Mr. Stabro Kasaneva reports

AUSTRAL GOLD SECURES US$0.6M RELATED PARTY LOAN

Austral Gold Ltd. has obtained a $555,000 (U.S.) unsecured short-term loan from Inversiones Financieras del Sur S.A. (IFISA), the company's largest shareholder. The material terms of the loan are defined herein.

The proceeds from the loan will be used to invest in the company's United States subsidiary, Austral Gold North America, that recently agreed to provide $555,000 (U.S.) in bridge funding to the Rawhide mine in Nevada as announced on May 8, 2023.

Material terms of the loan agreement

• Loan amount: $555,000 (U.S.), which has been fully drawn upon by the company;
• Loan term: due for repayment on Nov. 10, 2023;
• Interest rate: 8 per cent per annum;
• Security: the loan is unsecured; and
• Conversion: the loan does not include any right to convert the loan into Austral shares.

The loan agreement contains other terms and conditions which are standard for a facility of this nature. The board, with the exception of the interested directors who excused themselves from the company's decision making, considered advice from a third party expert that the terms are as favourable as or more so than if the parties were dealing at arm's length.

About Austral Gold Ltd.

Austral Gold is a growing gold and silver mining producer building a portfolio of quality assets in the Americas. Austral continues to lay the foundation for its growth strategy by advancing its attractive portfolio of producing and exploration assets.

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