Vancouver, British Columbia--(Newsfile Corp. - June 25, 2025) - Lodestar Metals Corp. ("Lodestar" or the "Company") (TSXV: LSTR) (OTC: SVTNF) is pleased to announce it has officially closed the acquisition of the Gold Run Property ("Gold Run"), a highly prospective gold project located in Humboldt County, Nevada. This milestone follows the execution of an option agreement dated May 6, 2025 (the "Option Agreement"), with William Matlack and Don McDowell (collectively, the "Option"), granting Lodestar the right to acquire 100% ownership of the property, subject to an existing royalty. With the transaction now complete and regulatory approvals secured, trading of the Company's shares is expected to resume trading.
Lodestar is also pleased to announce the appointment of David Christie, P. Geo., as a director of the Company and Don McDowell as Strategic Advisor.
Lowell Kamin, President and CEO of Lodestar, commented: "The acquisition of Gold Run Property is a key milestone in our strategy to build a portfolio of high-impact gold assets in Tier-1 jurisdictions. With this transaction closed and trading set to resume, we're entering a new phase of growth and visibility in the market. We've also strengthened our leadership with the addition of David Christie to our board, who was part of the team that founded Osisko Mining, bringing nearly four decades of exploration, M&A, and capital markets experience; and Don McDowell, who has led world-class exploration and development programs with major producers across the Americas, joins us as Strategic Advisor. This kind of pedigree positions Lodestar with the right team, vision, and momentum to advance Gold Run and deliver long term value."
Don McDowell, Strategic Advisor, added: "Gold Run is an exceptional acquisition for Lodestar, it's located at the intersection of the Getchell and Battle Mountain-Eureka Trends, two of Nevada's most prolific gold corridors. Historic high-grade drill intercepts & bulk tonnage near-term drill targets confirm the presence of a robust mineralized system with multiple deposit styles. With over 130 drill holes already completed and modern exploration techniques to be applied, we believe Gold Run offers immediate upside and long-term discovery potential."
STRENGTHENING BOARD & NEW STRATEGIC ADVISOR
David Christie has 39 years of experience in mining, exploration and mining finance and is currently Vice President of Corporate Development for Globex Mining Enterprises Inc. He was one of the founders, President, CEO and Director of Orford Mining Corp which was sold to Alamos Gold Inc. in April 2024. Mr. Christie was CEO, President and Director of Eagle Hill Exploration Ltd. where he was part of the team that completed a five-way merger to create Osisko Mining Inc. in 2015 (recently sold to Gold Fields Ltd.). He was Vice President at Dundee Resources and Goodman and Company Investment Counsel (subsidiaries of Dundee Corp.) where he worked on a number of resource portfolios. Prior to these roles Mr. Christie was a highly ranked Mining Equity Analyst at TD Securities, Scotia Capital and Newcrest Capital, which had followed many years working in association with Agnico Eagle Mines Ltd. as an exploration geologist. David is currently a director of Mines D'Or Orbec Inc. Mr. Christie was previously a director of eCobalt Solutions Inc., Condor Precious Merals Inc., Osisko Mining Inc., True North Nickel, Orford Mining Corp and Eagle Hill Exploration Ltd. David Christie is a member of the Professional Geoscientists of Ontario and Northwest Territories and Nunavut and received a BSc degree in Geology from McMaster University.
Don McDowell is a highly accomplished mineral exploration executive with over 30 years of hands-on experience driving exploration, project development, and transactional success across the Americas. He has played a pivotal role in advancing high-potential precious metals assets through key corporate milestones - including acquisitions, strategic partnerships, and early-stage development - gained through leadership roles at industry giants such as Nippon Mining, Santa Fe Pacific Gold, and Kennecott. Don brings deep insight into the commercial dynamics of the mining sector, combining geological expertise with a sharp understanding of deal-making, value creation, and opportunity identification in both greenfield and brownfield settings. At Lodestar, Don's deep transactional and exploration background will be instrumental in unlocking the full potential of the Gold Run Property. His proven ability to identify strategic opportunities, guide technical programs, and position assets for maximum market interest directly supports Lodestar's vision of advancing Gold Run into a standout discovery in one of Nevada's most prolific gold districts.
Mr. Christie replaces Scott Margach who resigned as a director for personal reasons. The Company would like to thank Mr. Margach for his services as a director of the Company.
ABOUT THE GOLD RUN PROPERTY
The Gold Run Property comprises 75 unpatented mining claims, which total approximately 516 hectares, located in Humboldt County, Nevada, United States. The property consists of two non-contiguous claim blocks.
Situated within the renowned Getchell Gold Trend and near its intersection with the Battle Mountain-Eureka Trend, Gold Run is in a district with a long history of mining and exploration activity dating back to the 1860s. Since the 1960s, 15 different operators have completed 131 drill holes (totaling 17,823 metres / 58,476 feet), alongside the collection of 454 soil samples and 827 rock samples.
