Dr. Rob Carpenter reports

PROSPECTOR DRILLS 7.3 G/T AU, 22.26 G/T AG, & 0.9% CU OVER 5.15M INCLUDING 1.3M @ 25.6 G/T AU FROM 101.30M WITHIN AN ENVELOPE OF 2.73 G/T AU, 6.92 G/T AG, & 0.28% CU OVER 18.06M

Prospector Metals Corp. has provided a progress update on the continuing drill program at its ML project, Yukon. Initial holes have focused upon the newly identified Tess zone, with highlight intervals from 2025 in diamond drill holes ML31: 44 metres of 13.79 grams per tonne gold, 1.89 per cent copper and 38.08 g/t silver and ML32: 14 m of 7.29 g/t Au, 24.98 g/t Ag and 0.91 per cent Cu (see Prospector news release dated Oct. 1, 2025). The company will be hosting a live webinar to discuss the continuing 2026 ML drill program on Wednesday, Aug. 12, at 9 a.m. Eastern Daylight Time.

Prospector president, chief executive officer and co-chairman Dr. Rob Carpenter, PhD, PGeo, commented: "Our drill program at ML remains on schedule and on budget, and we anticipate being able to complete an additional 10,000 m of drilling before the end of the season. Laboratory delays have hampered timely release of our assay results; however, we have successfully traced the Tess gold zone over at least 200 m along trend. Moreover, our team have also defined the geometry of a high-grade plunging core to the Tess system that remains open along trend and to depth. This high-grade core has been identified on several drill sections, and consists of coarse-grained bismuth sulphides and occasional visible gold. Several other zones have also been drill tested across the ML project, and notable highlights include identification of a new zone with visible gold at Skarn Ridge, as well as recognition of an array of mineralized sheeted fractures and veins with the Mike Lake stock."

Key point summary:

• A total of 68 drill holes for 13,074 m have been completed at ML in 2026, including 44 holes from the newly discovered Tess zone. Initial drilling at Tess in 2025 yielded a 44-metre core length intercept grading 14.79 g/t Au. Current drilling is designed to extend this intercept along trend and to depth.
• Laboratory delays have resulted in slower-than-expected assays, and results for only three of 44 holes from the Tess zone are available for this news release. Other drill targets with pending assays include Nit, Pebble, Skarn Ridge and ML North targets.
• Tess drill hole ML26-43 yielded 2.73 g/t Au over 18.06 m (from 101 m downhole) and included high-grade intervals of 25.6 g/t Au over 1.30 m and 19.50 g/t Au over 0.50 m. Drill hole ML26-40 yielded 1.47 g/t Au over 26.60 m (from 135.31 m downhole). High-grade gold mineralization in hole 43 is associated with coarse-grained copper and bismuth-tellurium sulphides and occasional grains of native gold.
• Drilling in 2026 has defined the Tess zone over at least 200 m along trend and to 150-metre depth. Mineralization is hosted in a tabular, northeast-trending and steep south-dipping structural zone, which appears to have a true thickness ranging from 15 to 25 m. The zone is open along trend in both directions and to depth. Additional drilling at Tess is expected to be completed this season once further assay data become available.
• A new mineralized horizon has been intercepted at the Skarn Ridge zone. Drilling targeting the southern extension of Skarn Ridge mineralization defined during the 2025 program intersected Skarn Ridge alteration/mineralization and intersected a new mineralized horizon at depth characterized by structurally controlled calc silicate alteration, arsenopyrite, chalcopyrite and bismuth-tellurium minerals. This zone was encountered beyond the extent of historical drilling and is hosted within a rock unit previously interpreted to have low gold potential.
• Drilling within the central Mike Lake intrusive stock has identified mineralized fractures and veins which are typically associated with reduced intrusion related gold and porphyry systems. This represents a newly recognized style of mineralization on the ML project. Hole ML26-094 intersected a 30-metre core length zone characterized by closely spaced fractures and veins hosting arsenopyrite and chalcopyrite. Fractures/vein density across the interval varies from one to three fractures per metre to greater than 10 fractures per metre.
• Continuing prospecting and geological mapping have resulted in the collection of 383 rock samples that are currently awaiting assay analysis. This work has resulted in the identification of several mineralized outcrops at numerous targets including Tess and surrounding look-a-like targets. A total of 4,274 soil samples have also been collected over priority areas that lack previous sampling.

