DC

Dakota Gold Corp. 10-K Summary: Fiscal Year Ended December 31, 2025

Business Context and Reporting Period

Company: Dakota Gold Corp. (NYSE American: DC)
Reporting Period: Fiscal year ended December 31, 2025
Business Stage: Exploration stage; no commercial production or operating revenue.
Operations: The Company focuses on the acquisition, exploration, and development of mineral properties in the Homestake District of South Dakota. Key assets include the Richmond Hill Gold Project, Maitland Project, and the Barrick Option. The Company holds 100% ownership of 2,147 unpatented claims covering over 49,500 acres.

Key Financial Metrics

Material Changes vs. Prior Period

• Net Loss Reduction: Net loss decreased by approximately $4.4 million (13%) compared to 2024, primarily due to reduced exploration drilling activity in the first quarter of 2025 prior to the March public offering.
• Liquidity Improvement: Cash and cash equivalents increased significantly from $9.4 million to $29.7 million, driven by a $32.8 million public offering in March 2025 and $9.9 million raised via the At-The-Market (ATM) program.
• Exploration Spend: Exploration expenses decreased by $2.7 million year-over-year, offset by increases in equipment rental, metallurgical studies, and payroll.
• Capital Structure: The Company issued 12.4 million shares in the March 2025 offering and 3.0 million shares via the ATM program during the year.

Guidance, Outlook, and Risks

Outlook and Planned Activities:

• Richmond Hill Project: Transitioning from Initial Assessment to Pre-Feasibility Study in late 2026, with a Feasibility Study targeted for 2027. A 2026 drilling campaign of ~15,500 meters is planned to convert inferred resources to measured/indicated.
• Maitland Project: Focus on advancing the Unionville Zone toward a maiden mineral resource by year-end 2026 via an infill drilling program of ~5,600 meters.
• Capital Requirements: Management anticipates cash expenditures of approximately $32.3 million through March 25, 2027. Based on year-end cash and subsequent 2026 financing, the Company believes it has sufficient liquidity for the next 12 months.

Risks and Contingencies:

• Exploration Risk: No mineral reserves have been established; success depends on discovering commercially viable deposits.
• Financing Risk: The Company has no operating revenue and relies on equity financing. Future dilution is likely.
• Permitting: Operations are subject to extensive federal, state, and local environmental regulations. Delays in permitting could impact project timelines.
• Commodity Prices: Project economics are highly sensitive to gold and silver prices.

Subsequent Events:

• On February 26, 2026, the Company closed a public offering raising net proceeds of approximately $71 million.
• Annual option payments of $510,000 were made to Barrick Gold for the Richmond Hill and Homestake options.

Investor Verification Checklist

• Resource Estimates: Verify the S-K 1300 mineral resource estimates for Richmond Hill (Feb 2025 IA) and the Initial Assessment with Cash Flow (July 2025 IACF) filed as exhibits.
• Financing Terms: Review the terms of the February 2026 public offering and the Orion Mine Finance "Matching Right" agreement.
• Option Agreements: Confirm the extended terms and payment obligations for the Barrick Option and Richmond Hill Option agreements (extended to Dec 31, 2028).
• Permitting Status: Monitor progress on the Notice of Intent and permitting applications with Lawrence County and the South Dakota Department of Agriculture and Natural Resources.
• Drilling Results: Track the 2026 drilling results at Richmond Hill and Maitland to assess resource conversion and expansion.