Contango Silver & Gold Intersects 2.45 Meters Grading 86.05 g/t Gold at Lucky Shot and Additional KM-Style Mineralization in West Drift Extension

Contango Silver & Gold Inc. (CTGO) has released the initial assay batch from its 2026 surface diamond drilling program at the Lucky Shot project in Alaska. The company completed 5,700 meters of its planned 6,000-meter program, representing approximately 93% of the plan across 27 holes drilled from five surface pads. Assays have been reported for only the first seven holes from Pads C and D, with remaining results pending.

The headline intercept came from hole LSS26016, which returned 2.45 meters at 86.05 g/t Au from the Coleman 3 vein extension. This interval included a higher-grade sub-interval of 0.80 meters at 244.30 g/t Au and a 0.30-meter section at 49.96 g/t Au. Another notable result came from LSS26003, which returned 0.50 meters at 81.57 g/t Au from the Coleman 1 vein. Other holes from Pad C returned multiple narrow intervals generally ranging from 0.37 meters to 2.08 meters at 2.05-8.30 g/t Au, with several higher-grade sub-intervals. Visible gold was logged in five of the seven reported holes, while LSS26015 had no significant interval selected for reporting.

Underground exploration development has reached 332 meters of the planned 830 meters, or 40% completion. The West Drift Extension is now complete. During this work, two previously unmodeled KM-style vein structures, KM2 and KM3, were encountered with true widths of approximately 0.5 meters.

The company also reported selective underground hand and stockpile samples with grades up to 395.10 g/t Au. CTGO explicitly stated that these samples are not representative and do not establish width, continuity, bulk grade, or resources. No cutoff grade has been disclosed, and true widths are not yet known.

Contango Silver & Gold Inc. (CTGO) is an established producer and multi-asset company with a market capitalization ranging from approximately $657 million to $875 million. Its Manh Choh operation generates cash flow, while the Lucky Shot project represents an advanced exploration asset with existing resources and a feasibility study targeted for the first half of 2027.

The company’s latest release marks initial surface drilling from a known high-grade vein system. This announcement does not update resources, reserves, feasibility studies, or production guidance. The stock already incorporates exposure to high-grade Lucky Shot results, including a hit of 972.10 g/t Au in June 2026 and a referenced KM vein intersection of 5.92m @ 60.22 g/t Au. The current share price stands at $26.13, down from a May high of $37.22, as the stock remains in a recovery range. Consequently, the new results do not represent a step-change against previously known high grades.

While the headline intercept of 211 g·m is notable, it is not materially better than the prior KM vein result of 5.92m @ 60.22 g/t Au, which equated to approximately 356 g·m. The interval is short and of unknown true width.

Contango Silver & Gold Inc. (NYSE American: CTGO; TSX: CTGO) is a gold producer and explorer listed on the NYSE American and TSX. The company holds a 30% interest in the producing Peak Gold JV/Manh Choh mine in Alaska, where Kinross owns the remaining 70% and operates the asset.

For the Manh Choh mine, Contango has provided 2026 guidance for 40,000-45,000 oz Au net to the company. Looking ahead to 2027, guidance calls for 75,000-80,000 oz Au at cash costs of $1,200-$1,300/oz and AISC of $1,300-$1,400/oz. In 2025, the mine produced approximately 60,200 oz Au, resulting in a $102M distribution to Contango.

The company also owns 100% of the Lucky Shot high-grade gold vein project in the Willow Creek District, Alaska. The project currently holds a measured and indicated (M&I) resource of 226,963t @ 14.5 g/t Au for 105,620 oz Au, and an inferred resource of 82,058t @ 9.5 g/t for 25,110 oz Au. Contango targets a 400,000-500,000 oz M&I resource, with a feasibility study utilizing a Direct Shipping Ore model targeted for H1 2027.

Contango’s Johnson Tract project, also 100% owned, is in advanced exploration. It hosts an initial assessment of 1.1M oz AuEq @ 9.4 g/t, with a 2025 NPV of $615.4M at $4,000/oz gold and an IRR greater than 60%. The project is undergoing FAST-41 permitting, with a production target of 100k oz AuEq/yr by 2030.

Additionally, Contango holds 100% of the Kitsault Valley silver-gold Golden Triangle project via Dolly Varden. The project contains a M&I resource of 166k oz Au and 34.7M oz Ag, and an inferred resource of 817k oz Au and 29.3M oz Ag. A 40,000m drill program is scheduled for 2026, with a new mineral resource estimate (MRE) expected in Q3 2026.

On the balance sheet, Contango reported $89M in cash at Q2 2026. Debt stands at approximately $46.3M following a July 2026 credit amendment, and the hedge book has been eliminated. The company reported a Q2 2026 net income of $4.8M, contrasting with a Q1 2026 net loss of $14.3M.