Mr. Terry Walker reports

SAN LORENZO'S LATEST GEOPHYSICAL IP SURVEY IDENTIFIES MULTIPLE HIGHLY PROSPECTIVE ANOMOLIES FOR UPCOMING DRILL PROGRAM AT SALVADORA PROPERTY, CHILE

San Lorenzo Gold Corp.'s results from the recently completed induced polarization geophysical survey have yielded multiple high-chargeability anomalies representing compelling drill targets for a follow-up drill program on the Cerro Blanco and Arco de Oro targets within San Lorenzo's flagship Salvadora property in north-central Chile.

1. Cerro Blanco drilling

Locations for the drilling of three follow-up holes on the Cerro Blanco target have been finalized with a possible fourth location pending results of geological modelling, which is currently under way.

The maiden drilling program previously conducted on Cerro Blanco confirmed that induced polarization chargeability data correlate well with areas of alteration and increased sulphide content that host gold mineralization at Salvadora. This is borne out by the results of the initial three-hole reconnaissance drill program. All three widely spaced holes in that maiden drill program, targeting IP chargeability anomalies, reported good gold intercepts in porphyry style alteration, including 153 metres grading 1.04 grams per tonne gold in hole SAL-01-24 and 85.7 metres grading 1.02 g/t gold in hole SAL-02-24 (see San Lorenzo news releases dated March 3 and March 17, 2025).

The results of the latest IP program, completed in June, 2025, yielded additional geophysical anomalies, equal to or stronger in chargeability and resistivity than those encountered in the initial IP program. The three coming diamond drill holes are planned to test the exciting new IP anomalies described below.

Commenting on the IP results, Terry Walker, San Lorenzo's vice-president of exploration, commented: "We are thrilled that the western extension to line C2 exhibits such a wide anomaly. With SAL 03-24 having already penetrated the other anomaly 300 metres east of our upcoming locations on line C2, having obtained significant gold intercepts from all holes drilled at Cerro Blanco, we have increased confidence that exciting results will be returned from these holes."

Mr. Walker continued: "However, the anomaly visible on line C5 is particularly gratifying in that it is the strongest anomaly we observed from our initial IP program, which was located just south of the break in the northernmost line, a break that we could not fill in due to topography. Drilling on that line was a high priority, but access issues made drilling there difficult. Having its existence reconfirmed with the very strong, in fact the strongest yet, anomaly on the middle IP line and the fact that it is in an area where access is simpler means that we are now able to drill that feature. We are excited to get drilling on Cerro Blanco soon."

2. Arco De Oro drilling

Following receipt of the new IP data in late May, San Lorenzo commenced an additional geochem sampling program at Arco de Oro. The survey, completed on June 28, 2025, involved regolith and rock sampling over a systematic grid that included taking 135 samples.

Drilling of several new holes at Arco de Oro is planned for the coming program. While preliminary drill hole locations have been field checked for accessibility, San Lorenzo will incorporate the surface sampling results into its exploration model before committing to final drill locations at Arco de Oro.

San Lorenzo expects surface sample assays to be received shortly and looks forward to providing further details regarding Arco de Oro drilling plans thereafter.

Credit facility increase

San Lorenzo is pleased to report that it has increased the availability of funds to conduct the coming drill program at Salvadora through a second convertible credit facility, which provides for additional advances of up to $1-million, subject to the approval of the TSX Venture Exchange. The second credit facility will be provided by the same company that provided the initial credit facility, which is a company related to a director of San Lorenzo (see San Lorenzo news release dated Nov. 19, 2024).

Background: As a result of increased metreage having been drilled during the last drilling campaign completed during February, 2025 -- together with more recent expenditures related to follow-up IP and surface sampling at Salvadora and the payment of annual claim fees -- the initial credit facility will not provide sufficient funds for the anticipated costs to complete the desired drilling program at Salvadora. As at June 30, 2025, amounts advanced by the related company exceeded the $1-million amount authorized under the initial credit facility (which has been converted into a term note). While San Lorenzo currently has sufficient funds on hand to repay those excess advances from the proceeds of the warrants exercised during March, 2025, San Lorenzo would not then have sufficient funds to complete the coming drilling program. Hence, the amounts advanced by the related company that are in excess of $1-million have not been repaid. The board of directors of San Lorenzo has unanimously determined that the implementation of the second credit facility, that has a conversion price equal to 150 per cent of San Lorenzo's recent trading price, is more beneficial to stakeholders than completing a private placement at a discount to the recent trading price. No warrants will be granted in respect of the second credit facility.

Details: The second credit facility provides that advances can be drawn by San Lorenzo of up to $1-million. Once drawn, advances under the second credit facility will be converted into a term loan maturing on July 31, 2027. The second credit facility bears interest at a rate of 8 per cent and is convertible at the option of the lender into common shares of the company at a price of 35 cents per common share until maturity. If converted, the lender has agreed to a contractual hold period such that the share certificate representing the common shares will bear a legend restricting the trading of such shares for a period of one year from the date of their issuance.

Multilateral Instrument 61-101 considerations: As a company related to an insider of the company is participating in this transaction, it is deemed to be a related-party transaction as defined under Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). Neither the company nor to the knowledge of the company after reasonable inquiry a related party has had knowledge of any material information concerning the company or its securities that has not been generally disclosed. The second credit facility is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 (pursuant to subsections 5.5(c) and 5.7(1)(b)) as it was a distribution of securities for cash, and neither the fair market value of the second credit facility, nor the consideration received from related parties will exceed $2.5-million. The second credit facility was unanimously approved by the board of directors of the company, excluding the director who is related to the company providing the second credit facility, who abstained from voting. Tailwind Capital Neo Fund Ltd., the related company, currently holds 50,000 common shares of San Lorenzo and holds no options. Conversion of the initial credit facility and the second credit facility, if fully drawn to the maximum permitted amount, would result in the issuance of 7,857,143 common shares, which would represent 9.00 per cent of the then issued common shares of San Lorenzo.

Qualified person

Terence Walker, a qualified person for purposes of National Instrument 43-101, has reviewed and approved of the contents of this news release.

About San Lorenzo Gold Corp.

San Lorenzo is focused on advancing its flagship Salvadora property located in Chile's megaporphyry belt. Results obtained from prior drilling programs conducted on four different targets have convinced management that several significant gold and copper enriched epithermal and porphyry style systems are contained within the Salvadora property.

We seek Safe Harbor.