Mr. Nick Brodie reports

GOLCONDA GOLD LTD. RELEASES FINANCIAL AND OPERATING RESULTS FOR Q2 2023

Golconda Gold Ltd. has released its financial results for the three and six months ended June 30, 2023.

A copy of the unaudited condensed consolidated interim financial statements for the three and six months ended June 30, 2023, prepared in accordance with international financial reporting standards (IFRS), and the corresponding management's discussion and analysis (MD&A), are available under the company's profile on SEDAR+. All amounts are in United States dollars unless otherwise indicated.

Second quarter 2023 highlights (Q2 2023):

• Mined 19,171 tonnes of ore from its Galaxy and Princeton orebodies, with an average grade of 3.11 grams per tonne (g/t), an increase of 14 per cent compared with 16,754 tonnes at 3.30 g/t in the three months ended March 31, 2023 (Q1 2023);
• Produced 1,422 tonnes of concentrate at an average grade of 37 g/t containing 1,689 ounces of gold compared with 1,449 tonnes at 34 g/t containing 1,584 ounces of gold in Q1 2023, an increase of 7 per cent in gold production quarter-over-quarter;
• Generated revenue of $2.5-million from the sale of 1,639 contained ounces (1,308 payable ounces) of gold at an operating cash cost of $1,571 per payable ounce, compared with revenue of $2-million in Q1 2023 from the sale of 1,434 contained ounces (1,114 payable ounces) of gold at an operating cash cost of $1,790 per payable ounce, representing a 25-per-cent increase in revenue and 12-per-cent reduction in operating cash cost quarter-over-quarter.

Nick Brodie, Golconda Gold chief executive officer, commented: "The second quarter of 2023 saw improvements in material mined and gold produced, despite a difficult operating environment while the team worked through the challenges presented in the first quarter of 2023. Equipment availabilities continue to increase, and we are confident that production will continue to ramp up as we further develop the Galaxy and Princeton orebodies. Discussions are ongoing regarding securing further financial capacity at Galaxy, which is expected to enable a dedicated development crew allowing the existing crew and fleet to focus purely on stoping, and to also fund development to a second level at the Galaxy orebody.

"At Summit, a full engineering survey of the in situ mining equipment was conducted in April, 2023, which has identified approximately $1-million (U.S.) of expected savings on the capital restart cost of the project as a result of the good condition of the majority of the equipment. The company continues to work with financing providers and offtake partners to put in place a non-dilutive financing package to facilitate the restart of operations at the Summit property as soon as possible."

About Golconda Gold Ltd.

Golconda Gold is an unhedged gold producer and explorer with mining operations and exploration tenements in South Africa and New Mexico. Golconda Gold is a public company and its shares are quoted on the TSX Venture Exchange under the symbol GG and the OTCQB under the symbol GGGOF. Golconda Gold's management team comprises senior mining professionals with extensive experience in managing mining and processing operations and large-scale exploration programs. Golconda Gold is committed to operating at world-class standards and is focused on the safety of its employees, respecting the environment and contributing to the communities in which it operates.

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