Great Quest, Lotus get $4.5M in placement commitments

Executive Summary

• Great Quest Gold (to be renamed Ongwe Minerals Inc.) has received approximately $4.5 million in aggregate subscriptions for a previously announced non-brokered private placement concurrent with its proposed reverse takeover (RTO) by Lotus Gold Corp.
• Updated disclosure and transaction documents addressing amendments to the RTO and financing terms have been submitted to the TSX Venture Exchange for review.
• The company aims to complete the RTO as soon as possible, subject to exchange regulatory timelines, with plans to immediately commence a bedrock drill program and regional soil sampling in Namibia upon completion.

Key Details

• Transaction Structure: Proposed reverse takeover (RTO) of Great Quest Gold Ltd. by Lotus Gold Corp., resulting in the renaming of the entity to Ongwe Minerals Inc.
• Financing Amount: Aggregate subscriptions of approximately $4.5 million received in connection with the non-brokered private placement.
• Regulatory Status: Updated disclosure and transaction documents, including amendments to the terms of the RTO and concurrent financing, have been submitted to the TSX Venture Exchange for review.
• Use of Proceeds: The capital provides a financial buffer to execute a planned bedrock drill program and systematic, large-scale regional soil sampling.
• Exploration Plans:
  • Immediate post-closing activity: Kick off of a drill program testing priority Khorixas and Omatjete gold prospects.
  • 2026 Program: Focused on defining accurate bedrock targets for a diamond drill program later in 2026 and ongoing regional exploration for additional gold mineralization.
• Timeline: The company is nearing the end of the stock exchange regulatory review process and will provide further updates on specific closing timing once coordinated with the exchange.

Notable Quotes

• "We are grateful for the very strong financial support we have received from old and new shareholders with the 4.5-million financing, which is ready to close. This will give us the financial buffer to execute the planned bed rock drill program, and systematic and large-scale regional soil sampling." — David Underwood, Incoming CEO