Mr. Brian Fowler reports

NORTHSTAR AND NOVAMERA EXECUTE DEFINITIVE SURGICAL MINING SERVICES AGREEMENT TO ADVANCE CAM COPPER PROJECT EVALUATION

Northstar Gold Corp. has signed a surgical mining services agreement with Novamera Inc. to deploy its patented turnkey surgical mining technology from surface to mine high-grade copper from Zone 2 at Northstar's historic Cam copper mine situated 18 kilometres southeast of Kirkland Lake, Ont., at the company's 100-per-cent-owned Miller copper-gold property.

The agreement and previously signed letter of intent (LOI) (please see Northstar news release dated July 23, 2025) is predicated on Novamera's recent positive "Zone 2 Proposed Development and Surgical Mining Evaluation Study" (please see Northstar news release dated June 26, 2025) and Northstar's recently announced near surface Zone 2 exploration target 3-D models and high-grade copper and tonnage ranges of 75,000 to 140,000 tonnes grading between 9 per cent and 18 per cent copper, with a conceptual average grade of 12 per cent copper (please see Northstar news release dated June 12, 2025).

Agreement highlights

Purpose

The agreement provides for the deployment of Novamera's Surgical process on the near-surface, high-grade Zone 2 volcanogenic massive sulphide (VMS) horizon at Cam copper. The objective is to determine whether the mineralization is technically and environmentally suitable for this precision, low-impact extraction method. Novamera's surgical mining represents a transformative, data-driven approach to unlocking high-grade, steeply dipping tabular deposits, such as Northstar's Zone 2. Currently being deployed at Great Atlantic's Golden promise project in Newfoundland, this method significantly reduces capital expenditures (capex), accelerates the time to first production, and minimizes environmental and social impacts.

Scope

The agreement scope of work envisages Novamera deploying its proprietary turnkey surgical mining solution (the turnkey solution) to extract a conceptual 116,000 tonnes of Zone 2 material using 93 extraction holes over an estimated period of 31 months.

Novamera's turnkey solution integrates simulation, real-time down hole imaging, data analytics positioning and steering technologies with conventional large-diameter drilling to selectively extract mineralized material and subsequent void backfilling. The agreement includes simulation, planning, permitting support and site preparation phases leading to a potential pilot program, subject to receipt of required permits and financing.

Funding and cost structure

Under the agreement, Northstar will provide an advance payment of $1,535,000 (U.S.), in staged instalments, to support planning, logistics and equipment readiness once permitting and financing conditions are met. Novamera has been assisting Northstar by introducing prospective financial and strategic partners to finance the project.

Northstar's Cam copper project financing strategy is underpinned by leveraging capex and operational expense against future revenue by way of non-dilutive advanced royalty financing(s), government grants, offtake agreement, service provider partnership agreements and equity private placement offering(s) to position current and select new strategic investors as required. Financing efforts are continuing, and further details will be provided in the near term.

Compensation framework

Should the project proceed, Novamera would be compensated through a variable tonnage rate and monthly service fee, and, if successful, could earn a 5-per-cent net smelter return (NSR) revenue share on future production from material extracted using its turnkey solution.

Right of first refusal

Novamera holds a five-year right of first refusal to apply its technology and the turnkey solution on other Miller and Boston Creek area deposits that are determined, through further evaluation, to be technically suited to Surgical Mining.

Management commentary

Brian P. Fowler, PGeo, president, chief executive officer and director of Northstar, stated: "Executing this agreement with Novamera marks a key milestone in our effort to apply Surgical Mining to provide a low-impact, cost-effective path to evaluate and potentially extract high-grade copper at Cam copper. This collaboration allows Northstar to advance the project responsibly while minimizing capital risk and environmental disturbance. The results from upcoming technical work and our pending NI 43-101 technical report will guide the next steps toward establishing an economic framework for the project."

Jim Hollis, chief executive officer of Novamera, added: "We are excited to work with the Northstar team to help them unlock cash flow using our precision mining technology at Cam copper. Our approach integrates data, sensors, automation and robotics to quickly and sustainably unlock narrow-vein deposits with minimal footprint -- offering the potential for a new standard in small-scale, responsible mineral extraction."

Next steps

Northstar is advancing toward issuance of a notice-to-proceed under the agreement by obtaining the necessary permits and project financing. The company also intends to commission a National Instrument 43-101-compliant technical report and mineral resource estimate on the Cam copper project to formally evaluate the deposit's reasonable prospects for eventual economic extraction before making any production or development decision.

Cam copper surgical mining project

The Cam copper mine. Zone 2 is interpreted to contain copper-rich, Besshi-style volcanogenic massive sulphide (VMS) mineralization -- primarily chalcopyrite and bornite -- extending from surface to a depth of approximately 200 metres, over a strike length of approximately 125 metres and an average width of one metre. The high-grade mineralization remains open at depth, plunging southeast at negative 71 degrees along a well-defined VMS feeder structure.

Zone 2 is the largest of three narrow, steeply dipping tabular copper horizons with an historic estimate by a previous operator to average 10 per cent copper over a 0.85 metre true width, 42-metre strike length and a minimum 140-metre depth extent from surface. Northstar's 2023 and 2024 Zone 2 drilling (seven holes), including an intercept of 14.8 per cent copper over 2.45 metres in drill hole CC-03-23 (please see Northstar news release dated Nov. 23, 2023), and Zone 2 exploration target results corroborate these historic estimates.

Novamera's innovative Surgical Mining solution is well suited to exploit Zone 2 copper mineralization with minimum mining dilution and environmental impact. This is facilitated by rotary drilling large-diameter holes from the surface, targeting Zone 2 copper mineralization. The resulting broken rock is recovered and shipped directly to a nearby mill for processing. The process comprises data-driven hardware and software solutions that guide the drilling process and minimize dilution. Once drilled, the holes can be immediately reclaimed to provide structural support to the mine with a minimal environmental footprint on surface.

Northstar and Novamera have entered into a strategic agreement for the Cam copper project, with due diligence and implementation planning under way over the next several months. Novamera will earn a 5-per-cent revenue share from the project. With a low upfront capital requirement of approximately $1.5-million (U.S.) and the remainder of project capital costs structured off balance sheet, Novamera's approach offers an attractive risk-adjusted return profile. The company is also actively pursuing non-dilutive funding to accelerate project initiation.

Qualified person

The scientific and technical information related to the exploration target contained in this news release has been reviewed by Christopher Keech, PGeo, a qualified person as defined by National Instrument 43-101 and principal geologist of CGK Consulting Services Inc., who is independent of the company. Mr. Keech has verified that the information herein is consistent with Northstar's previously disclosed data and prior technical studies.

About Northstar Gold Corp.

Northstar's primary exploration focus is to advance and expand the near-surface, Allied gold zone bulk-tonnage gold-telluride deposit and more recently discovered VMS copper mineral deposits on the company's flagship, 100-per-cent-owned Miller copper-gold property. The company's strategy is to develop a material (plus one million ounces gold/high-grade copper) mineral resource base to supplement a nearby mining operation or support stand-alone mining operations at the property.

Other properties

Northstar has three additional 100-per-cent-owned exploration projects in Northern Ontario, including the 1,150-hectare Rosegrove property, situated 0.5 km from the Miller property, the 4,650 ha Bryce gold property (includes the recently optioned Britcanna lease), an intrusive-gold/PME VMS project located along the projected east extension of the Ridout Break and the Temagami-Milestone Cu-Ni-Co (copper-nickel-cobalt) critical minerals property located in Strathcona township. Northstar is seeking exploration partners to advance all three properties.

We seek Safe Harbor.