Manhattan Gold Canadian Gold Project Receives A$3M Oversubscribed Funding

Manhattan Gold Secures Strong A$3M Funding for High-Grade Canadian Gold Project

Manhattan Gold Corporation (ASX: MHC) has successfully completed an oversubscribed A$3 million capital raising to advance its promising Hook Lake High Grade Gold and Polymetallic Project in Canada's Nunavut territory. The placement demonstrates strong market confidence, with existing shareholders and directors backing the Manhattan Gold Canadian gold project with over $1.5 million in commitments.

The funding round, priced at $0.024 per share, represents a modest 14.3% discount to the last traded price and will issue 125,000,000 new shares. Notably, Manhattan's own directors committed $668,000 of their own capital, signalling strong internal confidence in the project's potential.

Strong Institutional and Director Support Drives Oversubscription

The placement's success reflects growing institutional interest in Manhattan's Canadian gold assets. The funding round attracted both domestic and international institutional investors, whilst existing stakeholder support provided a solid foundation for the oversubscribed allocation.

Furthermore, the Manhattan Gold Canadian gold project has garnered significant attention due to its strategic location and geological potential. The strong support from existing stakeholders suggests confidence in Manhattan's exploration strategy and the geological potential of the Hook Lake project.

Funding Breakdown:

• Total raised: A$3 million (before costs)
• Director commitments: $668,000
• Existing shareholders & Viaticus Capital clients: Over $1.5 million total
• New institutional investors: Both domestic and international participation
• Oversubscription status: Demand exceeded available allocation

When directors invest their own money alongside shareholders, it typically indicates alignment between management and investor interests. This level of commitment demonstrates confidence in the Manhattan Gold Canadian gold project's exploration strategy.

"The placement was strongly supported by existing shareholders, Manhattan Directors as well as domestic and international institutional investors, demonstrating broad-based confidence in the project."

What Makes This Drilling Campaign Significant?

Manhattan plans to deploy the funding immediately for an exploration campaign scheduled to begin in the second half of April 2026. The drilling programme will target two distinct mineralisation styles across the project area.

Drilling Targets:

1. Jaws Prospect – Orogenic gold mineralisation
2. Spectre Prospect – Polymetallic copper-zinc-gold-silver deposits

The funding will support:

• Establishment of an exploration camp
• Reverse circulation (RC) drilling
• Diamond drilling programmes
• Working capital requirements

This multi-target approach allows Manhattan to test different geological models and potentially discover multiple ore types within the same project area. Moreover, the timing of the drilling campaign positions the company for multiple news catalysts throughout 2026.

Understanding Volcanogenic Massive Sulphides (VMS)

For investors new to mining terminology, volcanogenic massive sulphides represent some of the most valuable deposit types in mining. These deposits form on ancient seafloors through underwater volcanic activity, creating concentrated zones of multiple metals.

What Are VMS Deposits?

VMS deposits develop when hot, metal-rich fluids discharge onto the seafloor from volcanic vents. As these fluids cool rapidly in contact with seawater, they precipitate concentrated accumulations of sulphide minerals containing valuable metals like copper, zinc, gold, and silver.

Why VMS Deposits Matter to Investors:

• High-grade potential: Often contain multiple valuable metals in economic concentrations
• Established processing: Well-understood metallurgy and extraction methods
• Global examples: Include world-class mines like Kidd Creek and Noranda in Canada
• Exploration efficiency: Distinctive geophysical signatures make them easier to detect

The Spectre prospect's VMS potential adds significant diversification to Manhattan's exploration portfolio. This diversification provides the Manhattan Gold Canadian gold project with multiple pathways to economic discovery, offering exposure to copper and zinc alongside precious metals.

Strategic Position in Canada's Mining-Friendly Nunavut Territory

The Hook Lake project's location in Nunavut provides Manhattan with several competitive advantages within Canada's established mining framework. Canada's stable political environment and established mining laws provide certainty for exploration companies, contrasting with higher-risk jurisdictions that many junior miners must navigate.

