Barrick Gold Inc. has signed a definitive earn-in agreement to acquire an initial 60% interest in the Pen Gold Project in Ontario from GFG Resources Inc., taking over project operations and committing to substantial exploration funding.

Under the terms of the transaction, Barrick will fund $17.68 million in exploration and project expenditures and make aggregate cash payments of $1.2 million to GFG over six years. The agreement requires a firm initial commitment of $4.0 million in qualifying expenditures within the first three years, which includes at least 5,000 metres of diamond drilling before the third anniversary. This mandatory drilling program represents a larger commitment than the 3,000-metre campaign outlined in GFG's previous June 2025 exploration update for the property.

To complete the initial 60% earn-in, Barrick must also deliver an NI 43-101 technical report establishing a mineral resource of at least 1.5 million ounces of gold or gold equivalent within six years of the effective date. If Barrick satisfies the initial earn-in, the parties expect to form a joint venture. Barrick may subsequently increase its ownership to 70% by solely funding a preliminary economic assessment and to 80% by solely funding a feasibility study. If Barrick withdraws before satisfying the initial $4.0 million firm commitment, it must pay any expenditure shortfall directly to GFG in cash.

Prior to the agreement, GFG held a 100% interest in the Pen Gold Project, which covers approximately 475 square kilometres in the Timmins Gold District. The partnership allows GFG to advance the property without drawing on its own treasury while directing capital toward its wholly owned Goldarm Property and broader discovery pipeline, which includes active programs at Aljo, Montclerg, and Nahanni.

“This proposed partnership represents a significant value-creating opportunity for GFG shareholders and a strong endorsement of the scale and quality of the Pen Gold Project. The transaction provides for substantial partner-funded exploration, meaningful near-term drilling and a pathway to advance Pen through resource definition and potentially feasibility, while GFG retains significant exposure to future success.” — Brian Skanderbeg, President and CEO

“Pen is a large and highly prospective land package in the Timmins Gold District that requires the scale of investment contemplated under this transaction to fully evaluate its potential.” — Brian Skanderbeg, President and CEO

Read the full announcement: GFG and Barrick Sign Strategic Earn-In to Accelerate Exploration at the Pen Gold Project