Mr. Luc Lessard reports

FALCO INITIATES AN UPDATE TO ITS HORNE 5 PROJECT'S 2021 FEASIBILITY STUDY

Falco Resources Ltd. has initiated an update of the feasibility study for its flagship Horne 5 project, located in Rouyn-Noranda, Que. Falco anticipates that this study will be completed in the second quarter of 2026 and that it will reflect the considerable potential of the project considering the significant changes in commodity prices since the release of the feasibility study for the project in 2021. Having completed the public hearing process with the Office of Public Hearings on the Environment (Quebec) last year, the corporation continues to work toward receiving the necessary ministerial decree authorizing the project in the coming months.

Luc Lessard, president and chief executive officer of Falco, commented: "Updating the Horne 5 project's 2021 feasibility study with current long-term commodity pricing and project cost assumptions is exciting. The 2021 feasibility study, while describing significant potential economic returns, does not capture the rapidly changing gold, silver, copper and zinc pricing environment. The current metal values are expected to enhance the Horne 5 project's potential economic returns. In addition, recent acquisitions of major projects in Quebec, such as the Windfall project by Gold Fields Ltd. and the Croinor project by Fresnillo PLC, help investors understand the value of our project."

Sean Roosen, special adviser to Falco, and chairman and chief executive officer of Osisko Development Corp., Falco's largest shareholder, added: "We believe that once a decree is in hand, it will put Falco in the enviable position of having one of the few large-scale polymetallic gold projects to be developed in North America. With this there could be continued rerate potential through additional milestones such as financing and project development execution strategies."

The Horne 5 project is an exceptional project in Quebec, and is one of Canada's largest and most advanced primary gold projects by life-of-mine (LOM) production. As previously disclosed in the 2021 feasibility study, the project is a massive sulphide polymetallic deposit (gold (Au), silver (Ag), copper (Cu) and zinc (Zn)), which is anticipated to produce more than 220,000 ounces (oz) Au per year over an approximately 15-year LOM. The 2021 feasibility study reflected robust financial parameters based on gold and silver prices of $1,600 (U.S.) per oz and $21 (U.S.) per oz, respectively, and are highly sensitive to the market price of gold. With meaningful critical and strategic minerals exposure, Falco anticipates being one of the largest producers of copper (247 million pounds (lb)) and zinc (1.19 billion lb) in Quebec over the project's LOM.

Qualified person

Luc Lessard, PEng, president and CEO, is the qualified person for this news release as defined by National Instrument 43-101, and has reviewed and verified the technical information contained in this news release.

About Falco Resources Ltd.

Falco is one of the largest mineral claim holders in the province of Quebec, with an extensive portfolio of properties in the Abitibi-Temiscamingue greenstone belt. Falco holds rights to approximately 63,000 hectares of land in the Noranda camp, which represents 63 per cent of the camp as a whole and includes 13 former gold and base metal mining sites. Falco's main asset is the Horne 5 project, located beneath the former Horne mine, which was operated by Noranda from 1927 to 1976, and produced 11.6 million ounces of gold and 2.5 billion pounds of copper. Osisko Development is Falco's largest shareholder, with an approximately 16-per-cent interest in the corporation.

We seek Safe Harbor.