Mawson Announces Update on its Exercise of Participation Rights in SXG’s Rights Issue
ASX ANNOUNCEMENT
1305 – 1090 West Georgia Street, Vancouver, BC, V6E 3V7
Phone: +1 604 685 9316 / Fax: +1 604 683 1585
NEWS RELEASE May 14, 2024
Mawson Announces Update on its Exercise of Participation Rights in SXG’s
Rights Issue
Vancouver, Canada — Mawson Gold Limited (“Mawson” or the “Company”) (TSXV: MAW) (Frankfurt: MXR)
(PINKSHEETS: MWSNF) announces that further to its news release of April 4, 2024, the Company has fully
exercised its participation rights in the previously announced rights issue (the “Rights Issue”) by Southern Cross
Gold Ltd. (“Southern Cross Gold” or “SXG”) with the aim of main taining the Company’s ownership interest of
50.6% in SXG. The Rights Issue closed on May 9, 2024.
Prior to the Rights Issue, Mawson held 93,750,000 SXG shares wh ich were placed into a 2-year escrow in
connection with SXG’s IPO in May 2022, pursuant to the rules of the Australian Securities Exchange (“ASX”).
The 2-year ASX escrow expires on May 16, 2024. Pursuant to the Rights Issue, Mawso n acquired 2,840,910
SXG shares at A$1.82 per SXG share for a total subscription of A$5,170,456.20. As at today’s date, Mawson
holds 96,590,910 SXG shares or 50.6% of SXG, on a non-diluted basis, based on SXG having 191,032,644 issued
shares as at May 9, 2024. The market value of Mawson’s ownershi p in SXG is A$286,875,003 (as at May 13,
2024). Mawson is currently evaluating all possible avenues to m aximize shareholder value and provide its
shareholders with direct access to SXG shares.
As announced by SXG, the net proceeds from the Rights Issue are expected to be mainly used by SXG to continue
to drill SXG’s 100% owned Sunday Creek gold-antimony project over the next year. Additional details regarding
SXG’s Rights Issue may be found at www.southerncrossgold.com.au.
About Mawson Gold Limited (TSXV:MAW, FRANKFURT:MXR, OTCPINK:MWSNF)
Mawson Gold Limited has distinguished itself as a leading Nordic exploration company. Over the last decades, the team behind Mawson
has forged a long and successful record of discovering, financing, and advancing mineral projects in the Nordics and Australia. Mawson
holds the Skellefteå North gold discovery and a portfolio of historic uranium resources in Sweden. Mawson also holds 50.6% of Southern
Cross Gold Ltd. (ASX:SXG) which owns or controls three high-gra de, historic epizonal goldfields covering 470 km 2 in Victoria, Australia,
including the exciting Sunday Creek Au-Sb discovery.
About Southern Cross Gold Ltd (ASX:SXG)
Southern Cross Gold holds the 100%-owned Sunday Creek project in Victoria, the Red castle joint venture in Victoria and the Mt Isa
project in Queensland, Australia.
The 100%-owned Sunday Creek epizo nal-style gold project is loca ted 60 km north of Melbourne within 19,365 hectares of granted
exploration tenements. SXG is also the freehold landholder of 1 33.29 hectares that form the key portion in and around the main drilled
area at the Sunday Creek Project.
Gold and antimony form in a relay of vein sets that cut across a steeply dipping zone of intensely altered rocks (the “host”). When
observed from above, the host resembles the side rails of a ladder, where the sub-vertical mineralized vein sets are the rungs that extend
from surface to depth. At Apollo and Rising Sun these individual ‘rungs’ have been defined over 600 m depth extent from surface to 1000
m below surface, are 2 m to 30 m wide, and are 20 m to 100 m in strike.
Our systematic drill program is strategically targeting these s ignificant vein formations. Initially these have been defined o ver 1,350 m
strike of the host from Christina to Apollo prospects, of which approximately 620 m has been more intensively drill tested (Rising Sun to
Apollo). At least 45 ‘rungs’ have been discovered to date, defi ned by high-grade intercepts to >7,000 g/t Au along with lower grade
edges. Ongoing step-out drilling is aiming to uncover the potential extent of this mineralized system.
Geologically, the project is located within the Melbourne Structural Zone in the Lachlan Fold Belt. The regional host to the Sunday Creek
mineralization is an interbedded turbidite sequence of siltston es and minor sandstones metamorphosed to sub-greenschist facies and
folded into a set of open north-west trending folds.
On behalf of the Board,
"Michael Hudson"
Michael Hudson, Executive Chairman and
Interim CEO
Further Information
www.mawsongold.com
1305 – 1090 West Georgia St., Vancouver, BC, V6E 3V7
Mariana Bermudez (Canada), Corporate Secretary
+1 (604) 685 9316 [email protected]
Forward-Looking Statement
This news release contains forward-looking statements or forwar d-looking information within the meaning of applicable securiti es laws
(collectively, "forward-looking statements"). All statements he rein, other than statements of h istorical fact, are forward-loo king
statements. Although Mawson believes that such statements are reasonable, it can give no assurance that such expectations will prove
to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate,
and similar expressions, or are those, which, by their nature, refer to future events. Mawson cautions investors that any forward-looking
statements are not guarantees of future results or performance, and that actual results may differ materially from those in fo rward-
looking statements as a result of various factors, including, Mawson’s expectations regarding its ownership in Southern Cross Gold, SXG’s
intended use of proceeds from the Rights Issue, capital and oth er costs varying significantly from estimates, changes in world metal
markets, changes in equity markets, the potential impact of epidemics, pandemics or other public health crises on the Company’s business,
risks related to negative publicity with respect to the Company or the mining industry in general; exploration potential being conceptual
i n n a t u r e , p l a n n e d d r i l l p r o g ra m s a n d r e s u l t s v a r y i n g f r o m e x p ectations, delays in obtaining results, equipment failure, unexp ected
geological conditions, local community relations, dealings with non-governmental organizations, delays in operations due to permit grants,
environmental and safety risks, and other risks and uncertainti es disclosed under the heading "Risk Factors" in Mawson's most recent
Annual Information Form filed on SEDAR+. Any forward-looking st atement speaks only as of the date on which it is made and, exc ept
as may be required by applicable securities laws, Mawson discla ims any intent or obligation to update any forward-looking stat ement,
whether as a result of new information, future events or results or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Pr o vi der ( as that term i s defi ned i n th e po l i c i es o f the T SX Ve nture
Exchange) accepts responsibility for the adequacy or accuracy of this news release.