G2 Goldfields Announces Strategic Investment from Major Gold Producer AngloGold Ashanti

• AngloGold Ashanti to acquire 11.7% stake in G2 Goldfields for $22.05 million
• Investment will fund exploration and development of G2's high-grade Oko gold project in Guyana
• Oko hosts 974,000 oz gold inferred resource and 220,000 oz gold indicated resource
• Strategic partnership validates quality of G2's assets and exploration potential
• Opportunity for G2 shareholders as company advances flagship project with backing of major gold miner

G2 Goldfields Inc. (TSXV:GTWO) is a Canada-based junior gold exploration and development company focused on the discovery and advancement of economic gold deposits in the Guiana Shield. The company's flagship Oko project in Guyana hosts a large high-grade gold system with significant resource expansion potential.

On December 19, 2023, G2 Goldfields announced that major gold producer AngloGold Ashanti (NYSE:AU) intends to complete a CAD $22.05 million strategic investment in the company. The deal will see AngloGold acquire 24.5 million G2 common shares at a price of $0.90 per share, giving AngloGold an 11.7% ownership stake in G2.

For shareholders of G2 Goldfields, AngloGold's strategic investment represents a strong validation of the quality of G2's assets and exploration team. It also provides funding to aggressively advance exploration and development activities at the Oko gold project while continuing to unlock the wider potential of G2's district-scale land package in the Guiana Shield's prolific gold regions.

Details of the AngloGold Ashanti Strategic Investment

Under the terms of the proposed strategic investment, AngloGold Ashanti will acquire 24.5 million common shares of G2 Goldfields at a price of $0.90 per share. This is equivalent to 11.7% of G2's current outstanding shares for total gross proceeds of $22.05 million.

G2 has engaged Roth Canada and Cormark Securities as agents for the private placement transaction. Completion of the deal is subject to execution of definitive documentation, customary closing conditions including TSX Venture Exchange approval, and is expected on or around January 15, 2024.

As part of the strategic investment, AngloGold will be granted pre-emptive and top-up rights for future security issuances by G2 Goldfields.

Use of Proceeds to Advance Flagship Oko ProjectG2 Goldfields intends to allocate the net proceeds from AngloGold's $22.05 million strategic investment primarily towards advancing exploration and development activities at its flagship Oko gold project in Guyana.

Additional amounts will fund ongoing exploration across G2's broader district-scale land package around Oko to unlock the wider potential, as well as for general working capital purposes.

The Oko Gold Project Opportunity

G2 Goldfield's Oko gold project is located in Guyana's prolific gold-producing regions approximately 190 kilometers southwest of the capital Georgetown.

As a previously underexplored area, Oko demonstrates exceptional potential for new high-grade gold discoveries akin to the multi-million-ounce deposits found elsewhere in the Guiana Shield.

Initial drilling results validate Oko as a significant new gold system with outstanding expansion potential. An April 2022 maiden resource estimate outlined an inferred resource of 974,000 oz gold contained within 3.27 million tonnes at 9.25 g/t, plus an indicated 220,000 oz resource within 793,000 tonnes at 8.63 g/t. Importantly, all current resources start from just 350 meters below surface and remain open at depth.

Beyond the defined resource zones, Oko's wider land package offers substantial upside for new discoveries across 14 identified gold prospect areas. Several high-priority drill targets have been delineated from recent geochemical and geophysical surveys.

With AngloGold's strategic investment, G2 Goldfields is funded to fast-track resource expansion drilling and exploration activities across the highly prospective Oko gold project. The involvement of a major gold producer like AngloGold also signals strong technical validation of Oko's world-class potential.

An Experienced Exploration and Development Team

The G2 Goldfields management team and exploration geologists have an impressive track record in Guyana, being directly involved in the discovery and advancement of the country's largest gold mine. Their expertise helps minimize technical risk and enhances the likelihood of continued exploration success.

CEO Dan Noone previous led the team that financed and developed Guyana's multi-million-ounce Aurora gold mine, currently owned and operated by Zijin Mining Group. The G2 technical team includes several former key executives from Aurora and Guyana Goldfields, another significant local gold operation.

A Key Strategic Partnership for Unlocking Value

AngloGold Ashanti's proposed CAD $22.05 million investment in G2 Goldfields represents a resounding endorsement of G2's assets, leadership team and growth potential. It places G2 in a strong financial position to aggressively advance exploration and development efforts at the exciting high-grade Oko gold project.

With the backing of a major gold producer, G2 can move rapidly to expand Oko's defined resource, test multiple new target areas, and ultimately transitions towards feasibility studies and mine development. Significant upside potential exists across Oko's underexplored land package.

For investors, this strategic partnership validates G2 as an attractive investment opportunity in the junior gold exploration sector. As activities ramp up at Oko over 2023-2024, G2 Goldfields shares have renewed growth potential fueled by exploration updates, resource expansions, and AngloGold’s involvement as a new key shareholder.