(All amounts expressed in Canadian Dollars unless otherwise noted)
TORONTO, May 08, 2026 (GLOBE NEWSWIRE) — Gold Candle Ltd. (“Gold Candle” or the “Company”) today announced that it has entered into a binding asset purchase agreement with Pan American Silver Corp. (“Pan American”) dated May 7, 2026 (the “Agreement”) pursuant to which Gold Candle will acquire all of the assets that comprise Pan American’s Larder Property in exchange for 15,000,000 common shares in the capital of Gold Candle, which will result in Pan American owning approximately 6% of Gold Candle on a pro forma basis (the “Transaction”).
The Transaction enables Gold Candle to further enhance its asset base in the Abitibi through the addition of the Larder Property, which includes three mineral deposits, Bear, Cheminis and Fernland,that collectively have: 388,000 ounces of indicated gold mineral resources (5.1 million tonnes at 2.39 grams per tonne gold) and 933,000 ounces of inferred gold mineral resources (6.9 million tonnes at 4.21 grams per tonne gold) all of which are historic in nature (see “Historic Resource” below). The Larder Property is contiguous to Gold Candle’s Kerr-Addison property to the west and totals over 6,400 hectares along the Larder Lake Cadillac Break.
Gold Candle’s Chief Executive Officer Rick Howes stated, “Having just closed our acquisition of Fokus Mining, we are very excited to enter into this transaction, which will only further enhance our already significant and highly prospective land holdings on the Larder Lake Cadillac Break. Adding the Larder Property provides us with further optionality as it relates to exploration, development and, eventually, operations. We look forward to immediately integrating this property into our plans as we determine how to maximize the value potential of our now district-scale land package and growing mineral resource base in the Abitibi.”
Transaction Highlights
- Increases Gold Resources: The Larder Property adds 388,000 ounces of indicated gold mineral resources (5.1 million tonnes at 2.39 grams per tonne gold) and 933,000 ounces of inferred gold mineral resources (6.9 million tonnes at 4.21 grams per tonne gold) of historic resources to Gold Candle’s portfolio. With the recently completed acquisition of Fokus Mining, collectively, the Larder Property historic resource and Gold Candle’s current resource, total gold mineral resources will include 3.7 million ounces of indicated resources and 4.7 million ounces of inferred resources.
- Grows Strategic Land Position: Adds over 6,400 hectares to Gold Candle’s land package on the Larder Lake Cadillac Break, increasing the Company’s total land position to over 27,000 hectares.
- Enhances Exploration Optionality: Larder Property provides Gold Candle with an additional, highly prospective set of exploration targets where the presence of meaningful mineral resources has already been established.
Transaction Details
Pursuant to the Transaction, Pan American will receive 15,000,000 common shares in the capital of Gold Candle in exchange for all of the assets that comprise Pan American’s Larder Property. As part of the Transaction, Pan American has also been given certain participation rights providing the ability to maintain its pro rata ownership in any potential future equity financings completed by Gold Candle on terms customary for such rights.
The Transaction is to be completed based on the terms of a binding asset purchase agreement. Assuming the timely satisfaction of all closing conditions, the Transaction is expected to close during the third quarter of 2026.
Technical Information
Scientific and technical information of Gold Candle contained in this news release is based upon information in the report titled NI 43-101 Technical Report and Mineral Resource Estimate for the Kerr-Addison and Geminid Properties, Ontario, which was prepared by InnovExplo Inc. and Libertas Metallurgy Ltd., and dated May 26, 2025, with an effective date of February 19, 2025, and filed under Gold Candle’s profile on SEDAR+ (www.sedarplus.ca). The remaining technical information (other than the Historic Resource) has been reviewed and approved by Kerry Sparkes, P.Geo, Senior Vice President Exploration, who is a Qualified Person as the term is defined in Canadian National Instrument 43-101 – Standards of Disclosure for Mineral Projects.
Mineral resources are not mineral reserves and do not have demonstrated economic viability. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the inferred resources would be realized.
