 gross Oz Au. After dry weight adjustments at settlement terms with the buyer, approximately 22,003 Oz Au were sold.
 Quarterly Results for the Three and Twelve Months Ended December 31, 2024 and 2023:

 Three Months Ended

 Key Operating Information

 Unit

 Operating Data

 Ore mined

 t

 59,490

 45,755

 233,782

 172,062

 Mining rate

 tpd

 Ore Milled

 t

 67,670

 45,151

 257,676

 198,518

 Mill Throughput

 tpd

 Grade

 g/t

 4.12

 4.71

 4.07

 5.58

 Recovery Au

 %

 75.58

 %

 79.05

 %

 76.24

 %

 76.50

 %

 Gold Ounces Produced

 oz

 6,775

 5,405

 25,677

 27,252

 Gold Ounces Sold

 oz

 6,897

 4,552

 22,003

 24,829

 (1) Gold concentrate sold during the period is not equal to gold concentrate recovered during the period due to timing of shipments to buyer, and due to buyer's payability discount for the purchase of gold concentrate, and due to any adjustment from dry weight and assay in provisional settlements with the final assays.

 Mill feed grades and recovery rates are based on internal estimates derived from assay data and estimated weights of material processed.

 The drop in the feed grade at the pilot plant facility is a result of the planned reduction of certain high-grade zones in accordance with the mine plan, as well as higher dilution experienced in the processed material. The increase in processed tonnage within SJG also contributed to lower grades ore being treated. To support throughput, the Company opened a new development area at San Pablo during the fourth quarter of 2023, and an additional target zone, La Mochomera, in May 2024, which is expected to yield higher-grade material at depth.

 2024 HIGHLIGHTS

 Operational Performance

 Throughout the second half of 2024 (H2 2024), the Company has remained focused on developing and implementing the optimization program at the San Jose de Gracia mine aimed at increasing process plant throughput and recoveries, and improving maintenance and equipment usage with the goal of improving efficiencies and profit margins at the SJG Project level.

 Operational results for the quarter demonstrated significantly improved efficiencies as a result of the ongoing optimization program with a steady improvement as the quarter proceeded with metal production of 2,626 ounces of gold in October, 2,182 ounces in November and 1,968 ounces in December. In Q4 2024 total metal production of 6,776 ounces of gold was a 19% increase from 5,676 ounces the previous quarter and a 25% increase from 5,405 ounces in Q4 2023. Production for the full year 2024 totaled 25,677 ounces of gold, which fell within the Company's revised guidance.

 Milled throughput for Q4 2024 was 67,670 tons, representing a 9% increase compared to 61,900 tones in Q3 2024 and a 50% improvement over 45,151 tones in Q4 2023. Milled throughput for the full year 2024 was 256,676 tons representing a 30% increase over 2023 annual milled throughput of 198,518 tons.

 The increase in ounces produced during the quarter was a result of the increase in feed grade from 3.78 g/t in Q3 2024 to 4.12 g/t in Q4 2024, compared to 4.71 g/t in Q4 2023. The average head grade for the full year 2024 was 4.07 g/t.

 Through significant capital investment made in Q2 and Q3 2024, the Company has made several upgrades to the plant, increase in capital underground development and increased access to working faces and improved the utilization and productivity of current infrastructure, which benefited Q4 2024 production

 A new vibrating screen was installed in the crushing circuit in August 2024 which has resulted in a more consistent and overall improved mill performance which is demonstrated by September's performance of an average of 770 tons per day produced. Throughout October, production averaged 825 tons per day with further improvements expected. Improvements to the flotation circuit have led to improvements in grades with steady month-over-month increases in the metallurgical results achieved.

 At the plant level, metallurgical test work with new reagents also resulted in an optimized flow sheet and demonstrated the ability to deliver up to a 79% recovery, under certain conditions. The Company is working to improve the consistency of plant recoveries.

 The near completion of a new drift into a new working mining face that is expected to come into production in the La Mochomera deposit and the improved access to working faces through the completion of an access road to reach the San Pablo deposit have and should continue to contribute to improved throughput rates. This will also have a positive impact on grades as better access to high-grade zones is gained.

 Detailed activities from the three main deposits include:

 Tres Amigos
 At the Tres Amigos vein north zone a new ore drive was completed in the upper levels enabling further access to this high-grade vein via a new mining face. Mining from this face was incorporated into Q3 2024 production and will continue throughout 2025 as mining this is currently one of the main sources of high-grade ore to the mill. This newly gained access will also enable diamond drilling deeper with a lateral extension toward this untested north and south extension with the goal of increasing inventory.

 San Pablo Viejo and San Pablo Sur
 Throughout the 3rd quarter of 2024 the Company continued active mining from multiple faces at the San Pablo deposit while continuing development work on the access to the San Pablo deposit.

 San Pablo Viejo and San Pablo Sur are expected to remain the primary sources of gold production through 2025 and 2026, with continued potential beyond. Additionally, the South Extension at the 500 level presents an exciting high-grade opportunity, potentially yielding "Bonanza" style gold grades in the short to mid-term. The mine is well-positioned for the future, with a focus on developing new reserves and expanding deeper into the La Mochomera vein.

 La Mochomera
 The La Mochomera vein is also expected to be an important source of gold production during 2025 and 2026 and with particularly interesting high-grade opportunities at depth which is also open.

 OUTLOOK (SJG)

 With a successful Q4 2024 demonstrating more normalized operations, the Company believes that San Jose de Gracia is well positioned for 2025. The steady increased rate of production resulted in 2024 full year production meeting the Company's updated guidance.

 While the Company made significant headway in the last half of 2024, the continued effort to optimize operations will remain focused on improving ore to the mill, throughput rates, and recoveries. San Pablo Sur, San Pablo, La Mochomera and the Tres Amigos ore bodies will continue to be the main contributors to production in the year ahead. Development in these areas will also be a key focus for the Company to access high-grade zones and new mining faces.

 As a result of the capital investments made to the mine and mill, exploration expenditure in Q4 2024 remained minimal, limiting available high-grade resources ready for short term mining. In the near term, exploration will drill targets that are expected to continue to grow the existing high-grade ore resources and increase mineable inventory.

 The Company has continued to invest exploration spending in both near-mine extensions and geological studies and interpretation. The Company plans to complete an SK-1300 Mineral Resource Estimate Update in Q2 2025 at San Jose de Gracia to San Pablo Sur, San Pablo, La Mochomera and the Tres Amigos ore bodies which will include development proposals for additional exploration for ore veins in the short and mid-term.

 The Company expects to start near-mine extension drilling on the property in July 2025 (Q3 2025) and expand to surrounding areas by year end. Exploration will focus on growing the known resources at San Jose de Gracia.

 The Company will prioritize drilling high grade underground targets that can readily be brought into the mine plan as well as the continued regional program to better understand the potential of the significant land package at San Jose de Gracia. Additionally, planning for deeper and lateral drilling in between the San Pablo and Tres Amigos veins has highlighted the potential for extending the high-grade underground resource at San Jose de Gracia, especially in zones that were previously thought to be discontinuous such as near faulting, and has identified the opportunity to develop San Pablo, San Pablo Sur, La Mochomera and Tres Amigos exploration potential. At the La Mochomera deposit, the Company seeks to explore high grade potential toward south to Palos Chinos and Purisima historical mines which operated over 100 years ago as high-grade mines.

 A new tailings dam was completed during Q3 2024 with a total estimated storage capacity of 670,751 cubic meters distributed in two stages to hold additional future tailings for approximately 3.0 years. The use of the third stage storage facility is underway and planning for the fourth stage is in process.

 Results for the Years Ended December 31, 2024 and 2023
 REVENUE: Revenue increased approximately 31% to $46,503.016 for the year ended December 31, 2024 from $35,573,194 for the year ended December 31, 2023. This was primarily due to an increase in net revenue per ounce from $1,433 to $2,113.
 MINE PRODUCTION COSTS: Mine production costs for the years ended December 31, 2024 and 2023 were $15,090,417 and $11,156,677 respectively. These costs were directly related to the extraction of mine tonnage to be processed at the mill. The increase is primarily due to a 30% increase in mined tonnage.
 MINE DEVELOPMENT AND STRIPPING COSTS: Mine development and stripping costs for the years ended December 31, 2024 and 2023 were $11,809,670 and $8,311,027, respectively. These include the costs of extracting waste material to reach the materials to be extracted for processing. The increase was a result of the increase in volume.
 PRODUCTION COSTS RELATED TO SALES: Production costs related to sales for the years ended December 31, 2024 and 2023 were $6,046,714 and $6,669,568, respectively. These are expenses directly related to the milling, packaging and shipping of primarily gold and other precious metals product.
 CAMP, WAREHOUSE AND FACILITIES: Camp, warehouse and facility cost for the years ended December 31, 2024 and 2023 were $5,527,949 and $5,453,778, respectively. These were the support costs of the mining facilities including housing, food, security and warehouse operations. The increase was a result of the increase in personnel from the increase in operations.
 TRANSPORTATION: Transportation costs for the years ended December 31, 2024 and 2023 were $4,971,128 and $4,484,766, respectively. These were the costs of transporting material between the mine and the mill, and delivery of the concentrate to the customer for treatment and sale. The increase was a result of the overall increase in volume transported and the general increase in fuel and trucking costs.
 FACILITIES EXPANSION COSTS: Facilities expansion costs for the years ended December 31, 2024 and 2023 were $2,548,899 and $2,554,505 respectively. These were the costs associated with the expansion of the mining facilities. Primary expenditures in 2024 was related to the opening of new mine access and continued upgrades to the ball mills. Primary expenditures in 2023 were additional costs related to the new ball mills, including a new crusher, and concentrators on the front and the backs of the mill to aid in free gold recovery. These are cost which would normally have been treated as capital expenditures under U.S. GAAP but the Company is required to expense because of the lack of proven and probable reserves.
 EXPLORATION DRILLING: Exploration drilling expenses for the years ended December 31, 2024 and 2023 were $1,736,880 and $2,514,544, respectively. The Company began a new drilling program in 2022 to update its mineral resource estimate under Regulation SK 1300. The Company drilled 29 drill holes totaling 6,644 meters during 2024 and 48 drill holes totaling 14,009 meters in 2023.
 PROPERTY HOLDING COSTS: Property holding costs for the years ended December 31, 2024 and 2023 were $166,551 and $172,663, respectively. These costs were concessions taxes, leases on land and other direct costs of maintaining the property.
 GENERAL AND ADMINISTRATIVE EXPENSES: General and administrative expenses for the years ended December 31, 2024 and 2023 were $4,157,425 and $8,529,349 respectively. These general and administrative expenses represent costs incurred in operating the Company that are not directly related to site-based processing or exploration activities, and include management,

 accounting, and legal expenses. The decrease in costs in 2024 was primarily a decrease in legal fees as discussed in the legal summary, including a non-recurring legal expense of $3,000,000 tied to the successful outcome of litigation paid in 2023.
 STOCK BASED COMPENSATION EXPENSE: Stock compensation expense was $1,219,062 and $881,250 for the years ended December 31, 2024 and 2023 respectively and was related to the vesting of restricted stock awards issued in 2022.
 OTHER INCOME (EXPENSE): Other income (expense) for the years ended December 31, 2024 and 2023 was $(1,247,352) and $(235,675) respectively. Included in 2024 was interest expense of $1,696,258, mark-to-market gain on the derivative liability of $905,174, currency translation loss of $506,439, and other income of $50,171. Included in 2023 was interest expense of $567,792, mark-to-market gain on the derivative liability of $375,076, currency translation loss of $45,177 and other income of $2,218. The primary reason for the increase in interest expense was the Company entering into a revolving credit line facility.
 OTHER COMPREHENSIVE INCOME (LOSS): Comprehensive income (loss) includes the Company's net income (loss) plus the unrealized foreign currency translation gain for the period. The Company's other comprehensive loss for the years ended December 31, 2024 and 2023 consisted of unrealized foreign currency translation gains (losses) of $(2,486,399) and $585,622, respectively, of which $(715,913) of the 2024 loss and $383,604 of the 2023 gain related to a cumulative translation adjustment resulting from the unrealized gains (losses) on the Company's deferred tax asset arising from the Mexico net operating loss.
 Liquidity and Capital Resources
 As of December 31, 2024, the Company had negative working capital of $15,278,780, a decrease of $5,017,135 from the working capital maintained by the Company of negative $10,261,645, as of December 31, 2023. The primary reasons for the decrease is related to a decrease in cash related to the Company's net loss, reclassification a portion of the Company's foreign tax receivable to long term and an increase in short term trade liabilities.
 Net cash used in operations for the year ended December 31, 2024 was $8,014,004 compared to $17,659,661 during the year ended December 31, 2023. This was primarily due to a decrease in the Company's operating loss.
 Net cash used in investing activities for the year ended December 31, 2024 was $6,755 for the purchase of computer equipment. In 2024 and 2023, expenditures related to facilities expansion costs of $2,548,899 and $2,554,505 respectively, were expensed under subpart 1300 of Regulation S-K and not included in investing activities.
 Net cash provided by financing activities for the year ended December 31, 2024, was $8,495,282 compared to $3,670,102 for the year ended December 31, 2023. In 2024 the Company raised $2,500,000 from the sales of Series E Preferred Stock and $6,000,000 from a private placement of the Company's common stock. In 2023, the Company received proceeds of $5,000,000 from the sale of 1,000,000 shares of common stock offset by the purchase of the Company's Series A Preferred Stock for $1,250,000 and repurchase of shares that were returned to treasury stock for $60,250.

 Through December 31, 2024, the Company's available liquidity and operations have been financed primarily through its operations and the revenue generated from the sale of product. The revenue from operations was supplemented by proceeds from the sale of common stock and customer advances as well as the cash flow from operations. Although the Company has incurred net losses and net cash outflows from operating activities and investing activities for the year ended December 31, 2024, there were many expenses which were made that were not expended for the production of revenue, such as exploration drilling and mine expansion and non-recurring legal success fees paid. If these expenses had not been made, the Company's net loss would have been minimized. The Company believes its revenue will be greater due to material being mined from the additional mine opened and improvements made to the productivity of the milling activities. Future capital requirements will depend on many factors, including the Company's rate of mining, milling and exploration activities and growth. To the extent that existing capital and revenue growth are not sufficient to fund future activities, the Company may need to raise capital through additional equity or debt financing. Additional funds may not be available on terms favorable to the Company or at all. Failure to raise additional capital, if needed, could have a material adverse effect on the Company's financial position, results of operations and cash flows.
 Off-Balance Sheet Arrangements
 As of December 31, 2024, we did not have any off-balance sheet arrangements, which have or are reasonably likely to have a material adverse effect on our financial condition, results of operations or liquidity.
 Plan of Operation
 The Plan of operation for the next twelve months includes continued enhancement of site infrastructure and processing capabilities, along with expanded exploration drilling at SJG.

