08:26 AM EST, 11/10/2025 (MT Newswires) -- Lomiko Metals ( LMRMF ) , which holds mineral interests in its La Loutre graphite development in southern Quebec, over the weekend provided an Industry & Corporate and Financing Update following the recent announcements of the Government of Canada and following recent events involving the company.

In response to moves by the government of Canada, LMR said: "The recently announced federal budget, under Prime Minister Mark Carney, marks a major milestone for Canada's strategic materials sector and for Lomiko's future as a leader in the critical minerals sector. In particular, the Canadian government has committed to creating a C$2 billion critical minerals sovereign fund over five years, aimed at making equity investments, providing loan guarantees, and entering into offtake agreements for eligible projects and companies. Furthermore, Natural Resources Canada and the Department of Innovation, Science, and Economic Development are receiving C$443 million over five years to support processing technologies, joint investments in Canadian projects with allies, and stockpiling of critical minerals to strengthen Canadian and allied national security. For companies like Lomiko, which focuses on graphite and antimony, this presents an enhanced and important macro backdrop to our story: increased government-side demand support, potential participation in federally backed investment vehicles, and an elevated profile for the supply of advanced battery and technology metals."

On recent events, Lomiko said it is finalizing the engineering work on the La Loutre prefeasibility study, which is anticipated to be issued by the end of Q1 2026, pending capital availability.

In addition, Lomiko said it is in the permitting stage for 38 holes at 2,500 meters drill program to define the Rune and La Roche zones, which were outlined at 1.5km and 3.85km respectively, with some of the highest grades tested in Quebec and up to 27.9% Cg (carbon content) and widths up to 50 meters.

Lomiko also reported that as a result of a social engineering incident involving other parties, the company has not yet received $500,000 for certain shares associated with the hard dollar financing announced on October 6, 2025, and its subsequent tranche on October 15, 2025, which had total gross proceeds of $845,000. The company said it is currently working with experts to investigate the matter. The company is also collaborating with all parties involved in the closing, including the company's transfer agent, to resolve this matter. Pending the results of the investigation, a precautionary stop has been placed by the company's transfer agent on the share certificate representing the shares, preventing them from being sold or otherwise transferred. LMR added: "There is no evidence at this time of compromise of the company's IT systems or imminent risk to operations. Lomiko remains committed to upholding the integrity of its financial systems and controls. The company will provide further updates as it moves to resolve this matter."