Spanish Mountain Gold’s Pivot: Building a Developer from the Ground Up

VANCOUVER, BC – December 05, 2025 – On the surface, a change in auditors and a new finance director appointment might seem like routine corporate housekeeping. But for Spanish Mountain Gold Ltd., these recent moves represent something far more significant: the deliberate and calculated construction of a company ready to transition from a junior explorer into a full-fledged mine developer. The announcements are key pillars in a strategy designed to de-risk its ambitious Spanish Mountain Gold Project and navigate the notoriously difficult path to production.

For years, Spanish Mountain Gold has been focused on advancing its 100%-owned project in British Columbia's historic Cariboo Gold Corridor. Now, with a targeted construction decision looming in or before 2027, the company is making the foundational changes necessary to transform that vision into reality. This isn't just about finding gold in the ground; it's about building the corporate and financial infrastructure capable of pulling it out.

Fortifying Governance for the Next Phase

The first signal of this strategic shift is the company's decision to change its auditor from Smythe LLP, its partner for over a decade, to the internationally recognized BDO LLP. While such changes are often mundane, the context here is critical. Moving from a long-standing relationship to a global firm like BDO is a clear statement of intent. It’s a move often seen when companies are preparing for a significant increase in scale, complexity, and investor scrutiny.

BDO's profile is particularly telling. The firm has a deeply entrenched practice in the mining sector, offering services that span the entire mining lifecycle, from early-stage exploration to full-scale production. Its expertise is not limited to standard audits; BDO provides advisory on risk management, mergers and acquisitions, and the integration of technology and ESG (Environmental, Social, and Governance) principles—all critical components for a company aspiring to build what it calls "the 'greenest' gold mine in Canada."

This choice addresses one of the primary hurdles for emerging developers: credibility. As Spanish Mountain Gold prepares to seek the substantial capital required for mine construction, it needs to present an unimpeachable case to global investors, lenders, and potential partners. Aligning with an auditor of BDO’s stature, known for its work with public mining companies under both IFRS and US GAAP standards, enhances financial transparency and signals that the company’s governance is maturing in lockstep with its operational ambitions. It’s a proactive step to build the trust necessary to bridge the significant funding gap that often derails promising junior miners.

A New Architect for Financial and Social Strategy

Even more telling is the appointment of Kim Leroux as the incoming Director Finance, effective January 2026. Her resume reads like a blueprint for the exact challenges Spanish Mountain Gold will face over the next few years. This is not simply about hiring an accountant; it's about acquiring a seasoned project specialist with a rare and valuable combination of skills.

Leroux’s experience at DeBeers, where she helped build an improved financial management system during the construction and operational phases of the Victor Diamond Mine, is directly applicable. She has hands-on experience creating the financial scaffolding for a major mining project, moving from theoretical plans to tangible operations. Furthermore, her time as Director of Operations – Finance at McEwen Mining demonstrates a proficiency in managing the financial intricacies of active Canadian mining sites.

However, it is her most recent role as Chief Operations Officer for the Mushkegowuk Development Corp. that adds a crucial, and perhaps decisive, layer to her expertise. This position provided her with deep experience in First Nations relationship and business management. In British Columbia, securing a "social license to operate" through meaningful partnership with Indigenous groups is not just a matter of corporate social responsibility; it is a fundamental prerequisite for project success. Leroux’s proven ability to navigate these complex relationships provides Spanish Mountain Gold with a strategic advantage, embedding an understanding of community partnership directly into its financial leadership. This dual expertise in hard-nosed project finance and nuanced community engagement is precisely what’s needed to advance a major project in the modern era.

De-Risking the Vision for 2027

These leadership and governance upgrades are not happening in a vacuum. They are directly tied to the tangible progress of the Spanish Mountain Gold Project itself. The company filed an updated NI 43-101 Technical Report in August 2025, which included a de-risked and optimized Preliminary Economic Assessment (PEA). This document provides the technical and economic foundation for the path forward, making the 2027 construction decision target more concrete.

The challenge now shifts from exploration to execution. The transition from explorer to developer is where many junior miners falter, tripped up by unforeseen capital costs, regulatory delays, or a failure to secure community buy-in. Spanish Mountain Gold's recent moves are a direct attempt to mitigate these very risks. By bringing in BDO, it shores up its financial reporting and governance. By hiring Leroux, it secures leadership with proven experience in both building a mine's financial systems and fostering the essential Indigenous partnerships.

As CEO Peter Mah stated, these changes are part of a "larger growth strategy to transition Spanish Mountain Gold from a junior explorer to an emerging developer." This is the core narrative. The company is methodically assembling the people and processes required for a multi-hundred-million-dollar construction project. Its public commitment to sustainability and community relations is being backed by hiring leaders who have a track record in those specific areas. For investors and the market, this provides a clearer picture of not just what the company hopes to achieve, but how it plans to get there. While the inherent risks of mining—from commodity price volatility to geological uncertainty—remain, Spanish Mountain Gold is demonstrating a mature understanding of the corporate architecture required to manage them.

The road to 2027 is still long and complex, but these deliberate, strategic appointments show a company that is looking beyond the headlines and laying a robust foundation for its future. It is a textbook case of a junior resource company professionalizing its operations in preparation for the immense challenge of building Canada’s next gold mine.