 During 2024, the Company processed an average of approximately 700 tons of material per day. For 2025, the Company anticipates increasing daily processing throughput to an average of 800 tons per 24-hour operating day, in. support of its ongoing exploration and project evaluation activities at the SJG Project. The Company now has processing capacity of up to a maximum of 850 tons a day. The Company initiated development in additional target zones within the project area, which are anticipated to yield higher-grade material for processing as part of its ongoing exploration activities.
 The Company expects that a combination of higher-grade feed material, increased processing throughput, and higher gold prices may produce a significant increase in revenue in 2025, as part of its ongoing exploration and project advancement efforts.
 The Company plans to continue its exploration drilling program with two to three rigs on site. Management and geologists will make decisions based on the drill results, corporate strategies and market conditions, surface mapping, sampling and target generation. The Company has contracted with a "Qualified Person" within the meaning of subpart 1300 of Regulation S-K to interpret the data collected in order to compile a formal Mineral Resource Estimate update in the second quarter of 2025.
 Capital Expenditures
 The Company's primary capital expenditures at the SJG Project have supported ongoing site development and processing enhancements. In 2024 the Company continued to refine its processing systems through the installation of front and back end concentrators and the repurposing of the original mill for grinding. Additional equipment was acquired, and infrastructure was expanded to improve site access and increase operational capacity. All capital expenditures are expensed, consistent with the Company's classification as an exploration stage issuer under subpart 1300 of Regulation S-K.
 Exploration Stage
 The Company is currently classified as an exploration stage issuer under Subpart 1300 of Regulation S-K. In accordance with SEC rules and US GAAP, all costs related to site operations, development activities, and infrastructure improvements are expensed as incurred. As a result, such costs are not capitalized as assets on the Company's balance sheet. The Company has undertaken limited site-scale operational activities to support its exploration and evaluation efforts; however, it has not yet determined mineral reserves, and no commercial production decision has been made.
 DynaM xico General Powers of Attorney
 The Chief Executive Officer of DynaUSA also serves as the President of DynaM xico and DynaMineras. The President of DynaM xico holds powers of attorney granted by the shareholders of DynaM xico which give the current President significant and broad authority within DynaM xico.
 ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK
 Not applicable.

 ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

 The Company's consolidated financial statements as of and for the year December 31, 2024 and 2023 included in this Form 10-K have been audited by Davidson & Company LLP, independent registered public accounting firm, as set forth in their report.

 Consolidated Financial Statements included in the Form 10-K:

 Report of Independent Registered Public Accounting Firm PCAOB ID: 32
 Report of Independent Registered Public Accounting Firm PCAOB ID: 731

 Consolidated Balance Sheets

 Consolidated Statements of Operations and Comprehensive Income (Loss)

 Consolidated Statement of Changes in Stockholders' Equity/(Deficit)

 Consolidated Statements of Cash Flows for the Years

 Notes to the Consolidated Financial Statements

 Report of Independent Registered Public Accounting Firm

 To the Shareholders and Directors of
 DynaResource, Inc.

 Opinion on the Consolidated Financial Statements

 We have audited the accompanying consolidated balance sheets of DynaResource, Inc. (the "Company") as of December 31, 2024 and 2023, and the related consolidated statements of operations and comprehensive loss, changes in stockholders' equity, and cash flows for the years ended December 31, 2024 and 2023, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows in the years ended December 31, 2024 and 2023, in conformity with accounting principles generally accepted in the United States of America.

 Going Concern

 The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, as of December 31, 2024, the Company had negative working capital of $15,278,780, an accumulated deficit of $66,705,019, and for the year ended December 31, 2024, had a net loss of $8,134,852. These matters raise substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 1. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

 Basis for Opinion

 These consolidated financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's consolidated financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control over financial reporting. Accordingly, we express no such opinion.

 Our audits included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. We believe that our audits provide a reasonable basis for our opinion.

 Critical Audit Matter

 The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of this critical audit matter does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing separate opinions on the critical audit matter or on the accounts or disclosures to which they relate.

 Deferred Tax Asset

 The Company has recognized significant deferred tax assets in respect of unused tax losses. The recovery of the deferred tax assets depends on achieving sufficient taxable profits in the future. Future taxable profits to be used for utilization of tax losses accumulated by the Company mainly represent income from mining operations to be earned by the Company's main operating subsidiary. The assessment of the potential to utilize the tax losses is dependent on the forecast profitability of the subsidiary. This requires management's judgment and estimation on key inputs such as expected production, sales volumes, commodity prices, grade and tonnage estimates and operating costs. There is inherent uncertainty involved in forecasting timing and quantum of future taxable profits, which support the extent to which tax assets are recognized. Therefore, this is the key judgmental area our audit is concentrated on.

 Our audit procedures included the following:

 • Evaluating the appropriateness of management's key assumptions and estimates used by management to allocate profit

 between the Company's entities, the likelihood of generating sufficient future taxable profits to support the recognition
 of deferred tax assets.
 • Using our in-house tax specialists, to evaluate the appropriateness of the application of relevant tax legislation by the

 Company, in relation to the utilisation of tax losses.

 We have served as the Company's auditor since 2023.

 /s/ DAVIDSON & COMPANY LLP

 Vancouver, Canada Chartered Professional Accountants

 April 4, 2025

 CONSOLIDATED BALANCE SHEETS

 DECEMBER 31, 2024 AND 2023

 2024

 2023

 ASSETS

 Current assets

 Cash

 $

 4,781,352

 $

 5,603,713

 Accounts receivable

 1,208,346

 880,473

 Inventories (Note 2)

 1,576,392

 2,089,194

 Foreign tax receivable

 2,690,309

 4,434,958

 Other current assets (Note 5)

 1,914,303

 1,137,162

 Total current assets

 12,170,702

 14,145,500

 Property and equipment (net of accumulated depreciation and amortization of $ 42,738 and $ 12,239) (Notes 3)

 79,290

 103,034

 Right-of-use assets, net

 734,229

 848,822

 Mining concessions (Note 4)

 Deferred tax asset (Note 13)

 4,025,957

 4,264,115

 Foreign tax receivable

 16,613,129

 11,768,613

 Other assets

 160,407

 175,588

 TOTAL ASSETS

 $

 37,916,392

 $

 35,438,350

 LIABILITIES, TEMPORARY EQUITY AND STOCKHOLDERS' EQUITY

 Current liabilities

 Accounts payable

 $

 4,889,022

 $

 2,768,634

 Accrued liabilities (Note 6)

 9,857,317

 7,727,621

 Derivative liability (Note 7)

 Notes payable (Note 8)

 9,850,000

 Current portion of operating lease payable (Note 14)

 122,630

 104,117

 Mining concession duties payable (Note 9)

 1,838,346

 2,259,432

 Total current liabilities

 27,449,482

 24,407,145

 Deferred tax liability (Note 13)

 307,777

 334,236

 Operating lease payable, less current portion (Note 14)

 702,531

 825,762

 Asset retirement obligation (Note 10)

 223,520

 198,468

 TOTAL LIABILITIES

 28,683,310

 25,765,611

 TEMPORARY EQUITY

 Series C Senior Convertible Preferred Stock, $ 0.0001 par value, 1,734,992 shares authorized, issued and outstanding

 4,337,480

 4,337,480

 Series D Senior Convertible Preferred Stock, $ 0.0001 par value, 3,000,000 shares authorized, 760,000 shares issued and outstanding

 1,520,000

 1,520,000

 COMMITMENTS AND CONTINGENCIES

 —

 —

 STOCKHOLDERS' EQUITY (Note 11)

 Common Stock, $ 0.01 par value, 40,000,000 and 40,000,000 shares authorized 29,315,726 and 23,371,708 issued and outstanding

 293,157

 233,717

 Series E Senior Convertible Preferred Stock, $ 0.0001 par value, 1,552,795 and 0 shares authorized, issued and outstanding

 —

 Preferred rights

 Additional paid-in-capital

 69,131,186

 61,509,032

 Treasury stock, 37,180 and 37,180 shares at cost

)

)

 Accumulated other comprehensive income (loss)

 ( 1,788,699

)

 697,700

 Accumulated deficit

 ( 66,705,019

)

 ( 58,570,167

)

 TOTAL STOCKHOLDERS' EQUITY

 3,375,602

 3,815,259

 TOTAL LIABILITIES, TEMPORARY EQUITY AND STOCKHOLDERS' EQUITY

 $

 37,916,392

 $

 35,438,350

 The accompanying notes are an integral part of these consolidated financial statements.

 CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
 FOR THE YEARS ENDED DECEMBER 31, 2024 AND 2023

 2024

 2023

 REVENUE

 $

 46,503,016

 $

 35,573,194

 OPERATING EXPENSES

 Mine production costs

 15,090,417

 11,156,677

 Mine development and stripping costs

 11,809,670

 8,311,027

 Mill production cost applicable to sales

 6,046,714

 6,669,568

 Camp, warehouse and facilities

 5,527,949

 5,453,778

 Transportation

 4,971,128

 4,484,766

 Property holding costs

 166,551

 172,663

 Facilities expansion costs

 2,548,899

 2,554,505

 Exploration drilling

 1,736,880

 2,514,544

 Stock based compensation (Note 12)

 1,219,062

 881,250

 General and administrative

 4,157,425

 8,529,349

 Accretion Expense (Note 10)

 18,260

 —

 Right-of-use asset amortization

 114,593

 63,396

 Depreciation and amortization (Note 3)

 30,499

 12,239

 TOTAL OPERATING EXPENSES

 53,438,047

 50,803,762

 NET OPERATING LOSS

 ( 6,935,031

)

 ( 15,230,568

)

 OTHER INCOME (EXPENSE)

 Foreign currency loss

 ( 506,439

)

 ( 45,177

)

 Interest expense (Notes 8 & 9)

 ( 1,696,258

)

 ( 567,792

)

 Derivatives mark-to-market gain (Note 7)

 905,174

 375,076

 Other income

 50,171

 2,218

 TOTAL OTHER EXPENSE

 ( 1,247,352

)

 ( 235,675

)

 NET LOSS BEFORE TAXES

 ( 8,182,383

)

 ( 15,466,243

)

 Mining tax expense (Note 13)

 406,579

 —

 Income tax benefit (Note 13)

 ( 454,110

)

 ( 932,739

)

 TOTAL TAX BENEFIT

 ( 47,531

)

 ( 932,739

)

 NET LOSS

 $

 ( 8,134,852

)

 $

 ( 14,533,504

)

 DEEMED DIVIDEND FOR SERIES C & D PREFERRED

 ( 234,299

)

 ( 234,299

)

 NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS

 $

 ( 8,369,151

)

 $

 ( 14,767,803

)

 LOSS PER SHARE ATTRIBUTABLE TO THE

 EQUITY HOLDERS OF DYNARESOURCE, INC.

 Basic loss per common share

 $

 ( 0.34

)

 $

 ( 0.65

)

 Weighted average shares outstanding – Basic

 24,680,167

 22,705,923

 Diluted earnings loss per common share

 $

 ( 0.34

)

 $

 ( 0.65

)

 Weighted average shares outstanding – Diluted

 24,680,167

 22,705,923

 OTHER COMPREHENSIVE INCOME (LOSS)

 Unrealized foreign currency translation gain (loss)

 ( 2,486,399

)

 585,622

 TOTAL OTHER COMPREHENSIVE INCOME (LOSS)

 ( 2,486,399

)

 585,622

 TOTAL COMPREHENSIVE LOSS

 $

 ( 10,621,251

)

 $

 ( 13,947,882

)

 The accompanying notes are an integral part of these consolidated financial statements.

 CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
 YEARS ENDED DECEMBER 31, 2024 AND 2023

 Preferred A

 Preferred E

 Common

 Preferred

 Preferred

 Paid In

 Treasury

 Treasury

 Other Comp

 Accumulated

 Shares

 Shares

 Shares

 Rights

 Capital

 Shares

 Income

 Deficit

 Totals

 YEAR ENDED DECEMBER 31, 2023

 Balance January 1, 2023

 1,000

 $

 —

 $

 —

 22,246,654

 $

 222,467

 $

 $

 56,889,031

 12,180

 $

 ( 34,773

)

 $

 112,078

 $

 ( 44,036,663

)

 $

 13,192,141

 Issuance of Common Stock

 1,000,000

 10,000

 4,990,000

 5,000,000

 Issuance of Non-Dilution Shares

 125,054

 1,250

 ( 1,250

)

 Stock Compensation - Vesting

 881,250

 881,250

 Purchase of Series A Preferred Stock

 1,000

 ( 1,250,000

)

 ( 1,250,000

)

 Cancellation of Series A Preferred Stock

 ( 1,000

)

 ( 1

)

 ( 1,249,999

)

 ( 1,000

)

 1,250,000

 —

 Acquisition of Treasury Stock

 25,000

 ( 60,250

)

 ( 60,250

)

 Other Comprehensive Income

 585,622

 585,622

 Net Loss

 ( 14,533,504

)

 ( 14,533,504

)

 Balance, December 31, 2023

 —

 $

 —

 —

 $

 —

 23,371,708

 $

 233,717

 $

 $

 61,509,032

 37,180

 $

)

 $

 697,700

 $

 ( 58,570,167

)

 $

 3,815,259

 YEAR ENDED DECEMBER 31, 2024

 Balance January 1, 2024

 —

 $

 —

 —

 $

 —

 23,371,708

 $

 233,717

 $

 $

 61,509,032

 37,180

 $

)

 $

 697,700

 $

 ( 58,570,167

)

 $

 3,815,259

 Issuance of Common Stock

 5,769,231

 $

 57,692

 $

 5,942,308

 6,000,000

 Sales of Series E Preferred Shares

 1,552,795

 Stock Issued for Services

 287,287

 2,873

 459,659

 462,532

 Stock Compensation - Vesting

 1,219,062

 1,219,062

 Cancellation of Shares

 ( 112,500

)

 $

 ( 1,125

)

 1,125

 —

 Other Comprehensive Income

 ( 2,486,399

)

 ( 2,486,399

)

 Net Loss

 ( 8,134,852

)

 ( 8,134,852

)

 Balance, December 31, 2024

 —

 $

 —

 1,552,795

 $

 29,315,726

 $

 293,157

 $

 $

 69,131,186

 37,180

 $

)

 $

 ( 1,788,699

)

 $

 ( 66,705,019

)

 $

 3,375,602

 The accompanying notes are an integral part of these consolidated financial statements.

