Lahontan Gold closes purchase of 27 claims at Santa Fe

Executive Summary

• Lahontan Gold Corp. has completed the acquisition of 27 unpatented lode mining claims (the "York claims") from Emergent Metals Corp., which are contiguous with the southeast corner of its Santa Fe mine project.
• The acquisition expands Lahontan's land package to 415 unpatented lode claims, 67 unpatented mill site claims, and 24 patented lode claims, totaling over 2,832 hectares in Nevada's Walker Lane gold belt.
• The transaction includes cash, a promissory note, equity issuance, and a 1% NSR royalty, with the goal of expanding oxide gold and silver mineral resources at the York deposit.

Key Details

• Transaction Structure:
  • Cash Payment: $10,000 USD paid to Emergent's US subsidiary, Golden Arrow Mining Corp. (GAMC).
  • Promissory Note: $50,000 USD issued to GAMC, bearing 1% monthly interest, payable within six months of signing.
  • Equity Issuance: Two million (2,000,000) common shares of Lahontan Gold issued to Emergent.
  • Royalty: Lahontan granted GAMC a 1% Net Smelter Return (NSR) royalty on the York claims.
    • Royalty Buyback Option (Pre-3rd Anniversary): $500,000 USD.
    • Royalty Buyback Option (3rd to 7th Anniversary): $1,000,000 USD.
• Asset Details:
  • Claims Acquired: 27 unpatented lode mining claims (York claims).
  • Total Land Package: 415 unpatented lode claims, 67 unpatented mill site claims, and 24 patented lode claims.
  • Total Area: Over 2,832 hectares (28.3 square kilometers).
  • Location: Contiguous with the southeast corner of the Santa Fe mine project in Nevada's Walker Lane.
• Strategic Rationale & Exploration:
  • The York claims provide an opportunity to significantly expand oxide gold and silver mineral resources previously defined at the York deposit.
  • Modelling suggests gold and silver mineralization likely extends onto the York claims.
  • Validation provided by recent drilling: Reverse circulation drill hole YOR25-001R cut 89.9 metres (45.7 to 135.6 m) grading 0.23 g/t Au.
  • Lahontan plans additional drilling at the York target area for fall 2025.
• Company Context:
  • Lahontan now controls a district-scale land package that remains largely unexplored despite past production of 359,202 oz Au and 702,067 oz Ag (1988-1995) and over 1,200 historical drill holes.
  • Santa Fe project NI 43-101 Indicated Resource: 1,539,000 oz AuEq (48.39M tonnes @ 0.92 g/t Au, 7.18 g/t Ag).
  • Santa Fe project NI 43-101 Inferred Resource: 411,000 oz AuEq (16.76M tonnes @ 0.74 g/t Au, 3.25 g/t Ag).

Notable Quotes

• "Lahontan is excited to have completed the purchase of the York claims. The gold and silver resource expansion potential, combined with the ability to further layback the York pit in potential future mining operations, makes the purchase a strategic acquisition for the company. Lahontan now controls a district-scale land package that, despite prolific past production and the completion of over 1,200 drill holes, remains largely unexplored with multiple targets for resource expansion and new discoveries." — Kimberly Ann, Founder, Chair, CEO, and President