Mr. Kevin Bullock reports

SIGNAL GOLD INITIATES STRATEGIC PROCESS TO ADVANCE THE GOLDBORO PROJECT

Signal Gold Inc. has initiated a process with BMO Capital Markets, as its financial adviser, to evaluate potential strategic alternatives to advance the Goldboro project.

Signal Gold has successfully progressed Goldboro through several technical studies and permitting milestones while significantly growing the mineral resource and demonstrating the growth upside of the project. The company received the environmental assessment approval for Goldboro in August, 2022. The company has now submitted all key remaining permit applications, including the industrial approval, Fisheries Act authorization and Schedule 2 amendment, and the mining and Crown land leases, and remains committed to working to obtain all remaining key project permits within the next 12 months.

As outlined in the feasibility study dated Jan. 11, 2022, Goldboro is a robust, high-grade project with significant leverage in an increasing gold price environment. However, in this challenging market environment in which management believes Goldboro's intrinsic value is being substantially discounted, the company is focused on being capital efficient, with an emphasis on minimizing shareholder dilution and maximizing value. Signal Gold recognizes that a larger, better-capitalized or cash-flow-generating company could be better positioned to advance or assist in the advancement of Goldboro over the development timeline.

Strategic alternatives review

The strategic alternatives review could include, among other things, a joint venture transaction, a sale of the company, the project or all the assets of the company, a merger or other business combination, or another form of strategic transaction. The company has not made any decisions related to any strategic alternatives at this time, and there can be no assurance that the exploration of strategic alternatives will lead to any transaction or any other change or outcome.

The company does not intend to provide updates unless or until it determines that further disclosure is appropriate or necessary. During this time, the company will continue to focus on value creation through exploration initiatives on the expanded land package and continuing work to obtain all remaining key project permits.

The company has engaged BMO Capital Markets to assist in its review of strategic alternatives.

About Signal Gold Inc.

Signal Gold is advancing the Goldboro gold project in Nova Scotia, a significant growth project subject to a positive feasibility study which demonstrates an approximately 11-year open-pit life of mine with average gold production of 100,000 ounces per year and an average diluted grade of 2.26 grams per tonne gold. On Aug. 3, 2022, the Goldboro project received its environmental assessment approval from the Nova Scotia Minister of Environment and Climate Change, a significant regulatory milestone, and the company has now submitted all key permits, including the industrial approval, Fisheries Act authorization and Schedule II amendment, and the mining and Crown land leases. The Goldboro project has significant potential for further mineral resource expansion, particularly toward the west along strike and at depth, and the company has consolidated 27,200 hectares (approximately 272 square kilometres) of prospective exploration land in the Goldboro gold district.

This news release has been reviewed and approved by Kevin Bullock, PEng, president and chief executive officer of Signal Gold, a qualified person under National Instrument 43-101 -- Standards for Disclosure for Mineral Projects.

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