 CONSOLIDATED STATEMENTS OF CASH FLOWS
 FOR THE YEARS ENDED DECEMBER 31, 2024 AND 2023

 2024

 2023

 CASH FLOWS FROM OPERATING ACTIVITIES:

 Net loss

 $

 ( 8,134,852

)

 $

 ( 14,533,504

)

 Adjustments to reconcile net income to cash used in operating activities

 Derivatives mark-to-market gain

 ( 905,174

)

 ( 375,076

)

 Deferred tax asset

 211,698

 ( 614,073

)

 Depreciation and amortization

 30,499

 12,239

 Accretion

 18,260

 —

 Right-of-use asset amortization

 114,593

 63,396

 Stock based compensation

 1,219,062

 881,250

 Operating cash flows before changes in operating assets and liabilities

 ( 7,445,914

)

 ( 14,565,768

)

 Change in operating assets and liabilities

 Accounts receivable

 ( 327,873

)

 ( 155,831

)

 Inventories

 233,211

 631,617

 Foreign tax receivable

 ( 6,962,321

)

 ( 6,847,708

)

 Other assets

 ( 1,091,821

)

 ( 1,853

)

 Accounts payable

 2,926,750

 710,754

 Accrued liabilities

 4,653,964

 2,169,128

 Customer advances

 —

 400,000

 CASH FLOWS USED IN OPERATING ACTIVITIES

 ( 8,014,004

)

 ( 17,659,661

)

 CASH FLOWS FROM INVESTING ACTIVITIES

 Purchase of property and equipment

 ( 6,755

)

 ( 115,273

)

 CASH FLOWS USED IN INVESTING ACTIVITIES

 ( 6,755

)

 ( 115,273

)

 CASH FLOWS FROM FINANCING ACTIVITIES:

 Proceeds from borrowing (Note 8)

 12,000,000

 —

 Proceeds from sale of common stock (Note 11)

 6,000,000

 5,000,000

 Proceeds from sale of series E preferred stock (Note 11)

 —

 Purchase of series A preferred stock (Note 11)

 —

 ( 1,250,000

)

 Acquisition of treasury stock (Note 11)

 —

 ( 60,250

)

 Payments of notes payable (Note 8)

 ( 11,900,000

)

 —

 Lease Payments

 ( 104,718

)

 ( 19,648

)

 CASH FLOWS PROVIDED BY FINANCING ACTIVITIES

 8,495,282

 3,670,102

 Effects of foreign currency exchange

 ( 1,296,884

)

 531,407

 NET DECREASE IN CASH

 ( 822,361

)

 ( 13,573,425

)

 CASH AT BEGINNING OF YEAR

 5,603,713

 19,177,138

 CASH AT END OF YEAR

 $

 4,781,352

 $

 5,603,713

 $

 —

 SUPPLEMENTAL DISCLOSURES

 Cash paid for interest

 $

 1,175,508

 $

 —

 Cash paid for income taxes

 $

 —

 $

 200,000

 NON-CASH TRANSACTIONS

 Conversion of accrued expenses into common stock

 $

 462,532

 $

 —

 Conversion of customer advance into note payable

 $

 —

 $

 The accompanying notes are an integral part of these consolidated financial statements.

 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
 December 31, 2024 and 2023

 NOTE 1 – NATURE OF ACTIVITIES AND SIGNIFICANT ACCOUNTING POLICIES

 Nature of Activities, History and Organization

 DynaResource, Inc. (the "Company" or "DynaResource") was organized September 28, 1937, as a California corporation under the name of West Coast Mines, Inc. In 1998, the Company re-domiciled to Delaware and changed its name to DynaResource, Inc. The Company is in the business of acquiring, investing in, and developing precious metal properties, and the production of precious metals.

 As of December 31, 2023 the Company had one wholly owned subsidiary in the United States, DynaM xico US Holding, LLC ("US Holding") and three wholly owned subsidiaries in M xico, DynaResource de M xico, S.A. de C.V. ("DynaM xico"), Mineras de DynaResource S.A. de C.V. ("DynaMineras"), and DynaResource Operaciones de San Jose De Gracia S.A. de C.V. ("DynaOperaciones"). In April 2024, as part of the Company's organizational, operating and tax strategy in Mexico, the Company acquired Minera de Alica S.A. de C.V., ("DynaAlica") a Mexican corporation with no assets, liabilities or activity.

 Although the Company considers the four Mexican subsidiaries to be wholly owned, each has issued one qualifying share to a second shareholder as required under Mexican law, with such qualifying shares held by US Holding. DynaM xico owns a portfolio of mining concessions that currently comprises its 100 % interest in the San Jos de Gracia Project ("SJG") in northern Sinaloa State, M xico.

 Principles of Consolidation

 The consolidated financial statements include the accounts of DynaResource, Inc., as well as the Company's wholly owned subsidiaries DynaM xico, DynaMineras, DynaOperaciones and DynaAlica. All significant intercompany transactions have been eliminated. All amounts are presented in U.S. Dollars unless otherwise stated.

 Significant Accounting Policies

 The Company's management selects accounting principles generally accepted in the United States and adopts methods for their application. The application of accounting principles requires the estimating, matching and timing of revenues and expenses. The accounting policies used conform to generally accepted accounting principles which have been consistently applied in the preparation of these consolidated financial statements.

 The financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. Management acknowledges that it is solely responsible for adopting sound accounting practices, establishing and maintaining a system of internal accounting control and preventing and detecting fraud. The Company's system of internal accounting control is designed to assure, among other items, that: (1) recorded transactions are valid (2) valid transactions are recorded and (3) transactions are recorded in the proper period in a timely manner to produce financial statements which present fairly the financial condition, results of operations and cash flows of the Company for the respective periods presented.

 Basis of Presentation

 The Company prepares its consolidated financial statements on the accrual basis of accounting in conformity with accounting principles generally accepted in the United States.

 Going concern

 These consolidated financial statements have been prepared on a going concern basis that contemplates the realization of assets and discharge of liabilities at their carrying value in the normal course of business for the foreseeable future. As of December 31, 2024, the Company had negative working capital of $ 15,278,780, an accumulated deficit of $ 66,705,019, and for the year ended December 31, 2024, had a net loss of $ 8,134,852. These matters raise substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company's ability to further implement its business plan, raise additional capital as needed from the sales of stock, additional debt financing or debt refinancing as may be

 required. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

 Exploration Stage Issuer (No Reserves Disclosed)

 The definitions of Measured Mineral Resource, Mineral Reserve and Mineral Resource are set forth in SEC Regulation S-K, Item 1300 ("Reg. S-K, Item 1300").

 Measured mineral resource is that part of a mineral resource for which quantity and grade or quality are estimated on the basis of conclusive geological evidence and sampling. The level of geological certainty associated with a measured mineral resource is sufficient to allow a qualified person to apply modifying factors in sufficient detail to support detailed mine planning and final evaluation of the economic viability of the deposit. Because a measured mineral resource has a higher level of confidence than the level of confidence of either an indicated mineral resource or an inferred mineral resource, a measured mineral resource may be converted to a proven mineral reserve or to a probable mineral reserve.

 Mineral reserve is an estimate of tonnage and grade or quality of indicated and measured mineral resources that, in the opinion of the qualified person, can be the basis of an economically viable project. More specifically, it is the economically mineable part of a measured or indicated mineral resource, which includes diluting materials and allowances for losses that may occur when the material is mined or extracted.

 Mineral resource is a concentration or occurrence of material of economic interest in or on the Earth's crust in such form, grade or quality, and quantity that there are reasonable prospects for economic extraction. A mineral resource is a reasonable estimate of mineralization, taking into account relevant factors such as cut-off grade, likely mining dimensions, location or continuity, that, with the assumed and justifiable technical and economic conditions, is likely to, in whole or in part, become economically extractable. It is not merely an inventory of all mineralization drilled or sampled.

 As of December 31, 2024, the Company continues to meets the definition of an exploration stage issuer which is defined as an issuer that has no material property with established proven and probable mineral reserves as defined by Regulation S-K, Item 1300.

 Segment Information
 The Company operates as one reportable segment, focused on the exploration and evaluation of its gold-silver project in Mexico. Limited site-scale processing activities are conducted in support of ongoing exploration efforts, consistent with the Company's classification as an Exploration Stage issuer under Regulation S-K 1300.

 Cash and Cash Equivalents

 The Company considers all highly liquid debt instruments with an original maturity of three months or less to be cash equivalents. At times, cash balances may be in excess of the Federal Deposit Insurance Corporation ("FDIC") insurance limits. As of December 31, 2024, the Company had $ 4,206,843 of deposits in United States banks in excess of the FDIC limit. In addition, the Company does no t have any cash equivalents as of December 31, 2024 and 2023. The Company reduces this risk by maintaining such deposits at high quality financial institutions that management believes are creditworthy.

 Accounts Receivable and Allowances for Doubtful Accounts

 Accounts receivable consists of trade receivables which are recorded net of allowance for doubtful accounts for the sale of metal concentrate, as well as net of an embedded derivative based on mark-to-market adjustments for outstanding provisional invoices based on forward metal prices. The allowance for accounts receivable is recorded when receivables are considered to be uncollectible. As of December 31, 2024 and 2023, no allowance has been made. As of December 31, 2024 management believes all accounts receivable are fully collectable.

 Mined Tonnage Inventory

 Mined tonnage inventory represents ore that has been mined and is available for further processing. The stockpiles of mined tonnage are measured by estimating the number of tonnes added and removed from the stockpile, an estimate of the contained metals (based on assay data) and the estimated metallurgical recovery rates. Costs are allocated to stockpiles based on the relative values of material stockpiled and processed using current mining costs incurred, including applicable overhead. Material is removed at each

 stockpile's average cost per tonne. Stockpiles are carried at the lower of average cost of net realizable value. Net realizable value represents the estimated future sales price of the product based on current and long-term metal prices, less the estimated cost to complete production and bring the product the sale.

 Concentrate Inventory

 Concentrate inventory include metal concentrates located either at the Company's facilities or in transit to its customer's port. Concentrate inventories are carried at the lower of cost of production or net realizable value based on current metals prices.

 Foreign Tax Receivable

 Foreign tax receivable is comprised of recoverable value-added taxes ("IVA") charged by the Mexican government on goods and services rendered. Under certain circumstances, these taxes are recoverable by filing a tax return. Amounts paid for IVA are tracked and held as receivables until the funds are received by the Company.

 Property and Equipment

 Substantially all property and equipment at the Company's mines, including design, engineering, mine construction, and installation of equipment are expensed as incurred, as the Company has not established proven and probable reserves on any of its properties. Only certain types of mining equipment which have alternative uses or significant salvage value, may be capitalized without proven and probable reserves.

 Office furniture and equipment are depreciated on a straight-line method over estimated economic lives ranging from 3 to 5 years. Leasehold improvements, which relate to the Company's corporate office, are being amortized over the term of the lease which is 52 months.

 Mine Development Costs

 Mine development costs are expensed as incurred and include engineering and metallurgical studies, drilling and other related costs to delineate an ore body, the removal of overburden to initially expose an ore body at open pit surface mines, and the building of access ways, shafts, lateral access, drifts, ramps and other infrastructure at underground mines.

 When proven and probable reserves (as defined by Reg. S-K, Item 1300) exist, development costs are capitalized. Mine development costs incurred either to develop new ore deposits, expand the capacity of operating mines, or to develop mine areas substantially in advance of current production would also be capitalized. Costs of start-up activities and costs incurred to maintain current production or to maintain assets are charged to operations as incurred. All capitalized costs would be amortized using the units of production method over the estimated life of the ore body based on recoverable ounces to be mined from proven and probable reserves.

 Certain costs to design and construct mining and processing facilities may be incurred prior to establishing proven and probable reserves. As no proven and probable reserves have been established on any of the Company's properties, the design, construction and development costs are not capitalized at any of the Company's properties.

 Mining Concessions

 The Company's mining concessions include acquired interests in development and exploration stage properties and are considered tangible assets. The amount capitalized relating to the Company's mining concessions represents its fair value at the time of acquisition. If it is determined that the deferred costs related to a property are not recoverable over its productive life, those costs will be written down to fair value as a charge to operations in the period in which the determination is made. The amounts at which mining concessions and the related costs are recorded do not necessarily reflect present or future values.

 The Company reviews and evaluates its long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. Mineral properties are monitored for impairment based on factors such as mineral prices, government regulation and taxation, the Company's continued right to explore the area, exploration reports, assays, technical reports, drill results and its continued plans to fund exploration programs on the property.

 For operating mines, recoverability is measured by comparing the undiscounted future net cash flows to the net book value. When the net book value exceeds future net undiscounted cash flows, an impairment loss is measured and recorded based on the excess

 of the net book value over fair value. Fair value for operating mines is determined using a combined approach, which uses a discounted cash flow model for the existing operations and a market approach for the fair value assessment of exploration land claims. Future cash flows are estimated based on quantities of recoverable mineralized material, expected gold and silver prices (considering current and historical prices, trends and related factors), production levels, operating costs, capital requirements and reclamation costs, all based on life-of-mine plans. The term "recoverable mineralized material" refers to the estimated amount of gold or other commodities that will be obtained after considering losses during processing and treatment of mineralized material. In estimating future cash flows, assets are grouped at the lowest level for which there are identifiable cash flows that are largely independent of future cash flows from other asset groups. The Company's estimates of future cash flows are based on numerous assumptions, and it is possible that actual future cash flows will be significantly different than the estimates, as actual future quantities of recoverable minerals, gold, and silver, commodity prices, production levels and costs and capital are each subject to significant risks and uncertainties.

 The recoverability of the book value of each property will be assessed annually for indicators of impairment such as adverse changes to any of the following:
 • estimated recoverable ounces of gold, silver or other precious minerals

 • estimated future commodity prices

 • estimated expected future operating costs, capital expenditures and reclamation expenditures

 A write-down to fair value would be recorded if the expected future cash flow is less than the net book value of the property, or when events or changes in the property indicate that carrying amounts are not recoverable. This analysis will be completed as needed. As of the date of this filing, no events have occurred that would require the write-down of any assets. As of December 31, 2024 and 2023, no indications of impairment existed.

 Asset Retirement Obligation ("ARO")

 The Company records a liability based on the best estimate of costs for site closure and reclamation activities that the Company is legally or contractually required to remediate. The provision for closure and reclamation liabilities is estimated using expected cash flows based on engineering and environmental reports and accreted to full value over time through periodic charges to income.

 During 2023, a significant upgrade was made to the milling facility and therefore, an ARO has been established as of December 31, 2023 at the estimated costs to decommission the plant and tailings pond at the end of the estimated live of the mines in operation as of December 31, 2023. As the Company is an exploration stage property that does not qualify for asset capitalization, the costs associated with the obligation are charged to operations.

