Key Points:
Trafigura has entered into an arrangement with LaFleur for a Prepayment Facility and Gold Doré Offtake arrangement (together, the "Proposed Agreements"). The Proposed Agreements remain subject to the execution of definitive documentation and the satisfaction of relevant conditions precedent, including the completion of Trafigura's due diligence and receipt of applicable internal approvals.
The proposed C$30 million Prepayment Facility has no commodity price hedging requirements and will underpin required funding for LaFleur's processing facility operations and ramp-up towards a targeted processing capacity of 1,250 tonnes per day (tpd) at the Beacon Gold Mill and development work at the Swanson Gold Deposit.
The Proposed Agreements represent a pathway to establishing key commercial contracts that will facilitate Project development by combining a credit facility and production offtake with a single, globally recognized counterparty on commercial terms that are attractive to the Company. Under the Proposed Agreements, Trafigura will have right of first refusal to participate in further funding to expand capacity at the Beacon Gold Mill to a proposed 3,000-4,000 tpd, as outlined in the Company's recently completed positive Preliminary Economic Assessment ("PEA") (refer to the Company's PEA NI43-101 Technical Report dated March 16, 2026).
Technical, financial and legal due diligence will commence and run for up to (60) sixty days.Chairman of LaFleur Minerals Kal Malhi, commented:"The strong level of non-dilutive financing interest that LaFleur has garnered over the past months, and the recent publishing of our PEA on the Beacon Gold Mill production verify a state of readiness for the Beacon Gold Mill, which currently has a 750 tpd capacity, and the potential of our Swanson Gold Deposit. The Project's value is further augmented by additional regional roll up potential, as its location is within a twenty-minute drive from the town of Val d'Or, a region globally renowned for gold projects that bolsters a skilled mining labour force."
Following an extremely competitive process, the Company has selected Trafigura as our chosen financing provider and offtaker to advance the Beacon Gold Mill towards 3,000-4,000 tpd capacity. Beyond the proposed Prepayment Facility, which includes an initial tranche of up to C$15 million, LaFleur has agreed to grant Trafigura a right of first refusal on subsequent funding as the Company continues to upgrade its Beacon Gold Mill capacity.
Chief Executive Officer of LaFleur Minerals, Paul Ténière, commented:"The last quarter has been an extremely busy time full of major developments for LaFleur and also a run in the price of gold from the US$4,000 range in 2025, to a high of US$5,400 and now volatile trading in the US$4,500-$5,000/ounce range. Our Preliminary Economic Assessment is based on an AISC of US$1,569/oz gold and calculated on a base case $2,750/oz gold, with compelling economics outlining an after-tax IRR of 65% and C$101 million NPV (5%), which has attracted several serious well established investment groups. We are delighted to be collaborating with Trafigura as our chosen financing provider and offtaker for ...