Figure 1. Gold Run Property Location
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Notably, a 2008 diamond drilling program by Golden Predator Mining Corp. returned strong gold assay results, which have been reviewed and validated by the current operator using original assay certificates from ALS Chemex. Highlights include:
- Hole GPA0041 - 120 ft. - 125 ft. @ 11.2 g/t Au, 20 g/t Ag
- Hole GPA0111 - 180 ft. - 190 ft. @ 6.1 g/t Au, 12 g/t Ag
- Hole GPA0272 - 80 ft.-110 ft @ 27.41 g/t, 83 g/t Ag
- including 80 ft. - 95 ft. @53.31 g/t Au, 143 g/t Ag
Exploration efforts will focus on identifying epithermal-style gold mineralization, with additional potential for Carlin-type mineralization given the property's strategic location. There is also potential for skarn or porphyry-style systems associated with nearby intrusive bodies.
TERMS OF THE TRANSACTION
Under the terms of the Option Agreement, the Company has an option to acquire a 100% interest in the Gold Run Property by making cash payments totalling US $450,000 to the Optionor as follows: (i) US $50,000 on the date of Exchange Acceptance (paid); (ii) US $50,000 on the first anniversary of the Option Agreement; (iii) US $50,000 on the second anniversary of the Option Agreement, (iv) US $75,000 on the third anniversary of the Option Agreement; (v) US $75,000 on the fourth anniversary of the Option Agreement; (vi) US $75,000 on the fifth anniversary of the Option Agreement; and (vii) US $75,000 on the sixth anniversary of the Option Agreement. The Company has agreed to reimburse the Optionor for certain annual filing fees paid by them in the amount of US $17,500.
The Company has also agreed to make certain milestone payments to the Optionor as follows: (i) US $500,000 within sixty days of completion of a preliminary economic assessment on the Gold Run Property, (ii) US $1,000,000 within sixty days of completion of a pre-feasibility study on the Gold Run Property; and (iii) US $1,000,000 with the earlier of sixty days of completion of a feasibility study and the Company obtaining sufficient financing to construct a mine on the Gold Run Property.
The transaction constituted a "Fundamental Acquisition" pursuant to the policies of the TSX Venture Exchange, therefore the Company's shares were halted on May 7, 2025. It is anticipated that the Company's shares will resume trading following announcement.
QUALIFIED PERSON
Ty Magee, P. Geo., a Qualified Person, as defined by NI 43-101, and a consultant to the Company, has reviewed and approved the scientific and technical information contained in this news release.
STOCK OPTIONS
The Company also announces that it has granted a total of 800,000 options to its directors and officers at a price equal to the greater of $0.05 per share and the closing price of the shares on July 14, 2025. The options expire five years from the date of grant.
ABOUT LODESTAR METALS
Lodestar Metals Corp. is a Canadian mineral exploration company advancing high-potential projects in North America. The Company's flagship asset include the newly optioned Gold Run Property in Nevada, situated along the prolific Getchell and Battle Mountain-Eureka Gold Trends and the Peny Property in the Snow Lake District of Manitoba. Lodestar's strategy focuses on high-impact exploration, strategic acquisitions, and responsible development. For further information, please visit our website at www.lodestarmetals.ca.
CONTACT
Lodestar Metals Corp.
Lowell Kamin, President, CEO & Chairman of the Board
(416) 272-1241
lowell@lodestarmetals.ca
Forward-Looking Statements
The information set forth in this news release contains forward-looking statements based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions, and expectations. They are not guarantees of future performance. Lodestar cautions that all forward-looking statements are inherently uncertain and that actual performance may be affected by several material factors, many of which are beyond Lodestar's control. Such factors include, among other things, risks and uncertainties relating to Lodestar's limited operating history and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
News Release References
- Golden Predator Mining Corp. (2008, June 24). Golden Predator Intersects 11.2 grams per tonne Gold in Initial Drilling at Adelaide. Retrieved from https://scandiummining.com/news/golden-predator-intersects-11.2-grams-per-tonne-gold-in-initial-drilling-at-adelaide-1/
- Golden Predator Mining Corp. (2008, September 15). Golden Predator Reports High-Grade Intercept of 9.1 m Grading 27.4 Grams per Tonne (30 ft of 0.8 oz/t) Gold at Adelaide Project. Retrieved from https://scandiummining.com/news/golden-predator-reports-high-grade-intercept-of-9.1-m-grading-27.4-grams-per-tonne-30-ft-of-0.8-oz-t-gold-at-adelaide-project/
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/256732
SOURCE: Lodestar Metals Corp.
