Mr. Anthony Moreau reports

AMERICAN EAGLE CLOSES PRIVATE PLACEMENT BY SOUTH32

American Eagle Gold Corp., further to the company's news release dated June 5, 2025, has closed its previously announced private placement of 1,156,000 charity flow-through (FT) common shares of the company at a price of 71 cents per charity FT share for aggregate gross proceeds of approximately $820,000. A wholly owned subsidiary of South32 Ltd. acquired the charity FT shares as the end-buyer under the offering.

The proceeds from the offering increase the company's balance sheet to more than $36-million and will be used for exploration work at the company's NAK project, located in the Babine copper-gold porphyry district in central British Columbia. The charity FT shares qualify as flow-through shares (within the meaning of Subsection 66(15) of the Income Tax Act (Canada)). An amount equal to the gross proceeds from the issuance of the charity FT shares will be used to incur eligible resource exploration expenses, which will qualify as: (i) Canadian exploration expenses (as defined in the tax act); and (ii) as flow-through critical mineral mining expenditures (as defined in Subsection 127(9) of the tax act). Qualifying expenditures in an aggregate amount not less than the gross proceeds raised from the issue of the charity FT shares will be incurred (or deemed to be incurred) by the company on or before Dec. 31, 2026, and will be renounced by the company to the initial purchasers of the charity FT shares with an effective date no later than Dec. 31, 2025.

The offering is subject to the final approval of the TSX Venture Exchange. The securities issued in the offering are subject to a hold period expiring Oct. 12, 2025, in accordance with applicable securities laws.

Update on the 2025 drill program

The 2025 drill program, launched on May 25, is progressing well with two drill holes completed, and the third and fourth holes well under way. The initial focus has been on the southern part of the main zone, with the aim of expanding this near-surface, gold-enriched zone. Site preparations are also under way to begin work on the underexplored copper-enriched northern part of the main zone, which yielded significant intercepts of relatively broad, bornite-mineralized dikes toward the end of the 2024 drill campaign. Within the next few days, one of the company's two drill rigs will be moved to initiate drilling in the northern area. In addition, drill pads are being constructed elsewhere on the property, including in widely separated areas, to test exciting targets the company has in part developed with South32. Some of the drill holes in this phase of the 2025 program will utilize helicopter support and is anticipated to involve a third drill rig.

The company is also leveraging data from its May, 2025, three-axis gradient magnetometer survey conducted by SHA Geophysics. Those data, which were incorporated in a magnetic vector inversion study completed by Fathom Geophysics, in conjunction with Dr. Steve Garwin, has helped refine the company's existing targets and has aided in identifying new ones. This work may result in an expansion of the 2025 drill program, and will be shared and discussed in a future news release.

Multilateral Instrument 61-101 and TSX-V Policy 5.d Disclosure

Prior to the offering, South32 held 33,321,577 shares, representing approximately 19.4 per cent of the issued and outstanding common shares on a non-diluted basis, and as such, the offering constitutes a related party transaction within the meaning of MI 61-101, Protection of Minority Security Holders in Special Transactions. The company has relied on exemptions the formal valuation and minority shareholder approval requirements under subsections 5.5(a) and 5.7(1)(a) of MI 61-101 on the basis that the offering did not exceed 25 per cent of the company's market capitalization.

About American Eagle's NAK project

The NAK project lies within the Babine copper-gold porphyry district of central B.C. It has excellent infrastructure through all-season roads and is close to the towns of Smithers, Houston, and Burns Lake in B.C., which lie along a major rail line and provincial Highway 16. Historical drilling and geophysical, geological and geochemical work at NAK, which began in the 1960s, tested only to shallow depths. Still, the work revealed a very large near-surface copper-gold system that measures over 1.5 kilometres by 1.5 kilometres. Drilling completed by American Eagle in 2022, 2023 and 2024 returned significant intervals of high-grade copper-gold mineralization that reached beyond and much deeper than the historical drilling, indicating that zones of near-surface and deeper mineralization, locally with considerably higher grades, exist within the broader NAK property mineralizing system.

About American Eagle Gold Corp.

American Eagle is dedicated to advancing its NAK copper-gold porphyry project in west-central B.C., Canada. The company benefits from over $36-million in cash, bolstered by two strategic investors formed in the past two years with Teck Resources and South32. With substantial financial and technical resources, American Eagle is well positioned to drill, derisk and define the full potential of the NAK copper-gold porphyry project.

We seek Safe Harbor.