P2 Gold Upsizes Strategic Placement to $11.25 Million as Gabbs Market Cap Lags Western US Developer Peer Group

• P2 Gold has upsized its non-brokered private placement from 10 million to 15 million units at $0.75 per unit, raising gross proceeds of up to $11,250,000, with The Quaternary Group Limited anchoring the raise by subscribing for 10 million of the 15 million units.
• Each warrant attached to the units has an exercise price of $1.50 per common share and is exercisable for a period of two years after the date of issue.
• P2 Gold's market capitalisation of $147 million stands below all four identified Western United States developer peers, ranging from $267 million for Roxmore Resources to $820 million for Dakota Gold.
• The 2025 preliminary economic assessment (PEA) outlines an after-tax net present value at a 5% discount rate (NPV5%) of US$942.9 million at base case metal prices, rising to US$2.253 billion at spot case prices as of October 2025, against a total preproduction capital estimate of US$382.7 million.
• The Gabbs Project carries no production royalty, which management identifies as a lever in future production financing negotiations. The feasibility study (FS) targets completion in the fourth quarter of 2026, with first production in 2029, subject to financing and permitting.

Strategic Investor Anchors Upsized $11.25 Million Placement.

P2 Gold Inc. (TSXV: PGLD | OTCQB: PGLDF | FRA: 4Z9) has upsized its non-brokered private placement from 10 million units to 15 million units at $0.75 per unit, for gross proceeds of up to $11,250,000. The Quaternary Group Limited is subscribing for 10 million of the 15 million units, making the strategic investor the anchor of an offering that was upsized following its initial announcement. Each warrant attached to the units has an exercise price of $1.50 per common share and is exercisable for a period of two years after the date of issue.

Offering Terms & Unit Structure

Each unit consists of one common share and one common share purchase warrant. Each warrant entitles the holder to purchase one additional common share at an exercise price of $1.50 per common share for a period of two years after the date of issue. All securities issued pursuant to the offering are subject to a four-month hold period. The offering remains conditional upon receipt of all necessary regulatory approvals, including approval of the TSX Venture Exchange. Proceeds will be applied to fund exploration and development expenditures at the Gabbs Project in Nevada and for general corporate purposes.

Market Cap Lags Western US Developer Peer Group

The placement comes as P2 Gold's market capitalisation sits below that of a peer group of Western United States gold developers at comparable stages of development. P2 Gold carried a market capitalisation of $147 million, against $267 million for Roxmore Resources, $282 million for US Gold, $661 million for Liberty Gold, and $820 million for Dakota Gold - all developers working toward feasibility in the western United States.

President and Chief Executive Officer Joe Ovsenek said the gap is particularly notable relative to the company’s closest gold-copper comparable:

“Essentially, we are twice the net present value to 5% discount than they are."

He attributed part of the difference to the relative production scale between the projects. On the comparison with Liberty Gold, where similar project economics contrast with a  significantly higher market valuation, Ovsenek pointed to potential upside as the company advances:

“So, lots of room for upsize if we can capture some of the market that Liberty Gold has.”

Gabbs Project Base Case Economics

The Gabbs Project 2025 preliminary economic assessment (PEA) outlines a 14.2-year mine life producing an average of 109,000 ounces of gold and 15,000 tonnes of copper annually, equivalent to 174,400 gold-equivalent ounces per year at base-case metal prices. At a base case gold price of US$2,350 per ounce and copper of US$4.50 per pound, the project delivers an after-tax net present value at a 5% discount rate (NPV5%) of US$942.9 million and an after-tax internal rate of return (IRR) of 33.8%, with a 2.4-year preproduction capital payback. Total preproduction capital is estimated at US$382.7 million.

At spot case metal prices as of October 3, 2025, gold at US$3,885 per ounce and copper at US$4.81 per pound, the after-tax NPV5% rises to US$2.253 billion and the after-tax IRR to 77.5%. The project carries no production royalty, a structural characteristic that management identifies as a direct lever in future financing negotiations. Ovsenek noted that the absence of a royalty creates optionality in the financing structure, stating that, without a royalty, the company can leverage that position in negotiations with equity and debt sources, and that the royalty-free status represents the potential to raise to $250 million through a royalty instrument if required.

Development Timeline

The 2026 work programme running concurrently with the placement includes infill and expansion drilling, Phase 4 metallurgical testing, geotechnical drilling, environmental baseline studies, a Mining Plan of Operations filing, water rights transfer, and the feasibility study (FS) itself. The company targets the updated mineral resource estimate (MRE) for the third quarter of 2026, with the FS to be completed in the fourth quarter of 2026. Subject to availability of financing and permitting, the production schedule targets construction in 2028 and first production in 2029.

Capital Structure & Project Location

As of March 2026, P2 Gold had 262,083,579 shares issued and outstanding, with 334,180,329 fully diluted shares. Cash, marketable securities, and receivables stood at $11,101,189 as of December 2025. Management and board ownership represents 15.9% of shares on an undiluted basis, with institutions and family offices holding 11.5%. The Gabbs Project is located on the Walker Lane Trend in Nevada, accessible via paved Highway 361, with a powerline crossing the property. Nevada ranked second globally for mining investment attractiveness in the Fraser Institute's 2024 Annual Survey of Mining Companies.

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