News Summary
On December 15, 2025, Lake Victoria Gold announced additional high-grade drill results from its ongoing 4,000-metre program at the Imwelo Gold Project in Tanzania. The results confirm that gold mineralization extends beyond the current open-pit design, both laterally (to the east and west) and at depth (down-dip continuity demonstrated to over 250 metres vertical depth).
Key intercepts include:
– 2.45 metres at 9.31 g/t Au
– 0.90 metres at 11.19 g/t Au
– 1.30 metres at 8.55 g/t Au
The company has now completed 16 of the 24 planned holes. Management stated that these results strengthen confidence in the geological model and support the potential for upgrading Inferred resources to the Indicated category, as well as providing a basis to evaluate a future underground development phase.
Material Impact
The latest drill results are materially positive and represent a successful and systematic execution of the company’s stated strategy. The primary goal of this drill program, announced on October 9, 2025, was to finalize the pit design for the Area C starter pit, convert and grow the resource, and gather key technical data.
– Progression and Validation: The news builds directly on the first batch of results released on November 26, 2025, which also showed high-grade intercepts (e.g., 1.33m @ 11.88 g/t Au) extending mineralization beyond the pit shell. This consistent success across multiple releases validates the geological model and de-risks the Imwelo project significantly. The company is not just hitting gold; it is hitting gold where its model predicted, successfully expanding the known mineralized envelope.
– Economic Implications: By confirming mineralization at depth and along strike, these results increase the probability of a larger resource than what is currently modeled. This has direct implications for a potentially longer mine life, an expanded production profile, and improved project economics for the planned low-capex starter mine. The confirmation of down-dip continuity to over 250m also introduces the possibility of a future, higher-grade underground operation, adding a significant layer of long-term value potential.
– Alignment with Strategy: This news directly supports the company’s dual-track strategy. The successful de-risking of the near-term production asset (Imwelo) provides a clearer path to cash flow, which can then be used to fund exploration on their blue-sky exploration asset (Tembo) in a non-dilutive manner.
Compared to previous updates, this news is not a game-changing discovery of a new zone but a crucial and successful step in project execution. It demonstrates that the capital raised in the September/October 2025 financings is being deployed effectively to build tangible value and advance the flagship project toward a production decision. The results are in line with, and arguably exceed, what would be considered a successful outcome for this type of infill and step-out program.
Catalysts
– Remaining Drill Results: Assay results from the final 8 holes of the 4,000-metre program at Imwelo are the most immediate catalyst. Consistent results would further bolster the project.
– Updated Mineral Resource Estimate (MRE): The company should be in a position to deliver an updated, NI 43-101 compliant MRE for Imwelo incorporating this new data. This is a critical step to move beyond the non-current 2017 historical estimate.
– Construction Decision & Financing: Look for a formal construction decision for the Imwelo starter pit. Critically, this should be accompanied by news of a binding agreement for the gold prepay facility with Monetary Metals or another form of construction financing.
– Tembo Project Drill Program: Commencement of, and results from, the planned 3,000-metre drill program at the Ngula 1 target on the Tembo project.
– Barrick Exploration Updates: Any updates from Barrick’s exploration on the adjacent ground, which could trigger part of the US$45 million in contingent payments.
Materiality Conclusion
The announcement is rated Material – Positive. It provides strong, consistent validation of the geological model at the company’s flagship Imwelo project. By successfully extending the known high-grade mineralization, the company has materially de-risked the asset, increased the probability of a larger resource, and advanced it meaningfully along the path to a production decision.
