Mr. Shane Williams reports

WEST RED LAKE GOLD SIGNS US$95 MILLION CREDIT FACILITY AND GOLD OFFTAKE AGREEMENT WITH CENTALION

West Red Lake Gold Mines Ltd. has executed a binding term sheet with Gunvor USA LLC, the relevant subsidiary of Centalion Group (CY) Ltd., for a proposed credit facility of up to $95-million (U.S.). The proposed facility is to be between Gunvor and the company's wholly owned subsidiaries, West Red Lake Gold Mines (Ontario) Ltd. and Red Lake Madsen Mine Ltd. (collectively, the borrowers). Funds advanced under the proposed facility are intended to refinance the company's existing secured debt facility with Nebari Natural Resources Credit Fund II LP, on more favourable financing terms, including a lower cost of capital, extended maturity and improved repayment flexibility, while providing additional working capital to support continuing development at the Madsen mine and potential financing for future development at the Rowan project.

The proposed facility comprises an initial tranche (Tranche 1) of up to $65-million (U.S.) and a second tranche (Tranche 2) of up to $30-million (U.S.) subject to further conditions and approvals. The proposed facility contemplates a five-year maturity and a principal repayment holiday on Tranche 1 for a period of nine months from the initial disbursement of Tranche 1 funds.

Key terms of the proposed facility include:

• Facility amount: up to $95-million (U.S.), comprising Tranche 1 of up to $65-million (U.S.) and Tranche 2 of up to $30-million (U.S.); Tranche 2 advances being subject to additional conditions and approvals;
• Term: five years from the initial drawdown, with West Red Lake Gold Mines retaining the option to repay all or a portion of the outstanding credit facility prior to maturity;
• Principal repayment: no scheduled principal payments on Tranche 1 during the principal repayment holiday; monthly principal amortization will commence thereafter under an agreed schedule;
• Security package: the company will enter into security arrangements with Gunvor whereby the company will issue a parent guarantee and have the borrowers grant a first-lien and priority-ranking, senior security on the Madsen mine and Rowan assets.
• Interest rate: one-month SOFR (secured overnight financing rate) plus a margin of 5.50 per cent; subject to final diligence and the security package;
• Prepayment: the company may repay the outstanding amount in whole or in part without penalty, subject to at least five business days of prior written notice and payment of applicable outstanding fees and costs;
• Gold offtake: a commercial agreement under which Gunvor would purchase 100 per cent of gold dore produced from the operation;
• Closing conditions: financing of the proposed facility is subject to satisfactory due diligence, onboarding, internal authorizations, execution of definitive financing and commercial agreements, delivery of security, and required approvals; Tranche 2 is also subject to additional conditions and approvals.

Shane Williams, president and chief executive officer of West Red Lake Gold, commented: "Over the course of the year, we have built a strong business relationship with Centalion, culminating in a financing arrangement that would provide West Red Lake Gold with increased liquidity, a more competitive cost of capital and significantly improved repayment terms. This represents an important step in strengthening our financial position and providing greater flexibility to invest in our operations and advance growth opportunities across our Red Lake portfolio.

"Our priority remains building consistency and flexibility at Madsen while advancing high-grade satellite deposits that can leverage our existing mine and mill infrastructure. The potential second tranche for Rowan aligns with this strategy, providing an additional source of development capital as we advance the project. We look forward to continuing our relationship with Centalion as a long-term partner."

Growth strategy

West Red Lake Gold is advancing a district-wide hub and spoke strategy centred on the operating Madsen mine and mill. Alongside continued underground development at Madsen, the company is advancing additional high-grade deposits across its Red Lake portfolio as potential sources of mill feed.

Fork and Rowan are key components of this strategy while Starratt-Olsen and Mount Jamie represent further opportunities under evaluation. Integrating additional sources of material over time could increase flexibility in mine planning, mill feed and the sequencing of future growth, building on the infrastructure already in place at Madsen.

Closing

Closing and initial financing of the proposed facility remain subject to the completion of due diligence, negotiation and execution of definitive loan, guarantee, security and commercial agreements, along with certain conditions, including, but not limited to, the receipt of all necessary approvals.

About West Red Lake Gold Mines Ltd.

West Red Lake Gold Mines is a Canadian gold producer and developer advancing a high-grade, district-scale opportunity in the Red Lake district of Ontario. The company's flagship Madsen mine has recently achieved commercial production and is positioned as the central hub of a growing multiasset platform. The company controls a 47-square-kilometre land package in one of the world's most prolific mining districts, which has historically produced over 20 million ounces of gold from high-grade systems. West Red Lake also owns the Rowan property in Red Lake, covering 31 square kilometres, which includes three past-producing mines (Rowan, Mount Jamie and Red Summit) and represents a key source of future production growth.

We seek Safe Harbor.