Mr. Anthony Margarit reports

K2 GOLD TO COMMENCE DRILLING AT SI2, TARGETING PRESERVED EPITHERMAL GOLD SYSTEM

K2 Gold Corp. plans to commence drilling at the company's Si2 project, located near Tonopah, Nev., on or about Jan. 21, 2026.

The drill program will test a series of high-priority structural and geochemical targets generated through comprehensive geological studies completed in 2025, along with recently acquired geophysical information, including fluid-inclusion analysis, alteration mineralogy, age dating, an integrated structural interpretation and an IP (induced polarization) survey. These studies collectively indicate that Si2 represents the upper levels of a large, intact low-sulphidation epithermal system proven to carry gold, with strong potential for higher-grade gold mineralization preserved at depth.

Highlights:

• The drill program is fully financed and will consist of up to 2,000 metres over four to six drill holes. Drilling is expected to commence on Jan. 21, 2026.
• In 2023, K2 drilled four holes at the Si2 project. Drilling demonstrated increasing gold values with depth; however, the holes were terminated in anomalous but subeconomic gold grades. Subsequent alteration and fluid inclusion studies indicate that the 2023 drill holes were within 50 to 100 metres of the interpreted boiling zone of the epithermal system.
• The 2026 program will test priority structural corridors at greater depths, targeting the interpreted optimal boiling-zone horizon of the epithermal system.
• Geological characteristics observed at Si2 are considered analogous to AngloGold Ashanti's nearby 16.3-million-ounce-gold Silicon project, which has emerged as one of the most significant new epithermal gold discoveries in the Walker Lane trend.

"Based on new results and interpretations, Si2 is now a highly compelling project, from a technical perspective," stated Anthony Margarit, president and chief executive officer of K2 Gold. "The fluid-inclusion work was a true turning point -- it told us unequivocally that the system is intact, preserved and that K2's 2023 drilling came close but was not deep enough to test the boiling zone -- the critical horizon where significant amounts of gold can be deposited in similar systems. When you combine that with our newly completed alteration studies, age dating, geophysical information and the striking similarities to AngloGold Ashanti's Silicon discovery, we believe we are about to drill one of the most exciting new epithermal targets in the Walker Lane."

Compelling analogue to AngloGold Ashanti's silicon project

The Si2 project shares multiple geological and structural characteristics with AngloGold Ashanti's Silicon project (renamed the Arthur gold project):

• Volcanic-hosted, low-sulphidation epithermal systems in Nevada -- both located within a highly endowed gold belt that favours structurally controlled deposits;
• Steam-heated alteration cap at surface -- a classic upper-level feature that can mask stronger gold zones at depth in intact epithermal systems;
• Fault-controlled plumbing systems -- mineralizing fluids in both districts are focused along major structures that control higher-grade targets.
• Zoned epithermal architecture -- alteration patterns at Si2 are consistent with being above the productive gold horizon, similar to early-stage interpretations at Arthur;
• Depth as the primary opportunity -- both systems rely on drilling beneath shallow, surficial alteration to test the projected boiling zone where grades commonly improve.

Program overview

The drill program will comprise four to six reverse circulation holes totalling up to 2,000 metres, designed to systematically test the interpreted boiling-zone horizon at depth along the highest-priority structures defined by the company's integrated geological model.

Technical summary

Epithermal deposits

Epithermal systems are a major deposit class globally, with many important examples located within the Walker Lane trend of Nevada and eastern California in the Western United States. Epithermal deposits have historically been important sources of gold and silver due to their near-surface, structurally controlled mineralization. When preserved and not deeply eroded, these systems can host blind-to-surface, vertically zoned mineralization that may have been historically overlooked. Defining and understanding this zonation, including locating the boiling zone where precious metals precipitate, can reveal high-priority exploration targets.

Gold deposition in epithermal systems

Precious metal deposition in epithermal systems typically occurs in what is known as the boiling zone, a depth at which hot, metal-rich fluids rising toward the surface begin to boil due to dropping pressure. Fluid boiling results in the precipitation of the metals previously held in solution, forming high-grade veins and breccias. Boiling in typical low-sulphidation epithermal gold systems occurs at temperatures of greater than 220 C and most commonly between 230 C and 240 C.

Fluid-inclusion analysis and microscopic study

Through study of trapped inclusions or bubbles of hydrothermal fluid within quartz veins, the temperature of the fluid can be determined and the depth of formation of the vein can be inferred. Vein formation temperatures can aid in exploration targeting by revealing the level of the epithermal system encountered by drilling.

Fluid inclusions examined from six core samples reveal low-salinity (0.5 to 6 weight per cent NaCl (sodium chloride) equivalent) aqueous fluids trapped at temperatures of approximately 130 C to 200 C, warming downward through the core of the drilled interval. These characteristics, along with microscopically observed vein textures, confirm the shallow-level nature of the drilled interval and support the interpretation of a blind, deeper gold-bearing zone. No evidence of significant boiling was observed in the inclusions, suggesting that the productive zone lies below the depth tested.

Alteration mineralogy and structural controls

The alteration study, based on 108 spectral analyses from 95 drill core samples, delineates a classic vertically zoned epithermal system, with a systematic transition from steam-heated alunite and kaolinite/dickite at surface into progressively higher-temperature assemblages (smectite to illite-smectite to illite to illite-chlorite). Variations in illite abundance and locations of quartz-illite plus or minus adularia alteration suggest proximity to primary fluid pathways and fault-controlled mineralization.

The AOI1.5 fault in particular hosts an approximately six-metre-thick silicified and quartz-veined interval at 200 metres depth with adjacent anomalous gold, indicating a strong target for follow-up drilling downdip and along strike.

Qualified person and quality assurance/quality control

The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Eric Buitenhuis, MSc, PGeo, K2's qualified person and vice-president of exploration.

Petrographic sections used in the fluid inclusion study were prepared by Precision Petrographics of Langley, B.C., and submitted to Colorado State University for analysis.

About K2 Gold Corp.

K2 Gold is a member of Discovery Group and is focused on advancing gold exploration projects in mining-friendly jurisdictions across the Western United States and Canada. The company's flagship Mojave project covers over 6,000 hectares and includes multiple previously drilled oxide gold targets. Since acquiring the project, K2 has advanced exploration through geochemical, geophysical and remote sensing surveys as well as RC (reverse circulation) drilling.

Notable past drill highlights at Mojave include:

• 4.0 grams per tonne gold over 86.9 metres from surface at the Dragonfly zone;
• 1.69 grams per tonne gold over 41.15 metres at the Newmont zone.

K2 also holds:

• The Si2 gold project in Nevada, a large steam-heated alteration system with confirmed gold mineralization and compelling similarities to AngloGold Ashanti's Expanded Silicon project (indicated resource of 3.40 million ounces gold at 0.87 gram per tonne gold and inferred resource of 12.91 million ounces gold at 1.03 grams per tonne gold);
• The Wels project in Yukon, Canada, where recent drilling intersected gold in all holes and outlined a new mineralized corridor at the Saddle South target.

K2 Gold is committed to responsible exploration, indigenous and community engagement and advancing high-quality projects through a collaborative and technically disciplined approach.

We seek Safe Harbor.