Mr. Paul Stevenson reports

SEGO RESOURCES INTERCEPTS PORPHYRY-RELATED PHYLLIC ALTERATION AT CUBA ZONE, 1200 M NORTHEAST OF THE BILLY ZONE PORPHYRY COPPER DISCOVERY MADE IN DECEMBER 2025

A classic, porphyry-related phyllic alteration zone was intercepted in drill hole DDH25-71, which was drilled at Sego Resources Inc.'s Cuba zone, which is located 1,200 metres northeast of the South Gold zone, now part of a larger Billy zone.

Drill hole DDH25-71 was based on earlier copper intercepts from drill holes DDH-MM-18-37 and DDH-MM-18-34. The purpose of this drill hole was to explore potentially deeper, structurally controlled porphyry copper mineralization.

Pyrite is present within the phyllic altered zone, being mostly fine and disseminated, with occasional stringers and veinlets.

Quartz stockwork was also observed locally.

Based on geological observations from this hole, the next Cuba zone drill hole can be drilled from the northeast, which could intercept the mineralized zone earlier.

Phyllic alteration is very important in the exploration for copper porphyry deposits, as it often defines a halo or a shell surrounding the central, potassic (K-feldspar/biotite) alteration zone.

Patchy potassic (K-feldspar) alteration was also intercepted, in the lowermost part of drill hole DDH25-71, starting at 542.93 metres and extending until the end of the drill hole at 586.64 metres, gradually increasing in its size and intensity with increasing depth.

Below 577.68 metres, and especially between 580.84 metres and 586.64 metres (end of drill hole), the core looks similar in its appearance (patchy potassic, K-feldspar alteration and brecciated nature) to the best mineralized intervals of MM-18-37 drill hole, which were also at the very end of drill hole MM-18-37, from 225 metres to 233 metres (final depth).

Magnetic susceptibility readings in drill hole DDH25-71 made a very sharp, big increase at 560 metres, compared with earlier readings. All magnetic susceptibility readings from 560 metres to 588 metres (measured at every metre) were high to very high.

Core logging has been completed, with continuing core cutting and samples being prepared for shipping to the lab in Calgary.

Qualified person

The technical information in this news release has been reviewed and approved by Goran Markovic, MSc, PGeo, who is a qualified person under the definitions established by National Instrument 43-101 and is an independent consulting geologist commissioned by Sego Resources Inc.

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