Lode Gold enters LOI for Fremont joint venture

Executive Summary

• Lode Gold Resources Inc. has entered into an exclusive and confidential Letter of Intent (LOI) with an unnamed mining company to form a joint venture for the advancement of its Fremont Gold Project in California.
• The transaction is designed to bring substantial capital to accelerate project development and repay outstanding debt secured by the asset.
• The LOI includes a 45-day exclusivity and standstill period ending January 16, 2026, with a Prefeasibility Study (PFS) targeted for early 2026 and completion estimated for spring 2027.

Key Details

• Transaction Structure: Exclusive and confidential Letter of Intent (LOI) with a mining company possessing strong technical expertise and balance sheet.
• Exclusivity Period: 45-day exclusivity and standstill period up to January 16, 2026.
• Use of Proceeds: Substantial capital to accelerate development of the Fremont Gold Project and repay outstanding debt secured by the asset.
• Project Milestones:
  • Immediate commencement of work to upgrade additional resources to measured and indicated categories.
  • Initiation of a Prefeasibility Study (PFS) targeted for early 2026.
  • Targeted completion of the PFS estimated for spring 2027.
  • PFS will evaluate optimized scenarios for underground bulk mining.
• Technical Specifications (Fremont Project):
  • Based on 2023 Preliminary Economic Assessment (PEA) utilizing 1 million ounces (Measured & Indicated) and 2 million ounces (Inferred).
  • Underground bulk mining evaluation at various cut-off grades.
  • No use of cyanide planned.
  • Average truth width at 1 g/t cut-off: 50 meters.
  • Average truth width at 3 g/t cut-off: 17 meters.
  • Gram-metres range from 74 to 143.
• Asset Background:
  • Fremont Gold Project is a brownfield project in Mariposa, California.
  • Historical mining halted in 1942; historical grade was 10.7 grams per tonne at $35/oz gold.
  • 43,000 metres drilled, 8,000 channel samples, 14 adits, and two shafts.
  • 92% of ounces left unmined.
  • Located on >3,000 acres of 100%-owned private and patented land designated as an Opportunity Zone.

Notable Quotes

• "Without question, this is a robust project. We plan to further optimize the project economics of the 2023 PEA... During the upcoming PFS, we will evaluate underground bulk mining at various cut-off grades. We have impressive widths that potentially allow for a high tonnage underground operation that minimizes footprint. There will be no use of cyanide." — Jon Hill, Chair of the Technical Committee