PAN GLOBAL COMMENCES PHASE 2 DRILLING AT CARMENES GOLD DISCOVERY, NORTHERN SPAIN

On October 20, 2025, Pan Global Resources announced the commencement of a Phase 2 drilling program at its Cármenes gold discovery in Northern Spain. This program, consisting of four drill holes, will target the Providencia area. The objective is to test for extensions of the near-surface gold mineralization identified in the initial Phase 1 program, which included significant intercepts of 46 meters at 1.08 g/t gold and 34 meters at 3.01 g/t gold. The drilling will also test a strong induced polarization (IP) chargeability anomaly that suggests the mineralization extends and potentially expands at depth, below former mine workings.

The commencement of a Phase 2 drill program is a routine operational update, confirming the company is deploying capital and advancing its projects as planned. This news is positive as it demonstrates continued progress at the promising Cármenes gold discovery, following up on strong Phase 1 results announced in May and September 2025.

However, the news is not material. The market is already aware of the potential at Cármenes from the previous high-grade intercepts. The material event will be the release of the assay results from this Phase 2 program, not the start of drilling.

This announcement comes shortly after the company arranged a $3 million private placement on October 7, 2025, at $0.16 per share. This news confirms that the proceeds are being put to work as stated, which should provide confidence to investors in that financing. The impact on the stock price is expected to be neutral to slightly positive, as it meets expectations without providing new, value-altering information. The stock price will likely remain range-bound until new drill results or the maiden resource estimate for La Romana are released.

Pan Global Resources Inc. is a junior mineral exploration company focused on discovering and developing economic mineral deposits in Spain. The company's portfolio includes two main projects:

1. Escacena Project (Flagship): Located in the prolific Iberian Pyrite Belt in southern Spain, this project hosts the La Romana copper-tin-silver discovery. La Romana is the company's most advanced asset, with over 180 holes drilled, defining mineralization over a 1.7km strike length. The company is on track to deliver a maiden Mineral Resource Estimate for La Romana by year-end 2025. The Escacena project also contains numerous other high-priority targets, including Canada Honda (copper-gold) and Bravo.
2. Cármenes Project: Located in northern Spain, this project is emerging as a significant gold and polymetallic (copper-nickel-cobalt) discovery. Exploration is focused on the Providencia target, which has returned wide, near-surface intercepts of high-grade gold.