 Changes in regulations or laws, any instances of non-compliance with laws or regulations that result in fines, or any unforeseen environmental contamination could result in a material impact to the amounts charged to operations for reclamation and remediation. Significant judgments and estimates are made when estimating the fair value of AROs. Expected cash flows relating to AROs could occur over long periods of time and the assessment of the extent of environmental remediation work is highly subjective. Considering all the factors that go into the determination of an ARO, the fair value of the AROs can materially change over time.

 Property Holding Costs

 Holding costs to maintain the property are expensed in the period they are incurred. These costs include security and maintenance expenses, lease and claim fees and payments, and environmental monitoring and reporting costs.

 Exploration Costs

 Exploration costs, including exploration, development, direct field costs and related administrative costs are expensed in the period incurred.

 Leases

 The Company adopted ASC 842, which requires recognition of a right-of-use asset and lease liability for all leases at the commencement date based on the present value of lease payments over the lease term. Additional qualitative and quantitative disclosures regarding the Company's leasing arrangements are also required. The Company adopted ASC 842 prospectively and

 elected the package of transition practical expedients that does not require reassessment of (1) whether any existing or expired contracts are or contain leases, (2) lease classification and (3) initial direct costs. In addition, the Company has elected other available practical expedients to not separate lease and non-lease components, which consist principally of common area maintenance charges, for all classes of underlying assets and to exclude leases with an initial term of 12 months or less.

 Transactions In and Translations Of Foreign Currency

 The functional currency for the subsidiaries of the Company is the Mexican Peso. As a result, the financial statements of the subsidiaries have been translated from Mexican Pesos into U.S. dollars using (i) year-end exchange rates for balance sheet accounts, and (ii) the weighted average exchange rate of the reporting period for all income statement accounts. Foreign currency translation gains and losses are reported as a separate component of stockholders' equity and comprehensive income (loss).

 Foreign currency transactions are translated into the functional currency of the respective currency of the entity or division, using the exchange rates prevailing at the dates of the transactions (spot exchange rate). Foreign exchange gains and losses resulting from the settlement of such transactions and from the remeasurement of monetary items denominated in foreign currency at period-end exchange rates are recognized in profit or loss. Non-monetary items that are not re-translated at period end are measured at historical cost (translated using the exchange rates at the transaction date), except for non-monetary items measured at fair value, which are translated using the exchange rates as at the date when fair value was determined. Gains and losses are recorded in the statement of operations and comprehensive income (loss).

 Relevant exchange rates used in the preparation of the financial statements for the subsidiaries are as follows for the years ended December 31, 2024 and 2023 (Mexican Pesos per one U.S. dollar):

2024

2023

 Current exchange rate

 Pesos

 20.86

 16.97

 Weighted average exchange rate for the year ended

 Pesos

 18.33

 17.23

 The Company recorded currency transaction gains (losses) of $( 506,439) and $( 45,177) for the years ended December 31, 2024 and 2023, respectively.

 Income Taxes

 The Company accounts for income and mining taxes under ASC 740 "Income Taxes" using the liability method, recognizing certain temporary differences between the financial reporting basis of liabilities and assets and the related income tax basis for such liabilities and assets. This method generates either a net deferred income and mining tax liability or asset for the Company, as measured by the statutory tax rates in effect. The Company derives the deferred income and mining tax charge or benefit by recording the change in either the net deferred income and mining tax liability or asset balance for the year. The Company records a valuation allowance against any portion of those deferred income and mining tax assets when it believes, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred income and mining tax asset will not be realized.

 Income from the Company's subsidiaries in M xico are taxed in accordance with applicable Mexican tax law.

 Uncertain Tax Position

 The Company is subject to income taxes in the U.S. and other foreign jurisdictions, with respect to which some of the outcome is uncertain. The evaluation of the Company's uncertain tax positions involves significant judgment in the interpretation and application of GAAP and complex domestic and international tax laws. We establish reserves to remove some or all of the tax benefit of any of our tax positions at the time we determine that it becomes uncertain based upon one of the following conditions: (1) the tax position is not "more likely than not" to be sustained, (2) the tax position is "more likely than not" to be sustained, but for a lesser amount, or (3) the tax position is "more likely than not" to be sustained, but not in the financial period in which the tax position was originally taken. For purposes of evaluating whether or not a tax position is uncertain, (1) we presume the tax position will be examined by the relevant taxing authority that has full knowledge of all relevant information; (2) the technical merits of a tax position are derived from authorities such as legislation and statutes, legislative intent, regulations, rulings and case law and their applicability to the facts and circumstances of the tax position; and (3) each tax position is evaluated without consideration of the possibility of offset or aggregation with other tax positions taken. Although management believes the Company's reserves are reasonable, no assurance can be given that the final outcome of these uncertainties will not be different from that which is reflected in the Company's reserves. A number of years may elapse before a particular uncertain tax position is audited and finally resolved

 or when a tax assessment is raised. The number of years subject to tax assessments varies depending on the tax jurisdiction. Any tax benefit that is or has been reserved because of a failure to meet the "more likely than not" recognition threshold would be recognized in income tax expense in the first interim period when the uncertainty disappears under any one of the following conditions: (1) the tax position is "more likely than not" to be sustained, (2) the tax position, amount, and/or timing is ultimately settled through negotiation or litigation, or (3) the statute of limitations for the tax position has expired.

 Comprehensive Income (Loss)

 ASC 220 "Comprehensive Income" establishes standards for reporting and display of comprehensive income and its components in a full set of general-purpose consolidated financial statements. The Company's comprehensive income consists of net income (loss) and other comprehensive income (loss), consisting of unrealized net gains and losses on the translation of the assets and liabilities of its foreign operations.

 Revenue Recognition

 The Company follows ASC 606 "Revenue from Contracts with Customers". The Company generates revenue by selling gold and silver concentrate material produced from its mining operations. The Company recognizes revenue for gold and silver concentrate production, net of treatment and refining costs, when it satisfies the performance obligation of transferring control of the concentrate to the customer. This is generally when the material is delivered to the customer facility for treatment and processing, as the customer has the ability (upon such delivery) to direct the use of and obtain substantially all the remaining benefits from the material and the customer has the risk of loss.

 The amount of revenue recognized is initially recorded on a provisional basis based on the contract price and the estimated metal quantities based on assay data. Adjustments to the provisional sales prices are made to take into account the mark-to-market changes based on the forward prices of metals until final settlement occurs. The changes in price between the provisional sales price and final sales price are considered an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrate at the quoted metal prices at the time of delivery. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through revenue at final settlement. Market changes in the prices of metals between the delivery and final settlement dates will result in adjustments to revenues related to previously recorded sales of concentrate. The chief risk associated with the recognition of sales on a provisional basis is the fluctuation (if any) between the estimated quantities of the precious metals based on the initial assay and the actual recovery from treatment and processing.

 During the years ended December 31, 2024 and 2023, there were $ Nil and $ 9,350,000, respectively of revenue recognized during the year from customer deposit liabilities (deferred contract revenue) from prior periods, and no customer deposits were refunded to the customer due to order cancellation.

 Shipping and handling costs are considered fulfillment costs after the customer obtains control of the goods.

 Derivative Financial Instruments

 Certain warrants are treated as derivative financial liabilities. The estimated fair value, based on the Black-Scholes model, is adjusted on a quarterly basis with gains or losses recognized in the statements of operations and comprehensive income (loss). The Black-Scholes model is based on significant assumptions such as volatility, dividend yield, and expected term.

 Fair Value of Financial Instruments

 The Company's financial instruments consist of cash, accounts receivable, accounts payable, note payable and installment notes payable and derivative liabilities. The carrying amount of cash, accounts receivable, accounts payable and note payable approximates fair value because of the short-term nature of these items. The carrying amount of installment notes payable debt approximates fair value due to the relationship between the interest rate on installment notes payable debt and the Company's incremental risk adjusted borrowing rate. The fair value of derivative liabilities is based on the Black-Scholes model.

 Earnings (Loss) Per Share
 Earnings (loss) per share attributable to the common equity holders of the Company are calculated in accordance with ASC 260 "Earnings per Share". The weighted average number of common shares outstanding during each period is used to compute basic

 earnings (loss) per share. Diluted earnings per share are computed using the weighted average number of shares and potentially dilutive common shares outstanding. Potentially dilutive common shares are additional common shares assumed to be exercised. Potentially dilutive common shares consist of stock warrants and convertible preferred shares and are excluded from the diluted earnings per share computation in periods where the Company has incurred a net loss, as their effect would be considered anti-dilutive.

 The Company's Series C Preferred Stock and related outstanding dividends are convertible into 2,942,695 and 2,853,721 shares of Common Stock at December 31, 2024 and 2023. The Company's Series D Preferred Stock and related outstanding dividends are convertible into 851,200 and 820,800 shares of common stock at December 31, 2024 and 2023. During the years ended December 31, 2024 and 2023, the Company had warrants outstanding to purchase 892,165 shares of common stock. During the years ended December 31, 2024 and 2023 the Company has options outstanding to purchase 1,150,000 and nil shares of common stock. These shares related to these potentially dilutive common shares are excluded from the weighted average diluted shares outstanding for the year ended December 31, 2024 and 2023, as including them would be anti-dilutive.

 Years ended December 31,

 2024

 2023

 Net loss attributable to common shareholders

 $

 ( 8,369,151

)

 $

 ( 14,767,803

)

 Shares:

 Weighted average number of common shares outstanding, Basic

 24,680,167

 22,705,923

 Weighted average number of common shares outstanding, Diluted

 24,680,167

 22,705,923

 Basic loss per share

 $

 ( 0.34

)

 $

 ( 0.65

)

 Diluted loss per share

 $

 ( 0.34

)

 $

 ( 0.65

)

 Related Party Transactions

 FASB ASC 850 "Related Party Disclosures" requires companies to include in their consolidated financial statements disclosures of material related party transactions. The Company discloses all material related party transactions. A party is considered to be related to the Company if the party directly or indirectly or through one or more intermediaries, controls, is controlled by, or is under common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. A party which can significantly influence the management or operating policies of the transacting parties or if it has an ownership interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting parties might be prevented from fully pursuing its own separate interests is also a related party.

 Significant Judgments, Estimates and Assumptions

 The preparation of financial statements in accordance with U.S. GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the period. These judgments, estimates and assumptions are regularly evaluated and are based on management's experience and knowledge of the relevant facts and circumstances. While management believes the estimates to be reasonable, actual results could differ from those estimates and could impact future results of operations and cash flows.

 The areas which require significant judgment and estimates that management has made at the financial reporting date, that could result in a material change to the carrying amounts of assets and liabilities, in the event actual results differ from the assumptions made, relate to, but are not limited to the following:

 Significant judgments:

 • the determination of income tax is inherently complex and requires making certain estimates and assumptions about future events;

 • quantitative and qualitative factors used in the assessment of impairment of the Company's mineral property;

 • the analysis of resource calculations, drill results, etc. which can impact the Company's assessment of impairment, and provisions, if any, for environmental rehabilitation and restoration; and

 • The valuation of derivatives liabilities requires management to determine the most appropriate valuation model and inputs to the valuation model.

 Recently Adopted Accounting Pronouncements

 In the fourth quarter of 2024, the Company adopted ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable
 Segment Disclosures ("ASU 2023-07"). ASU 2023-07 enhances reportable segment disclosures by requiring disclosures such as
 significant segment expenses, information on the CODM and disclosures for entities with a single reportable segment. Additionally, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, and contain other disclosure requirements. The adoption of ASU 2023-07 did not have an impact on the consolidated results of operations, financial condition or statement of cash flows.

 Recently Issued Accounting Standards

 In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures", which modifies the rules on income tax disclosures to require entities to disclose (1) specific categories in the rate reconciliation, (2) the income or loss from continuing operations before income tax expense or benefit (separated between domestic and foreign) and (3) income tax expense or benefit from continuing operations (separated by federal, state and foreign). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state and local jurisdictions, among other changes. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. The Company is currently evaluating the potential impact of the adoption of this new guidance on our Consolidated Financial Statements and related disclosures.

 Accounting Standards Update 2024-03 – Income Statement – Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40). ASU 2024-03 requires all public entities to disclose disaggregated information about purchases of inventory, employee compensation, depreciation, intangible asset amortization, and depletion for each income statement line item that contains those expenses. The amendments in ASU 2024-03 are effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027. ASU 2024-03 allows for early adoption and requires either prospective adoption to financial statements issued for reporting periods after the effective date of ASU 2024-03 or retrospective adoption for any and all prior periods presented in the financial statements. The Company is currently assessing the impact of adopting ASU 2024-03 on the consolidated financial statements and related disclosures.

 NOTE 2 – INVENTORIES

 Inventories are carried at the lower of cost or fair value and consist of mined tonnage, gravity-flotation concentrates, and gravity tailings (or, flotation feed material). Inventory balances as of December 31, 2024 and 2023, respectively, were as follows:

 2024

 2023

 Mined Tonnage

 $

 1,406,448

 $

 2,061,149

 Gold-Silver Concentrates

 169,944

 28,045

 Total Inventories

 $

 1,576,392

 $

 2,089,194

 NOTE 3 – PROPERTY AND EQUIPMENT
 Property and equipment consists of the following as of December 31, 2024 and 2023:

 2024

 2023

 Leasehold improvements

 $

 21,274

 $

 21,274

 Office equipment

 49,238

 42,483

 Office furniture and fixtures

 24,453

 24,453

 Other

 27,063

 27,063

 Sub-total

 122,028

 115,273

 Less: Accumulated depreciation and amortization

 ( 42,738

)

 ( 12,239

)

 Total Property and Equipment

 $

 79,290

 $

 103,034

 Depreciation and amortization has been provided over each asset's estimated useful life. Depreciation and amortization expense was $ 30,499 and $ 12,239 for the years ended December 31, 2024, and 2023 respectively.

 NOTE 4 – MINING CONCESSIONS

 Mining properties consist of the SJG concessions. Mining Concessions were $ 4,132,678 and $ 4,132,678 at December 31, 2024 and December 31, 2023, respectively. As the Company is an exploration stage company, there was no depletion expense for the years ended December 31, 2024 and 2023.

 NOTE 5 - OTHER CURRENT ASSETS

 Other current assets consist primarily of warehouse supplies, advances to suppliers and prepaid assets.