2026 ML drill program

A total of 68 holes for 13,074 metres have been drilled on the ML project to date testing five target areas including the Tess-North vein, Pebble, Nit, Skarn Ridge and ML North targets. Continuing drilling and an additional 8,000 to 10,000 metres are planned on the Tess-North vein, Nit, Rubble North, Vary, Skarn Ridge and Lorrie target areas. The results of sample analysis from the lab have been significantly delayed beyond typical turnaround times due to extremely high sample volumes in the laboratory. To date, results have been received on the three holes on the Tess-North vein target and are discussed below. Individual results for samples range from trace to 25.6 g/t Au to 75.90 g/t Ag and to 2.87 per cent Cu.

Tess drilling

A total of 8,150 m of drilling over 44 holes have been completed on the Tess zone to date. This includes drilling focused on systematic stepout drilling on the Tess-North vein mineralized horizon and wider stepout drilling to evaluate structural extensions to the northeast and southwest of the Tess mineralized zone. Assay results have been received on two holes (ML26-040 and 041) and partial results on ML26-043. Estimated true thickness of the reported intervals range from 60 to 70 per cent of the drilled interval.

ML26-040

Hole ML26-040 intersected the Tess zone of alteration from 195 to 205 m downhole but only had minor sulphide mineralization, and returned anomalous values for Au (up to 0.208 g/t) and Cu (up to 0.26 per cent).

ML26-041

Hole ML26-041 intersected the Tess zone from 134- to 162-metre depth. The zone returned 26.60 m of 1.47 g/t Au, 3.53 g/t Ag and 0.18 per cent Cu from 135.31-metre depth. Two additional zones of anomalous mineralization were intersected below the Tess and include one m of 2.30 g/t Au, 12.30 g/t Ag and 0.56 per cent Cu from 166.44-metre depth and 1.3 m of 1.78 g/t Au, 44.10 g/t Ag and 1.90 per cent Cu from 181.82-metre depth.

ML26-043

Hole ML26-043 intersected the Tess zone from 101 to 119 m and returned 7.30 g/t Au, 22.26 g/t Ag and 0.89 per cent Cu over 5.15 m from 101.30-metre depth, including 25.6 g/t Au, 75.9 g/t Ag and 2.88 per cent Cu over 1.3 m, and 19.5 g/t Au over 0.5 m from 109.59-metre depth. High-grade gold mineralization in hole 43 is associated with quartz-carbonate veining and coarse-grained copper and bismuth sulphides and occasional grains of native gold.

Drilling in 2026 has defined the Tess zone over at least 200 m along trend and to 150-metre depth. Mineralization is hosted in a tabular, northeast-trending and steep south-dipping structural zone, which appears to have a true thickness ranging from 15 to 25 m. Mineralization on Tess is associated with calc-silicate alteration and/or quartz-sericite-clay alteration of conglomerate, grits and lamprophyre dikes with disseminated to fracture-vein controlled sulphide mineralization consisting of pyrrhotite/pyrite, arsenopyrite, chalcopyrite, bismuth-tellurium minerals and, locally, visible gold. The alteration and mineralization are focused along a northeast-trending, steeply south-dipping, structural corridor, with the highest-grade mineralization occurring where the structural zone intersects favourable lithologic units, forming plunging shoots. One of these favourable units is an east-southeast-trending zone of calc-silicate altered calcareous conglomerate historically known as the North vein. Where the North vein lithology is cut by Tess structures, an early pyroxene dominated calc-silicate assemblage is overprinted by an actinolite-quartz-carbonate alteration assemblage with quartz-carbonate veining; overprint and/or remobilization of early sulphide minerals; and bismuth-tellurium-gold mineralization. The Tess zone is open along trend in both directions and to depth. Additional drilling at Tess is expected to be completed this season once further assay data become available. Drilling is also being planned along the western projection of the North vein horizon where it is intersected by other northeast-trending structural zones based on geological mapping and prospecting.

