Lahontan Gold signs agreement to acquire Emergent Metals

Lahontan Gold Fortifies Nevada Presence with Emergent Metals Acquisition

Reno, Nevada – In a strategic maneuver poised to significantly enhance its footprint in the prolific Walker Lane trend, Lahontan Gold announced on September 17, 2026, a definitive agreement to acquire all issued and outstanding shares of Emergent Metals. This all-share transaction is designed to consolidate Lahontan's ownership of the critical West Santa Fe project, eliminate burdensome future payments and royalties, and expand its regional land package in Nevada, a tier-one mining jurisdiction within the United States.

The acquisition underscores Lahontan Gold's commitment to a disciplined growth strategy, as articulated by Kimberly Ann, Lahontan Gold's founder, executive chair, CEO, and president. By streamlining its project ownership and expanding its asset base, Lahontan aims to unlock greater value for its shareholders and enhance its operational efficiency in a region known for its rich gold and silver endowments.

Strategic Consolidation in the Walker Lane Trend

Under the terms of the agreement, Emergent Metals shareholders will receive one common share of Lahontan Gold for every 3.21 Emergent shares they hold. This equates to an implied value of C$0.115 per Emergent share, or approximately $0.082 USD, based on prevailing market conditions as of the announcement date. Upon the successful completion of this transaction, existing Lahontan shareholders are anticipated to retain approximately 95.3% control of the combined entity, with Emergent shareholders holding the remaining 4.7%.

The primary strategic driver behind this acquisition is Lahontan Gold's ambition to gain full, unencumbered ownership of the West Santa Fe project in Nevada. This consolidation is immediately beneficial, as it eliminates approximately C$2.39 million in future payments that Lahontan would otherwise have been obligated to make to acquire the remaining interest in the project. For a junior mining company, removing such a significant financial liability from its future obligations is a substantial boost to its financial flexibility and long-term project economics. Full ownership not only simplifies project management and decision-making but also allows for a more efficient allocation of capital towards exploration and development activities without the complexities of joint ownership structures or ongoing payment schedules.

The West Santa Fe project is situated within Nevada's famed Walker Lane trend, a highly prospective geological province renowned for hosting numerous significant gold and silver deposits, including historical producers and active mines. The region's geological setting, characterized by structural complexity and epithermal mineralization, makes it a target-rich environment for precious and base metal exploration. Consolidating ownership in such a geologically prospective area provides Lahontan Gold with a clear path to fully control and optimize its exploration and development programs without external encumbrances.

Unlocking Value: Royalty Eliminations and Treasury Enhancement

Beyond the direct consolidation of the West Santa Fe project, the acquisition carries several other significant benefits that will bolster Lahontan Gold's financial health and project economics. A key outcome is the removal of a 1% net smelter return (NSR) royalty that was previously payable to Emergent Metals. This royalty applied to both the West Santa Fe project and a block of 27 York claims, which Lahontan had recently acquired as part of its broader Santa Fe Mine project. For mining companies, royalties represent a direct cost on production, impacting margins and the overall net present value (NPV) of a project. Eliminating a 1% NSR on future production is a material improvement to the economic viability of these assets, ensuring that more of the revenue generated from potential future production flows directly to Lahontan Gold.

Furthermore, the transaction will result in the return of two million Lahontan shares that were previously issued to Emergent Metals in exchange for the York claims. These shares will be repatriated to Lahontan's corporate treasury, effectively canceling them out. Based on a 30-day volume-weighted average price (VWAP) of C$0.385 as of September 15, 2026, these shares represent an approximate value of C$770,000. The return of these shares to treasury is akin to a non-dilutive capital injection, strengthening Lahontan's balance sheet by reducing its outstanding share count without requiring new capital expenditure. This move enhances shareholder value by potentially improving earnings per share and other per-share metrics, while also providing Lahontan with greater flexibility for future corporate actions.

Expanding the Portfolio: New York Canyon and Beyond

A crucial element of this acquisition is the addition of the New York Canyon project to Lahontan Gold's expanding portfolio. Located strategically south of the existing Santa Fe Mine, the New York Canyon project comprises blocks of unpatented mining claims. Importantly, the project is reported to host both precious and base metal mineralization, indicating potential for diversified resource development. The inclusion of New York Canyon expands Lahontan's regional land package in the Walker Lane, providing new avenues for exploration and potentially new discoveries that could complement its existing gold-focused assets. The presence of base metals suggests a broader geological prospectivity, offering potential resilience against fluctuations in single commodity prices.

