Grafton Resources Announces Letter of Intent for Acquisition of Two Gold Projects in Chile

Grafton Resources has entered into a non‑binding Letter of Intent (LOI) with Newmont USA Limited covering the proposed acquisition of two gold‑focused exploration projects in Chile. The deal is intended to strengthen Grafton’s Chilean portfolio and create operational and exploration synergies with its existing landholdings. Completion remains subject to due diligence, a definitive agreement, and regulatory approvals (including CSE). No financial terms or project details were disclosed.

The news is a logical extension of Grafton’s stated strategy of building a district‑scale position in Chile through bolt‑on acquisitions. It follows the earlier option on the Alicahue copper‑gold project and the Silver One LOI. However, the LOI is non‑binding, lacks any details on project quality, deal structure, or impact on the company’s financial runway. Newmont’s involvement provides some validation, but the market has seen similar positive‑sounding releases fail to sustain the stock price (e.g., the Silver One LOI sparked a brief rally to $1.05 before a sharp decline to current levels). Without concrete terms or near‑term catalysts, the news is unlikely to materially alter the company’s fundamentals or its stock trend. Therefore, it qualifies as Routine – Positive: a constructive incremental step, but one that is expected and does not contain genuinely new, market‑moving information.

Grafton Resources Inc. is a Canadian‑listed (CSE: GFT; OTCQB: GFTFF) junior exploration company focused on copper, gold, and silver assets in Chile. Its flagship project is the Alicahue Copper‑Gold Project (3,500 ha, Valparaíso Region), under a definitive option agreement (signed Dec 2025) giving Grafton the right to acquire 100%. The option requires US$4 M in exploration spending over four years, a US$3 M exercise payment, and carries a 2% NSR royalty (1% repurchaseable for US$5 M). The project contains historic high‑grade IOCG samples and porphyry‑style copper‑gold targets, but no resource estimate exists. Additionally, the company has a non‑binding LOI for the Silver One project (high‑grade silver‑copper, historic dump grades of 296 g/t Ag), and now the proposed acquisition of two gold exploration projects from Newmont. No production or reserves are attributable to the company; it is purely an exploration‑stage vehicle.