Ms. Joanne Freeze reports

XALI GOLD ADDS PERMITTING EXPERT TO DEVELOPMENT AND OPERATIONS TEAM AT PICO MACHAY GOLD PROJECT IN PERU

Xali Gold Corp. has appointed Aran Gough as senior adviser, environmental and social governance (ESG), for the advancement of its Pico Machay gold project in Peru. Mr. Gough will lead all permitting work required from drilling through development and construction and into production.

"Aran will play a key role in advancing Pico Machay with a focus on responsible resource development," stated Joanne Freeze, president and chief executive officer of Xali Gold. "He is currently guiding our submission of an FTA (ficha tecnica ambiental -- simplified environmental permit) for drilling. While timelines can vary depending on regulatory review, this type of permit in Peru can take as little as one month but usually is a three-month process such that we could expect to be drilling close to the end of Q2.

"Aran's extensive experience in Peru, and his track record of advancing projects from exploration, through development, construction and into operations, will also be instrumental as we prepare to initiate the EIA-d (detailed environmental impact assessment) for operations," continued Ms. Freeze. "By integrating environmental planning early in the project life cycle, we aim to support a responsible and efficient path into production."

To provide additional context on Pico Machay, Xali Gold has published a video highlighting key target areas, historical work and exploration potential across the project.

"After successful permitting of larger projects for many years, I'm excited to join Xali Gold to see such an exciting project into development on a short time frame," stated Mr. Gough. "I look forward to supporting the advancement of permitting and environmental planning to help position Pico Machay for efficient and responsible development."

Mr. Gough has 29 years of international experience across the full mining life cycle, permitting mining projects from exploration through development and into operations. He has held several senior leadership roles for major companies, including in sustainable development, environmental management and regulatory processes. Prior to working as an independent sustainability and environmental consultant, he served as manager, sustainable development, at Teck Resources Ltd., where he led sustainability strategy for multiple growth assets and supported active operations, advancing sustainability initiatives and regulatory planning. Mr. Gough previously held key leadership roles in Peru, including environmental services manager for Proyecto Zafranal, where he successfully guided the project from exploration through feasibility, environmental assessment and regulatory approval. Mr. Gough also held the position of environmental services manager at Minera Chinalco Peru SA, where he directed permitting and environmental studies/programs for the Toromocho mine from exploration through feasibility and construction and into operations.

With extensive international experience managing projects across the full mining life cycle, Mr. Gough brings strong expertise in regulatory strategy, risk management and stakeholder engagement. A dual citizen of Canada and Peru, he is fluent in English and Spanish and is committed to advancing sustainable development through transparent, inclusive processes that balance environmental and social responsibility with strong fiscal and operational performance. Mr. Gough is a registered professional biologist with the College of Applied Biology of British Columbia.

Annual general meeting (AGM) results

Xali Gold is also pleased to report that all matters submitted to shareholders at its AGM held on April 7, 2026, were approved. Shareholders re-elected Ms. Freeze, Larry Kornze, George Elliott, Matthew Melnyk and Mario Chirinos to the board of directors to serve until the next AGM. Charlton & Co. was appointed as the auditor of the company and the omnibus equity inventive plan was also approved. A total of 51.25 million shares were voted by 35 shareholders (31.95 per cent of outstanding shares).

For full voting details, please see the Xali Gold voting results as filed on SEDAR+.

About Pico Machay

Located within the southern Peru epithermal gold-silver belt, Pico Machay sits in a historically productive mining district in the Western Cordillera Andes. The project benefits from existing infrastructure and a mining-friendly community eager to partner on sustainable development.

Xali Gold remains confident in the significant upside potential at Pico Machay, which hosts a historical measured and indicated resource of 264,600 ounces of gold (10.6 million tonnes grading 0.78 gram per tonne gold) and an additional historical inferred resource of 446,000 ounces of gold (23.9 million tonnes grading 0.58 gram per tonne gold). A total of 154 reverse circulation holes drilled prior to 2009 were relied upon to delineate the historical resource. All holes were drilled in a central zone while nine additional high-potential exploration targets remain untested.

