GFG Drills 9.97 g/t Gold over 8.1 Metres at its Montclerg Gold Project Located in the Timmins Gold District

• Drilling at the Montclerg Gold Project ("Montclerg") continues to return high-grade and bulk tonnage intercepts demonstrating continuity within an expanding gold system.
• Hole MTC-23-054 returned multiple gold zones with a highlight of:
  • 9.97 grams of gold per tonne ("g/t Au") over 8.1 metres ("m") in the Upper Footwall zone, yielding one of the best gram-metre intervals drilled to-date at Montclerg within 60 m from surface.
• MTC-23-046 intercepted multiple zones 1 km east of the MC Central zone with a highlight of 1.93 g/t Au over 10.6 m including 4.94 g/t Au over 1.9 m.
• MTC-23-048 intersected several shallow mineralized zones at MC Central with a peak of 4.09 g/t Au over 4.1 m including 6.28 g/t Au over 2.3 m.
• Assay results from the remaining 5 holes are pending and will be announced as they are received.
• Achieved nearly 90% drilling hit rate since acquiring the Montclerg Gold Project in late 2021.
• Drilling is planned to resume in the third quarter with a focus on Montclerg and testing high-priority gold targets across the Goldarm Property.
• In addition to the planned 10-12,000 m of drilling, GFG has initiated its summer exploration activities across the Goldarm Property which include regional geophysical and geochemical surveys, prospecting, mapping and significant data compilation aimed at generating new regional targets.
  

SASKATOON, Saskatchewan, June 27, 2023 -- GFG Resources Inc. (TSXV: GFG) (OTCQB: GFGSF) ("GFG" or the "Company") reports new high-grade gold assay results from its recently completed 13-hole 2023 Phase 1 drill program at the Montclerg Gold Project, located 40 kilometres ("km") east of Timmins, Ontario. (see Table 1 and Figures 1-3). The results released today are from eight drill holes completed along the Montclerg gold system where GFG has continuously proven and grown a robust gold system since the Company acquired the asset in October 2021.

The Phase 1 drill program was designed to complete infill drilling to confirm continuity in the Montclerg Central area and drill significant step-out holes to determine if gold mineralization occurs over one km to the east. The Phase 1 drill program was higher risk by design as the Company believes that the opportunity to discover new zones of gold mineralization at depth and along strike at Montclerg is high.

"Over the past year, we have successfully consolidated the Goldarm property, resulting in an extensive and highly prospective regional land holding in an incredibly well-endowed and infrastructure-rich region," stated Brian Skanderbeg, President and CEO of GFG. "Our strategy is two-fold: first, to advance and grow the Montclerg gold system into a system of critical mass, and second, to generate, develop, and systematically test a pipeline of priority drill targets across the Goldarm property. Our drilling efforts to date have primarily focused on the shallow portions of the system, where we have demonstrated strong continuity and grade. As we expand our exploration to depth and along strike, we continue to intercept high grades and outline new zones of gold mineralization, showcasing Montclerg's strong potential for new discoveries both at depth and to the east. The same holds true for the Aljo Mine target and our other fully permitted regional targets. Our progress thus far underscores our commitment to maximizing the value of our assets and driving long-term growth for our stakeholders."

Table 1: Initial Assay Results from the 2023 Phase 1 Drill Program at the Montclerg Gold Project

*Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution of up to 3 m at grades less than 0.2 g/t Au. Included intervals are calculated using a 3 g/t cut-off. True width is estimated to be 50 to 90% of drilled length.
** Holes MTC-23-047, 049, 050, 051 had no significant gold assays.

Commentary on Assay Results
Drill hole MTC-23-045 was designed as a significant northeastern step-out hole testing stratigraphy more than 700 m from the core of MC Central. The hole successfully intersected two new zones of gold mineralization. The upper zone lies along a mafic-felsic volcanic contact returning 2.00 g/t Au over 5.5 m, including 3.83 g/t Au over 1.2 m. Mineralization within the mafic volcanic unit consists of thin microfractures infilled with quartz carbonate with up to 3% pyrite and arsenopyrite. Mineralization within the felsic volcanic was typical of the MC Central panel, with up to 15% thin extension veins with arsenopyrite halos. The lower zone lies entirely within the footwall of the felsic volcanic unit returning 1.23 g/t Au over 6.7 m including 3.18 g/t Au over 1.0 m and is characterized by up to 7% extensional quartz-carbonate veining with up to 5% fine-grained disseminated arsenopyrite and pyrite.

