Lavras Gold Approves Accelerated Drill Program on Expanded Caneleira Target; and Announces Completion of EIA Field Studies, Ahead of Preliminary License Permit Application

Lavras Gold Corp. (LGC) has approved a approximately 25,000-meter diamond drilling program at the consolidated Caneleira target, scheduled to run over the next six to eight months. The program aims to expand the footprint, delineate Inferred resources, convert shallow open-pit material to Measured and Indicated categories, and focus on grade for early feed to Fazenda-Butia.

The company has reframed Caneleira as a single consolidated target that combines Caneleira Central, Caneleira East/Olaria, and earlier-stage west and north areas. Environmental Impact Assessment (EIA) field studies are complete, with a Preliminary License application expected by December 2026 that now includes Caneleira. Metallurgical test work on Caneleira is planned to assess gravity-recoverable gold, though no results are available yet.

No new assay results are reported in this release. The update recycles data from holes drilled on August 24, 2026:

• 26CN044: 24.30 g/t Au over 9 m, including 99.56 g/t Au over 0.85 m
• 26CN051: 9.31 g/t Au over 4 m

A consolidated resource update is now expected by the end of Q1 2027, which will include initial Caneleira and Matilde resources, as well as updated estimates for Fazenda-Butia and Cerrito.

Lavras Gold Corp. (LGC) is an advanced-exploration and development-stage junior with existing resources at Butia, comprising 377,000 ounces of Measured and Indicated material plus 115,000 ounces Inferred, and at Cerrito, with 188,000 ounces Indicated and 293,000 ounces Inferred. The company’s market capitalization stands at approximately C$213 million.

The market has already priced in the August 24 Caneleira assays, with shares rising from about C$2.09 on August 6 to C$3.85 on August 25 before drifting to C$3.42. This latest release primarily confirms previously guided work, including the 25,000-meter program and Environmental Impact Assessment (EIA) completion, which were already previewed in the June 2026 Management’s Discussion and Analysis.

The incremental new element is the interpretation of a “single consolidated Caneleira target.” While this could be significant if step-out drilling confirms the interpretation, it does not add tonnage or grade at this time. Additionally, there is a timeline adjustment: the consolidated resource update has slipped from the previously guided Q3 2026 to the end of Q1 2027, although the scope has expanded to include Caneleira and Matilde. The expected share-price reaction is likely modestly positive or flat, rather than a move exceeding 15%.

Lavras Gold Corp. is a Canada-listed gold explorer and developer focused on the Lavras do Sul Project in Rio Grande do Sul, Brazil. The company holds a land package of approximately 20,300 hectares containing an intrusive-hosted alkaline-affinity gold system with more than 24 prospects.

Existing NI 43-101 resources include: - Butia: 12.9 Mt @ 0.91 g/t Au for 377 koz M&I; 3.7 Mt @ 0.97 g/t Au for 115 koz Inferred. - Cerrito: 8.3 Mt @ 0.70 g/t Au for 188 koz Indicated; 13.2 Mt @ 0.69 g/t Au for 293 koz Inferred.

The cut-off grade is 0.30 g/t Au, and there are no reserves. Caneleira and Matilde are pre-resource targets, with Caneleira now consolidating the Central, East/Olaria, and west/north areas. The company also holds a 2% NSR royalty on Hochschild’s Mara Rosa regional exploration.

Financially, the company is pre-revenue with no debt. It held C$6.6 million in cash at June 30, 2026, and reported a H1 2026 net loss of C$2.68 million. Funding has been provided through equity, including a C$10 million bought deal in January 2026.