 NOTE 6 - ACCRUED LIABILITIES

 As of December 31, 2024 and 2023, the Company had the following accrued liabilities:

 2024

 2023

 Accrued interest

 $

 2,221,219

 $

 2,352,869

 Accrued mining expenses

 3,515,893

 2,104,938

 Accrued taxes

 1,241,111

 993,978

 Other accrued liabilities

 2,879,094

 2,275,836

 Total accrued liabilities

 $

 9,857,317

 $

 7,727,621

 NOTE 7 - DERIVATIVE LIABILITIES

 Warrants Issued With the Notes Convertible into Series D Preferred Stock
 In fiscal 2020, the Company closed a financing agreement with Golden Post Rail, LLC ("Golden Post") and certain shareholders whereby the Company issued convertible promissory notes that bore interest at 10 % and were convertible into shares of Series D Senior Convertible Preferred Stock and common stock purchase warrants ("2020 warrants") at an exercise price of $ 0.01 per share, with an expiry of ten years. These 2020 warrants contain anti-dilution provisions. See Note 11. The Company analyzed the conversion features of the promissory notes convertible into Series D Preferred Stock and determined that the 2020 warrants and remaining purchaser warrants issued with such notes qualified as a derivative liability. The fair value was required to be allocated among the notes, the notes' conversion features, and the 2020 warrants and remaining purchaser warrants, and then re-measured at each reporting date. The Company performed a valuation of the conversion feature of the 2020 warrants and remaining purchaser warrants. In performing the valuation, the Company applied the guidance in ASC 820, "Fair Value Measurements", to non-financial assets and liabilities that are recognized or disclosed at fair value on a nonrecurring basis. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). To measure fair value, the Company incorporates assumptions that market participants would use in pricing the asset or liability and utilizes market data to the maximum extent possible.

 In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

 The Company considered the inputs in this valuation to be level 3 in the fair value hierarchy under ASC 820 and used the Black-Scholes model to determine the value of conversion feature of the Warrants issued with the notes convertible into Series D Preferred Stock based on the assumptions below:

 2024

 2023

 Annual volatility rate

 %

 %

 Risk free rate

 4.25

 %

 4.23

 %

 Remaining term

 5.37 years

 6.37 years

 Fair value of common stock

 $

 1.00

 $

 2.02

 For the years ended December 31, 2024 and 2023, an active market for the Company's common stock did not exist. Accordingly, the fair value of the Company's common stock was estimated using a valuation model with level 3 inputs.

 The below table represents the change in the fair value of the derivative liability during the years ended December 31, 2024 and 2023.

 2024

 2023

 Fair value of derivative (warrants), beginning of year

 $

 $

 2,172,417

 Exercise of warrants

 -

 -

 Change in fair value of derivative

 ( 905,174

)

 ( 375,076

)

 Fair value of derivative (warrants), end of year

 $

 $

 NOTE 8 – NOTES PAYABLE

 (A) ADVANCE CREDIT LINE FACILITY/CUSTOMER ADVANCES

 On February 4, 2021, the Company entered into an Advance Credit Line Facility and Purchase Agreement (the "ACL"), with a commercial buyer. On August 2, 2023, the ACL was extended through December 2026 in an Amendment Agreement (the "Amendment"). Under the terms of the ACL and Amendment:
 • The Company will deliver 100 % of its produced concentrates to the buyer and provider of the ACL, through December 31, 2026, with evergreen annual extensions thereafter until either party terminates with at least 365 days' notice;

 • An initial ACL was established by the buyer in the amount of $ 3.75 M USD.

 • On May 1, 2021, the ACL increased to an amount equal to 80 % of the prior 3 months' revenue.

 • Each successive month, the ACL shall be adjusted according to the Company's prior 3 months' revenue to a maximum advance line of $ 17.5 million as specified in the Amendment.

 • The ACL shall never be less than $ 3.75 M USD.

 • The ACL will be interest free for 45 days.

 • The ACL is to be repaid through deliveries of concentrates or cash within 120 days.

 • Beginning in September 2023, up to $10M of the ACL advance may be converted into a one-year installment loan (the "RCL") bearing interest at 3M SOFR + 7.5% and amortized as follows: Month 1, interest only; Month 2-11, 5% principal plus interest; and Month 12, final 50% principal plus interest. Converting the advance amount into an installment loan will reduce the available on a pro rata percentage basis;

 • If the ACL is converted into the RCL subsequent deliveries during the term of the loan will be paid in cash within ten days of delivery;

 • The Amendment provides the buyer with a right of first refusal during the Commercial Offtake Agreement, to provide offtake financing and purchase other concentrates (zinc, silver, copper, etc) and dor from the Company's open pit and underground operations.

 The ACL was included under Customer Advances on the consolidated balance sheet, prior to December 1, 2023.
 Deposits under the Advance Credit Line Facility
 Under the terms of the ACL, the Company received the following advances from the buyer (in millions):
 (1) $ 9.35 advance on December 28, 2022. Settled on February 16, 2023.

 (2) $ 9.60 advance on February 21, 2023. Settled on March 31, 2023.

 (3) $ 9.20 advance on March 31, 2023. Settled on May 17, 2023.

 (4) $ 9.85 advance on May 18, 2023. Settled on June 28, 2023.

 (5) $ 10.0 advance on June 29, 2023. Settled on August 14, 2023.

 (6) $ 10.75 advance on August 17, 2023. Settled on September 16, 2023.

 (7) $ 9.75 advance on September 29, 2023. Converted to a one-year note payable on December 1, 2023.

 (B) REVOLVING CREDIT LINE (RCL) & TEMPORARY ADVANCE CREDIT LINE (TACL)
 On December 1, 2023, the Company exercised its option under the ACL to convert the outstanding ACL balance of $ 9,750,000 into a one-year note payable (the "RCL") bearing interest at 3M SOFR + 7.5%. The RCL is repayable as follows: Month 1, interest only; Month 2-11, 5% principal plus interest; and Month 12, final 50% principal plus interest.
 On June 20, 2024 the Company amended the terms of the RCL. Under the amended agreement the Company may receive up to an additional $ 4,000,000 (the ("TACL") at the same interest rate due on November 30, 2024. The Company also received a put option (the "Put Option") to convert up to $ 9,000,000 of the RCL into common stock at $ 1.61 a share exercisable from November 1, 2024 until the November 30, 2024 maturity date. If the TACL and the RCL are repaid in full on or prior to the maturity date, the maximum principal amount of the RCL will be increased to $ 12,500,000. If the Put Option is exercised for more than $ 4,000,000, however, the maximum principal amount of the RCL will be reduced on a dollar-for-dollar basis by such excess.
 As part of the June 20, 2024 amendment, the Company granted a security interest in the Company's Mexican IVA tax claims to the holder of the RCL and TACL notes.
 In November 2024 the Company paid off the TACL and renewed the RCL for one year. Under terms of the renewal the TACL was discontinued and the put options was removed. The $ 12,500,000 maximum principal amount, interest rate and payment terms remained the same.
 The following is a summary of the activity during the years ended December 31, 2024 and 2023:

 2024

 2023

 Balance beginning of year

 $

 $

 -

 Advances

 12,000,000

 —

 Conversion of ACL to Note Payable

 —

 Principal Payments

 ( 11,900,000

)

 —

 Balance end of year

 $

 9,850,000

 $

 Interest expense for the year ended December 31, 2024 was $ 1,249,098 (2023- $ 108,098).

 NOTE 9 – CONCESSION DUTIES PAYABLE

 In June 2018, the Company entered into financing agreements for the unpaid mining concession duties on the Francisco Arturo mining concession for the year ended December 31, 2017 and the period ending June 30, 2018 in the amount of $ 1,739,392. The Company paid an initial 20 % payment of $ 347,826 and financed the balance over 36 months at 22 %.

 In February 2019, the Company entered into a financing agreement for unpaid mining concession duties on the Francisco Arturo mining concession for the year ended December 31, 2018 in the amount of $ 335,350. The Company paid an initial 20 % payment of $ 67,070 and financed the balance over 36 months at an interest rate of 22 %.

 In June 2018, the Company applied for a reduction of the Francisco Arturo mining concession, from 69,121 hectares to 3,280 hectares. On July 31, 2018, the application for reduction was approved and the Company paid an initial amount of 985,116 MNP (Pesos), for the second semester 2018 mining concessions duties on the reduced Francisco Arturo mining concession. The Company continues to accrue an amount of $ 22,500 (USD) per semester on the reduced Francisco Arturo mining concession.

 As of June 2019, the Company ceased making monthly payments on the above noted Francisco Arturo concession notes and has petitioned the Hacienda for a reduction in the liability equal to the reduction in the Francisco Arturo concession above. For financial reporting purposes the Company continues to carry all notes at unpaid principal amount and accrues interest on a monthly basis. At December 31, 2024, $ 2,221,219 of accrued interest on the notes was included in accrued liabilities on the accompanying consolidated balance sheet.

 In October 2019, the Company entered into a financing agreement for unpaid mining concession duties on the San Jose de Gracia core mining concessions in the amount of $ 299,474. The Company paid an initial 20 % payment of $ 59,895 and financed the balance over 36 months at an interest rate of 22 %. Interest expense for the year ended December 31, 2024 was $ 449,161 (2023 - $ 464,308).

 The following is a summary of the transaction during the years ended December 31, 2024, and December 31, 2023:

 Balance December 31, 2022

 $

 1,968,251

 Exchange Rate Adjustment

 291,181

 2023 Principal Payments

 —

 Balance December 31, 2023

 2,259,432

 Exchange Rate Adjustment

 ( 421,086

)

 2024 Principal Payments

 —

 Balance December 31, 2024

 $

 1,838,346

 NOTE 10 - ASSET RETIREMENT OBLIGATION

 During 2023, a significant upgrade was made to the milling facility and therefore, an ARO has been established as of December 31, 2023 at the estimated undiscounted costs totaling $ 316,800 to decommission the plant and tailings pond at the end of the estimated live of the mines in operation as of December 31, 2023, discounted using credit-adjusted, risk-free interest rate of 9.2 %. As this is an exploration stage property that does not qualify for asset capitalization, the costs associated with the obligation were charged to operations.

 Asset retirement obligation consists of the following as of December 31, 2024 and 2023:

 2024

 2023

 Asset retirement obligation at beginning of year

 $

 198,468

 $

 -

 Additions to ARO liability

 6,792

 198,468

 Accretion

 18,260

 —

 Asset retirement obligation at end of year

 $

 223,520

 $

 198,468

 NOTE 11– STOCKHOLDERS' EQUITY

 The total number of shares of all classes of capital stock which the Company has the authority to issue is 60,001,000 shares, consisting of (i) twenty million and one thousand ( 20,001,000) shares of Preferred Stock, par value $ 0.0001 per share ("Preferred Stock"), of which 1,734,992 shares are designated as Series C Preferred Stock, 3,000,000 shares are designated as Series D Preferred Stock, and 1,552,795 shares are designated as Series E Preferred Stock, and (ii) forty million ( 40,000,000) shares of Common Stock, par value $ 0.01 per share ("Common Stock"). As of December 31, 2024, 13,713,213 of Preferred Stock remain undesignated.

 Series A Preferred Stock

 The Company had designated 1,000 shares of its Preferred Stock as Series A Preferred Stock, having a par value of $ 0.0001 per share. Holders of the Series A Preferred Stock had the right to elect a majority of the Board of Directors of the Company. In 2007, the Company issued 1,000 shares of Series A Preferred Stock to its now former CEO. On April 19, 2023 the Company repurchased the 1,000 shares of Series A Preferred Stock from the now former CEO for $ 1,250,000. On July 17, 2023 the Company amended its certificate of incorporation to cancel the Series A Preferred Stock.

 Series C Senior Convertible Preferred Stock

 As of December 31, 2024 and 2023, there were 1,734,992 and 1,734,992 shares of Series C Preferred Stock outstanding, respectively. These shares of Series C Preferred Stock are convertible to shares of Common Stock at $ 1.93 per share, redeemable on demand and include anti-dilution protection on both the shares of Series C Preferred Stock and the 2,655,361 of shares of Common Stock acquired through the exercise of the Series C stock warrants in June 2022. The shares of Series C Preferred Stock may receive a 4 % per annum dividend, payable if available, and in arrears. The dividend is calculated at 4.0 % of $ 4,337,480 payable annually on June 30. As of December 31, 2024, dividends for the years ending December 31, 2017 through 2024 totaling $ 1,400,775 were in arrears. (2023 - $ 1,227,276).

 Due to the nature of this transaction as mandatorily redeemable by the Company at the election of the Series C Preferred Stock shareholder at maturity, the shares of Series C Preferred Stock are classified as "temporary equity" on the balance sheet.

 Series D Senior Convertible Preferred Stock

 Financing Agreement with Golden Post Rail, LLC, a Texas Limited Liability Company, and with Shareholders of DynaResource, Inc.

 On May 14, 2020, the Company closed an additional financing and related agreements with certain shareholders totaling $ 4,020,000 which was convertible into shares of Series D Preferred Stock. The noteholders also received the 2020 warrants, as outlined in Note 6, for the purchase of an aggregate of 1,260,633 shares of the Company's common stock at an exercise price of $ 0.01 a share.

 On October 7, 2021, the Company paid $ 2,500,000 to repurchase one note. The remaining ten noteholders elected to convert their notes totaling $ 1,520,000 into shares of Series D Preferred Stock at $ 2.00 per share. On October 18, 2021, the Company issued 760,000 shares of Series D Preferred Stock for these notes. The shares of Series D Preferred Stock may receive a 4 % per annum dividend, payable if available, and in arrears. The dividend is calculated at 4.0 % of $ 1,520,000 payable annually on October 18th. As of December 31, 2024 dividends for the years 2022 through 2024 totaling $ 182,400 were in arrears. Concurrently with the note conversion the noteholders exercised 368,468 of the 2020 warrants to purchase 368,468 shares of the Company's Common Stock at $ 0.01 per share.

 Due to the nature of the Series D Preferred Stock, as mandatorily redeemable by the Company at the election of the Series D Preferred stockholders at any time following maturity, the Series D Preferred Stock is classified as "temporary equity" on the balance sheet.

 The deemed dividends on the Series C and D Preferred Stock for the years ended December 31, 2024 and 2023, were $ 234,299 and $ 234,299, respectively. As the Company has not declared these dividends, it is required as an item "below" the net income amount on the accompanying consolidated statements of income.

 Series E Convertible Preferred Stock
 As of December 31, 2024 and 2023 there were 1,552,795 and nil shares of Series E Preferred Stock outstanding. The shares of Series E Preferred Stock are convertible on a one-for-one basis into shares of Common Stock, subject to equitable adjustment. The

 shares of Series E Stock are eligible to receive the conversion equivalent of any Common Stock dividend declared but carry no preferred dividend and are not redeemable in cash.