Tess look-a-like drilling

A total of 2,453 m over 11 holes have been drilled on targets with similar geologic and geochemical characteristics as the Tess-North vein area, specifically the Pebble (eight holes) and Nit (three holes) targets. Drilling on these targets and others in the broader Tess-Java-Nit corridor is continuing. Assays are pending and will be reported when available.

Skarn Ridge drilling

A total of 1,150.63 m over seven holes have been drilled on the Skarn Ridge target to date. The drilling targeted the southern extension of a northeast-trending mineralized structural zone defined on the western side of Skarn Ridge during the 2025 program. The drilling intersected Skarn Ridge alteration and mineralization, and intersected a new mineralized horizon at depth characterized by structurally controlled calc silicate alteration, arsenopyrite, chalcopyrite and bismuth-tellurium minerals. This zone was encountered beyond the extent of historical drilling and is hosted within a rock unit previously interpreted to have low gold potential. Assays are pending and will be reported when available.

ML North drilling

A total of 1,320 m over six holes have been drilled on the ML North target area to date. The holes were completed on the northern margin of the Mike Lake intrusion and identified mineralized fractures and veins which are typically associated with RIRGS and porphyry systems. This represents a newly recognized style of mineralization on the ML project. Hole ML26-094 intersected a 30-metre core length zone characterized by closely spaced fractures and veins hosting arsenopyrite and chalcopyrite. Fractures/vein density across the interval varies from one to three fractures per metre to greater than 10 fractures per metre. Assays for the holes are pending, and additional drilling on other target areas within the Mike Lake intrusion is planned.

Other exploration

Continuing prospecting and geological mapping to date have resulted in the collection of 383 rock samples that are currently awaiting assay analysis. This work has resulted in the identification of several mineralized outcrops at numerous targets, including Tess and surrounding look-a-like targets. A total of 4,274 soil samples have also been collected over priority areas that lack previous sampling. The results of the rocks and soil samples are pending and will be released when available. In addition, a 145-square-kilometre lidar survey and air photos have been completed on the southern portion of the ML property staked in 2025.

Assay methodology and quality assurance/quality control

The analytical work on the 2026 ML project is being performed by Bureau Veritas Labs, an internationally recognized analytical service provider. All samples are submitted to BV's prep facility located in Whitehorse, Yukon territory. Once prepared, the samples are shipped to BV's Vancouver, B.C., facility for analysis. All rock samples are prepared using procedure PRP70-250 (dry, crush to 70 per cent passing two millimetres, riffle split off 250 grams and pulverize split to better than 85 per cent passing 75 microns) and analyzed by method FA430 (30-gram fire assay with AAS finish) and MA200 (multielement analysis with four-acid digest and ICP-MS finish). Samples containing greater than 10 g/t Au are reanalyzed using a 50-gram fire assay with a gravimetric finish. Samples containing greater than 100 parts per million Ag and/or greater than 1 per cent Cu, lead and zinc are reanalyzed using a four-acid digest and ore grade ICP-ES analysis. All soil samples are prepared using procedure SS80 (dry and sieve to minus 80 mesh) and analyzed by method AQ201 (15-gram multielement analysis with aqua-regia digest and ICP ES/MS finish).

The work is being completed using industry standard procedures, including a quality assurance/quality control ("QA/QC") program consisting of the insertion of certified standards, blanks and duplicates into the sample stream.

Qualified person

The technical content disclosed in this press release was reviewed and approved by Jodie Gibson, PGeo, vice-president, exploration, of Prospector, a qualified person as defined under National Instrument NI 43-101.

About Prospector Metals Corp.

Prospector is a proud member of Discovery Group, and focuses on district-scale, early-stage exploration of gold and base metal prospects. The company creates shareholder value through new discoveries and identifies underexplored or overlooked mineral districts displaying important structural and mineralogical occurrences similar to more established mining operations. Prospector is currently concentrating its efforts on its ML project in the Yukon, where it has discovered a high-grade gold-copper-silver zone (see news release dated Oct. 1, 2025). Prospector establishes and maintains relationships with local and indigenous rightsholders, and seeks to develop partnerships and agreements that are mutually beneficial to all interested parties.

We seek Safe Harbor.