Loyalist Exploration Announces Flow-Through Share Offering

Toronto, Ontario — January 3, 2026 — Leads & Copy — Loyalist Exploration Limited (CSE:PNGC) announced the sale of 810,000 common shares as flow-through shares at a price of $0.05 per share, raising gross proceeds of $40,500.

The company will use the proceeds from the sale of flow-through shares for Canadian exploration expenses and flow-through mining expenditures. These proceeds will be renounced to subscribers with an effective date no later than December 31, 2025. The funds will support exploration and permitting at the Tully Gold Property, including data review, digitization, an internal resource calculation, exploration planning, and commencement of a NI 43-101 resource estimate and technical report. Exploration will also commence on the Gold Rush Property.

In connection with the offering, Loyalist paid finder’s fees of $2,135 and issued 42,700 broker warrants. Each warrant allows the purchase of a common share of the company at a price of $0.075 per share, expiring two years from issuance.

CEO Errol Farr stated that Loyalist made steady progress in 2025, strengthening its asset base and positioning the company for future value creation, despite challenging market conditions for the junior resource sector. Loyalist raised over $1.4 million in 2025 to support its strategy. Management is focused on closing the recently announced financing in early 2026 to advance its exploration and corporate objectives.

All securities issued in connection with the offering are subject to a hold period expiring four months and one day after the issuance date. Completion of the offering is subject to required regulatory approvals, including approval from the Canadian Securities Exchange.

David Drinkwater, a director of the company, purchased 200,000 flow-through shares under the offering for $10,000. This purchase is a related party transaction under Multilateral Instrument 61-101. The company is relying on exemptions from formal valuation and minority approval requirements, as Mr. Drinkwater’s participation is not more than 25% of the company's market capitalization.

The securities offered have not been registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption. This release does not constitute an offer for sale of securities in the United States.

Loyalist Exploration Limited focuses on acquiring, exploring, and developing mineral properties in Canada, with a focus on its “Buy Timmins” strategy. The company's properties include the Tully gold property, the Loveland nickel/copper/gold property, the Gold Rush gold/silver property, and the DeSantis gold property, all located in the Timmins, Ontario mining district. The Company expects to commence a significant mining permit project at Tully and exploration activities on all four properties as well as expanding the Company’s Timmins based property portfolio.

Errol Farr, President and CEO can be contacted at efarr@loyalistexploration.com or Tel: 647-296-1270

Source: Loyalist Exploration Limited