GPAC Completes Spin Out of Walhalla Gold Corp.
Great Pacific Gold Clears Deck with Spin-Out to Focus on PNG Drill Success
On December 12, 2025, Great Pacific Gold Corp. (GPAC) announced the completion of its previously announced plan of arrangement to spin out its Australian assets into a new entity, Walhalla Gold Corp. Under the arrangement, GPAC shareholders received one common share of Walhalla and one new common share of GPAC for each Class A Share they held. The original Class A shares were cancelled.
As a result, Walhalla Gold Corp. is now a separate reporting issuer in British Columbia, with its primary asset being the Walhalla Gold Project in Victoria, Australia. GPAC retains a 2% Net Smelter Return (NSR) royalty on this project. Walhalla intends to list on the Canadian Securities Exchange (CSE), subject to exchange acceptance.
The completion of the Walhalla spin-out is the final, logical step in a strategic pivot that has been clearly communicated and executed over the past year. While the spin-out itself is a corporate reorganization and not a new discovery, its successful completion is routinely positive as it formally establishes GPAC as a pure-play Papua New Guinea (PNG) exploration company, centered on its flagship Wild Dog project.
A chronological review of the company's activities reveals a clear and disciplined strategy: - Q1-Q2 2025: The company divested several non-core Australian assets (Golden Mountain, Everton, Reedy Creek, Lauriston) for a combination of cash, shares, and retained royalties. This provided non-dilutive funding and signaled a clear intention to focus elsewhere. - May 2025: The Walhalla spin-out was formally announced, laying out the plan to separate the main Australian asset and provide shareholders with direct exposure to both entities. - July 2025: The company secured significant funding through a $16.9 million equity financing at $0.45 per unit, ensuring it was well-capitalized to advance its PNG exploration programs. - May-December 2025: An aggressive and highly successful drill program commenced at the Wild Dog project in PNG. The results have consistently demonstrated high-grade gold and copper mineralization. Key intercepts have included: - June 5: 7.0m @ 10.3 g/t AuEq (WDG-02) - Sept 2: 8.4m @ 50.0 g/t AuEq (WDG-08) - a "bonanza" grade hole that significantly moved the stock. - Dec 10: 9.5m @ 13.8 g/t AuEq (WDG-14) - the most recent drill results prior to the spin-out, confirming continuity of the high-grade system.
The spin-out crystallizes this strategy. It removes the Australian assets from the GPAC portfolio, simplifying the investment thesis to one focused entirely on the high-grade potential in PNG. Shareholders now hold shares in two distinct companies, allowing the market to value each asset base independently. GPAC's retained 2% NSR on Walhalla provides continued upside exposure without requiring capital expenditure.
The timing of the spin-out completion, just two days after releasing another strong set of drill results from Wild Dog, reinforces that the future value of GPAC is tied directly to exploration success in PNG. The market can now assess the company based on this focused narrative. Therefore, the news is a positive, albeit expected, corporate milestone that cleans up the story and focuses investor attention on the company's primary value driver: the Wild Dog project.
Great Pacific Gold Corp. is a Canadian-based exploration company focused on the discovery and development of gold and copper deposits in Papua New Guinea. Following the spin-out of its Australian assets, the company is now a pure-play PNG explorer.
The company's flagship asset is the Wild Dog Project in East New Britain, PNG. Wild Dog is a district-scale, high-sulphidation epithermal gold-copper project with a known mineralized structural corridor extending over 15 km. Historical small-scale oxide mining occurred at the Sinivit target, but the project has been underexplored for over a decade. GPAC's modern exploration, including a MobileMT geophysical survey and a systematic diamond drilling program, has returned numerous high-grade intercepts, highlighting the potential for a significant, high-grade, near-surface and at-depth deposit. The company also holds the Kesar, Arau, and Tinga Valley exploration projects in PNG.