Harfang Announces New Partnership with Fancamp to Advance the Egan Project

On November 12, 2025, Harfang Exploration announced a definitive option agreement with Fancamp Exploration Ltd. for the Egan Project in Ontario. Under the agreement, Fancamp can earn up to an 80% interest in the project through two phases: - First Option (40% interest): Fancamp must incur $1.5 million in exploration expenditures over two years and make payments of $100,000 (half in cash, half in shares) to Harfang. - Second Option (additional 40% interest): Fancamp must incur an additional $2.5 million in exploration expenditures and make another $100,000 in payments.

After the first option is completed, Harfang can elect to form a 51% (Harfang) / 49% (Fancamp) joint venture. A high-resolution magnetic survey is planned for fall 2025, with fieldwork to resume in spring 2026.

This news is consistent with Harfang's established project generator model, where it partners with other companies to advance non-core assets, thereby preserving its own capital. This strategy has been observed in previous deals: - October 2025: High-grade gold grab samples were discovered at Menarik West, a project being advanced in partnership with SOQUEM. - September 2025: Partner Li-FT Power Ltd. exercised its second option to increase its interest in the Pontax lithium project to 70%, committing to significant exploration spending. - July 2025: Harfang signed the definitive option agreement with SOQUEM for the Lake Menarik project.

The agreement with Fancamp for the Egan project is another execution of this strategy. It ensures exploration work is funded by a partner on an asset that was not the company's primary focus. In the July 17, 2025, operational update, Harfang had only planned a "focused surface exploration program" for Egan. This option agreement represents an acceleration of exploration at no cost to Harfang, which is a clear positive.

However, the impact is not material. Egan is an early-stage exploration project, and the value from this deal will only be realized if Fancamp's exploration is successful. The agreement itself does not fundamentally change Harfang's financial position or the valuation of its core assets. The market's attention remains on the Sky Lake Gold Project, which delivered significant drill results in May 2025. This news provides a good operational update and demonstrates management is actively managing its portfolio, but it is not a primary value driver.

Harfang Exploration is a Canadian junior mineral exploration company with a portfolio of gold and lithium projects in Quebec and Ontario. The company operates primarily using a project generator model, forming partnerships to advance its properties while focusing its internal capital on its most prospective assets.

The company's flagship project is the Sky Lake Gold Project in Ontario's Pickle Lake gold district. A maiden drill program in the winter of 2025 confirmed a new gold discovery with high-grade intercepts, including 6.96 g/t Au over 17.95 m (May 14) and 4.54 g/t Au over 15.60 m (May 28). This project is the primary driver of the company's current valuation.