Loyalist Exploration Limited (CSE: PNGC) has announced the issuance of 13,400,000 common shares to Fulcrum Metals (Canada) Ltd., a subsidiary of Fulcrum Metals Plc, in satisfaction of a milestone payment under the property purchase agreement for the Tully Gold Project. The milestone was triggered after an updated NI 43-101 technical report confirmed total gold resources exceeding 200,000 ounces at the project located approximately 25 km northeast of Timmins, Ontario. The share issuance marks a significant contractual milestone for Loyalist as it advances its flagship underground gold asset in northeastern Ontario.

Key Points

  • Loyalist Exploration Limited (CSE: PNGC) announced the issuance of milestone shares to Fulcrum Metals
  • 13,400,000 common shares issued to Fulcrum Metals (Canada) Ltd. under the Tully Gold Project purchase agreement dated October 2, 2025
  • A further 1,600,000 deferred shares remain outstanding, subject to a separate NI 43-101 re-evaluation condition
  • Investors may be watching whether Loyalist advances the Tully deposit toward expanded resources and eventual production

Tully Gold Project Milestone Triggered by 200,000-Ounce Resource Confirmation

Under the purchase agreement, Loyalist agreed to issue a total of 15,000,000 common shares to Fulcrum in connection with the Tully Gold Project acquisition. The release states that the resource milestone was achieved when an updated technical report on the Tully Property confirmed a total gold resource exceeding 200,000 ounces to National Instrument 43-101 standards. That technical report was made publicly available on August 21, 2026. The current issuance of 13,400,000 shares satisfies the immediate milestone obligation under that agreement.

Deferred Shares and Statutory Hold Period Still Apply

The announcement states that 1,600,000 shares — designated as Deferred Shares — remain to be issued at a later date. The release indicates these shares will be issued upon the filing of a technical report in which the Tully gold resource is re-evaluated or restated to NI 43-101 standard and total gold resources exceed 200,000 ounces. The 13,400,000 Milestone Shares already issued are subject to a statutory hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws.

Fulcrum Metals Increases Shareholding in Loyalist Through Agreement

Both companies' chief executives commented on the milestone in the release. Loyalist CEO Errol Farr noted the updated NI 43-101 technical report validated work completed to date and that the company intends to systematically advance the Tully Gold Project while growing the deposit. Fulcrum Metals Plc CEO Ryan Mee described the resource milestone as an important step for Tully and noted Fulcrum's intention to remain a supportive shareholder. The release describes the Tully Gold Project as Loyalist's flagship 100%-owned asset, with the company also holding three additional Timmins-based projects: DeSantis, Gold Rush, and Loveland.