Edmonton, Alberta--(Newsfile Corp. - February 26, 2026) - AuMEGA Metals Ltd (ASX: AAM) (TSXV: AUM) (OTCQB: AUMMF) ("AuMEGA" or "the Company") announces an update to the previously announced, oversubscribed financing to raise aggregate gross proceeds of approximately C$30.1 million (the "Offering") led by anchor investor Condire Investors, LLC.Despite continued demand and inbound interest to participate in this Offering, the Company appreciates the support and confidence in the business however, it will not ...

Core Viewpoint - AuMEGA Metals Ltd. has announced a best efforts private placement to raise up to C$10,000,000 through the issuance of flow-through shares, charity flow-through shares, and common shares, aimed at advancing its exploration projects in Newfoundland, Canada [1][2][3]. Group 1: Offering Details - The Company plans to issue up to 42,553,191 flow-through shares at C$0.0470 each, 55,147,059 charity flow-through shares at C$0.0544 each, and 125,000,000 common shares at C$0.040 each [1]. - The gross proceeds from the sale of flow-through shares will be used to incur eligible Canadian exploration expenses related to the Company's projects, with a deadline for renouncing these expenditures set for December 31, 2026 [2]. - The net proceeds from the sale of common shares will be allocated for general and administrative expenses and unallocated working capital [3]. Group 2: Use of Proceeds - Proceeds from the LIFE Offering will primarily support the Company's exploration program in Newfoundland and Labrador, including a drill program of up to 15,000 metres targeting high-priority areas identified in the 2025 exploration program [8]. - The exploration efforts will focus on the Cape Ray District, specifically at Isle aux Morts Granite and Bunker Hill, with the aim of advancing both new and existing targets [8][10]. Group 3: Geological Insights - Early results from the Isle aux Morts Granite suggest a potentially fertile intrusive-related gold system, comparable to significant discoveries in the Yukon, with existing resources of 6.2 million tonnes grading an average of 2.25 g/t gold [11][17]. - At Bunker Hill, the 2025 field program has identified multiple gold and base metal corridors with promising geophysical signatures, adjacent to Equinox Gold's Valentine Gold Mine [12]. Group 4: Company Positioning - AuMEGA Metals is positioned as a key player in a new Canadian gold district, holding the largest land position along the Cape Ray-Valentine Shear Zone, which hosts significant gold deposits [13][15]. - The Company benefits from a strong institutional shareholder base and strategic investment from B2Gold, enhancing its potential for significant discoveries [16].

Core Insights - AuMEGA Metals Ltd provides a strategic update on its Cape Ray Project, emphasizing its economic foundation and exploration potential in the Cape Ray District [2][4] - The company highlights that its defined mineral resource does not reflect its current market valuation, especially in light of rising gold and silver prices [3][4] Mineral Resource and Economic Foundation - The Cape Ray Project has a defined gold mineral resource estimate completed in 2023, based on a conservative gold price of US$1,750 per ounce [8][12] - The established mineral resource includes indicated resources of 6.2 million tonnes at 2.25 g/t gold for 450,000 ounces and inferred resources of 3.4 million tonnes at 1.44 g/t gold for 160,000 ounces [13][30] - The company is assessing a potential update to the mineral resource estimate to reflect higher gold prices and the inclusion of silver [9][14] Exploration Opportunities - The 2025 exploration programs have significantly expanded the opportunity at Cape Ray, identifying multiple high-priority targets for a focused drilling campaign in 2026 [6][19] - Early results from the Isle aux Morts Granite suggest a potentially fertile intrusive-related gold system, comparable to significant deposits in other regions [7][22] - The company plans to advance priority targets with diamond drilling during the spring/summer 2026 field season [22] Market Context and Valuation - AuMEGA's current market valuation is believed to not reflect the scale and quality of its existing mineral resources or the exploration upside in the Cape Ray district [9][12] - The company is supported by a diverse shareholder registry, including strategic investment from B2Gold Corp, enhancing its financial backing for exploration activities [29]