Various historical engineering studies at Pico Machay targeted an open-pit heap-leach operation, which was expected to be low cost and with a low strip ratio. Given that those studies were based on a long-term gold price of $700 per ounce and several exploration targets remain untested, Xali Gold considers the upside potential to be very strong.

Details of the acquisition can be found in the company's Oct. 24, 2025, and Dec. 24, 2025, news releases.

Technical information

Information regarding the historical resource at Pico Machay is outlined in the technical report titled "Amended Technical Report on the Pico Machay Gold Deposit in Huancavelica Province, Peru," prepared by David G. Thomas, PGeo, for Xali Gold, dated Dec. 16, 2025, and filed on SEDAR+, as well as the report titled "Independent Technical Report and Resource Estimate Pico Machay Gold Deposit," prepared by Caracle Creek International Consulting Inc. for Aquiline Resources Inc. (purchased by Pan American Silver) on Nov. 25, 2009. All resource estimates have used the same categories in accordance with CIM (Canadian Institute of Mining, Metallurgy and Petroleum) standards on mineral resources and reserves.

All resource estimates for Pico Machay are considered historical in nature and are based on prior data and reports prepared by previous property owners. A qualified person has not done sufficient work yet to classify the historical estimates as current resources in accordance with current CIM categories and the company is not treating the historical estimates as current resources. The qualified person considers the historical estimates to be relevant as they were prepared using industry-standard estimation methodologies, reporting categories and technical practices commonly relied upon by mining companies and other issuers for comparable mineral projects. Significant data compilation, redrilling, resampling and data verification may be required by a qualified person before the historical estimates on the project can be classified as a current resource. There can be no assurance that any of the historical mineral resources, in whole or in part, will ever become economically viable. In addition, mineral resources are not mineral reserves and do not have demonstrated economic viability. Even if classified as a current resource, there is no certainty as to whether further exploration will result in any inferred mineral resources being upgraded to an indicated or measured resource category.

All scientific and technical information in this news release has been prepared by or approved by David G. Thomas, PGeo, and Joanne C. Freeze, PGeo, qualified persons as defined by National Instrument 43-101 for the Pico Machay project. Ms. Freeze is the president and chief executive officer of Xali Gold and Mr. Thomas is independent.

Resources were estimated using historical drilling (up to 2004) and current drilling (drilled between 2004 and 2008). The resource estimate includes holes up to hole ABS-246, drilled in 2008. Micromine software (version 11.0.4) was used to facilitate the resource estimating process and the estimate was prepared in accordance with CIM standards on mineral resources and reserves.

Mineralized zones were outlined to enforce geological control during block modelling. The geological continuity of the broader mineralized zones, especially for the main zone, was quite good and could be readily followed from hole to hole and section to section. An average specific gravity (rock density) value, based on 11 samples, of 2.31 was used.

A block model was created, constrained by the zone wire frames. Blocks in the inferred category were defined based on search ellipse parameters with a range of 40 metres. Blocks in the indicated and measured categories were identified manually, based on drill intercepts spacing values of 27 metres and 20 metres, respectively. Ordinary block kriging was used to estimate block grades.

About Xali Gold Corp.

Xali Gold is a gold and silver exploration company focused on advancing opportunities in the Americas. The company is focused on the exploration and development of Pico Machay, an advanced-exploration-stage gold project in Peru with a near-term production goal. Xali Gold maintains exploration potential as well as two royalty agreements with third parties that have the rights to produce gold and silver from specific areas of the El Oro gold-silver project in Mexico, a historic district-scale precious metal system with a long history of significant gold and silver production.

Xali Gold is committed to working as a responsible partner with local communities.

Joanne C. Freeze, PGeo, is a qualified person as defined by NI 43-101 and has reviewed and approved the contents of this release.

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