Mr. R. David Russell reports

GALLEON GOLD ANNOUNCES CLOSING OF UPSIZED $30M BOUGHT DEAL PRIVATE PLACEMENT, INCLUDING FULL EXERCISE OF OVER-ALLOTMENT OPTION, AND CONCURRENT $7M NON-BROKERED PRIVATE PLACEMENT

Galleon Gold Corp. has closed its previously announced and upsized bought deal private placement, including the full exercise of the overallotment option, for aggregate gross proceeds of approximately $30-million. Pursuant to the bought deal offering, the company issued: (i) 4,717,000 common shares of the company as flow-through shares within the meaning of Subsection 66(15) of the Income Tax Act (Canada) at a price of $1.59 per FT share for aggregate gross proceeds of approximately $7.5-million; and (ii) 20,089,271 common shares at a price of $1.12 per hard-dollar share for aggregate gross proceeds of approximately $22.5-million, which include 2,678,571 HD shares issued pursuant to the full exercise of the overallotment option for gross proceeds of approximately $3-million. The company also announces that it has closed its previously announced and upsized concurrent non-brokered private placement to Pan American Silver Corp. of 6.25 million common shares at a price of $1.12 per common share for aggregate gross proceeds of $7-million.

The company intends to use the gross proceeds from the sale of FT shares to incur Canadian exploration expenses as defined in Subsection 66.1(6) of the tax act that will qualify as flow-through mining expenditures as defined in Subsection 127(9) of the tax act and as eligible expenditures for purposes of the Ontario-focused flow-through share tax credit on the West Cache gold project in Timmins, Ont. Such expenditures will be renounced to the initial purchasers of the FT shares with an effective date no later than Dec. 31, 2026, and will be incurred no later than Dec. 31, 2027. The net proceeds from the sale of HD shares and the non-brokered offering will be used for advancement of the project and for working capital and general corporate purposes.

The bought deal offering was completed by a syndicate of underwriters led by ATB Cormark Capital Markets, as lead underwriter and sole bookrunner, and including Stifel Nicolaus Canada Inc. In consideration for their services, the underwriters received a cash commission equal to 6.0 per cent of the gross proceeds of the bought deal offering, including the gross proceeds from the exercise of the overallotment option. No commission was paid in connection with the non-brokered offering. The offerings remain subject to the final acceptance of the TSX Venture Exchange.

Bought deal offering

The FT shares and 1,898,771 of the HD shares were issued to purchasers resident in each of the provinces of Canada pursuant to Part 5A of National Instrument 45-106 (Prospectus Exemptions), as amended by Ontario Securities Commission Rule 45-513 (Exemptions from Certain Conditions of the Listed Issuer Financing Exemption), and are not subject to a hold period under applicable Canadian securities laws.

The remaining HD shares were issued on a private placement basis in the United States pursuant to available exemptions from the registration requirements of the U.S. Securities Act of 1933, as amended, and in certain other jurisdictions outside of Canada and the United States, in each case in reliance on OSC Rule 72-503 (Distributions Outside Canada), and are not subject to a hold period under applicable Canadian securities laws. HD shares issued in the United States are restricted securities within the meaning of Rule 144 under the U.S. Securities Act. The common shares issued to insiders of the company under the bought deal offering are subject to a four-month hold period pursuant to the policies of the TSX Venture Exchange, expiring March 4, 2027.

The amended and restated offering document dated Oct. 20, 2026, relating to the bought deal offering, in both English and French, is available under the company's profile on SEDAR+ and on the company's website.

Non-brokered offering

The common shares issued to Pan American pursuant to the non-brokered offering were issued pursuant to exemptions from the prospectus requirements under National Instrument 45-106 and the registration requirements of the U.S. Securities Act, and are subject to a hold period of four months and one day under applicable Canadian securities laws, expiring March 4, 2027.

Multilateral Instrument 61-101 disclosure

Pan American subscribed for 6.25 million common shares under the non-brokered offering for aggregate gross proceeds of $7-million. Certain directors and officers of the company also subscribed for a total of 128,571 common shares under the bought deal offering for aggregate gross proceeds of $143,999.52. The participation of Pan American and such directors and officers in the offerings constitutes a related-party transaction within the meaning of TSX-V Policy 5.9 and Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company has relied on the exemption from the formal valuation requirement of MI 61-101 contained in Section 5.5(b) of MI 61-101 as the company is not listed on a specified market, and the exemption from the minority shareholder approval requirement of MI 61-101 contained in Section 5.7(1)(a) of MI 61-101, in respect of the related-party participation in the offerings, as neither the fair market value (as determined under MI 61-101) of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involved the interested parties, exceeded 25 per cent of the company's market capitalization (as determined under MI 61-101). The company did not file a material change report more than 21 days before the closing of the offerings, as the details of the related-party participation were not settled until shortly before closing and the company wished to complete the offerings in an expeditious manner, which the company considers reasonable in the circumstances.

About Galleon Gold Corp.

Galleon Gold is advancing the West Cache gold project with a disciplined, derisking strategy centred on resource growth and a coming 86,500-tonne bulk sample program, positioning the company to unlock long-term shareholder value.

We seek Safe Harbor.