Arbitration Award Update

The most recent news, dated October 30, 2025, provides an update on the company's arbitration award against the Republic of Peru. It states that the deadline for Peru to request an annulment of the award passed on October 28, 2025, and no such request was made. Consequently, the award is now final. Lupaka Gold has formally requested payment from Peru for the full amount of the award, which, with accrued interest, totals approximately US$67 million. The CEO noted that while they hope for a quick resolution, they are in discussions with legal counsel on the next steps. Crucially, it is reiterated that the first proceeds received from the award will be paid to the company's litigation funding partner, Benchwalk LP.

This news is a material positive development that significantly de-risks the investment thesis for Lupaka Gold. The entire value of the company is currently predicated on this arbitration award.

Tracing the news chronologically: - Pre-July 2025: The company provided periodic updates (Dec 2024, Apr 2025) indicating a ruling was imminent but delayed. The stock traded in a low range of $0.05-$0.09. - July 2, 2025: Lupaka announced it had won the arbitration award, totaling approximately US$65 million. This was the game-changing event that caused the stock to gap up from $0.08 to as high as $0.24 on the day of the news. The CEO prudently warned that this did not mean immediate payment and there could be "more hoops to jump through." - Post-July 2025: The key risk following the award announcement was the possibility of Peru filing for an annulment, which would further delay and complicate the process. The stock price reflected this uncertainty, peaking at $0.36 before pulling back to the low $0.20s. - October 10, 2025: The company announced an application to extend 2 million warrants exercisable at $0.25. This was a subtly negative signal, suggesting that management or warrant holders did not expect a resolution that would drive the stock price sustainably above $0.25 before the original October 28, 2025 expiry. - October 30, 2025 (Current News): The confirmation that Peru did not file for an annulment removes the largest remaining legal hurdle. The award is now final and binding. This transitions the company's focus from legal proceedings to collection and enforcement.

The impact is material and positive because it solidifies the legal claim. While collection from a sovereign state is never guaranteed to be swift or simple, having a final, non-appealable award is the strongest possible position to be in. The US$67 million award (approx. C$92 million) is staggering compared to the company's current market capitalization of ~C$5.3 million. Even after a significant portion is paid to the litigation funder, the potential net proceeds to the company are substantial.

Lupaka Gold Corp. is a Canadian-based company that is, for all practical purposes, a legal claim holding company. Its primary and most significant asset is a final arbitration award of approximately US$67 million against the Republic of Peru. This claim stems from alleged violations of the Canada-Peru Free Trade Agreement related to the company's former investment in the Invicta Gold Project in Peru. The company also holds minor, non-core mineral properties (Idol City and Pine Creek) in Oregon, USA, with a negligible capitalized value of ~$16k as of Q2 2025. These properties are understood to be royalty-free.