The presence of considerable gold mineralization this far east of the MC Central bodes well for potential extension of the Montclerg system along strike. The nature of alteration and mineralization observed is very similar to that of the Upper and Lower Main zones at MC Central.

Drill hole MTC-23-046 was drilled to test the Montclerg Footwall zones 1 km east of MC Central. The hole was designed to test the mafic stratigraphy south of the gabbro where limited drilling has been completed. The drill hole successfully intersected 1.93 g/t Au over 10.6 m, including 6.63 g/t Au over 0.9 m and also including 4.94 g/t Au over 1.9 m in mafic volcanic rocks. The zone appears similar to the Lower Footwall zone at MC Central. The zone is characterized by strongly ankerite-altered mafic volcanics with fine-grained disseminated pyrite and arsenopyrite with up to 15% quartz-carbonate veining.

The observed mineralization in MTC-23-046 correlates well with a broad interval of low-grade gold intersected in MTC-22-044 approximately 75 m down-dip and to the west (see news release dated April 11, 2023). The continuity and moderately higher grades in MTC-23-046 demonstrate the potential for additional mineralized zones in this area that lies 1 km east of MC Central.

Drill hole MTC-23-048, was designed to test a gap within the Main Zone within the felsic volcanics as well as the extension of the Upper Footwall zone to the east. A broad zone was intersected in felsic volcanics which returned 0.50 g/t Au over 13.9 m. The zone consists of strong sericite-ankerite alteration with up to 15% quartz carbonate veins associated with halos of up to 2% arsenopyrite and pyrite. The Upper Footwall zone was intersected where expected, yielding an intercept of 4.09 g/t Au over 4.1 m including 6.28 g/t Au over 2.3 m. Strongly ankerite-altered mafic volcanics were intersected with up to 10% fine disseminated arsenopyrite and pyrite, and minimal veining. The mafic-hosted Upper Footwall zone observed (4.09 g/t Au over 4.1 m) extends the mineralized envelope modestly to depth.

Drill hole MTC-23-054, was designed to test the up-dip extension of the Upper Footwall zone. Two zones were intersected yielding 1.15 g/t Au over 3.8 m and 9.97 g/t Au over 8.1 m. The first zone is characterized by strongly altered massive mafic volcanics with up to 10% arsenopyrite and pyrite, and 3% thin, irregular quartz-carbonate veins. The second zone occurs within a strongly altered mafic flow-top breccia with up to 15% arsenopyrite and pyrite and up to 3% quartz-carbonate veining.

This high-grade intercept from the Upper Footwall zone within the MC Central significantly extends mineralization towards the surface and stands out as one of the best intercepts drilled to-date along the Montclerg trend.

Anders Carlson, Vice President, Exploration commented, "As a newcomer to the Montclerg Gold Project, I have been impressed by the local high-grade nature of this gold system and recognize the impact of local and regional faulting as major controls on mineralization. As we move forward with future drill programs at Montclerg, it will be vital to understand the nature of gold mineralization to assess gold recoveries while accelerating our appreciation of the system's scale through step-out drilling and refinement of the geological model."

2023 Exploration Program
In 2023, the Company's focus will be on defining and growing the Montclerg gold deposit and testing five high-priority gold and gold-copper targets within its Goldarm Property. For the year, the Company plans to complete 10-12,000 m of drilling at multiple permitted and drill ready targets on the Goldarm Property. In addition to the planned drill programs, GFG will continue to complete extensive surface exploration across the Goldarm Property which covers 30 km of the Pipestone and North Pipestone deformation zones and is surrounded by significant gold mining infrastructure. The 2023 exploration budget will be approximately C$3.0 million and is fully funded.