Historic Resource
| Total Larder Project Indicated Resources | |||
| Total Larder Gold Indicated Resources | Tonnes | Grade (Au g/t) |
Contained Gold Ounces |
| In-pit | 3,827,000 | 1.54 | 182,000 |
| Outside-pit/UG | 1,306,000 | 4.89 | 206,000 |
| Grand Total Indicated Resources |
5,133,000 | 2.39 | 388,000 |
| Total Larder Project Inferred Resources | |||
| Total Larder Gold Inferred Resources | Tonnes | Grade (Au g/t) |
Contained Gold Ounces |
| In-pit | 771,000 | 1.05 | 26,000 |
| Outside-pit/UG | 6,119,000 | 4.61 | 907,000 |
| Grand Total Inferred Resources |
6,890,000 | 4.21 | 933,000 |
*Notes to accompany the historical estimate
- Information regarding the historical resource at the Larder Gold Project were obtained from the report titled: Updated Mineral Resource Estimates, Larder Lake Gold Project, Larder Lake, Ontario, Canada., and prepared for Gatling Exploration Inc., and with an effective date of September 2, 2021.
- The Qualified Persons for the Project were Allan Armitage, Ph.D., P.Geo, of SGS Canada Inc. and Olivier Vadnais-Leblanc of SGS Geological Services.
- All resource estimates for the Larder Lake Project are now considered historical in nature and are based on prior data and reports prepared by previous property owners.
- A qualified person has not done sufficient work yet to classify the historical estimates as current resources in accordance with current CIM categories and the Company is not treating the historical estimates as current resources. Significant data compilation, redrilling, resampling and data verification may be required by a qualified person before the historical estimates on the project can be classified as a current resource.
- There can be no assurance that any of the historical mineral resources, in whole or in part, will ever become economically viable. In addition, mineral resources are not mineral reserves and do not have demonstrated economic viability. Even if classified as a current resource, there is no certainty as to whether further exploration will result in any inferred mineral resources being upgraded to an indicated or measured resource category.
About Gold Candle Ltd.
Gold Candle Ltd. is a privately funded Canadian exploration company existing under the laws of Ontario, led by a diverse and experienced team of mining professionals. In 2015, Gold Candle acquired claims over the historic Kerr-Addison Gold Mine and surrounding area in McGarry Township, located in the Timiskaming District of Ontario. Gold Candle is committed to responsible mineral exploration that benefits local communities, employees, and shareholders while respecting people and the environment.
Caution Regarding Forward-Looking Statements
This news release contains statements that may constitute “forward-looking information” within the meaning of applicable Canadian securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “should”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. The forward-looking information contained herein is provided for the purpose of assisting readers in understanding management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes.
Forward-looking statements relate to future events or future performance and reflect expectations or beliefs regarding future events. Forward-looking statements include but are not limited to statements with respect to the consummation and timing of the Transaction; the satisfaction of the conditions precedent to the Transaction; the strengths, characteristics and potential of the Transaction; the impact of the Transaction on Shareholders and other stakeholders and other anticipated benefits of the Transaction. By their very nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, amongst others, risks related to failure to receive regulatory and other consents and approvals to effect the Transaction, and the possibility that the Agreement could be terminated under certain circumstances.
Forward-looking information is based on reasonable assumptions, estimates, expectations, analyses and opinions of the management of the parties, which are based on such management’s experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect. Such factors, among other things, include: fluctuations in general macroeconomic conditions; fluctuations in securities markets; change in national and local governments, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations pressures, cave-ins and flooding); discrepancies between actual and estimated mineral content; inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with, and claims by local communities and indigenous populations; availability of, and increasing costs associated with, mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties.
The forward-looking information contained in this news release is made as of the date hereof and Gold Candle does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be required by applicable law.
For Further Information:
Gold Candle Ltd.
Hannes Portmann
Chief Financial Officer
Email: hportmann@goldcandle.com
