NEVADA KING ANNOUNCES GOLD BULLION HOLDINGS AS PART OF TREASURY MANAGEMENT PROGRAM
Nevada King pivots to gold etfs to hedge cad volatility
Nevada King Gold Corp. announced the purchase of C$8M in exchange-traded securities backed by physical gold bullion held by the Royal Canadian Mint. The holdings represent exposure to approximately 1,240 ounces of gold at an average cost of US$4,340 per ounce. This acquisition is part of a Board-approved treasury management program designed to hedge against currency fluctuation and align treasury assets with the company's core commodity.
Total treasury, comprising cash, short-term investments, and gold holdings, stands at approximately C$16M as of September 21, 2026. The company states this treasury is sufficient to cover anticipated expenditures, including the Phase 4 drill program, for the next 12 months. Short-term investments of C$5M are held in interest-bearing operating accounts, GICs, and short-duration debentures with rolling maturities of one to 10 months. The company has no anticipated liquidation of these gold-backed securities for at least 12 months.
Disclosed risks include gold price volatility, currency risk (USD gold vs CAD reporting), liquidity risk relative to cash, and fair value volatility in financial reporting.
Nevada King Gold Corp. (NKG) announced a strategic shift in treasury management, moving funds into gold ETFs to align its corporate treasury with the underlying commodity price. This decision reflects financial discipline and represents a standard practice for exploration-stage gold companies, rather than marking an operational or exploration milestone.
The specific allocation to gold ETFs serves as a minor portfolio adjustment and does not alter the company’s Phase 4 exploration program, resource potential, or project economics. The market likely already factored in the C$16M cash position from prior financing and drilling updates. Consequently, no material impact on the stock price is expected beyond minor sentiment support, as the news is incremental and aligns with standard corporate treasury practices.
Nevada King Gold Corp. is a 100%-owned exploration and development company focused on the Atlanta Gold Mine Project in eastern Nevada. The project spans 130 km² and is a past producer, yielding approximately 110,000 ounces of gold between 1975 and 1985.
The company currently holds a NI 43-101 compliant resource of 1.02 million ounces of gold (Measured and Indicated) in 27.7 million tonnes at 1.14 g/t, along with 99,000 ounces of gold (Inferred). Nevada King Gold is executing a fully funded Phase 4 exploration program targeting 40,000 metres of reverse circulation drilling across multiple regional targets: Silver Park East, Western Rim, Atlanta South, Atlanta North, and East Ridge/Splay Zone.
Metallurgical testing confirms strong oxide recoveries using a simplified flowsheet, which involves heap leaching for non-silicified volcanics and crushing and milling for mill material.