Ms. Kimberly Ann reports

LAHONTAN GOLD ANNOUNCES CLOSING OF BROKERED PRIVATE PLACEMENT OF UNITS

Further to its press release dated Aug. 2, 2023, Lahontan Gold Corp. has completed its previously announced brokered private placement through the issuance of 25 million units at a price of eight cents per unit for gross proceeds of $2-million.

The offering was conducted pursuant to the terms and conditions of an agency agreement entered into by the company, Beacon Securities Ltd., as sole bookrunner, and Haywood Securities Inc.

A Form 45-106F19 listed issuer financing document dated Aug. 2, 2023, was prepared in connection with the offering and was filed under the company's profile on SEDAR+ and on the company's website.

The units were offered by way of a best efforts private placement pursuant to the listed issuer financing exemption under National Instrument 45-106 -- Prospectus Exemption, in all provinces of Canada, except Quebec, and certain foreign jurisdictions, subject to the receipt of necessary regulatory approval.

Kimberly Ann, chief executive officer, president, director and founder of Lahontan, commented: "The company is very pleased with the strong support from all the shareholders who participated in this offering, including our largest institutional investors and Victoria Gold. Completing an offering in challenging market conditions is testament to the strength of our projects, our board and our management team."

Each unit comprises one common share in the capital of the company and one transferable common share purchase warrant. Each warrant is exercisable to acquire one common share in the capital of the company until Sept. 1, 2026, at a price of 12 cents, provided that, in the event that the daily volume-weighted average trading price (or the closing bid price on days when there are no trades) of the common shares of the company on the TSX Venture Exchange is at least 24 cents per common share for a minimum of 20 consecutive trading days at any time after the first-year anniversary of the closing of the offering, the company may provide written notice to holders of the warrants requiring the holders of the warrants to exercise the warrants within 20 days following the date of delivery of such written notice.

As consideration for services provided by the agents in connection with the offering, the company: (i) paid a cash commission in the amount of approximately $108,052, being equal to 7 per cent of the proceeds of the offering (except with respect to certain purchasers on a president's list, the commission then being equal to 0 per cent or 3.5 per cent); and (ii) issued 1,354,290 non-transferrable compensation options, being equal to 7 per cent of the number of units issued under the offering (except with respect to certain purchasers on a president's list, the commission then being equal to 0 per cent or 3.5 per cent). Each compensation option is exercisable to acquire one common share at the issue price until Sept. 1, 2026.

The securities issued under the listed issuer financing exemption to Canadian subscribers will not be subject to a hold period, in accordance with applicable Canadian securities laws. The net proceeds of the offering will be used for exploration and development of the Santa Fe project and West Santa Fe project, and for working capital and general corporate purposes. The offering is subject to certain conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX-V.

The offering constituted a related party transaction within the meaning of TSX-V Policy 5.9 and Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions, as certain insiders of the company subscribed for 2,687,500 units pursuant to the offering. The company is relying on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(1)(a) of MI 61-101, as the company is not listed on a specified market and the fair market value of the participation in the offering by the insiders does not exceed 25 per cent of the market capitalization of the company, in accordance with MI 61-101. The company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the of the offering, which the company deems reasonable in the circumstances in order to complete the offering in an expeditious manner.

About Lahontan Gold Corp.

Lahontan Gold is a Canadian mineral exploration company that holds, through its United States subsidiaries, three top-tier gold and silver exploration properties in the Walker Lane of mining-friendly Nevada. Lahontan's flagship property, the 19-square-kilometre Santa Fe mine, had past production of 345,000 ounces of gold and 711,000 ounces of silver between 1988 and 1995 from open-pit mines utilizing heap-leach processing (Nevada Bureau of Mines and Geology, 1995). The Santa Fe mine has a National Instrument 43-101-compliant indicated mineral resource of 1,112,000 oz gold equivalent (grading 1.14 g/t AuEq) and an inferred mineral resource of 544,000 oz AuEq (grading one g/t AuEq), all pit constrained. The company will continue to aggressively explore Santa Fe during 2023 and begin the process of evaluating development scenarios to bring the Santa Fe mine back into production.

Quentin J. Browne, PGeo, consulting geologist to Lahontan Gold, is the qualified person for the company and approved the technical content of this news release.

We seek Safe Harbor.