Spanish Mountain Gold Drilling Intersects 133.57 Metres Grading 1.35 g/t Gold With a Higher-Grade Subset of 25.47 Metres of 4.28 g/t Gold

The most recent news release (January 26, 2026) reports the final assay results from the 2025 Fall Diamond Drill Program at the Spanish Mountain Gold (SMG) Project in British Columbia. The company completed 9,864 meters of drilling across seven holes. The headline result is from hole 25-DH-1322, intersecting 133.57 meters grading 1.35 g/t gold, including a higher-grade subset of 25.47 meters at 4.28 g/t gold. Other holes reported wide intervals of lower-grade mineralization (0.37 - 0.58 g/t Au) and sporadic high-grade hits (e.g., 1.15m of 13.47 g/t Au). The results strengthen the continuity of the Orca Fault target over a 530-meter strike length. This news follows a series of nine other drill result releases from the same program dating back to November 2025, all reporting positive intercepts aimed at extending near-surface, higher-grade domains.

The news is Routine - Positive. While the reported intervals are solid, especially the 133-meter intersection at 1.35 g/t, they represent the final results of a long-anticipated drill program. The market has been receiving a steady stream of similar positive results from the Orca Fault target since December 2025. The consistency is encouraging and confirms the geological model, but it does not constitute a new discovery or a material change to the project's scale or economics as outlined in the July 2025 Preliminary Economic Assessment (PEA). The news is incremental, filling in the geological picture within a known deposit area. The stock price has been in a persistent downtrend since early December 2025, suggesting the market has already priced in the success of this drill program and is now focused on larger funding and development risks.

Spanish Mountain Gold Ltd. is a Canadian exploration and development company focused on its 100%-owned Spanish Mountain Gold Project located in the Cariboo Gold Corridor of central British Columbia. - Flagship Project: The Spanish Mountain Gold (SMG) Project. - Stage: Advanced Exploration/PEA-level. - Resource (PEA, July 2025): A large, bulk-tonnage, near-surface resource. - Measured & Indicated: 292.1 Mt @ 0.44 g/t Au for 4.164 Moz Au. - Inferred: 40.3 Mt @ 0.40 g/t Au for 0.512 Moz Au. - PEA Economics (Base Case: $2,450/oz Au): After-tax NPV5% of C$1.025B, IRR of 18.2%, 3.4-year payback, LOM production of 3.0 Moz Au over 24.5 years. - Strategy: To advance the project through feasibility and target a construction decision by 2027, leveraging a "twofold strategy" of resource growth (via drilling higher-grade zones like Orca Fault) and process improvement (via ore sorting).