Location Benefits:

• Established mining jurisdiction with clear regulatory framework
• Infrastructure access relative to other Arctic exploration projects
• Year-round exploration potential with proper logistical planning
• Proximity to shipping routes during ice-free seasons

In addition, the project's strategic positioning within Canada provides regulatory certainty and established mining protocols. This reduces exploration risks compared to many international alternatives.

Investment Thesis: Multi-Metal Exposure in Stable Jurisdiction

Manhattan's investment case combines several attractive elements for resource sector investors seeking exposure to North American exploration opportunities. The Manhattan Gold Canadian gold project offers diversified metal exposure in a proven geological setting.

Key Investment Drivers:

1. Diversified Metal Exposure

• Gold provides defensive precious metal exposure
• Copper and zinc offer industrial metal upside
• Silver adds precious metal leverage

2. Proven Geological Setting

• Hook Lake sits in a recognised mineralised district
• Multiple prospect types increase discovery probability
• Orogenic gold and VMS systems both have strong economic precedents

3. Strong Financial Position

• A$3 million provides substantial exploration funding
• Oversubscribed placement demonstrates market confidence
• Director participation aligns management with shareholders

4. Upcoming Catalysts

• April 2026 drilling campaign launch
• Multiple targets provide several potential news flows
• Results expected throughout 2026 drilling season

However, the combination of geological diversity, stable jurisdiction, and strong funding positions the project to deliver multiple exploration catalysts over the coming months.

Technical Programme Details

The upcoming drilling programme will utilise both reverse circulation (RC) and diamond drilling methods across the two primary target areas. RC drilling offers cost-effective initial sampling for broad target testing, whilst diamond drilling provides detailed geological information for high-priority targets.

Jaws Prospect – Orogenic Gold System

Orogenic gold deposits form through the movement of gold-bearing fluids along structural features like faults and shear zones. These systems often produce some of the world's largest gold mines and typically show:

• Strong structural controls on mineralisation
• Association with quartz veining
• Potential for significant depth extension

Spectre Prospect – VMS System

The polymetallic VMS target at Spectre offers potential for:

• Multiple commodity exposure (copper, zinc, gold, silver)
• Concentrated, high-grade mineralisation
• Established processing and marketing pathways

For instance, VMS deposits often contain multiple valuable metals in economic concentrations, making them highly attractive exploration targets. The Spectre prospect adds significant value to the Manhattan Gold Canadian gold project through this diversification potential.

Why Should Investors Follow Manhattan Gold?

Manhattan has positioned itself as a compelling exploration play with several factors that warrant investor attention throughout the 2026 exploration season. The company offers immediate catalysts combined with strategic advantages in a stable jurisdiction.

Tracking Reasons:

• Immediate catalyst pipeline: Drilling begins in April with results expected throughout 2026
• Management alignment: Significant director investment demonstrates confidence
• Diversified discovery potential: Multiple targets and metal types increase success probability
• Stable jurisdiction advantage: Canadian operations provide regulatory certainty
• Strong funding position: A$3 million provides substantial exploration runway

Market Context

The successful completion of this oversubscribed placement, combined with strong director participation, suggests Manhattan has built momentum heading into its most significant exploration phase. Alpine Capital Pty Ltd acted as lead manager to the placement and will receive 18,750,000 options with an exercise price of $0.048, subject to shareholder approval.

The placement price of $0.024 represents a 14.3% discount to the last traded price of $0.028 on Friday, 13 March 2026, indicating strong institutional appetite despite the modest discount. This pricing demonstrates confidence in the underlying project value.

With drilling set to commence in April, investors have a clear timeline for upcoming catalysts from the Manhattan Gold Canadian gold project. The oversubscribed nature of the placement, particularly with substantial director participation, indicates confidence in the Hook Lake project's potential to deliver material exploration results.

"The combination of proven geological settings, stable jurisdiction, and aligned management creates a compelling case for following Manhattan's exploration progress through the upcoming drilling season."

Manhattan Gold has secured strong funding support from existing shareholders and new institutions to advance high-potential gold and polymetallic targets in Canada. With drilling commencing in April 2026 and multiple discovery opportunities across different metal types, the company offers investors diversified exposure to North American exploration success stories.

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