 Preferred Stock (Undesignated)

 In addition to the 1,734,992 authorized shares designated as Series C Preferred Stock, the 3,000,000 authorized shares designated as Series D Preferred Stock and the 1,552,795 authorized shares designated as Series E Preferred Stock the Company is authorized to issue an additional 13,713,213 shares of Preferred Stock, having a par value of $ 0.0001 per share. The Board of Directors of the Company has authority to issue the Preferred Stock from time to time in one or more series, and with respect to each series of the Preferred Stock, to fix and state by resolution the terms attached to the Preferred Stock. At December 31, 2024 and December 31, 2023, there were no other shares of Preferred Stock outstanding.

 Separate Series Increase or Decrease in Authorized Shares. The shares of each series of Preferred Stock may vary from the shares of any other series thereof in any or all of the foregoing respects and in any other manner. The Board of Directors may increase the number of shares of Preferred Stock designated for any existing series by a resolution adding to such series authorized and unissued shares of Preferred Stock not designated for any other series. Unless otherwise provided in the Preferred Stock Designation, the Board of Directors may decrease the number of shares of Preferred Stock designated for any existing series by a resolution subtracting from such series authorized and unissued shares of Preferred Stock designated for such existing series, and the shares so subtracted shall become authorized, unissued and undesignated shares of Preferred Stock.

 Common Stock

 The Company is authorized to issue 40,000,000 common shares at a par value of $ 0.01 per share. These shares have full voting rights. At December 31, 2024 and December 31, 2023, there were 29,315,726 and 23,371,708 common stock shares outstanding, respectively. No dividends were paid for the years ended December 31, 2024 and 2023, respectively.

 Preferred Rights

 In 2003, the Company issued "Preferred Rights" and received $ 784,500 for these rights. This has been reflected as "Preferred Rights" in stockholders' equity in accompanying consolidated balance sheets. As of December 31, 2024, $ 744,500 had been repaid, leaving a current balance of $ 40,000 and $ 40,000 as of December 31, 2024 and 2023, respectively.

 Stock Issuances
 On August 4, 2023 the Company issued 1,000,000 shares of Common Stock for $ 5,000,000 cash consideration.

 In connection with the sales the Company issued 125,054 shares to the Series C Preferred stockholder under the Series C Preferred Stock anti-dilution provision.
 On June 27, 2024 the Company issued 1,552,795 shares of Series E Preferred Stock for $ 2,500,000 cash consideration.
 On June 28, 2024 the Company issued 287,287 shares of Common Stock with a value of $ 462,532 to senior executives as compensation.
 On October 18, 2024 the Company issued 5,769,231 shares of Common Stock for $ 6,000,000 cash consideration.

 Treasury Stock

 During the year ending December 31, 2024, there were no treasury stock transactions.

 During the year ended December 31, 2023, 25,000 shares of the Company's Common Stock previously issued for services were returned to the Company as part of a settlement of fees.

 At December 31, 2024 and 2023, 37,180 and 37,180 treasury shares were held by the Company.

 Warrants
 As of December 31, 2024, the Company had outstanding warrants, which were a part of the issuance of notes convertible into Series D Convertible Preferred Stock in 2020, to purchase 892,165 shares of common stock:

 Weighted

 Weighted

 Average

 Average

 Exercise

 Remaining

 Number

 Price

 Contractual

 Intrinsic

 of Shares

 per share

 Life (Years)

 Value

 Balance at December 31, 2022

 892,165

 $

 0.01

 7.37

 Exercise of warrants

 —

 $

 —

 Forfeiture of the warrants

 —

 $

 —

 -

 Balance at December 31, 2023

 892,165

 $

 0.01

 6.37

 Exercise of warrants

 —

 $

 —

 Forfeiture of the warrants

 —

 $

 —

 -

 Balance at December 31, 2024

 892,165

 $

 0.01

 5.37

 Exercisable at December 31, 2024

 892,165

 $

 0.01

 5.37

 -

 A derivative liability was incurred at the issuance of the Series D warrants in 2020. As of December 31, 2024, the derivative liability totaled $ 892,167. See Note 7 above.

 Options

 As of December 31, 2024 the Company had the following outstanding options, which were issued to Directors and Executive Officers as compensation to purchase 1,150,000 shares of Common Stock:

 On February 16, 2024, in conjunction with joining the Board of Directors, Mr. Quinton Hennigh was awarded options to purchase up to 400,000 shares of the Common Stock at an exercise price of $ 5.00 per share, with such options vesting in 25 % increments on each of the first four anniversaries of the date of the award.

 On June 3, 2024, Mr. Rohan Hazelton, in conjunction with accepting the position of Chief Executive Officer, was awarded options to purchase up to 750,000 shares of Common Stock at an exercise price of $ 1.75 per share, with such options vesting and becoming exercisable one-third per year on each of the first three anniversaries of the grant date and will be exercisable for a period of five years from the grant date.

 Weighted

 Weighted

 Average

 Average

 Exercise

 Remaining

 Number

 Price

 Contractual

 Intrinsic

 of Shares

 per share

 Life (Years)

 Value

 Balance at December 31, 2022

 —

 $

 —

 —

 —

 Issuance of options

 —

 $

 —

 —

 Exercise of options

 —

 $

 —

 Forfeiture of the options

 —

 $

 —

 Balance at December 31, 2023

 —

 $

 —

 —

 —

 Issuance of options

 1,150,000

 $

 2.88

 —

 Exercise of options

 —

 $

 —

 Forfeiture of the options

 —

 $

 —

 Balance at December 31, 2024

 1,150,000

 $

 2.88

 3.97

 —

 NOTE 12 – STOCK BASED COMPENSATION

 On December 28, 2022, the Company issued 1,500,000 shares of restricted Common Stock to certain key employees and consultants. The shares were 25 % vested at issuance and vest an additional 25 % on December 28, 2023, 2024, and 2025. The shares were valued at the closing stock price of $ 2.35 on the date of issuance and accounted for under ASC 718. Stock compensation expense for the years ended December 31, 2024 and 2023 was $ 1,219,062 and 881,250 representing the 25 % vested portion of the total stock value. In addition the 2024 expenses included accelerated vesting of $ 327,813 due to terminations. In addition to the accelerated vesting 112,500 shares under these awards were cancelled in December 2024. As of December 31, 2024, deferred compensation totaling $ 297,063 remained unvested.
 On June 3, 2024, Mr. Rohan Hazelton was appointed as the Company's new Chief Executive Officer. In connection with Mr. Hazelton's appointment, the Company entered into an Employment Agreement with Mr. Hazelton that included a signing bonus of 750,000 stock options as detailed below, 500,000 Restricted Stock Units vesting one-third per year on each of the first three anniversaries of the grant date, the terms of which are to be determined by the Compensation Committee and 500,000 Deferred Stock Units, the terms and metrics of which are to be determined by the Compensation Committee.
 On July 22, 2024, Mr. Alonso Sotomayor was appointed as the Company's new Chief Financial Officer. In connection with Mr. Sotomayor's appointment, the Company entered into an Employment Agreement with Mr. Sotomayor that included a signing bonus of 225,000 restricted stock units vesting one-third per year on each of the first three anniversaries of the grant date.

 On February 16, 2024, in conjunction with joining the Board of Directors, Mr. Quinton Hennigh was awarded options to purchase up to 400,000 shares of Common Stock of the Company at an exercise price of $ 5.00 per share, with such options vesting in 25 % increments on each of the first four anniversaries of the date of the award and will be exercisable for a period of four years from the date of the grant.

 The inputs utilized in calculating the fair are as follows:

2024

2023

 Annual volatility rate

 127.93

 %

 —

 Risk free rate

 4.36

 %

 —

 Expected life at issuance

 5.0

 —

 Fair Value of stock options

 $

 1.15

 —

 On June 3, 2024, Mr. Rohan Hazelton, in conjunction with accepting the position of Chief Executive Officer, was awarded options to purchase up to 750,000 shares of Common Stock of the Company at an exercise price of $ 1.75 per share, with such options vesting and becoming exercisable one-third per year on each of the first three anniversaries of the grant date and will be exercisable for a period of five years from the grant date.

 The inputs utilized in calculating the fair value are as follows:

2024

2023

 Annual volatility rate

 105.55

 %

 —

 Risk free rate

 4.42

 %

 —

 Expected life at issuance

 5.0

 —

 Fair Value of stock options

 $

 1.38

 —

 NOTE 13 – INCOME TAXES

 FASB ASC 740-10, Income Taxes, mandates the asset and liability approach to determine the income tax provision or benefit. This approach requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the carrying amounts and the tax bases of assets and liabilities. Income tax receivables and liabilities and deferred tax assets and liabilities are recognized based on the amounts that more likely than not will be sustained upon ultimate settlement with taxing authorities.

 Developing the provision for income taxes and analysis of uncertain tax positions requires significant judgment and knowledge of federal and state income tax laws, regulations and strategies, including the determination of deferred tax assets and liabilities and, if necessary, any valuation allowances that may be required for deferred tax assets.

 The Company assess the realization of our deferred tax assets to determine whether an income tax valuation allowance is required. Based on all available evidence, both positive and negative, and the weight of that evidence to the extent such evidence can be objectively verified, we determine whether it is more likely than not that all or a portion of the deferred tax assets will be realized.

 The Company considers many factors when evaluating our uncertain tax positions, and such judgments are subject to periodic review. Tax benefits associated with uncertain tax positions are recognized in the period in which one of the following conditions is satisfied: (1) the more likely than not recognition threshold is satisfied; (2) the position is ultimately settled through negotiation or litigation; or (3) the statute of limitations for the taxing authority to examine and challenge the position has expired. Tax benefits associated with an uncertain tax position are derecognized in the period in which the more likely than not recognition threshold is no longer satisfied.

 2024

 2023

 Deferred Tax Assets:

 Federal net operating loss carryforwards

 $

 1,824,870

 $

 1,389,426

 Foreign net operating loss carryforwards

 5,377,469

 6,288,045

 Lease liability

 173,284

 195,275

 Accrued bonus

 —

 105,240

 Other

 174,426

 185,867

 Gross Deferred Tax Asset

 7,550,049

 8,163,853

 Valuation allowance

 ( 3,215,387

)

 ( 3,468,858

)

 Total Deferred Tax Asset

 4,334,662

 4,694,995

 Deferred Tax Liabilities:

 Right of use asset

 ( 154,188

)

 ( 178,253

)

 Other

 ( 462,294

)

 ( 586,863

)

 Total Deferred Tax Liabilities

 ( 616,482

)

 ( 765,116

)

 Net Deferred Tax Asset

 $

 3,718,180

 $

 3,929,879

 Balance Sheet Presentation:

 Deferred Tax Asset

 $

 4,025,957

 $

 4,264,115

 Deferred Tax Liability

 307,777

 334,236

 Net Deferred Tax Asset

 $

 3,718,180

 $

 3,929,879

 The Company's pre-tax income (loss) by jurisdiction was as follows for the years ending December 31, 2024 and 2023

 2024

 2023

 Domestic

 $

 ( 770,536

)

 $

 ( 3,925,863

)

 Foreign

 ( 7,818,426

)

 ( 11,540,380

)

 Total

 $

 ( 8,588,962

)

 $

 ( 15,466,243

)

 The provision for income taxes for continuing operations for the year ended December 31, 2024 and 2023 consists of the following

 2024

 2023

 Current income taxes

 Federal

 $

 —

 $

 ( 148,666

)

 State

 —

 —

 Foreign

 456,683

 ( 170,000

)

 Total current income taxes

 $

 456,683

 $

 ( 318,666

)

 Deferred income taxes

 Federal

 $

 ( 348,996

)

 $

 ( 983,296

)

 State

 —

 —

 Foreign

 ( 155,218

)

 369,223

 Total deferred income taxes

 $

 ( 504,214

)

 $

 ( 614,073

)

 Total income tax benefit

 $

 ( 47,531

)

 $

 ( 932,739

)

 A reconciliation between the amount of reported income tax expense (benefit) and the amount computed by multiplying income from continuing operations before income taxes by the statutory federal income tax rate is shown below. Income tax expense for the year ended December 31, 2024 includes state minimum taxes, permanent differences, and deferred tax assets for which the valuation allowance has been released. A corresponding tax benefit is included for the year ended December 31, 2024 to reflect the release in the valuation allowance.

 2024

 2023

 Tax Expense at statutory federal rate of 21%

 $

 ( 1,803,682

)

 $

 ( 3,247,911

)

 Permanent differences

 ( 198,295

)

 ( 118,773

)

 Foreign rate differential

 ( 703,658

)

 ( 1,038,635

)

 Return to provision

 2,307,583

 ( 274,501

)

 NOL Expieration

 199,427

 —

 Mining Tax

 406,579

 —

 Change in valuation allowance

 ( 253,471

)

 3,468,858

 Statutory to GAAP

 ( 2,791

)

 278,223

 Other

 —

 Income tax benefit

 $

 ( 47,531

)

 $

 ( 932,739

)

 The net deferred tax asset and benefit for the current year is generated primarily from cumulative net operating loss carryforward, which totals approximately $ 26.5 million at December 31, 2024.

 2024

 2023

 United States Expiring 2029 to 2037

 $

 -

 $

 -

 United States Indefinite Limited to 80%

 8,689,855

 6,578,856

 Foreign NOLs

 17,924,896

 21,742,318

 Total Net Operating Loss Carryforward

 $

 26,614,751

 $

 28,321,174

 At December 31, 2024, the carryforwards available to offset US federal future taxable income consisted of net operating loss ("NOL") carryforwards of approximately $ 8.7 million pre-tax, all of which, have no expiration date. Future NOL utilization will be subject to the 80-percent of taxable income limitation, as all remaining NOLs have been generated after 2017 and the passage of the Tax Cuts and Jobs Act of 2017. The Company's Mexico net operating losses of $ 17.9 million pre-tax are subject to a ten-year carryforward period and the Company anticipates utilizing its Mexico NOL in future years before expiration.

 During the year ended December 31, 2022, the valuation allowance was released. The Company believes a full valuation allowance against the net deferred tax asset is no longer warranted based on the positive evidence in recent years. Such positive evidence includes no longer being in a three-year cumulative losses, the rising prices in gold, utilization of current year tax attributes, and projected taxable income in the future.

 The Company's practice is to recognize interest and penalties related to income taxes in income tax expense in continuing operations, as incurred. There were no uncertain tax benefits or interest and penalties related to uncertain tax benefits as of December 31, 2024.

 The Company is subject to income taxes in the US federal jurisdiction as well as Mexico. The Company is no longer subject to US federal, state and local tax examinations by tax authorities for years prior to fiscal year 2021. The Company began utilizing its NOL in 2021. The statute of limitations began when the Company filed its 2021 US Federal Tax Return. The Company is no longer subject to Mexican tax examinations for years prior to fiscal year 2017.

