Mr. Mark Tommasi reports

CANARY GOLD EXTENDS DEADLINE AND ISSUES SHARES IN CONNECTION WITH RIO MADEIRA PROPERTY OPTION AGREEMENT AT RONDONIA, BRAZIL

Canary Gold Corp. intends to meet its payment obligations by the second anniversary of the company's Rio Madeira property option agreement dated April 1, 2024, between the company and New Frontiers Gold Mineracao Ltda. (see the company's news release dated Dec. 4, 2024, for further information respecting the option agreement).

To fulfill its second anniversary obligations under the option agreement, the company must, on or before April 1, 2026:

1. Pay an additional $200,000 to New Frontiers;
2. Issue 800,000 common shares to New Frontiers at an issue price per share of 25 cents, representing an aggregate deemed value of $200,000; and
3. Incur at least $2.5-million in exploration expenditures (extended to July 1, 2026).

On or before April 1, 2026, the company will pay $200,000 to New Frontiers and will issue 800,000 common shares to New Frontiers. When issued, in accordance with applicable laws and the policies of the Canadian Securities Exchange, the shares will be subject to a four-month hold period expiring on Aug. 2, 2026.

The company is also pleased to announce that it has reached an agreement to extend the deadline to incur the exploration expenditures to July 1, 2026. All other terms of the option agreement remain unchanged.

About Canary Gold Corp.

Canary Gold is a Canadian public exploration company focused on the acquisition and advancement of gold projects in Brazil. The company holds an option to earn an up-to-70-per-cent undivided interest in the Rio Madeira project through a series of staged exploration expenditures and milestone payments.

In August, 2025, Canary further expanded its regional strategy by entering into a definitive agreement to acquire a 100-per-cent interest in 10 additional mineral tenements totalling approximately 94,700 hectares from Talisman Venture Partners Ltd., a private B.C. corporation. The total consideration of $1.7-million has been satisfied through staged cash and share payments.

Talisman retains a 1.0-per-cent net smelter return royalty on future production from the acquired tenements, one-half of which (reducing the NSR to 0.5 per cent) may be repurchased by the company at any time for $1.0-million.

Together, these interests provide Canary Gold with a dominant and strategically consolidated land position in the Madeira River region of Rondonia state -- one of Brazil's most prospective yet underexplored gold provinces.

We seek Safe Harbor.