Centenario Gold Announces Acquisition of Cabot Copper-Gold Project in Newfoundland with $1.5 Million Financing

Centenario Gold Corp. has entered into a non-binding Letter of Intent dated October 1, 2025, with PNL Ventures Limited to acquire a 100% interest in the Cabot Mineral Project, a prospective copper, gold and cobalt exploration asset located in Newfoundland's Baie Verte Peninsula. The acquisition represents a strategic expansion into a proven mining district with established infrastructure and ongoing development activity.

The Cabot Project covers over 48 square kilometres and features two distinct mineralized zones. The Cabot Copper Zone has returned sampling grades of up to 7% copper, with multiple kilometre-scale mineralized trends identified in the Main Cabot VMS Zone. Copper occurs as chalcopyrite and bornite within altered volcanic and sedimentary units, indicating a strong hydrothermal system. Geophysical and soil surveys have defined five drill-ready targets, four of which remain untested by drilling or trenching. The project's strategic location is highlighted by its proximity to Firefly Metals' Ming Copper-Gold Mine, located just 15 kilometers away, which hosts significant mineral resources as detailed in their corporate communications.

Separately, the Marble Cove Gold Prospect has yielded historic sampling results of up to 70.38 grams per tonne gold. This gold mineralization is associated with narrow structurally controlled veins and is situated approximately 4 kilometers west of Maritime Resources Corp.'s Point Rousse Gold Project, which has produced over 200,000 ounces of gold. The geological setting suggests potential extension of known mineralized trends across the bay to the Marble Cove area.

Under the proposed transaction terms, Centenario will enter into a definitive option agreement with PNL on or before October 31, 2025. The option can be exercised through staged cash payments, share issuances, and exploration expenditures over several years. Upon exercise of the option, Centenario will grant PNL a 3.0% net smelter return royalty on all metals produced from the project, with provisions for partial buy-back and advanced royalty payments. The transaction includes a 3-kilometer area of influence clause for after-acquired properties, subject to identical royalty terms.

Concurrent with the acquisition announcement, Centenario has proposed a share consolidation of up to 10:1, which would reduce the current 41.8 million shares outstanding to approximately 4.2 million shares. The board of directors believes this consolidation will enhance trading liquidity and improve the company's ability to raise additional capital. The consolidation remains subject to TSX Venture Exchange approval, with the effective date to be announced in a subsequent news release.

To support exploration activities, Centenario has announced a non-brokered private placement of up to $1.5 million through the issuance of 15 million units at $0.10 per unit. Each unit consists of one common share and one-half warrant, with each full warrant exercisable at $0.15 for 24 months. The offering is expected to close in October 2025, subject to TSX Venture Exchange approval, with net proceeds allocated to exploration and evaluation of potential new resource projects, including the Cabot Project, and general administrative expenses. The company may pay finder's fees in accordance with applicable securities laws and exchange policies, and certain directors and officers may participate in the offering under prospectus exemptions.

The acquisition positions Centenario to capitalize on growing copper demand and strong gold prices while operating in a jurisdiction with favorable infrastructure and mining history. The project's multiple untested targets and proximity to established mining operations provide significant exploration upside in a region experiencing increased development activity. The combined strategy of project acquisition, share consolidation, and financing demonstrates Centenario's commitment to expanding its mineral portfolio in established mining districts with proven potential for economic mineralization.