High-Grade Gold Hits Push Exploration Boundaries at Tanzanian Project

1. Lake Victoria Gold Ltd. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000.
2. As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Lake Victoria Gold Ltd. and Barrick Mining Corp.
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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

Lake Victoria Gold Ltd. (LVG:TSX; LVGLF:OTCQB; E1K:FSE) reported additional results from its 4,000-meter drill program at the fully permitted Imwelo Gold Project in northern Tanzania. The latest assays confirmed that gold mineralization continues well below the current pit shell and has now extended to the east and west, beyond previously tested areas.

The program, which combines RC pre-collars with diamond-core tails, was designed to guide final pit optimization, metallurgical testing, and assess underground development potential. Among the notable intercepts were 9.31 grams per tonne (g/t) gold over 2.45 meters in hole IMWDR013, and 11.19 g/t gold over 0.90 meters in IMWDR017. Some intervals reached above 20 g/t over shorter widths.

The company said it has now confirmed mineral continuity down to more than 250 meters vertically—well beyond the 200-meter depth used in historical models. Average hole depths in this program were over 120 meters, more than double those in earlier campaigns. Gold was also intersected past the eastern boundary and west of a fault zone, opening new targets for expansion.

Marc Cernovitch, President and CEO, stated in the press release, "These results continue to validate our thesis for Imwelo. We are seeing meaningful extensions of mineralization both at depth and laterally beyond the current pit design."

Exploration Manager Hendrick Mering added that quartz veining and structural continuity were observed in core, supporting the case that mineralization remains open at depth and along strike.

The Imwelo Gold Project, located 12 kilometers from AngloGold Ashanti's Geita Mine, is fully permitted with a renewed 10-year mining license. This drill program also aims to tighten resource confidence, support pit wall design, and collect data for future grade control and metallurgical work.

To date, 16 of the 24 planned holes have been completed. Results are pending from the remaining holes. All assays received so far passed quality control standards at MSA Laboratory in Geita.

Gold Sector Sees Strong Tailwinds From Global Demand and Inflation Hedging

On December 12, Jonny Haycock reported that Alasdair Macleod, Strategic Advisor to VON GREYERZ, warned of dwindling liquidity in the silver market and suggested China may be holding much more gold than official estimates reflect. He also pointed to rising bond yields as a signal of possible market instability, with physical metals like gold increasingly seen as safe havens.

Also on December 12, Kitco News reported that gold investment demand in India rose to over US$10 billion in the third quarter, marking a 67% increase in value terms compared to the previous year. According to Sachin Jain, CEO of India operations at the World Gold Council, investment accounted for 40% of total gold consumption year-to-date, the highest on record. He said the WGC expects that trend to grow further, especially with new pension rules allowing up to 5% allocation in gold and silver ETFs.

According to a December 15 analysis by Simon White of Bloomberg, "the bull market in gold should remain intact," driven by central bank demand and investor moves toward real assets. He noted that emerging market central banks have more than doubled their gold holdings since the 2008 crisis and picked up the pace after the 2022 Russia-Ukraine conflict. He described gold as "an unimpeachable asset," adding that developed-market central banks may follow suit due to concerns about currency debasement and debt.

Analysts Highlight Strong Drill Results and Development Progress at Imwelo

On November 27, Red Cloud Securities Analyst Alina Islam reported that initial results from Lake Victoria Gold Ltd.'s 4,000-meter drill program at the Imwelo Gold Project extended mineralization beyond the current pit shell. Islam said the program was showing "further potential in the footwall and hanging wall." Two key intercepts included 2.56 meters of 6.96 g/t gold and 1.33 meters of 11.88 g/t gold.

She reported that the average grade from the first six holes was 2.83 g/t, consistent with historical drilling. Islam noted that the company was now drilling deeper than the previous 100-meter range, with results indicating possible growth in tonnage.

Lake Victoria Gold, she wrote, is pushing Imwelo toward production. Initial output is expected at 12,000 ounces per year, increasing to 24,000 ounces annually, with an estimated all-in sustaining cost of US$1,400 per ounce. The company secured a prepaid gold sales agreement for 7,000 ounces and may receive an additional CA$3.84 million in equity through its deal with Taifa Group.

Islam cited a market cap of CA$33.2 million and a trading range of CA$0.13 to CA$0.25 per share at the time of publication. Although no rating or price target was issued, she concluded that progress at Imwelo and Tembo "should drive the stock price."

She also pointed to a partnership with Nyati Resources for possible near-term processing at Tembo using a 500-ton-per-day plant. Further results from both projects, along with a new resource estimate and prefeasibility study expected in 2026, were noted as important upcoming developments.

Progress Beneath the Surface: Key Catalysts Driving Imwelo Forward

Lake Victoria Gold is targeting a near-term production scenario at the Imwelo Gold Project, underpinned by its recent acquisition and development initiatives. According to the company's investor presentation, the project was acquired for CA$5.5 million in equity and is fully permitted for construction. Historical drilling totals 28,000 meters, and recent resource modeling is being updated to reflect new data from the ongoing 4,000-meter drill program.

The company plans to begin with open-pit production in Area C, targeting 12,000 ounces of gold per year, with a ramp-up to 24,000 ounces by the third year of operations. All-in sustaining costs (AISC) are estimated at approximately US$1,400 per ounce. Engineering and processing plant designs are complete, with current capital expenditure estimated at US$15.03 million.

To support project execution, Lake Victoria Gold has signed a term sheet for a 7,000-ounce gold prepay facility and is in advanced discussions with local lenders for a financing package, including US$10 million in senior debt, a cost overrun facility, and a working capital line.

Additionally, Taifa Mining, Tanzania's largest mining contractor, will perform all civil works and contract mining for Imwelo. Taifa's involvement brings decades of experience and equipment resources, further de-risking execution and development. 

Ownership and Share Structure¹

About 28% is owned by management and insiders, institutions own 15%, shares issued for the acquisition of Imwelo include 12.3%, the TAIFA Group owns 8.2%, and Barrick Mining Corp. (ABX:TSX; B:NYSE) owns 3%. The rest is retail.

Top shareholders include AIMS Asset Management with 8.76%, Rostam Aziz with 8.2%, Simon Charles Benstead with 7.47%, Concept Capital Management Ltd. with 5.83%, and Walter David Scott with 3.08%.

Its market cap is CA$34.21 million. It has 195 million shares outstanding, according to the company, and trades in a 52-week range of CA$0.13 and CA$0.25.