Spanish Mountain Gold's High-Grade Results Bolster Case for New BC Mine

VANCOUVER, BC – June 15, 2026 – Spanish Mountain Gold Ltd. (TSX-V: SPA) is systematically rewriting the narrative of its flagship project in British Columbia's historic Cariboo Gold Corridor. The company today announced a series of high-grade gold intercepts from its ongoing feasibility study drill program, including a significant 100-metre section grading 1.00 gram per tonne (g/t) gold. These results, coupled with a recently secured US$55 million financing package, are significantly de-risking the project and bolstering the economic case for what could become the region's next major gold mine.

The latest assays from eight diamond drill holes are validating a new geological interpretation that is successfully targeting higher-grade zones. The results not only confirm the continuity of mineralization but also expand the known high-grade, near-surface potential within the critical Orca Fault Corridor, a key driver of the project's value. With a feasibility study now fully funded and a construction decision targeted for 2028, the Vancouver-based developer is building considerable momentum.

Unlocking Value in the Orca Fault Corridor

The highlight reel from the latest drill program is impressive and speaks directly to the project's enhanced potential. Drill hole 26-DH-1361 intersected a broad 221.8-metre zone of 0.74 g/t gold, which contained the standout interval of 100.0 metres grading 1.00 g/t gold. Within that, a richer subset returned 24.35 metres of 2.06 g/t gold.

Equally compelling were near-surface results from hole 26-DH-1362, which hit 100.1 metres of 0.88 g/t gold starting just 8.3 metres from the surface. This intercept included a high-grade kicker of 9.0 metres grading an impressive 7.46 g/t gold. These grades are substantially higher than the project's 2025 Mineral Resource Estimate average grade of 0.44 g/t gold, challenging the historical perception of Spanish Mountain as solely a large, low-grade deposit.

The key to this success has been a refined drilling strategy. The company's technical team identified that historical drilling was not optimally oriented to intersect the project's late-stage, high-grade vein systems. The current program, drilling at a preferred 120° azimuth, is proving highly effective at intersecting these northeast-striking structures within the Orca Fault Corridor. This technical adjustment is now consistently hitting higher-grade gold in areas previously modeled as waste rock, which has profound positive implications for the future mine's strip ratio and overall profitability.

"We are excited to announce positive new high-grade near surface drill results from the 2026 Feasibility Drill Program," commented Peter Mah, President and CEO of Spanish Mountain Gold. "These results continue to expand on previous reported drill intersections of high-grade late-stage mineralization along the Orca Fault Corridor." The company has completed approximately 28,500 metres of a larger program, with two rigs continuing to test the limits of this promising corridor.

From Royalty Sale to Construction Decision

Underpinning the technical success is a robust financial strategy that has secured the project's path forward. In May, the company announced the closing of a US$55 million deal with Wheaton Precious Metals, one of the world's largest precious metals streaming companies. In exchange for a 1.5% Net Smelter Royalty (NSR), Spanish Mountain Gold received an initial US$22.5 million, with the remainder available upon meeting certain milestones.

Crucially, this transaction provides non-dilutive financing, meaning the company secured the full funding for its capital-intensive feasibility study without issuing new shares and diluting existing shareholders. This move provides certainty and allows the management team to focus exclusively on optimizing the project's technical and economic parameters ahead of a 2028 construction decision. This de-risking milestone is a significant vote of confidence from a major industry financier and validates the project's potential on a global scale.

The ongoing feasibility study will build upon a 2025 Preliminary Economic Assessment (PEA) that already outlined a robust, large-scale operation. The PEA projected a 24.5-year mine life producing an average of 122,041 ounces of gold annually, with production in the first five years averaging over 203,000 ounces. The study projected an all-in sustaining cost (AISC) of US$1,338 per ounce, demonstrating healthy margins at current gold prices.

A Modern Gold Rush in the Cariboo

The Spanish Mountain project is strategically located in a region experiencing a modern gold rush. The Cariboo Gold Corridor, famous for its 19th-century goldfields, is now a hub of activity for major developers, including Osisko Development, which is advancing its own Cariboo Gold Project nearby. This regional momentum creates potential synergies for infrastructure, labor, and supply chains, while also confirming the area's geological endowment.

Spanish Mountain Gold is positioning itself to be a leader not just in production, but in environmental stewardship. The company has expressed its ambition to build the "greenest gold mine in Canada," a goal supported by tangible design choices. The project benefits from access to BC Hydro's low-carbon power grid, and the company is already well advanced in the grid connection process. Furthermore, the mine plan incorporates dry-stack tailings, a method that significantly reduces water consumption and the project's environmental footprint compared to conventional tailings ponds. This focus on ESG principles is not only responsible but also a strategic advantage in today's investment climate, potentially streamlining the permitting process and attracting a wider pool of capital.

With high-grade drill results consistently expanding the resource, a fully funded path to a construction decision, and a strategic position in a tier-one mining jurisdiction, Spanish Mountain Gold is demonstrating the immense potential being unlocked in one of Canada's most storied gold districts.