White Gold upsizes critical minerals spin-out financing to $10 million
White Gold Corp. [WGO-TSXV, WHGOF-OTCQX, 29W-FRA] has announced an update on its plan to spin out the company’s non-gold project portfolio into W2 Critical Minerals Corp.
The spin-out is designed to unlock the value of the portfolio by transferring a basket of copper, molybdenum, tungsten and other critical mineral properties located in west-central Yukon into a dedicated stand-alone vehicle, and spin out the common shares of Spinco to the company’s shareholders on the basis of one Spinco share for every five shares of White Gold held via a plan of arrangement.
White Gold will continue to advance its flagship White Gold Project which hosts four near-surface gold deposits, that collectively contain an estimated 1.73 million ounces of gold in indicated resources (35.2 million tonnes grading 1.52 g/t gold) and 1.26 million ounces of inferred gold resources (32.2 million tonnes of grade 1.22 g/t gold) with significant expansion potential in the resource itself and the surrounding area in the Yukon’s White Gold District.
In connection with the spin-out, the company said it intends to complete a non-brokered private placement of subscription receipts, which has now been upsized to $10 million from the earlier $5.0 million target. Under the financing, subscription receipts will be sold at a price of $0.25 per receipt financing. The company said proceeds from the sale will be held in escrow by a trust company and released to W2 upon closing of the spin-out, which has been granted a final order from the Ontario Superior Court of Justice. However, the spin-out remains subject to final regulatory approvals, including final approval of the TSX Venture Exchange.
Meanwhile, the company has released an update on the fully funded 2026 exploration program on its district scale 300,000-hectare land package, representing over 40% of the emerging White Gold District.
The company said diamond drilling is planned to begin in the coming weeks on Golden Saddle 2.0, a high-priority near-surface target located approximately 2.5 kilometres east-south-east of the Golden Saddle deposits that shares a geological and geophysical signature remarkably similar to Golden Saddle, including a fault-intersection setting that is favourable for orogenic gold mineralization and a robust east-west gold-in-soil anomaly with additional details to be provided in a separate press release.
The Golden Saddle deposit consists of the GS Main, GS Footwall, and GS West zones, which together define mineralization over a 1,500-metre strike length and up to 725 metres down dip. Currently, the GS Main is the most significant zone in terms of estimated ounces and overall grade’ containing approximately 95% of the indicated ounces within the overall Golden Saddle deposit.
On August 10, 2026, White Gold released the results of a preliminary economic assessment (PEA), which outlines a technically straightforward open pit mining operation with potential for positive economics at a consensus long-term gold price.
On Friday, White Gold shares were unchanged at $2.40 and trade in a 52-week range of $2.50 and 54 cents.
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