McEwen to acquire British Columbia’s Golden Lake Exploration

Core Viewpoint - McEwen has signed a definitive agreement to acquire all shares of Golden Lake Exploration, which will become a wholly owned subsidiary, with the transaction value undisclosed [1] Group 1: Transaction Details - Each Golden Lake share will be exchanged for 0.003876 McEwen shares, resulting in an offer price of C$0.12 per share, representing a 60% premium on the 20-day volume-weighted average price as of January 26, 2026 [2][5] - Golden Lake shareholders are expected to hold approximately 0.5% of the combined entity post-transaction [2] Group 2: Asset Integration and Benefits - The incorporation of Golden Lake's projects is anticipated to enhance the Gold Bar Mine Complex, facilitating long-term operations through exploration investments and existing infrastructure [3] - Historical drilling data from the Jewel Ridge project shows significant gold grades, including 2.20 grams per tonne over 28.96 meters [3] Group 3: Shareholder Implications - Golden Lake shareholders will benefit from integration with McEwen's Gold Bar Mine Complex and access to McEwen's technical team, which specializes in gold exploration and mining operations [4] - McEwen shareholders are expected to gain from improved drill results and progress towards a sustainable operation at the Gold Bar Mine Complex [4] Group 4: Approval and Conditions - Approval from nearly 67% of votes cast by Golden Lake stakeholders is required at a special meeting anticipated in March 2026 [5] - The agreement includes standard closing conditions, regulatory approvals, and a C$250,000 break fee for termination under specific conditions [5]