Exploits Discovery (CSE:NFLD): Resource-Backed Gold Growth Strategy Gains Traction in Tier-One Jurisdictions

• Strategic Shift: Exploits Discovery has pivoted from pure grassroots exploration to acquiring near-surface gold resources in Ontario, Quebec, and Newfoundland.
• Resource Base: The company secured 680,000 oz of gold across four projects via option agreements, aiming to expand these with minimal capital outlay.
• Capital Allocation: Backed by ~$4M in cash, management will use a merit-based, bang-for-buck strategy to prioritize exploration spending.
• Jurisdictional Advantage: All projects are located in tier-one mining jurisdictions with nearby infrastructure, including Ontario’s Hemlo-style Hawkins project and Cartier Resources' former Quebec assets.
• Rerating Opportunity: At a market cap of ~$6M with an EV/oz well below peers, Exploits sees significant revaluation potential as it builds ounces in the ground.

Exploits Discovery has transitioned into a resource-backed junior with near-surface ounces, low holding costs, and a clear pathway to growth. With disciplined capital allocation and a focus on building scalable ounces, the company presents a compelling opportunity for gold-focused investors seeking undervalued exposure to Canadian exploration.

By combining strategic asset acquisition, jurisdictional advantage, and focused execution, Exploits is positioning itself to benefit from a sustained gold bull market without overextending its balance sheet. Investors should closely watch upcoming permitting milestones and initial drilling campaigns for early signs of a potential rerating.

Watch the full interview here:

Ontario: The Hawkins Project

The Hawkins Project in Ontario is the cornerstone of the new strategy. Located in a region geologically analogous to Hemlo—which produced over 20Moz of gold—Hawkins hosts the McKinnon Zone, an inferred 328,000 oz resource at 1.65 g/t Au, situated within a 60-km strike package.

Importantly, these ounces sit near surface and benefit from $10M in historical drilling and ~$2.4M in assessment credits, which reduce holding costs. Exploits plans to test extensions to the east and at depth, where historical operators failed to explore adequately due to capital constraints.

Swinoga explained:

“Our goal is to look at these areas of opportunity… improve grade and find more ounces. Having 328,000 ounces to start with is great.”

The project's upside lies in its resemblance to the Hemlo discovery story: lower-grade mineralization near surface with the potential to transition into higher-grade, structurally controlled shoots at depth.

Quebec: Benoist, Wilson, and Fenton Projects

In Quebec, Exploits acquired three gold properties - Benoist, Wilson, and Fenton - from Cartier Resources via option agreements. These projects are located in the prolific Abitibi Greenstone Belt, surrounded by producing mines and processing infrastructure.

• Benoist: Hosts ~240,000 oz gold at 2.5 g/t (non-NI 43-101 compliant), with continuity and depth extensions underexplored.
• Wilson: Multiple high-grade hits (e.g., 43 g/t over 2m), visual gold occurrences, and open zones along strike.
• Fenton: Exceptional grades, including 67 g/t over 7m and 356 g/t over 6m, with broader intercepts showing bulk-minable potential.

Though only Benoist has a defined resource, all three assets present low-cost, high-upside drill targets. Given Cartier’s focus on its Chimo development project, these secondary assets had limited recent attention -creating a window for Exploits to extract value through focused exploration.

Newfoundland: Strategic Positioning Near New Found Gold

In Newfoundland, Exploits retains properties adjacent to New Found Gold’s Queensway Project. Though not a current capital priority, these claims are expected to benefit from regional activity and future optionality.

As Swinoga noted:

“I always call [New Found] our big brother… they were the first mover in the area… If they want to work together in a greater capacity, we’re open to that.”

Execution Strategy: Capital Discipline and Permitting

Exploits is approaching project execution with discipline. With ~$4M cash and a ~$6M market cap, the company aims to preserve balance sheet strength while executing high-impact drilling.

Key points of the strategy include:

• Permit-first approach: Before deploying capital, Exploits is securing permits across all projects.
• Rate-and-rank methodology: Capital will be allocated based on ounces-per-meter drilled, exploration upside, and infrastructure proximity.
• Focus on growth over infill: The company prioritizes building new ounces over resource conversion, targeting scalable mineralized zones at depth and along strike.

The first phase of drilling is expected to focus on shallow, near-surface targets to generate early wins and validate growth potential without high-cost, deep holes.

The Investment Thesis for Exploits Discovery

• Undervalued Resource Base: At an EV of ~$2M and ~680,000 oz in hand, Exploits trades at a steep discount to peer gold juniors on a per-ounce basis.
• Tier-One Jurisdictions: All assets are located in Canada, with strong legal frameworks, mining infrastructure, and investor confidence.
• Advanced-Stage Leverage: Assets acquired come with historical drilling, resource models, and immediate exploration vectors, reducing front-end risk.
• Capital Efficient: $4M in treasury allows for measured, staged exploration without immediate dilution.
• Strategic Optionality: Proximity to New Found Gold and historical Hemlo analogues provides potential for future consolidation or JV value creation.