Labrador Gold closes $2.1M first tranche of private placement

Labrador Gold Corp. (TSX.V: LAB) closed the first tranche of its non-brokered private placement on October 19, 2026, raising $2,133,790 through the issuance of 42,675,809 flow-through shares at $0.05 per share, according to a press release from the company.

The two lead investors, Matachewan Consolidated Mines, Limited (TSX.V: MCM-A) and McChip Resources Inc. (TSX.V: MCS), subscribed for the entirety of the first tranche. The offering was upsized on October 13, 2026, from a maximum of $4,000,000 to $7,000,000, following what the company described as strong investor interest. The final tranche is expected to close on or about October 23, 2026.

Proceeds from the flow-through shares will be used to fund eligible Canadian exploration expenses on the company's mineral properties in Canada. Proceeds from any non-flow-through shares will be directed toward exploration, working capital, and general corporate purposes.

The flow-through shares issued to the lead investors are subject to a statutory hold period expiring February 20, 2027, and a one-year contractual lock-up expiring October 19, 2027.

In connection with the closing, Raymond D. Harari was appointed as a director of the company. He is the lead investors' initial nominee to the board under an investor rights agreement. The lead investors retain the right to nominate a second director at the next annual meeting, to be held no later than April 30, 2027. A previously announced plan to appoint Harari as president was removed from the investor rights agreement, though the company noted he may be considered for the role in the future.

Harari is the founder of Canalis Capital, a merchant bank focused on the resource sector. He currently serves as president and director of Argentina Metals Corp. and as a director of Lunex Metals Corp. and Bolivar Gold.

Four company insiders intend to subscribe for a combined 11,700,000 shares for aggregate proceeds of $585,000 in the final tranche. Labrador Gold has 213,485,788 common shares outstanding.

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