Mr. Pat Lynch reports

KESTREL PARTNER CENTERRA DRILLING AT QCM GOLD PROPERTY

Kestrel Gold Inc. has provided an update on the continuing work program by Centerra Gold Inc. on Kestrel's QCM gold property (QCM) located in the Manson-Germanson area of central British Columbia.

Centerra holds an exclusive option to earn a 75-per-cent interest in QCM by making cash payments totalling $900,000 and completing $6.5-million in exploration work, which must include a minimum of 13,500 metres of drilling, by May 7, 2029. Centerra's current program has an approved budget of $3-million, and includes plans for up to 7,500 metres of diamond drilling.

Drilling commenced at the Main zone on May 25, and as of July 6 a total of nine holes and 2,640 metres have been completed. All holes have encountered intervals of quartz veined tuff and greywacke affected by variable intensity silica-ankerite-sericite-pyrite alteration with pyrite in some areas. Drilling is also planned for the 14 Vein zone which is a quartz veined and quartz-sericite-pyrite altered zone located approximately 7.5 kilometres northwest of the Main zone. Analytical results for drilling will be released as they are received, compiled and interpreted.

Pat Lynch, president and chief executive officer of Kestrel, states: "We are happy to see drilling well under way at QCM where Centerra is currently undertaking the largest drill program to occur during Kestrel's time with the property. Alteration and veining, thought to be favourable for the presence of gold mineralization, have been encountered by all completed holes and we eagerly look forward to analytical results for this work."

QCM project highlights:

• QCM comprises 8,729 hectares covering an approximate 15-kilometre strike length of the Manson fault zone which is thought to be a controlling structure for much of the gold mineralization in the district.
• Peak values from historical pre-Kestrel drilling completed within the Main zone were found within hole 2004-002 which intersected an interval of 2.86 grams per tonne Au over 110.95 metres, including a high-grade interval of 173 grams per tonne Au over 1.5 metres, true widths unknown. Reverse circulation drilling by Kestrel at the Main zone in 2021 intersected numerous gold-bearing intervals including 0.847 gram per tonne Au over 152.44 metres including 3.665 g/t Au over 16.77 metres. For further details see Kestrel's April 23, 2022, news release.
• Prospecting during 2022 resulted in the discovery of the 14 Vein showing, drilling of which returned 2.33 g/t Au over 44.19 metres. Geology consists of quartz-sericite-pyrite altered greywacke cut by sheeted quartz veins. For further details see Kestrel's Oct. 26, 2022, news release.
• Numerous historical showings occur throughout the project area, including Farrell where historical values of up to 1,777 g/t Au and 3,560 g/t Ag were returned from grab samples of an up to 3.0-metre-wide quartz vein and Flagstaff where historical values of up to 5.9 g/t Au and 1,153 g/t Ag were reported for grab samples of quartz veins and stockworks.
• Kestrel owns a 100-per-cent interest in the QCM property. For further details see Kestrel's March 22, 2024, news release. Kestrel subsequently granted Centerra the option to earn a 75-per-cent interest in QCM. For further details see Kestrel's May 8, 2024, news release.
• Recently completed logging and associated road building has significantly improved access throughout the property which is proving of significant value to exploration efforts.

Qualified person

Greg Lynch, PGeo, a qualified person as defined by National Instrument 43-101 who is also a director of the corporation, has reviewed and approved the technical information contained in this news release.

About Kestrel Gold Inc.

Kestrel Gold is an exploration company headquartered in Western Canada and focused on the Canadian Cordillera. Kestrel has earned a 100-per-cent interest, subject to a 2-per-cent NSR (net smelter return) royalty with buydown provisions, in the QCM property which is an orogenic gold target located in the Manson-Germanson placer district. Kestrel has also earned a 100-per-cent interest, subject to a 2.5-per-cent NSR royalty with buydown provisions, in the KSD property which is an orogenic gold target located in the Yukon portion of the Tintina gold belt. Kestrel is listed on the TSX Venture Exchange under the symbol KGC.

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