Core Points - AuMEGA Metals Ltd is changing its registry and transfer agent to Computershare Investor Services effective December 15, 2025, for both the Australian Stock Exchange and TSX Venture Exchange [1][2] - The company has a strong shareholder base, including B2Gold Corp, which owns 10% of its outstanding shares, and approximately 50% of shares held by major global institutions [3][6] - AuMEGA has engaged Renmark Financial Communications Inc. to enhance its investor relations and support growth in North America, with a monthly fee of up to C$9,000 for seven months starting December 1, 2025 [4] Company Overview - AuMEGA Metals Ltd is focused on exploring a 110-kilometer land package along the Cape Ray Shear Zone in Newfoundland, Canada, which is recognized as the largest identified gold structure in the region [5][6] - The company has defined a gold Mineral Resource of 6.2 million tonnes at an average grade of 2.25 g/t, totaling 450,000 ounces of Indicated Resources, and 3.4 million tonnes at an average grade of 1.44 g/t, totaling 160,000 ounces in Inferred Resources [7] - AuMEGA also holds a 27-kilometer stretch of the Hermitage Flexure and has secured an Option Agreement for the Blue Cove Copper Project, indicating strong potential for copper and other base metals [6]

Core Viewpoint - AuMEGA Metals Ltd has mobilized a second diamond drill rig to enhance its drilling program on the Major Electromagnetic anomaly at the Cape Ray Gold Project in Newfoundland and Labrador, Canada, indicating a strong commitment to exploration and resource development [1][4]. Drilling Program - The current diamond drill program is focused on a newly defined airborne electromagnetic conductor measuring approximately 500 metres by 1,000 metres, located 500 metres southeast of the Central Zone deposits, which has not been drill tested before [2][4]. - The company plans to maximize drilling efforts in the upcoming weeks before the winter break, aiming to explore the hangingwall of the Cape Ray Shear Zone near the Central Zone [4]. Exploration and Assay Results - AuMEGA has pending assay results from various exploration programs, including Bunker Hill, Cape Ray, Isle aux Morts Granite, and Hermitage surficial till geochemical surveys, which are expected to generate new drill-ready targets [5]. - The company is systematically exploring its district-scale land package to identify major deposits [5]. Geological Context - The Cape Ray Shear Zone is recognized as Newfoundland's largest identified gold structure, hosting Equinox Gold's Valentine Gold Project, a multi-million-ounce deposit, alongside AuMEGA's expanding Mineral Resource [7]. - AuMEGA's existing defined gold Mineral Resource includes 6.2 million tonnes grading an average of 2.25 g/t, totaling 450,000 ounces of Indicated Resources, and 3.4 million tonnes grading an average of 1.44 g/t, totaling 160,000 ounces in Inferred Resources [9]. Additional Projects - AuMEGA holds a 27-kilometre stretch of the Hermitage Flexure and has secured an Option Agreement for the Blue Cove Copper Project, which shows strong potential for copper and other base metals [8].