 The Company has not provided U.S. income taxes and foreign withholding taxes, on its cumulative earnings for certain non-U.S. subsidiaries, because such earnings are intended to be indefinitely reinvested. Determination of the amount of unrecognized deferred tax liability for temporary differences related to investments in these non-U.S. subsidiaries that are essentially permanent in duration is not practicable.

 NOTE 14 – COMMITMENTS AND CONTINGENCIES
 Legal Update

 From time to time, the Company is involved in legal matters in the ordinary course of its business. The Company intends to defend itself vigorously against any such claims. It is the Company's policy to accrue for amounts related to lawsuits brought against it if it is probable that a liability has been incurred and an amount can be reasonably estimated. Although the outcome of such matters cannot be predicted with certainty and no assurances can be given with respect to such matters, the Company believes that the outcome of those ordinary course matters in which it is currently involved will not have a materially adverse effect on its results of operations, liquidity, or financial position.

 2014 Arbitration Proceeding filed by Goldgroup Resources Inc.

 On March 14, 2014, Goldgroup Resources, Inc. ("Goldgroup") filed for arbitration in the United States with the American Arbitration Association ("AAA"), seeking monetary and nonmonetary relief under an Earn In/Option Agreement. On August 25, 2016, the AAA issued a ruling in favor of Goldgroup against the Company and DynaM xico (the "Arbitration Award"). On May 9, 2019, the United States District Court for the District of Colorado (the "Colorado U.S. District Court") confirmed the Arbitration Award. The Company fulfilled its obligations under the Arbitration Award prior to the beginning of 2023. On March 5, 2024, the Colorado U.S. District Court issued an Order denying requests for additional relief by both the Company and Goldgroup and stating that the case is closed.

 DynaResource de Mexico SA de CV Legal Update & Disclosure

 On March 3, 2023, Goldgroup Resources Inc. ("Goldgroup") filed a formal notice with the M xico Federal Legal Authorities, which confirmed Goldgroup's complete withdrawal of all legal claims in Mexico and under Mexican law against DynaResource de M xico SA de CV.

 Goldgroup's complete legal withdrawal is the result and culmination of 7 years of legal actions undertaken in Mexico by DynaM xico. Accordingly, all matters before the courts in M xico with respect to DynaM xico and Goldgroup Resources Inc. are fully resolved and are no longer subject to appeal.

 Consequences of the M xico legal ruling and the Goldgroup legal withdrawal:
 1. The $ 48,280,808 USD damages award (dated October 05, 2015) in favor of DynaM xico and against Goldgroup Resources Inc., confirmed by Mexican courts in 2019, is final, conclusive, and enforceable under Mexican law. Goldgroup Resources' challenges to that award have been fully denied and the damages award is final.

 2. Goldgroup's challenges to DynaM xico's share ownership have also been fully denied and consequently, under Mexican law, Goldgroup owns no shares in DynaM xico.

 Mercuria Energy Trading S.A vs Mineras de DynaResource S.A. de C.V.

 In 2020, Mercuria Energy Trading, S.A. ("Mercuria") initiated an arbitration proceeding against Mineras de Dynaresource, S.A. de C.V. ("Mineras"), arising out of the earlier-terminated supply agreement between the parties. In January 2022, The arbitration panel awarded Mercuria the sum of US$1,822,674, plus interest at 2% over the quarterly compounded USD 3- month LIBOR rate, from

 February 2020 forward. In August 2022, the panel also assessed costs of the arbitration proceeding against Mineras, in the aggregate amount of 376,232. DynaResource has accrued $1,000,000 for the arbitration award and related costs.

 The Company notes the following: since Mineras is a company of Mexican nationality, under Mexican law Mineras has the right to legally oppose the recognition and enforcement of the award to Mercuria, the assessment of any costs, and any supplemental award.

 Concession Taxes

 The Company is required to pay taxes in M xico in order to maintain mining concessions owned by DynaM xico. Additionally, the Company is required to incur a minimum amount of expenditures each year for all concessions held. The minimum expenditures are calculated based upon the land area, as well as the age of the concessions. Amounts spent in excess of the minimum may be carried forward indefinitely over the life of the concessions and are adjusted annually for inflation. Based on Management's recent business activities and current and forward plans and considering expenditures on mining concessions from 2002-2017 and continuing expenditures in current and forward activities, the Company does not anticipate that DynaM xico will have any difficulties meeting the minimum annual expenditures for the concessions ($388 – $2,400 Mexican Pesos per hectare). DynaM xico retains sufficient carryforward amounts to cover over 10 years of the minimum expenditure (as calculated at the 2017 minimum, adjusted for annual inflation of 4%).

 Leases

 In addition to the surface rights held by DynaM xico pursuant to the Mining Act of M xico and its Regulations (Ley Minera y su Reglamento), DynaMineras maintains access and surface rights to the SJG Project pursuant to the 20 -year Land Lease Agreement. The 20 Year Land Lease Agreement with the Santa Maria Ejido Community surrounding San Jose de Grac a was dated January 6, 2014 and continues through January 2033. It covers an area of 4,399 hectares surrounding the main mineral resource areas of SJG and provides for annual lease payments on January 1st each year by DynaMineras of $ 1,359,443 pesos adjusted for inflation based on the Mexico minimum wage increase commencing in 2014. Rent was $ 5,296,950 Pesos (approx. $ 289,000 USD) for the year ended December 31, 2024. The Land Lease Agreement provides DynaMineras with surface access to the core resource areas of SJG ( 4,399 hectares), and allows for all permitted mining and exploration activities from the owners of the surface rights (Santa Maria Ejido community).

 The Company leases office space for its corporate headquarters in Irving, Texas. In February 2023, the Company entered into a fifty-two-month extension of the lease with additional office space. As part of the agreement the lease term commenced and the Company received four months free rent upon completion of the finish out of the new space. The expansion was completed and the Company moved into the office space affective August 1, 2023 The Company makes tiered lease payments on the 1st of each month.

 The Company determines if a contract is or contains a lease at inception. As of December 31, 2024, the Company has two operating leases - a fifty-two month lease for office space with a remaining term of thirty-five months and a twenty-year ground lease in association with its M xico mining operations with a remaining term of ten years. Variable lease costs consist primarily of variable common area maintenance, storage parking and utilities. The Company's leases do not have any residual value guarantees or restrictive covenants.
 As the implicit rate is not readily determinable for most of the Company's lease agreements, the Company uses an estimated incremental borrowing rate to determine the initial present value of lease payments. These discount rates for leases are calculated using the Company's interest rate of promissory notes.

 The Company's components of lease expense are as follows:

2024

 Operating Lease – Office Lease

 $

 112,749

 Operating Lease – Ground Lease

 96,896

 Short Term Lease Costs

 14,967

 Variable Lease Costs

 192,016

 TOTAL

 $

 416,628

 Weighted average remaining lease term and weighted average discount rate are as follows:

 Weighted Average Remaining Lease Term (Years) – Operating Leases

 5.96

 Weighted Average Discount Rate – Operating Leases

 12.50

 %

 Estimated future minimum lease obligations are as follow for the years ending December 31:

 YEAR

 2024

 $

 221,426

 2025

 226,903

 2026

 221,722

 2027

 109,058

 2028

 112,329

 Thereafter

 357,616

 Total

 1,249,054

 Less Imputed Interest

 ( 423,893

)

 OPERATING LEASE LIABILITY

 $

 825,161

 NOTE 15 – FAIR VALUE OF FINANCIAL INSTRUMENTS

 The ASC guidance for fair value measurements and disclosure establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below:

 Level 1 Inputs – Quoted prices for identical instruments in active markets.
 Level 2 Inputs – Quoted prices for similar instruments in active markets quoted prices for identical or similar instruments in markets that are not active and model-derived valuations whose inputs are observable or whose significant value drivers are observable.
 Level 3 Inputs – Instruments with primarily unobservable value drivers.

 As of December 31, 2024 and 2023, the Company's financial instruments were carried at fair value and were measured at fair value using Level 3 inputs, with the exception of cash, accounts receivable, foreign tax receivable, notes payable, mining concession duties payable, which are measured at amortized cost. A description of the valuation of the Level 3 inputs is discussed in Note 7.

 Quoted Prices
in Active
Markets For
Identical
Assets

 Significant
Other
Observable
Inputs

 Significant
Unobservable
Inputs

 Fair Value Measurement at December 31, 2024:

 (Level 1)

 (Level 2)

 (Level 3)

 Liabilities:

 Derivative Liabilities

 $

 -

 -

 $

 Totals

 $

 $

 -

 $

 -

 $

 Fair Value Measurement at December 31, 2023:

 Liabilities:

 Derivative Liabilities

 $

 -

 -

 $

 Totals

 $

 $

 -

 $

 -

 $

 The fair values of other financial assets and liabilities were assumed to approximate their carrying values due to their short-term nature and historically negligible credit losses, and are classified within Level 1 of the fair value hierarchy.

 NOTE 16 – CONCENTRATIONS

 For the years ended December 31, 2024 and 2023, one customer accounted for 100 % of revenue and accounts receivable.

 NOTE 17 - SEGMENTED INFORMATION

 The Company operates as one reportable segment focused on the exploration and evaluation of its gold-silver project in Mexico, The Company's Chief Executive Officer ("CEO") acts as the Chief Operating Decision Maker ("CODM") and the CODM uses consolidated net income/loss as the measure of segment profit and loss to assess performance and allocate resources. The measure of segment assets is reported on the consolidated balance sheet as total consolidated assets, with a majority of these assets located in Mexico and had the following geographic concentrations as of December 31, 2024 and 2023:

 Mexico

 United States

 Total

 Mining concessions

 $

 $

 —

 $

 Property and equipment, net

 —

 79,290

 79,290

 Current assets

 7,591,704

 4,578,998

 12,170,702

 Other assets

 19,395,437

 2,138,285

 21,533,722

 Total assets

 $

 31,119,819

 $

 6,796,573

 $

 37,916,392

 Mining concessions

 $

 $

 —

 $

 Property and equipment, net

 —

 103,034

 103,034

 Current assets

 8,475,858

 5,669,642

 14,145,500

 Other assets

 15,271,752

 1,785,386

 17,057,138

 Total assets

 $

 27,880,288

 $

 7,558,062

 $

 35,438,350

 Total Revenue for the year - Mexico

 $

 46,503,016

 $

 35,573,194

 Total Revenue for the year - United States

 -

 -

 Total Revenue for the year

 $

 46,503,016

 $

 35,573,194

 Total comprehensive income (loss) for the year - Mexico

 $

 ( 10,196,733

)

 $

 ( 11,249,628

)

 Total comprehensive income (loss) for the year - United States

 ( 424,518

)

 ( 2,698,254

)

 Total comprehensive income (loss) for the year

 $

 ( 10,621,251

)

 $

 ( 13,947,882

)

 NOTE 18 – RELATED PARTY TRANSACTIONS

 During the years ended December 31, 2024 and 2023, the Company paid or accrued $ 312,500 and $ 370,000 in management fees to its directors. Included in accounts payable at December 31, 2024 is $ 412,500 due to related parties.

 Restricted Stock Awards

 During the year ended December 31, 2022 the Compensation Committee approved stock awards to employees, directors and consultants of the Company. The stock awards approved were issued to each of the individuals/entities and vested 25 % immediately and the remainder vest 25 % each year on December 31 for the next three years, subject to resignation or termination provisions. The awards totaled 1,500,000 shares of which 1,175,000 were awarded to officers and/or directors. Total stock-based compensation recognized on awards granted to related parties totaled $ 690,313 for the years ended December 31, 2023 and $ 969,375 for the year ended December 31, 2024. Due to a termination, 112,500 shares under these awards were cancelled in December 2024.
 On June 3, 2024, Mr. Rohan Hazelton was appointed as the Company's new Chief Executive Officer. In connection with Mr. Hazelton's appointment, the Company entered into an Employment Agreement with Mr. Hazelton that included a signing bonus of 750,000 stock options as detailed below, 500,000 Restricted Stock Units vesting one-third per year on each of the first three anniversaries of the grant date, the terms of which are to be determined by the Compensation Committee and 500,000 Deferred Stock Units, the terms and metrics of which are to be determined by the Compensation Committee.
 On July 22, 2024, Mr. Alonso Sotomayor was appointed as the Company's new Chief Financial Officer. In connection with Mr. Sotomayor's appointment, the Company entered into an Employment Agreement with Mr. Sotomayor that included a signing bonus of 225,000 restricted stock units vesting one-third per year on each of the first three anniversaries of the grant date, the terms of which are to be determined by the Compensation Committee.

 Options Awarded

 On February 16, 2024, in conjunction with joining the Board of Directors, Mr. Quinton Hennigh was awarded options to purchase up to 400,000 shares of Common Stock at an exercise price of $ 5.00 per share, with such options vesting in 25 % increments on each of the first four anniversaries of the date of the award.

 On June 3, 2024, Mr. Rohan Hazelton, in conjunction with accepting the position of Chief Executive Officer, was awarded options to purchase up to 750,000 shares of Common Stock at an exercise price of $ 1.75 per share, with such options vesting and becoming exercisable one-third per year on each of the first three anniversaries of the grant date and will be exercisable for a period of five years from the grant date.

 NOTE 19– SUBSEQUENT EVENTS

 The Company has evaluated events from December 31, 2024, through the date whereupon the consolidated financial statements were issued, and has described below the events subsequent to the end of the period:

 In September 2024, the Company entered into a commodity pricing contract through its major purchaser. The Company used a forward contract to lock in the price of recoverable gold from its deliveries of gold concentrates. The contract was for 75 % of recoverable gold up to 9,000 ounces, at a price of $ 2,495 per ounce. This means that if the price of gold decreases, the Company will still receive amounts based on the contract price. In March 2025, the Company fulfilled its delivery obligations under the commodity pricing contract.

 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.

 None.

 ITEM 9A. CONTROLS AND PROCEDURES

 Evaluation of Disclosure on Controls and Procedures

 We carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) as of December 31, 2024. This evaluation was accomplished under the supervision and with the participation of our chief executive officer / principal executive officer and our financial consultant who concluded that our disclosure controls and procedures are effective to ensure that all material information required to be filed in the annual report on Form 10-K has been made known to them. The evaluation did not include a 404A assessment. For purposes of this section, the term disclosure controls and procedures mean controls and other procedures of an issuer that are designed to ensure that information required to be disclosed by the issuer in the reports that it files or submits under the Act (15 U.S.C. 78a et seg.) is recorded, processed, summarized and reported, within the time periods specified in the Commission's rules and forms. Disclosure, controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Act is accumulated and communicated to the issuer's management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

 Management's Annual Report on Internal Control Over Financial Reporting

 Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act. Our internal control system was designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes, in accordance with generally accepted accounting principles in the United States. Our internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles and that receipts and expenditures of the Company are being made only in accordance with authorizations of management of the Company and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company's assets that could have a material effect on the financial statements.

