Galleon Gold Starts Underground Development at West Cache, Advancing the 86,500-Tonne Bulk Sample Program

Galleon Gold Corp. (GGO) announced that underground development has commenced at its 100%-owned West Cache Gold Project near Timmins, Ontario, as the company advances toward a previously approved 86,500-tonne bulk sample. Specific progress includes the completion of the box cut and portal ground support, with ramp development now underway and moving toward the first of four planned bulk sample stopes in Zone #9.

The company stated that recent drilling has confirmed grade continuity below the planned extraction areas. This statement references data from a July 30, 2026 release, specifically hole WC-26-241, which returned 6.8 g/t Au over 19.45 m. The current release provides no new assay data, no new drill holes, no true widths, no cut-off grades, and no new tables.

No financial figures, resource updates, timelines, or tonnage guidance beyond the previously announced 86,500 tonnes were disclosed. Additionally, no processing arrangements were revealed. Galleon Gold indicated that further updates will be provided regarding ramping, the start of stope extraction, and the processing arrangements for the 86,500-tonne bulk sample.

The technical content was reviewed by David Young, PE, an independent qualified person under NI 43-101. Chairman and CEO David Russell described the project's progression, noting that West Cache has moved from permitting to surface construction to underground development within a single year, with every step delivered on plan.

Galleon Gold Corp. (GGO) announced on September 21, 2026, that ramp development has commenced at its Aki-Caron project. This milestone follows a series of previously disclosed operational steps, including the awarding of Phase 1 construction to Aki-Caron on January 13, 2026, and the receipt of a Category 3 Permit to Take Water (PTTW) on March 2 and March 25, 2026. Subsequent progress included the initiation of the box cut, the issuance of a request for proposal for underground mine development and stoping, the completion of box cut excavation, the exposure of the bedrock face, and ongoing armoring by April 29, 2026. On July 7, 2026, the company issued a Limited Notice to Proceed and Letter of Award to Aki-Dumas LP for underground development.

The company states that all steps were delivered on plan, consistent with its January 7, 2026 roadmap which targeted the beginning of underground development in 2026. However, no specific calendar schedule for the ramp start was published in prior materials, meaning the "on plan" assertion cannot be independently verified.

The release contains no new financial data, ounces, grades, or financing terms. Notably, no definitive underground development agreement with Aki-Dumas has been announced beyond the July 7 Limited Notice to Proceed, nor has a toll milling agreement been finalized despite being listed as an outlook item in the company’s MD&A. Additionally, no processing route, terms, or costs for the 86,500 tonnes of bulk sample have been disclosed. The economics of the bulk sample depend on these three items rather than the ramp development itself.

Prior-period financial data for the six months ended May 31, 2026, shows a net loss of $6,119,256, earnings per share of -$0.05, zero revenue, capital expenditures of $19,138,845, selling, general, and administrative expenses of $4,006,226, and stock-based compensation of $2,030,798. Management targets first free cash flow in the second quarter of 2027.

Galleon Gold Corp. (TSXV: GGO) is a pre-revenue gold developer listed on the TSX Venture Exchange, with all reported revenue lines at zero for every period provided. The company’s flagship and only material asset is the West Cache Gold Project, comprising approximately 11,580 to 11,600 hectares located roughly 13 km west of Timmins on Highway 101. Situated within the Western Porcupine Gold Camp along the Destor-Porcupine Fault Zone in the Abitibi greenstone belt, the project lies approximately 7 km northeast of Pan American Silver's Timmins West Mine.

Galleon Gold owns the project 100%, with no joint-venture partners on the asset, though the company maintains strategic investors and lenders. The project is also 100% royalty-free; a 3% net smelter return (NSR) previously held by a Newmont subsidiary was bought back for C$11M—C$1M for the first 1% and C$10M for the remaining 2%—with the transaction completed on December 31, 2025.

The company’s 2022 underground resource model, based on a 1.6 g/t Au cut-off, reports Indicated resources of 4,051 kt at 3.63 g/t for 472 koz, and Inferred resources of 11,788 kt at 2.87 g/t for 1,088 koz. This totals approximately 15,839 kt at ~3.08 g/t for ~1,560 koz. No mineral reserves are currently reported. Sensitivity analysis indicates the deposit is cut-off sensitive: at a 1.0 g/t cut-off, the total rises to ~1,984 koz (574 koz indicated + 1,410 koz inferred), while at 2.5 g/t it falls to ~1,049 koz.

A 2022 Preliminary Economic Assessment (PEA) assumed 95% recovery and a 0.76 CAD:USD exchange rate, calculated on 240,075,698 fully diluted shares. The post-tax NPV5% was estimated at C$128.6M at US$1,500/oz, C$240.1M at US$1,700/oz, C$395.3M at US$2,000/oz, and C$912.8M at US$3,000/oz. Corresponding post-tax internal rates of return (IRR) were 17.2%, 26.7%, 38.7%, and 74.0%, respectively. The provided materials do not state capital expenditures, all-in sustaining costs (AISC), or mine life.

Galleon Gold’s development strategy involves a phased, de-risking approach centered on an approved 86,500-tonne underground bulk sample. Designed at 8.13 g/t Au in situ, the sample is expected to yield approximately 22,600 oz, though the company flags this as an NI 43-101 non-compliant estimate. Data from the bulk sample is intended to feed a bankable feasibility study. Management targets mining and milling operations in 2027, with first free cash flow expected in Q2 2027.

The project faces a significant grade gap, as the bulk sample is designed at 8.13 g/t against a resource averaging ~3.08 g/t, implying highly selective mining of the Zone #9 high-grade core. Grade reconciliation against the 8.13 g/t assumption represents the single largest technical risk in the project.