Growth Engine in Motion: Kenorland's Strategic Exploration Advancements

The Frotet Project in Quebec delivered standout results, including a 12.15-meter intercept grading 26.33 g/t gold, which is central to its pending maiden resource estimate. According to the latest update, this high-grade intersection demonstrates exceptional potential, while the continuity of mineralization beyond targeted zones remains unproven and could vary significantly in unreached sections.

South Uchi's Ontario drilling confirmed a massive new gold system spanning a 5-kilometer structural corridor, with 93% of 27 holes returning at least 0.1 g/t gold and notable high-grade intervals like 14.60 g/t over 1 meter. The drill results indicate the structural complexity of the volcanic-sedimentary sequence may introduce unpredictability in resource delineation, requiring further analysis to clarify mineralization continuity.

At Western Wabigoon, a December intercept of 30.41 g/t gold over 6.70 meters highlighted the project's exceptional grade potential. This result suggests the district-wide extent of such high-grade zones remains unclear, and additional drilling is needed to assess whether these results define economically viable deposits or isolated occurrences.

Strategic Partnerships: Funding Leverage & Project Validation

Kenorland's most consequential partnership formally launched in 2025, securing Centerra Gold's commitment to fund up to C$10 million over three years for exploration across three key Ontario assets. This arrangement not only provides significant, predictable capital but crucially allows Kenorland to retain operational control through a 30% free-carried interest until a Preliminary Feasibility Study is completed. Retaining this stake means Kenorland avoids immediate capital calls for the committed work while preserving substantial upside if the projects prove successful. Partner funding is already materially reducing the company's direct financial outlay for exploration this year.

A substantial portion of Kenorland's 2025 exploration budget – specifically $35.3 million – is covered by partner contributions, directly translating into $18.5 million of available working capital. This demonstrates tangible progress in de-risking operations and maintaining financial flexibility for ongoing grassroots exploration and new opportunities. Third-party validation of Kenorland's strategic approach comes through Auranova's earn-in agreement, where the partner acquired a 51% stake by contributing $500,000 cash plus issuing 9.2 million shares. While this brings valuable partnership credibility and resources, it also represents a meaningful dilution event for existing shareholders. The successful structuring of these agreements, balancing capital relief, control retention, and credibility signals, underscores Kenorland's improved execution capability, though the dilution inherent in the Auranova deal remains a consideration for current investors evaluating the full capital structure trade-offs.