Lake Victoria Gold Reports Continued Barrick Exploration Success at Tembo-Area Licences

The most recent news release from October 24, 2025, provides an exploration update on the Tembo-Area licenses, which were previously sold by Lake Victoria Gold (LVG) to Bulyanhulu Gold Mine Limited (a Barrick joint venture). The update covers Q2 2025 activities, reporting that 12 RC holes totaling 1,380 metres were drilled to test the granite-greenstone contact. The results confirmed favorable geology, including mafic metavolcanics, quartz porphyry dykes, and alteration, reinforcing geological continuity between the Bulyanhulu Mine and the Tembo Project area. Additionally, rock-chip samples from artisanal workings indicate potentially mineralized structures. LVG retains a significant interest in the adjacent 100%-owned Tembo Project and is entitled to contingent payments of up to US$45 million from Barrick, subject to future discoveries or defined resource thresholds on the sold licenses. The company's Executive Chairman & CFO and President & CEO expressed encouragement regarding Barrick's sustained exploration momentum and the potential for direct geological insights and future contingent payments. The news also mentioned ongoing investor relations engagements with SIDIS & Market IQ.

This news is a routine positive update. It confirms ongoing exploration activities by Barrick on the previously divested Tembo licenses and reiterates the potential for future contingent payments to LVG, which are tied to Barrick's discovery of gold resources. The geological findings (favorable geology, mineralized structures) are incremental positive steps, suggesting Barrick is progressing its understanding and exploration of the ground. However, this news does not announce a new resource, a major discovery, or the triggering of any contingent payments. It merely states that Barrick's work "continues to confirm the fertility" of the area and that there is "potential for substantial contingent payments."

In the context of LVG's overall strategy, which involves advancing its 100%-owned Imwelo and Tembo projects towards production and consolidating the gold district, this Barrick update is a secondary, albeit valuable, component. The primary focus for LVG is on its direct operational progress, such as the Imwelo drilling campaign and the Nyati processing JV, and securing financing.

The news itself is labeled "Non-Material - Positive," and my assessment aligns with this. While any positive exploration news from a major like Barrick is good, this specific update does not materially alter LVG's immediate financial position, project timelines, or risk profile in a transformative way. It validates the potential long-term upside from the Barrick partnership but is not a short-term catalyst. The repetition of investor relations contracts is standard.

Lake Victoria Gold Ltd. (LVG) is a Canadian gold exploration and development company focused on its assets in the Lake Victoria Goldfield in Tanzania. The company operates two key projects:

• Imwelo Gold Project: This is LVG's flagship development project, located in northwestern Tanzania, 12 km from AngloGold Ashanti's Geita Gold Mine. Imwelo has a 10-year mining license (ML538/2015), which was renewed and transferred to LVG in November 2024. The project is fully permitted for mine construction and production. Historical resource estimates (2017 JORC compliant, not current under NI 43-101) for Imwelo included 42,000 oz Measured, 95,700 oz Indicated, and 153,900 oz Inferred gold. Area C, with an average historical grade of 3.7 g/t Au, is the first zone planned for development. LVG is currently undertaking a 4,000-meter drill program at Imwelo to finalize pit design, convert resources, expand the resource base, and gather geotechnical and metallurgical data, aiming for first gold within 12 months of construction commencement. The project has a 2% royalty to a previous owner, and the Tanzanian government will hold a 16% free-carried interest, with a 6% royalty on production (4% if refined in-country).
• Tembo Project: LVG holds a 100% interest in the Tembo Project, adjacent to Barrick's Bulyanhulu gold mine. This project also has four recently converted 10-year mining licenses. It has seen extensive historical exploration ($28 million USD spent, 50,000m drilling) but remains largely untested. High-priority targets include Ngula 1, Nyakagwe Village, and Nyakagwe East, with multiple high-grade intercepts. LVG is exploring small-scale mining opportunities at Tembo, including a potential joint venture with Nyati Resources, leveraging an existing/under-construction processing plant (up to 620 tpd capacity) for early cash flow generation.
• Barrick JV (former Tembo Licenses): LVG previously sold six non-core prospecting licenses adjacent to Bulyanhulu to a Barrick joint venture in 2022 for an upfront US$6 million cash and contingent payments of up to US$45 million tied to future gold discoveries. Barrick is committed to US$9 million in exploration expenditures over four years, of which US$5.56 million had been spent by Q1 2025. LVG retains exposure to potential district-scale discoveries through these contingent payments.

LVG's strategy is to advance Imwelo towards near-term production, unlock value at Tembo through small-scale operations and further exploration, and benefit from Barrick's exploration on the divested licenses.