The acquisition also brings with it a suite of other valuable assets and financial instruments. Lahontan Gold will assume a $3.5 million promissory note that was originally issued by Fairchild Gold to Emergent Metals, following Fairchild's acquisition of the Golden Arrow property. In addition to this note, Lahontan will acquire 12.5 million shares of Fairchild Gold, providing it with an equity stake in another entity with exposure to the mining sector. Further adding to its diversified asset base, Lahontan will gain a 0.5% NSR royalty on the Golden Arrow property itself. This royalty represents a future income stream, passive in nature, that will contribute to Lahontan's revenue without direct operational involvement or capital outlay on that specific project.

Rounding out the acquired assets are various properties and royalties located in Quebec, Canada, which diversify Lahontan's geographical exposure beyond Nevada, and an additional package of leased claims within Nevada. These miscellaneous assets, while potentially smaller individually, collectively contribute to a robust portfolio that can offer future exploration opportunities, royalty income, or strategic divestment potential.

Leadership Perspective and Growth Strategy

Kimberly Ann, a driving force behind Lahontan Gold's strategic vision, emphasized the significance of this acquisition. "The acquisition of Emergent Metals represents another important step in Lahontan's disciplined growth strategy," she stated. This statement highlights a methodical approach to corporate expansion, focusing on value-accretive transactions rather than indiscriminate growth. The consolidation of West Santa Fe ownership, the elimination of royalties at both West Santa Fe and the York claims at Santa Fe, and the strategic addition of the New York Canyon project are all congruent with this philosophy.

Ann further elaborated on the broader benefits, noting that the deal "adds the strategically important New York Canyon project to our regional-scale Walker Lane land package, and provides Lahontan with additional royalties, claims and other assets." This confirms the multi-faceted nature of the acquisition, positioning Lahontan Gold not just for immediate gains but for long-term regional dominance in a highly prospective district. For investors and industry observers, such a comprehensive strategy signals a company committed to building a sustainable and diversified resource base.

Navigating the Path to Completion

While the agreement has been signed, the completion of this significant transaction remains subject to several customary conditions precedent. These include securing the necessary approvals from Emergent Metals shareholders, obtaining requisite court orders, receiving acceptance from the TSX Venture Exchange where Lahontan Gold's shares are listed, and securing all pertinent regulatory consents. These steps are standard in mining industry mergers and acquisitions, ensuring that all legal, financial, and stakeholder interests are appropriately addressed before the transaction can officially close. Given the strategic alignment and clear benefits for both parties, particularly the value proposition for Emergent shareholders and the operational efficiencies for Lahontan, these approvals are generally expected to proceed in due course.

Broader Industry Implications and Future Outlook

This acquisition by Lahontan Gold is indicative of a broader trend within the global mining industry, where companies are increasingly seeking to consolidate ownership in proven mining districts. For junior exploration and development companies, M&A activity offers a path to scale, diversify risk, and attract investment by presenting a larger, more robust asset base. In a mature and highly competitive jurisdiction like Nevada, consolidation can lead to significant operational synergies, reduced overheads, and a stronger bargaining position for services, equipment, and financing.

For Lahontan Gold, the successful completion of this acquisition means a clear runway for advancing its key projects in the Walker Lane. With full control over West Santa Fe and the royalty burdens lifted, the company can now focus its resources on optimizing resource definition, conducting infill drilling, and potentially moving towards preliminary economic assessments. The inclusion of the New York Canyon project opens up new exploration frontiers, offering the potential for significant new discoveries that could further enhance Lahontan's appeal to investors.

Looking ahead, the market will be keenly watching Lahontan Gold's post-acquisition strategy. The assumption of the Fairchild Gold promissory note and the acquisition of Fairchild shares and the Golden Arrow royalty indicate a more complex financial and strategic landscape, offering Lahontan diversified revenue streams and equity exposure. This holistic approach to growth, combining direct asset ownership with strategic financial interests, positions Lahontan Gold as an increasingly significant player in the North American precious and base metals sector.