Golden Goliath enters partnership with Nexgold

Executive Summary

• Golden Goliath Resources Ltd. has entered into a partnership agreement with Nexgold International Mining Company to explore and develop the West Gabal El Dehies gold concession in Egypt.
• The partnership structure grants Golden Goliath a 29.5% interest and Nexgold a 10% interest, with the remaining 60.5% held by local and government-controlled entities.
• This transaction is classified as a related-party transaction under Multilateral Instrument 61-101 because CEO Maki Petkovski is also a director and officer of Nexgold, though it is exempt from minority shareholder approval and formal valuation requirements due to the pro-rata cost-sharing structure.

Key Details

• Partnership Structure:
  • Golden Goliath Resources Ltd.: 29.5% interest.
  • Nexgold International Mining Company: 10% interest.
  • Local/Government Entities: 60.5% interest.
  • Cost Sharing: Golden Goliath and Nexgold are responsible pro rata for all operating and capital costs.
  • Asset Ownership: Capital assets purchased pro rata will be owned by the partnership.
  • Operator: Nexgold will serve as the operator, entitled to typical management fees for this type of transaction.
• Concession Details:
  • Location: West Gabal El Dehies concession, Wadi Al-Alaqi, Eastern Desert, Republic of Egypt.
  • Size: 15.45 square kilometres.
  • Proximity: 190 kilometres by road from Aswan.
  • Geology: Gold is primarily orogenic, hosted in quartz veins and associated alteration zones.
  • History: Long history of artisanal mining dating back to the Pharaohs; artisanal mining was actively conducted on the concession during 2025.
  • Exploration Status: Geological mapping completed using remote sensed data, extensive ground truthing, and surface mapping.
• Strategic Intent:
  • The partnership intends to review the existing artisanal mining operation to determine how to expand operations and conduct further exploration.
  • Chairman Sorbara describes the agreement as a "turning point" that will bring forward gold production for the first time in the company's history.
• Regulatory Context:
  • The agreement is a related-party transaction pursuant to Multilateral Instrument 61-101.
  • Exempt from minority shareholder approval and formal valuation requirements because parties share pro rata in the partnership.
• Technical Review:
  • Scientific and technical content reviewed and approved by Maki Petkovski, a qualified person as defined by National Instrument 43-101.

Notable Quotes

• "This agreement represents a turning point in the history of Golden Goliath as it will bring forward gold production for the first time in the history of the company," said Mr. Sorbara, the chairman of the board at Golden Goliath.
• "It is the culmination of our new strategy introduced to Golden Goliath by our CEO Mr. Petkovski last year, which aims to expand our interests into a highly prospective gold-producing province within a competitive production cost environment."