BARRANCO ANNOUNCES DEBT SETTLEMENT

• Barranco Gold Mining Corp. announced a debt settlement on May 8, 2026, for an outstanding amount of $88,167.62.
• The company intends to settle this debt by issuing 89,601 common shares at a price of $0.984 per share.
• This transaction is identified as a related party deal involving the spouse of CEO Reno Calabrigo.
• The stated purpose of the settlement is to preserve cash for working capital needs.
• Shares issued are subject to a four-month and one-day statutory hold period.
• Regulatory compliance requires CSE approval; exemptions from formal valuation were sought under MI 61-101 as value is less than 25% of market cap.
• Historical context from December 29, 2025, indicates plans for a mineral sampling program on Reserve Island claims in Ontario starting Spring 2026.

• The debt settlement amount ($88k) is immaterial to the company's overall valuation and operations given the share price volatility and typical junior miner capital requirements.
• The issuance of ~90,000 shares represents a minor dilution event but does not significantly alter the equity structure or ownership concentration in a material way.
• The related party nature of the transaction (CEO spouse) introduces governance risk; it signals that management may be utilizing personal connections to resolve liabilities rather than securing external financing.
• The explicit mention of preserving cash for working capital highlights potential liquidity constraints, which is a negative signal for risk-averse investors despite the small absolute value.
• The news does not confirm assay results from the December 2025 sampling plan; operational progress remains unverified by data in this release.

• Barranco Gold Mining Corp. is an exploration company focused on gold assets in Ontario, Canada.
• The flagship project involves the Reserve Island claims located in Ontario.
• Management includes CEO Reno Calabrigo and geologist Jim Atkinson (QP) overseeing sampling programs.
• The company has engaged prospecting veteran Mark Brazeau for field work on historic target areas.
• No production or revenue is indicated; the focus remains entirely on exploration and sampling.