Mr. Michael Swistun reports

CANADIAN GOLD CORP. SIGNS DEFINITIVE AGREEMENT WITH OPTION TO ACQUIRE TARTAN WEST PROPERTY FROM HUDBAY MINERALS INC. UNLOCKING AN ADDITIONAL 8 KM OF THE TARTAN SHEAR ZONE WHERE HISTORIC SHALLOW DRILLING RETURNED 44.2 GPT OVER 2.5 METRES, 68.9 GPT

Canadian Gold Corp. has entered into an option agreement dated May 15, 2025, with Hudbay Minerals Inc., pursuant to which Hudbay has granted Canadian Gold an option to acquire 100 per cent of the Tartan West property that is immediately adjacent to the company's Tartan mine near Flin Flon, Man. This option, if exercised, significantly expands the outlook for the company as it looks to add additional high-grade gold resources into the future plan to restart the Tartan mine.

Rationale for entering into option agreement for the Tartan West property

Exploration potential:

• Expands potential ownership of the Tartan shear zone along strike to the west by 100 per cent from eight to 16 kilometres;
• Limited historic drilling returned high-grade, near-surface gold results; exploration in the area has been historically focused on the potential for volcanogenic massive sulphide deposits, due to its proximity to the Flin Flon VMS mining camp;
• Contemporaneously with the discovery and operation of the Tartan mine in the 1980s, limited exploration for gold, including drilling, was conducted until 1989; the property has seen limited gold exploration since;
• Highlights of the historic drilling include high-grade results: 44.2 grams per tonne gold over 2.5 metres, 68.9 g/t gold over 1.1 metres, 60.0 g/t over 1.1 metres and 595.2 g/t over 0.2 metre; additional drill assays returned results comparable with the Tartan mine, including 11.6 g/t gold over 3.8 metres, 7.7 g/t gold over 4.4 metres, 6.4 g/t gold over 2.4 metres and 12.9 g/t gold over 1.13 metres;
• High-grade gold surface samples, with no follow-up drilling, returned 118 g/t gold and 53.5 g/t gold; much of the project area remains underexplored, especially along the Tartan shear zone, which, to the east, hosts the Tartan mine.

Potential to leverage future infrastructure investments over an expanded resource base, delivering enhanced economies of scale:

• Potential to build a single process facility at the Tartan mine and source ore from multiple areas along the contiguous Tartan shear zone, reducing the capital needed on a per-ounce basis should a decision be made to restart production;
• Ability to access Tartan West mineralization in the future from current and planned Tartan mine underground infrastructure.

"We are very excited to have been able to work with Hudbay to secure the option to acquire the Tartan West property. The addition of the Tartan West property would double our land position over the Tartan shear zone from eight to 16 km. We believe the addition of this property would significantly increase the scope and scale of exploration opportunities for the company. In time, we believe that additional high-grade resources that may be present on this property could deliver significant operational synergies that will bolster the already compelling economics for the restart of the Tartan mine," said Michael Swistun, CFA, president and chief executive officer of the company.

Next steps for Tartan West project

The company intends to begin the exploration work at the Tartan West property at the start of the 2025 field season. Initial work will consist of a detailed mapping, prospecting and sampling program to evaluate and verify the historic high-grade surface showings, which will aid with prioritization of areas for additional work such as trenching, stripping and diamond drilling. The option agreement was structured in a way that allows the company to complete a property-wide review to develop priority drill targets without incurring significant upfront costs.

Terms of the option agreement

Under the terms of the option agreement and subject to the approval of the TSX Venture Exchange, over a five-year period, Canadian Gold will be required to: (i) make the following cash and share payments to Hudbay; and (ii) make the following work and exploration commitments outlined in the table 1 to exercise the option. Upon exercise of the option, Canadian Gold will hold a 100-per-cent interest in the Tartan West property, and Hudbay will also be granted a 2.5-per-cent net smelter royalty on the Tartan West property. Under the terms of the option agreement, certain share payments listed below may be made in cash.

Qualified person and quality assurance/quality control

The scientific and technical information disclosed in this news release was reviewed and approved by Wesley Whymark, PGeo, consulting geologist for the company, and a qualified person as defined under National Instrument 43-101.

The qualified person has not completed sufficient work to verify the historical data for the Tartan West property, and it remains uncertain whether further exploration will define a mineral resource on the property. The company has not independently verified the third party data referenced, and cannot guarantee their accuracy or completeness, and investors should therefore use caution in placing reliance on such information. However, the qualified person believes that the historical drilling and analytical results referenced were completed to industry standard practices. Over all, the information highlights the exploration potential of the Tartan West property but may not reflect actual results.

About Canadian Gold Corp.

Canadian Gold is a Canadian-based mineral exploration and development company whose objective is to expand the high-grade gold resource at the past-producing Tartan mine, located in Flin Flon, Man. The historic Tartan mine currently has a 2017 indicated mineral resource estimate of 240,000 ounces gold (1.18 million tonnes at 6.32 grams per tonne gold) and an inferred estimate of 37,000 oz gold (240,000 tonnes at 4.89 g/t gold). The company also holds a 100-per-cent interest in greenfield exploration properties in Ontario and Quebec adjacent to some of Canada's largest gold mines and development projects, specifically, the Canadian Malartic mine (Quebec), the Hemlo mine (Ontario) and the Hammond Reef project (Ontario). McEwen Mining Inc. holds a 5.7-per-cent interest in Canadian Gold, and Robert McEwen, the founder and former chief executive officer of Goldcorp, and chairman and CEO of McEwen Mining, holds a 32.9-per-cent interest in Canadian Gold.

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