Ms. Joanne Freeze reports

XALI GOLD IMPLEMENTS BASELINE STUDIES FOR DRILLING PERMIT APPLICATION AT PICO MACHAY GOLD PROJECT IN PERU

Xali Gold Corp. has engaged GEADES, a leading Peruvian environmental and social consulting firm, to support the company's environmental protection activities in Peru, including the completion of baseline studies required for the ficha tecnica ambiental drilling permit on its Pico Machay gold project. Fieldwork will be conducted from May 5 to May 11, and the FTA is expected to be submitted to the DGAAM (General Directorate of Mining Environmental Affairs) of MINEM (Ministry of Energy and Mines in Peru) in June, 2026.

"We have chosen to work with GEADES as they have extensive in-country experience in environmental permitting and regulatory compliance and have worked on a wide range of mining projects from early-stage exploration to advanced development stages," stated Joanne Freeze, president and chief executive officer of Xali Gold. "GEADES has provided services to a number of well-known international mining companies in Peru, including Anglo American, Teck Peru, Lundin Mining, Iamgold Peru, Bear Creek Mining, Mitsui Mining & Smelting Co., and many others. We are very pleased to be working with GEADES as they bring a strong track record of supporting mining and exploration companies across Peru, and are well regarded for their technical capabilities and deep understanding of Peru's regulatory framework."

GEADES has extensive experience with environmental impact studies, permitting processes and stakeholder engagement strategies. Their experience across key mining regions in the country positions them as a trusted partner for companies seeking to advance projects responsibly and efficiently.

Following completion of this work, the company intends to advance to the preparation of the detailed environmental impact assessment, the longest lead-time component of the permitting process for mining operations in Peru.

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 resource and several untested targets on the project. Various historical engineering studies at Pico Machay were also completed and 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.

Investor relations consultant

Xali Gold also announces that it has retained the services of GRA Enterprises LLC doing business as National Inflation Association to provide investor relations services to the company for an initial term of six months, which term may be renewed by Xali Gold for an additional term of three, six or 12 months. The aggregate consideration for the services provided during the initial term is $75,000 (U.S.) payable in three tranches. The services include communications of Xali Gold's activities and contacts with the financial community, shareholders, investors and other stakeholders for the purpose of increasing awareness of the company and its activities. NIA and its affiliates currently hold no shares of the company; however, NIA may from time to time acquire or dispose of securities of the company through the market, privately or otherwise, as circumstances or market conditions warrant. NIA is at arm's length to Xali Gold and has no other relationship with the company, except pursuant to the consulting agreement. The retention of NIA to provide the services is subject to regulatory approval by TSX Venture Exchange.

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 which have the rights to produce gold and silver from specific areas of 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.

Ms. Freeze, PGeo, is a qualified person as defined by National Instrument 43-101, and has reviewed and approved the contents of this release.

We seek Safe Harbor.