Mr. Douglas Meirelles reports

SOUTH ATLANTIC GOLD COMMENCES PHASE III MOBILIZATION AT PEDRA BRANCA

South Atlantic Gold Inc. has provided an exploration update and has commenced mobilization for its fully financed phase III diamond drill program at the Pedra Branca gold project in Ceara state, Brazil. The 5,000-metre, approximately $3.0-million program will conduct diamond drilling across three targets.

Douglas Meirelles, president and chief executive officer, stated: "During this initial phase of the current exploration program, we will test whether Queimadas target potentially extends to the depths and could be comparable to similar documented hypozonal orogenic deposits, globally. As we advance this exploration program and at the right time, we will also conduct additional drilling at Mirador and Igrejinha -- our three resource targets in the current NI 43-101 technical report from 2021. The ongoing program will be guided by results not only from these drilling programs, but all the additional geotechnical work and other support exploration activities already under way. We look forward to providing shareholders with a steady flow of results beginning in Q2 2026."

Highlights:

• Fully financed from $4.2-million private placement, closed in March, 2026; initiating IP (induced polarization) geophysical survey; mapping at depth, and drill potential extensions at Queimadas, Mirador and Igrejinha;
• Depth drilling at Queimadas -- targeting depths significantly below the current RC (reverse circulation) drilling ore intercepts, targeting at maximum of 200 metres (m) to confirm the hypozonal orogenic gold system;
• Multitarget diamond drilling program across three targets; field mobilization under way, with drilling expected in late April, 2026.

Program details

The phase III program comprises approximately 5,000 metres of diamond drilling (HQ/NQ-oriented core) across three targets over approximately eight months. Two drill rigs will be deployed, commencing at Queimadas for deep testing and potential extensions before advancing to Mirador and Igrejinha.

Additional program elements include:

• IP geophysical survey: The company's initial induced polarization survey will map the sulphide-bearing zones at depth. The pyrrhotite-dominant sulphide assemblage at Pedra Branca is an ideal IP target. Approximately 14 line kilometres (km) of surveying at the Queimadas target extensions along the strike and dip with a potential to extend to other targets;
• Core resampling: additional historical diamond drill holes on those three targets to be resampled with fire assay gold and ICP-MS (inductively coupled plasma mass spectrometry) 33-element geochemistry.

The company anticipates providing regular exploration updates throughout the program, with first assay results expected during Q2 (second quarter) 2026.

Queimadas -- depth extension

Queimadas is the main host of the Pedra Branca NI 43-101 inferred mineral resource from 2021. Previous diamond drilling at Queimadas returned gold mineralization that persists to the deepest levels tested:

• FCC002: 20.5 m at 4.69 grams per tonne (g/t) gold (Au) (grade times width equal to 96.1);
• FCC016: 1.0 m at 43.70 g/t Au at 90 m downhole depth (isolated high-grade interval).

The deepest hole (FCC019, 201 m) did not reach extent of the potential mineralized system.

Mirador -- southwest expansion

Phase III will test the undrilled southwest extension at Mirador, following up on previous intercepts, including:

• FMC008: 5.1 m at 9.35 g/t Au.

Igrejinha -- discovery target

Igrejinha has returned the strongest surface results in the Pedra Branca district but has never been tested by diamond drilling. Previous work includes reverse circulation drilling to a maximum depth of 52 metres and extensive trenching, returning:

• TIG044: 6.4 m at 19.18 g/t Au (grade times width equal to 122.8).

All reported intervals are downhole lengths. True widths have not been determined.

Qualified person's statement

The scientific and technical information that forms the basis for this news release was reviewed and approved by Marcelo Antonio Batelochi (PGeo), MAusIMM (CP), senior vice-president of exploration of the company and a qualified person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects.

About South Atlantic Gold Inc.

South Atlantic Gold is a gold exploration company advancing the 100-per-cent-owned Pedra Branca gold project in Ceara state, northeastern Brazil. The project hosts an NI 43-101 inferred mineral resource of 180,000 ounces of gold (4.0 million tonnes (t) at 1.38 g/t Au at a cut-off of 0.40 g/t), with 13 targets identified along an approximately 14 km mineralized corridor within a 50-plus km prospective shear zone. The company holds 31 mineral rights covering approximately 50,814 hectares and had approximately $4.2-million in cash as of March, 2026. South Atlantic Gold trades on the TSX Venture Exchange (SAO) and the OTC pink sheets (JLRRF).

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