Mr. Jason Kosec reports

HEMLO MINING CORP. ANNOUNCES GRANT OF SECURITY-BASED COMPENSATION

Hemlo Mining Corp. has granted its 2026 long-term incentive plan awards.

The grants were made in accordance with the terms and conditions of the company's omnibus equity incentive plan that was approved by the shareholders of the company on Oct. 30, 2025. The omnibus plan is a rolling 10-per-cent plan that provides for the grant of restricted share units, performance share units, stock options and deferred share units. The aggregate number of common shares reserved for issuance under the omnibus plan and all other security-based compensation arrangement of the company, at any time, must not exceed 10 per cent of the company's total issued and outstanding common shares. For additional information regarding the omnibus plan, please refer to the company's management information circular dated Sept. 30, 2025, which is accessible on SEDAR+ under the company's issuer profile.

The company has granted the following equity awards:

• 179,023 RSUs granted to officers of the company and 310,844 to other employees of the company; each RSU will vest rateably over three years from the date of grant and will entitle the holder to receive one common share;
• 537,077 PSUs granted to officers of the company (assuming maximum vesting); each PSU will vest in its entirely on the third anniversary of the date of grant, based on: (1) the relative total shareholder return of the company as compared with the VanEck Vectors Junior Gold Miners ETF (weighted at 60 per cent); and (2) the company's three-year mineral reserve growth (weighted at 40 per cent);
• 404,028 options granted to officers of the company; the options shall vest rateably over three years from the date of grant; each vested option is exercisable to acquire one common share of the company at an exercise price of $7.06 per common share (being the closing price of the common shares of the company on the date of grant) and shall have a five-year term;
• 33,993 RSUs and 11,331 DSUs granted to non-executive directors of the company; each RSU will vest one year from the date of grant and will entitle the holder to receive one common share, and each DSU will vest on the date the grantee ceases to be a director of the company or otherwise an eligible participant in the plan and shall be settled in cash only.

About Hemlo Mining Corp.

Hemlo Mining (previously Carcetti Capital Corp.) recently closed the acquisition of the Hemlo gold mine from Barrick Mining Corp. for aggregate consideration of up to $1.1-billion (U.S.). The Hemlo gold mine is located 35 kilometres east of the town of Marathon, Ont., and has produced approximately 25 million ounces of gold from both underground and open-pit operations since production began in 1985. The company is looking to establish itself as a leading Canadian mid-tier growth-focused gold producer, with an immediate focus on maximizing the value of the Hemlo gold mine's existing infrastructure through a fit-for-purpose operating approach while unlocking new opportunities through an aggressive brownfield exploration.

We seek Safe Harbor.