REG - Lexington Gold Ltd - £350,000 Unsecured Convertible Loan Facility

Lexington GoldAnnouncement

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RNS Number : 1828G  Lexington Gold Limited  05 November 2025

5 November 2025

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF THE MARKET
ABUSE REGULATION (EU) NO. 596/2014 WHICH FORMS PART OF UK DOMESTIC LAW BY
VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("UK MAR"), AS AMENDED BY
VIRTUE OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019.

 

 

Lexington Gold Ltd

("Lexington Gold" or the "Company")

 

£350,000 Unsecured Convertible Loan Facility

Lexington Gold (AIM: LEX | OTCQB: LEXLF), the gold exploration and development
company with a growing portfolio of gold assets in South Africa and the USA,
is pleased to announce that it has secured a £350,000 unsecured convertible
loan facility (the "Loan Facility") provided by longstanding substantial
shareholder Pure Ice Ltd (as to £201,746), and three of the Company's
directors, namely Edward Nealon (as to £50,000), Melissa Sturgess (via
Hartford Corporate Limited a company controlled by Melissa Sturgess) (as to
£20,000) and Mark Greenwood (as to £78,254) (together, the "Lenders").

 

The participation by both major shareholders and Board members underscores the
continued confidence in Lexington Gold's strategy and long-term growth
prospects. The Loan Facility will fund the advancement of the Company's South
African gold projects, including the Jelani Joint Venture ("Jelani JV") with
Harmony Gold, and early-stage preparatory work with potentially interested
parties in relation to the strategic options for the Company's USA assets.

 

Highlights:

 

·    £350,000 convertible Loan Facility provided by three Board members
and an existing major shareholder, reflecting strong internal support and
alignment of interests.

 

·    The Loan Facility provides additional working capital and financial
flexibility whilst the Company:

o  advances its South African gold projects, including the Jelani JV with
Harmony Gold; and

 

o  Enables early-stage preparatory work and discussions with potentially
interested parties regarding strategic options for the Company's USA assets

 

·    Provides financial flexibility while avoiding potential near-term
equity dilution and reinforcing the Board's confidence in the Company's value
growth potential.

 

Bernard Olivier, CEO of Lexington Gold, commented:

"This Loan Facility, supported directly by our directors and an existing major
shareholder, demonstrates the strong belief and alignment within our Board and
key stakeholders in Lexington Gold's strategy and asset base. The funding
enables us to accelerate the advancement of our South African gold projects,
particularly the Jelani JV with Harmony Gold, while also progressing
early-stage engagement with parties interested in our USA projects. This
internally financed facility avoids the need for potential equity dilution at
the current share price, thereby protecting value for all shareholders. It
provides both stability and momentum as we advance our key strategic
initiatives and position the Company for an exciting phase of growth."

 

Loan Facility

The Loan Facility provides the Company with additional working capital and the
flexibility to:

• advance its South African gold projects, particularly the Jelani JV with
Harmony Gold, through technical studies, permitting and certain other ongoing
project development activities; and

• undertake initial preparatory work with potentially interested parties
regarding the possible divestment or joint venture of its USA gold projects in
the Carolinas.

 

The Loan Facility is unsecured, has a 12-month term from the date of drawdown,
and bears interest at a rate of 9 per cent. per annum, payable on maturity.
The Loan Facility is convertible, together with accrued interest thereon, at
the point of any 'Qualifying Financing', being any issue of new common shares
for cash, during the term of the Loan Facility, and will convert at the price
and on the same terms as the relevant 'Qualifying Financing'. The agreement
includes customary terms and conditions for a facility of this nature.

 

Related Party Transaction

Pure Ice Ltd is a substantial shareholder and Edward Nealon, Melissa Sturgess
and Mark Greenwood are directors of the Company. The Loan Facility therefore
constitutes a related party transaction pursuant to Rule 13 of the AIM Rules
for Companies. Accordingly, the independent directors in respect of the Loan
Facility, being Rhoderick Grivas and Bernard Olivier, having consulted with
the Company's Nominated Adviser, Strand Hanson Limited, consider that the
terms of the Loan Facility are fair and reasonable insofar as the Company's
shareholders are concerned.

 

The Board believes that the Loan Facility represents the most attractive and
supportive funding option at this time, underlining the confidence and
commitment of Lexington's leadership and key shareholders whilst the Company
advances its South African gold projects and strategic initiatives including
relating to the USA assets.

 

 

For further information, please contact:

 

 Lexington Gold Ltd                                      www.lexingtongold.co.uk (http://www.lexingtongold.co.uk)

 Bernard Olivier (Chief Executive Officer)               via Yellow Jersey

 Edward Nealon (Chairman)

 Mike Allardice (Group Company Secretary)

 Strand Hanson Limited (Nominated Adviser)               www.strandhanson.co.uk (http://www.strandhanson.co.uk)

 Matthew Chandler / James Bellman / Abigail Wennington   T: +44 207 409 3494

 Optiva Securities Limited (Joint Broker)                www.optivasecurities.com (http://www.optivasecurities.com)
 Bartu Ciftci / Christian Dennis                         T: +44 203 981 4178

 Peterhouse Capital Limited (Joint Broker)               www.peterhousecap.com (https://peterhousecap.com/)

 Duncan Vasey / Lucy Williams (Broking)                  T: +44 207 469 0930

 Yellow Jersey PR Limited (Financial Public Relations)   www.yellowjerseypr.com (http://www.yellowjerseypr.com)

 Charles Goodwin / Annabelle Wills                       T: +44 7747 788 221

 

 

 

Note to Editors:

 

Lexington Gold (AIM: LEX; OTCQB: LEXLF) is a gold exploration and development
company currently holding interests in four diverse gold projects, covering a
combined area of approximately 1,675 acres in North and South Carolina, USA
and in six gold projects covering approximately 114,638 hectares in South
Africa.

 

Further information is available on the Company's website:
www.lexingtongold.co.uk (http://www.lexingtongold.co.uk) or following us
through our social media channel: X: LexGoldLtd.

 

Neither the contents of the Company's website nor the contents of any website
accessible from hyperlinks on the Company's website (or any other website) is
incorporated into, or forms part of, this announcement.

 

 

- ENDS -

 

 

 

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