Arbitration Award Update, May 2026

The most recent news, dated May 14, 2026, provides a critical update on Lupaka Gold Corp.'s enforcement of a US$69.8 million ICSID arbitration award against the Republic of Peru. The company has successfully obtained an "exequatur" order from a Luxembourg court, which allowed its legal representatives to serve approximately 90 banks in the jurisdiction. This action effectively freezes Peruvian assets and accounts held in those institutions, marking a tangible and aggressive step in asset seizure. Concurrently, a motion has been granted in a U.S. District Court to formally serve the Peruvian government, advancing enforcement on another front. The underlying award, which stems from claims related to the Invicta gold project, became final after Peru failed to request an annulment by the October 28, 2025 deadline. The award amount accrues interest at 5% compounded annually. The CEO, Gordon Ellis, noted that Peru's federal elections have stalled decision-making but emphasized the company's control over legal enforcement actions.

This news release represents a Material - Positive step in the company’s primary value-driving catalyst: converting the $69.8 million legal award into cash. The announcement moves beyond prior updates of demands, media campaigns, and preparatory enforcement filings by demonstrating a concrete, successful legal action—the freezing of assets in a major international banking hub. This is not merely another procedural update; it is evidence that the company, backed by litigation funder Bench Walk Advisors, is capable of penetrating sovereign defenses and encumbering state assets. The effectiveness of this enforcement action increases the tangible pressure on Peru to negotiate a settlement or risk further seizures, thereby de-risking the ultimate collection. However, collection is not yet final, and the recovery will first satisfy the litigation funder, which tempers the net benefit to Lupaka but still represents a potentially company-transforming non-dilutive cash inflow.

The stock price has been highly reactive to past enforcement milestones. The August 2025 run to $0.35 followed expiration of the annulment window and formal demand for payment. Shares spiked again to $0.45 in late February 2026 leading up to the U.S. enforcement filing and PDAC conference. The most recent trading at $0.41 suggests the market has partially priced in eventual success, yet remains heavily discounted relative to the potential ~$70 million recovery due to uncertainty around timing and collection costs. This update, by showing actual asset attachment, materially reduces that uncertainty.

Lupaka Gold Corp. is a Canadian-based mining company. Its historical flagship asset was the Invicta gold project in Peru. However, the company’s current operational focus and primary source of potential value has shifted entirely to the enforcement and collection of a US$69.8 million ICSID arbitration award against the Republic of Peru, born from a dispute over the Invicta project. The company has no other meaningful disclosed operations or projects. The management is led by CEO Gordon Ellis. The investor presentation dated March 2026 refers to a strategy of "creating shareholder value through the identification and development of mining assets," but all public news flow is dominated by the arbitration.