Corporate Profile and Strategic Positioning - Equinox Gold is a Canadian-based gold producer focused on building a diversified, multi-jurisdictional portfolio across the Americas, evolving from development-stage assets into a mid-tier to upper-tier producer through asset acquisitions and project delivery [2][4] - The company emphasizes asset diversification, organic project development, and selective M&A to increase annual production and extend reserve life [2][4] - Equinox Gold operates in a sector dominated by peers such as Barrick Gold and Newmont Corporation, capturing operational synergies across Brazil, Mexico, the United States, and Canada [3][4] Financial Information - Equinox Gold's market capitalization is approximately CAD 6.0 billion, with annual revenue around CAD 1.2 billion and net income of about CAD 120 million [9][38] - The company's financial strength is assessed through production guidance delivery and balance-sheet liquidity, which determine its capacity to fund growth without excessive dilution [10][11] - Revenue drivers include gold sales from operating mines, with realized prices and production volumes being core variables [15][9] Industry and Operations - The company operates a portfolio that includes producing mines, expansion-stage projects, and development assets across multiple jurisdictions, focusing on balancing higher-margin conventional assets with longer-life, lower-cost projects [12][13] - Key operational themes include mine life extension, throughput optimization, and exploration-led resource growth, with flagship assets such as Greenstone and El Limon contributing to production [13][14] - The multi-asset approach aims to reduce reliance on any single jurisdiction while capturing upside through staged capacity expansions and operational improvements [12][19] History and Leadership - Equinox Gold's corporate history is characterized by strategic consolidation and asset advancement, expanding through targeted acquisitions and systematic development of deposits [20][21] - The executive team combines technical mining experience with capital markets and project delivery expertise, focusing on aligning operational priorities with capital allocation and stakeholder engagement [24][27] - Key responsibilities for the management team include strategy, financial reporting, operations, and governance, with a strong leadership team mitigating execution risk [27][28] Stock Index Membership and Market Position - Equinox Gold is listed on the TSX and NYSE, with its market position best understood relative to other gold producers and the broader materials sector [29][30] - Inclusion in indices such as the S&P/TSX Composite can materially affect shareholder base and stock liquidity, with market comparables essential for constructing valuation models [30][32] - The company's potential to graduate into larger index inclusion depends on successful scale-up, consistent cash flow generation, and transparent disclosure of project timelines [33][37]

Core Insights - AuMEGA Metals Ltd has reported significant results from its surficial geochemistry program at Cape Ray West, indicating the presence of multiple high-grade gold-in-till anomalies and defining a new multi-kilometre gold corridor [2][3][4] Exploration Results - The program has identified three large coherent gold-in-till anomalies, with the highest peak value recorded at 402 parts per billion (ppb) gold-in-till, extending up to approximately three kilometres [6] - The anomalies are associated with the Isle aux Morts Granite, which has not been drill tested, representing a new discovery opportunity [3][15] - The integration of geochemical, geophysical, and structural datasets is ongoing to define priority drill targets, with drilling planned for Q4 2025 [6][26] Project Overview - The Cape Ray Project currently hosts 420,000 ounces of gold in Indicated Resources and 141,000 ounces in Inferred Resources, based on a gold price of US$1,750 per ounce [8] - AuMEGA's exploration strategy combines modern datasets with historical geological information to enhance discovery potential across its district-scale land package [9][10] Future Plans - The company is fully funded for the upcoming drilling program and is currently awaiting assay results from additional sampling conducted over the Isle aux Morts Granite [26][24] - A broader till survey and geological mapping have been completed, with samples dispatched for laboratory analysis [24][26]

Company Overview - AuMEGA Metals Ltd has appointed Mr. James Withall as a Non-Executive Director, effective August 1, 2025, marking him as the fourth Non-Executive Director of the company [1] - Mr. Withall has nearly thirty years of international experience in mining and exploration, previously serving as CEO of Rupert Resources, where he led the advancement of the Ikkari gold project [4][5] Leadership and Experience - The Chair of the Board, Justin Osborne, expressed enthusiasm for Mr. Withall's appointment, highlighting his diverse experience in the mining sector and his successful leadership at Rupert Resources, which achieved a market valuation nearing CAD $1 billion [2][3] - Mr. Withall emphasized his excitement about joining AuMEGA, noting the company's disciplined team and strategic decision-making that mirrors his previous experience [3] Strategic Positioning - AuMEGA is supported by significant backing from B2Gold and various major global funds, providing a strong and strategic ownership structure [4] - The company is focused on exploring its extensive land package along the Cape Ray Shear Zone, which is recognized as Newfoundland's largest identified gold structure, hosting Equinox Gold's Valentine Gold Project [6][7] Resource Potential - AuMEGA's Cape Ray Shear Zone contains a defined gold mineral resource of 6.1 million tonnes of ore with an average grade of 2.25 g/t, totaling 450,000 ounces of indicated resources, and 3.4 million tonnes of ore with an average grade of 1.44 g/t, totaling 160,000 ounces in inferred resources [8]