 Because of inherent limitations, a system of internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate due to change in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

 Our management conducted an evaluation of the effectiveness of our internal control over financial reporting using the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in Internal Control—Integrated Framework (2013 Internal Control—Integrated Framework) at December 31, 2024. Based on its evaluation, our management concluded that, as of December 31, 2024, our internal controls over financial reporting were effective.

 This annual report does not include an attestation report of the Company's registered public accounting firm regarding internal control over financial reporting. Management's report was not subject to the attestation by the Company's registered public accounting firm pursuant to rules of the SEC that permit the Company to provide only management's report in this annual report.

 Changes in Internal Controls over Financial Reporting

 This annual report does not include an attestation report of the Company's registered public accounting firm regarding internal control over financial reporting. Management's report was not subject to the attestation by the Company's registered public accounting firm pursuant to rules of the SEC that permit the Company to provide only management's report in this annual report.

 ITEM 9B. OTHER INFORMATION

 During the fiscal quarter ended December 31, 2024, none of our directors or officers informed us of the adoption, modification or
termination of a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement," as those terms are defined in
Regulation S-K, Item 408

 ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS
 Not applicable.

 ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

 The information required by this item is incorporated herein by reference to our Proxy Statement with respect to our 2025 Annual Meeting of Stockholders to be filed with the SEC within 120 days of the end of the fiscal year covered by this Annual Report on Form 10-K.

 ITEM 11. EXECUTIVE COMPENSATION

 The information required by this item is incorporated herein by reference to our Proxy Statement with respect to our 2025 Annual Meeting of Stockholders to be filed with the SEC within 120 days of the end of the fiscal year covered by this Annual Report on Form 10-K.

 ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 The information required by this item is incorporated herein by reference to our Proxy Statement with respect to our 2025 Annual Meeting of Stockholders to be filed with the SEC within 120 days of the end of the fiscal year covered by this Annual Report on Form 10-K.

 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

 Director Independence.

 The information required by this item is incorporated herein by reference to our Proxy Statement with respect to our 2025 Annual Meeting of Stockholders to be filed with the SEC within 120 days of the end of the fiscal year covered by this Annual Report on Form 10-K.

The information required by this item is incorporated herein by reference to our Proxy Statement with respect to our 2025 Annual Meeting of Stockholders to be filed with the SEC within 120 days of the end of the fiscal year covered by this Annual Report on Form 10-K.

 ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

 The exhibits listed in the accompanying exhibit index are filed (except as otherwise indicated) as part of this report.

 3.1.1

 Certificate of Incorporation of the Company, filed with the Secretary of State of the State of Delaware on December 8, 1997 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.1, File No. 000-30371)

 3.1.2

 First Amendment to Certificate of Incorporation of the Company, filed with the Secretary of State of the State of Delaware on February 13, 1998 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.2, File No. 000-30371)

 3.1.3

 Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Secretary of State of the State of Delaware on October 3, 2007 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.3, File No. 000-30371)

 3.1.4

 Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Secretary of State of the State of Delaware on February 15, 2012 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.4, File No. 000-30371)

 3.1.5

 Amended and Restated Certificate of Incorporation of the Company, filed with the Secretary of State of the State of Delaware on November 28, 2012 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.5, File No. 000-30371)

 3.1.6

 Certificate of Designation of Series B Convertible Preferred Stock, filed with the Secretary of State of the State of Delaware on August 28, 2013 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.6, File No. 000-30371)

 3.1.7

 Amended and Restated Bylaws of the Company (incorporated by reference from the Current Report on Form 8-K filed with the SEC on April 30, 2015, Exhibit 3.7, File No. 000-30371)

 3.1.8

 Certificate of Amendment to the Certificate of Incorporation of the Company as filed with the Delaware Secretary of State on July 15, 2020 (incorporated by reference from the Current Report on Form 8 K filed with the SEC on July 2, 2020, Exhibit 3.1, File No. 001 33190)

 3.1.9

 First Amendment to the Amended and Restated Bylaws of the Company dated June 29, 2015 (incorporated by reference from the Current Report on Form 8-K filed with the SEC on December 23, 2015, Exhibit 3.1, File No. 000-30371)

 3.1.10

 Certificate of Elimination of the Series B Convertible Preferred Stock (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.1. File No. 000-30371)

 3.1.11

 Certificate of Designation, filed with the Secretary of State of the State of Delaware on June 29, 2015 (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.2. File No. 000-30371)

 3.1.12

 Registration Rights Agreement (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.4. File No. 000-30371)

 3.1.13

 Certificate of Amendment to Certificate of Designations of the Powers, Preferences and relative, participating, optional and Other Special Rights of Preferred Stock and Qualifications, Limitations and Restrictions thereof of Series C Senior Convertible Preferred Stock (incorporated by reference to Form 8-K filed with the SEC on July 16, 2020, Exhibit 3.2. File No. 000-30371)

 3.1.14

 Certificate of Increase (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.31. File No. 000-30371)

 3.1.15

 Certificate of Designations (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.2. File No. 000-30371)

 3.1.16

 Certificate of Amendment of DynaResource, Inc. (incorporated by reference to the Definitive Proxy Statement on Schedule 14A filed with the SEC on June 12, 2023, Appendix I, File No. 000-30371)

 3.1.17

 Certificate of Designations (incorporated by reference to Form 8-K filed with the SEC on June 28, 2024, Exhibit 3.1. File No. 000-30371)

 4.1

 Description of Capital Stock (incorporated by reference to Form 10-K for the fiscal year ended December 31, 2021, filed with the SEC on March 24, 2022, File No. 000-30371)

 4.2

 Promissory Note – Series I (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 4.1, File No. 000-30371)

 4.3

 Promissory Note – Series I Amendment (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 4.2, File No. 000-30371)

 4.4

 Promissory Note – Series II (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 4.3, File No. 000-30371)

 4.5

 Promissory Note – Series II Amendment (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 4.4, File No. 000-30371)

 4.6

 Promissory Note (incorporated by reference to Form 8-K filed with the SEC on May 8, 2015, Exhibit 4.1, File No. 000-30371)

 4.7

 Common Stock Purchase Warrant issued by the Company in connection with June 2015 financing (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 3.3. File No. 000-30371)

 4.10

 Convertible Promissory Note with Golden Post Rail, LLC (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.1. File No. 000-30371)

 4.11

 Convertible Promissory Note with other Purchasers (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.2. File No. 000-30371)

 4.12

 Common Stock Purchase Warrant with Golden Post Rail, LLC (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.3. File No. 000-30371)

 4.13

 Common Stock Purchase Warrant with other Purchasers (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.4. File No. 000-30371)

 4.14

 Amendment to the June 30, 2015 Warrant (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.5. File No. 000-30371)

 4.15

 Common Stock Purchase Warrant (incorporated by reference from the Current Report of Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.6. File No. 000-30371)

 4.16

 Amended and Restated Registration Rights Agreement (incorporated by reference to Form 8-K filed with the SEC on May 20, 2020, Exhibit 4.7. File No. 000-30371)

 10.1

 April 15, 2005 Mining and Production Services Agreement between DynaResource de Mexico S.A. de C.V., a subsidiary of the Company, and Mineras de DynaResource S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.1, File No. 000-30371)

 10.2

 September 15, 2006 Amending Agreement to the Mining Services Agreement between DynaResource de Mexico S.A. de C.V., a subsidiary of the Company, and Mineras de DynaResource S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.2, File No. 000-30371)

 10.3

 July 15, 2011 Second Amendment to the Contract Mining Services and Mineral Production Agreement between DynaResource de Mexico S.A. de C.V., a subsidiary of the Company, and Mineras de DynaResource S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.3, File No. 000-30371)

 10.4

 May 15, 2013 Exploitation Amendment (Third Amendment) to the Contract Mining Services and Mineral Production Agreement between DynaResource de Mexico S.A. de C.V., a subsidiary of the Company, and Mineras de DynaResource S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.4, File No. 000-30371)

 10.5

 May 15, 2005 Provision of Personnel Services Agreement between Mineras de DynaResource S.A. de C.V., a subsidiary of the Company, and DynaResource Operaciones de San Jose de Gracia, S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.5, File No. 000-30371)

 10.6

 September 15, 2006 Amending Agreement to Personnel Services Agreement between Mineras de DynaResource S.A. de C.V., a subsidiary of the Company, and DynaResource Operaciones de San Jose de Gracia, S.A. de C.V., a subsidiary of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 10.6, File No. 000-30371)

 10.7

 Securities Purchase Agreement, dated as of May 6, 2015, between the Company and Certain Purchasers (incorporated by reference to Form 8-K filed with the SEC on May 8, 2015, Exhibit 10.1, File No. 000-30371)

 10.8

 Voting and Support Agreement, dated as of May 6, 2015, between the Company and Certain Purchasers (incorporated by reference to Form 8-K filed with the SEC on May 8, 2015, Exhibit 10.2, File No. 000-30371)

 10.9

 Note Purchase Agreement (incorporated by reference to Form 8-K filed with the SEC on July 2, 2015, Exhibit 10.1. File No. 000-30371)

 10.10

 Gold Concentrate Purchase Agreement dated 1 February 2021 with reference OPUK.SP90731, by and between MK Metal Trading Mexico SA de CV and Mineras de DynaResource SA de CV (incorporated by reference to Form 10-K filed with the SEC on April 16, 2024, Exhibit 10.10, File No. 000-30371)

 10.13*

 DynaResource, Inc. 2022 Stock Incentive Plan

 10.12

 Multi-Party Agreement, dated as of April 19, 2023 by and among DynaResource, Inc., Golden Post Rail, LLC, MKR 2022 Grantor Retained Annuity Trust, and Koy W. ("K.D.") Diepholz (incorporated by reference to Form 8-K filed with the SEC on April 26, 2023, Exhibit 10.1 File No. 000-30371).

 10.13

 Amendment Agreement dated as of August 2, 2023 by and between DynaResource Inc. and MK Metal Trading M xico de CV (incorporated by reference to Form 8-K dated August 10, 2023).

 10.15

 Form of Non-Qualified Stock Option Agreement (incorporated by reference to Form 8-K filed with the SEC on February 22, 2024, Exhibit 10.2 File No. 000-30371)

 10.16

 Memorandum of Understanding (the "MOU") with Ocean Partners Limited (incorporated by reference to Form 8-K filed with the SEC on June 7, 2024, Exhibit 10.1 File No. 000-30371).

 10.17

 Employment Agreement dated as of June 3, 2024 by and between the Company and Rohan Hazelton (incorporated by reference to Form 8-K filed with the SEC on June 7, 2024, Exhibit 10.2 File No. 000-30371).

 10.18

 Revised and Amended Agreement Concerning the Business Relationship Dated as of June 3, 2024 by and between K.D. Diepholz and the Company (incorporated by reference to Form 8-K filed with the SEC on June 7, 2024, Exhibit 10.3 File No. 000-30371).

 10.19

 Amended and Restated DynaResource, Inc. 2024 Equity Incentive Plan (incorporated by reference to Form 8-K filed with the SEC on June 7, 2024, Exhibit 10.4 File No. 000-30371).

 10.20

 Stock Purchase Agreement dated as of October 18, 2024 by and bewtween DynaResource, Inc. and Golden Post Rail, LLC (incorporated by reference to Form 8-K filed with the SEC on October 24, 2024, Exhibit 10.1 File No. 000-30371).

 10.21

 Stock Purchase Agreement dated as of October 18, 2024 by and bewtween DynaResource, Inc. and Ocean Partners Holdings Limited (incorporated by reference to Form 8-K filed with the SEC on October 24, 2024, Exhibit 10.2 File No. 000-30371).

 10.22

 Stock Purchase Agreement dated as of October 18, 2024 by and bewtween DynaResource, Inc. and Gareth Nichol (incorporated by reference to Form 8-K filed with the SEC on October 24, 2024, Exhibit 10.3 File No. 000-30371).

 10.23

 Stock Purchase Agreement dated as of October 18, 2024 by and bewtween DynaResource, Inc. and Ralph Whalen (incorporated by reference to Form 8-K filed with the SEC on October 24, 2024, Exhibit 10.4 File No. 000-30371).

 10.24

 Stock Purchase Agreement dated as of October 18, 2024 by and bewtween DynaResource, Inc. and Rohan Hazelton (incorporated by reference to Form 8-K filed with the SEC on October 24, 2024, Exhibit 10.5 File No. 000-30371).

 10.25

 Amendment Agreement #5 dated October 21, 2024 bewtween DynaResource de Mexico S.A. de C.V. and MK Metals Trading Mexico S.A. de C.V. (incorporated by reference to Form 8-K filed with the SEC on October 22, 2024, Exhibit 10.1 File No. 000-30371).

 16.1

 Letter regarding change in Registrant's Certifying Accountant (incorporated by reference to Form 8-K filed with the SEC on December 18, 2017, Exhibit 16.1, File No. 000-30371)

 16.2

 Letter regarding change in Registrant's Certifying Accountant (incorporated by reference to Form 8-K filed with the SEC on October 8, 2020, Exhibit 16.1, File No. 000-30371)

 List of subsidiaries of the Company (incorporated by reference to Form 8-K filed with the SEC on April 30, 2015, Exhibit 21, File No. 000-30371)

 23.1*

 Consent of Davidson & Company LLP, Independent Registered Accounting Firm

 31.1 *

 Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Rohan Hazelton, principal executive officer.

 31.2 *

 Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Alonso Sotomayor, principal financial officer.

 32.1 *

 Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for Alonso Sotomayor, chief accounting officer.

 * Filed herewith.

 ITEM 16. 10K SUMMARY

 Not Applicable.

 SIGNATURES

 In accordance with the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

 DynaResource, Inc.

 Date: April 4, 2025

 By:

 s/ Rohan Hazelton

 Rohan Hazelton,

 Chief Executive Officer

 Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrants have duly caused this report to be signed on their behalf by the undersigned, thereunto duly authorized. The signature for each undersigned Registrant shall be deemed to relate only to matters having reference to such Registrant and any subsidiaries thereof.

 /s/ K.D. Diepholz

 /s/ Rohan Hazelton

 K. D. Diepholz, Chairman

 Rohan Hazelton

 /s/ Dr. Quinton Hennigh

 /s/ Dale G. Petrini

 Dr. Quinton Hennigh

 Dale G. Petrini

 /s/ Brent Omland

 /s/ Phillip Rose

 Brent Omland

 Phillip Rose

 /s/ Maria Virginia Anzola

 Maria Virginia Anzola

 April 4, 2025

 Dated