Lahontan Acquires Strategic Claims South of The York Pit, Expanding The Santa Fe Mine Project

Executive Summary

• Lahontan Gold Corp. signed a binding term sheet to acquire 27 unpatented lode mineral claims (≈2.1 km²) adjacent to its Santa Fe Mine Project (“York Claims”).
• The acquisition enables expansion of the York open pit and could substantially increase gold‑silver resources in the area, supporting future pit design and resource growth.
• Transaction terms include a US$10,000 cash payment at signing, a US$50,000 promissory note (1 % per month interest), issuance of 2,000,000 common shares, and a 1 % NSR royalty with optional buy‑out provisions.

Key Details

• Parties: Lahontan Gold Corp. (buyer) – Emergent Metals Corp./Golden Arrow Mining Corp. (seller).
• Claims Acquired: 27 unpatented lode mineral claims (“York Claims”), ~2.1 km², adjoining the York open pit and existing gold‑silver resource area.
• Strategic Rationale:
• Extends property boundary allowing larger pit shells in future mine planning.
• Resource modeling from the recent PEA shows gold‑silver mineralization trending toward the York Claims.
• Transaction Structure:
• Cash at Term Sheet: US$10,000 payable to GAMC on signing the term sheet (August 18 2025).
• Promissory Note: US$50,000 note issued to GAMC upon signing definitive agreement; interest 1 % per month; payable within six months of agreement execution.
• Equity Issuance: 2,000,000 Lahontan common shares issued to GAMC (or designee) at agreement signing.
• Royalty Arrangement:
• 1 % Net Smelter Return (NSR) royalty granted to GAMC on the York Claims.
• Lahontan may purchase the royalty for US$500,000 before the third anniversary of the Agreement or for US$1,000,000 between years three and seven.
• Closing Timeline: Transfer of York Claims to be completed within 30 days after agreement signing; definitive agreement expected within 30 days of term‑sheet execution.
• Regulatory/Approval Conditions: Subject to all required corporate and regulatory approvals (including TSXV).

Notable Quotes

“Lahontan is very excited to acquire the York Claims that are directly adjacent to the York gold mineral resource… The newly acquired claims will allow a considerable layback of the York pit during mine planning and in mineral resource estimation.” – Kimberly Ann, CEO, Executive Chair & Founder, Lahontan Gold Corp.