Lake Victoria Gold Announces Closing of Non-Brokered Concurrent Private Placement of $2 Million

The most recent news release, dated October 20, 2025, announces the closing of a non-brokered concurrent private placement for $2 million CAD. This financing involved the issuance of 11,428,571 common shares at a price of $0.175 CAD per share. The proceeds are designated for general working capital purposes. The release notes the payment of finders' fees, including $7,007 CAD in cash and 40,040 finders' warrants exercisable at $0.175 CAD for 36 months. Insider participation was noted in the overall concurrent private placement closing. The securities issued are subject to a four-month-and-one-day hold period.

This closing is the finalization of the concurrent private placement portion of a larger financing package, originally announced on September 17, 2025. At that time, Lake Victoria Gold announced the closing of a $6 million private placement and stated that a concurrent private placement had been upsized to $2 million. Therefore, the successful closing of this $2 million tranche is in line with previously communicated expectations and represents a routine, albeit positive, step in securing the necessary capital for the company's operations.

The capital inflow of $2 million, combined with the earlier $6 million from the main private placement, significantly strengthens the company's financial position, which as of March 31, 2025, showed a substantial working capital deficit. This capital is crucial for funding ongoing exploration, development activities at the Imwelo and Tembo gold projects, and general working capital. The insider participation in the broader financing, as noted in previous announcements, signals continued confidence from key stakeholders. While positive for liquidity and project advancement, it is not a "game-changer" as it completes an expected financing and does not introduce new strategic developments or significantly exceed prior projections.

Lake Victoria Gold Ltd. (LVG) is a gold exploration and development company primarily focused on projects in the Lake Victoria goldfield region of northwestern Tanzania. The company's strategy involves building a significant gold producer through disciplined project development, resource expansion, and strategic partnerships.

Flagship Project: Imwelo Gold Project (ML538/2015) The Imwelo Gold Project is LVG's primary focus, with the stated objective of achieving first gold production within 12 months of commencing construction. Key aspects of its development include:

• Status: Fully permitted for mine construction and production, with environmental approval (Updated ESMP) and a 10-year mining license renewal and transfer successfully completed. The acquisition of the mining license was finalized on February 28, 2025.
• Location: Situated in the Geita greenstone belt, approximately 12 kilometers west of AngloGold Ashanti's Geita gold mine, a major gold producer.
• Resources: Features historical JORC-compliant resource estimates (not NI 43-101 current) including Measured 42,000 oz @ 3.15 g/t Au, Indicated 95,700 oz @ 1.95 g/t Au, and Inferred 153,900 oz @ 1.53 g/t Au. Area C, the initial development zone, has an average historical grade of 3.7 g/t Au.
• Development Plan: A low-capex starter open-pit mine at Area C is planned. Detailed engineering, preparatory earthworks, and infrastructure development (e.g., tailings storage, water tank, ball mill refurbishment) are underway.
• Government Partnership: An agreement in principle has been reached with the Government of Tanzania for a 16% free-carried interest, aligning with Tanzanian law. The fiscal regime includes a 6% royalty on production (reduced to 4% for in-country refining) and a 1% export levy. A joint venture company (JVCo) will be formed.
• Current Activities: A 4,000-meter drill campaign is underway at Area C to finalize pit design, convert resources, test down-dip and strike extensions, and gather geotechnical and metallurgical data.

Other Key Projects:

• Tembo Project: LVG holds a 100% interest in the Tembo project, which consists of four 10-year mining licenses. This project, immediately adjacent to Barrick Gold's Bulyanhulu mine, has seen over 50,000 meters of historical drilling. The company is evaluating a small-scale mining joint venture opportunity at Ngula 1 (within Tembo) to generate early cash flow using existing local processing infrastructure (Nyati plant). A 3,000m RC drill program is planned at Ngula 1 for this purpose.
• Nyati Processing Plant Partnership: LVG has an LOI with Nyati Resources (T) Ltd. to potentially gain exclusive rights to mill and process ore through Nyati's facility. The plant, currently 120 tpd, is being expanded to over 600 tpd total capacity, with commissioning expected shortly. An independent audit of the plant is also underway.
• Barrick Exploration: Lake Victoria Gold receives contingent payments (up to $45 million USD) from Barrick Gold Corporation for six non-core prospecting licenses sold in 2021. Barrick is committed to $9 million in exploration expenditures over four years and has completed over 60% of this commitment, with ongoing drilling on these adjacent licenses.