Announcement • Jul 22
Red Lake Gold Inc. announced that it expects to receive CAD 0.125 million in funding Red Lake Gold Inc. announced a non brokered placement to issue 2,500,000 units at an issue price of CAD 0.05 per unit for gross proceeds of CAD 125,000 on July 21, 2026. The Issuer proposes that if the Offering, or tranche(s) thereunder, is completed that each Unit would consist of one post-Consolidation common share and one post-Consolidation common share purchase warrant. Each Warrant would entitle the holder to acquire one additional post-Consolidation common share of the Corporation (each a “Warrant Share”) at the post-Consolidation exercise price of CAD 0.05 per Warrant Share for a period of sixty (60) months following the closing date of the Offering or the applicable tranche thereof. Completion of the proposed Offering would be subject to completion of the proposed Consolidation and receipt of all required regulatory approvals, including CSE approval(s). The proposed Consolidation would incur certain expenses upon the Issuer and so the Issuer seeks to secure funding in conjunction with said potential matter. The Corporation presently has 50,539,169 common shares issued and outstanding. The proposed Offering may be completed in one or more tranches. The Corporation may pay finder’s fees equal to 6% of the gross proceeds raised from certain subscribers, excluding any subscriptions by Insiders (as that term is defined by the policies of the CSE). Insiders of the Corporation may participate in the Offering, including for more than 25% of the Offering, in accordance with applicable securities laws. Any Securities that may be issued pursuant to the proposed Offering would be subject to a statutory hold period of four months and one day from any applicable closing date(s). New Risk • Jun 23
New major risk - Negative shareholders equity The company has negative equity. Total equity: -CA$12k This is considered a major risk. Being in negative equity means that the company's liabilities exceed its assets, meaning it owes more to creditors than it has in owned assets. While this doesn't mean the company is about to collapse, in the long-term, this is unsustainable. The company may have issues meeting financial obligations, is at risk of becoming insolvent and may have difficulty raising capital, especially more debt, if needed. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$176k free cash flow). Share price has been highly volatile over the past 3 months (52% average weekly change). Negative equity (-CA$12k). Earnings have declined by 39% per year over the past 5 years. Revenue is less than US$1m. Market cap is less than US$10m (CA$252.7k market cap, or US$178.5k). Minor Risk Significant insider selling over the past 3 months (CA$161k sold). New Risk • Apr 24
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: CA$117k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$206k free cash flow). Share price has been highly volatile over the past 3 months (33% average weekly change). Earnings have declined by 46% per year over the past 5 years. Revenue is less than US$1m. Market cap is less than US$10m (CA$758.1k market cap, or US$554.3k). Minor Risk Significant insider selling over the past 3 months (CA$117k sold). 