Figure 1: Regional Map of GFG Gold Projects in the Timmins Gold District
https://www.globenewswire.com/NewsRoom/AttachmentNg/34d8ce0d-4dd8-4a31-adec-29f8dbc0a425

Figure 2: Goldarm Property Plan View Map
https://www.globenewswire.com/NewsRoom/AttachmentNg/21932618-6cb7-47f8-b1dd-6f448c36e766

Figure 3: Montclerg Gold Project Plan View Map
https://www.globenewswire.com/NewsRoom/AttachmentNg/dc00808d-6e6c-444f-a076-ac6a55113b28

Table 2: GFG Drill Hole Assay Highlights from the Montclerg Gold Project

*Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution of up to 3 m at grades less than 0.2 g/t Au. Included intervals are calculated using a 3 g/t cut-off. True width is estimated to be 50 to 90% of drilled length.

About the Goldarm Property
The Goldarm Property is a large and highly prospective land package east of the Timmins Gold Camp (see Figures 1-2). The consolidated Goldarm Property covers approximately 30 kilometres ("km") of the Pipestone Deformation Zone and the North Pipestone Deformation Zone. Within the Goldarm Property, there are several highly prospective gold targets such as the Aljo Gold Mine region, the Carr target and the Montclerg Gold Project which is the most advanced target. The Montclerg Gold Project covers 10 km of the highly prospective Pipestone Deformation Zone and is located 48 km east of the prolific Timmins Gold Camp and is adjacent to multiple current and historic gold mines (see Figure 1).

About GFG Resources Inc.
GFG is a North American precious metals exploration company focused on district scale gold projects in tier one mining jurisdictions, Ontario and Wyoming. In Ontario, the Company operates three gold projects, each large and highly prospective gold properties within the prolific gold district of Timmins, Ontario, Canada. The projects have similar geological settings that host most of the gold deposits found in the Timmins Gold Camp which have produced over 70 million ounces of gold. The Company also owns 100% of the Rattlesnake Hills Gold Project, a district scale gold exploration project located approximately 100 km southwest of Casper, Wyoming, U.S. In Wyoming, the Company has partnered with Group 11 Technologies Inc. through an option and earn-in agreement to advance the Company's Rattlesnake Hills Gold Project with a technology that could revolutionize the gold mining industry.

For further information, please contact:
Brian Skanderbeg, President & CEO
or
Marc Lepage, Vice President, Business Development
Phone: (306) 931-0930
Email: info@gfgresources.com
Website: www.gfgresources.com

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Footnote:
⁽¹⁾ Drill intercepts are historical and GFG's QP has not verified the laboratory accreditation, analytical method, sample size or QA/QC procedures utilized for the historic drill results. True widths have not been estimated.

Potential quantity and grade is conceptual in nature. There has been insufficient exploration to define a Mineral Resource on the Coulson Claims to date and it is uncertain if further exploration will result in the Coulson Claims being defined as a Mineral Resource.

Sampling and Quality Control
All scientific and technical information contained in this press release has been prepared under the supervision of Brian Skanderbeg, P.Geo. President and CEO of GFG, a qualified person within the meaning of National Instrument 43-101.

Drill core samples are being analyzed for gold by Activation Laboratories Ltd. in Timmins, Ontario. Gold analysis consists of the preparation of a 500-gram pulp and an assay of a 50-gram aliquot by Pb collection fire assay with an Atomic Absorption Spectrometry finish (Package 1A2-50. Samples assaying above 5 ppm Au are routinely re-run using a gravimetric finish (Package 1A3-50). Mineralized zones containing visible gold are analyzed by a screen metallic fire assay method. Selected samples are also undergoing multi-element analysis for 59 other elements using a four-acid digestion and an ICP-MS finish (Package MA250) by Bureau Veritas Commodities Canada Ltd. in Vancouver, British Columbia. Quality control and assurance measures include the monitoring of results for inserted certified reference materials, coarse blanks and preparation duplicates of drill core.

Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution of up to 3 m at grades less than 0.2 g/t Au. True width is estimated to be 50 to 90% of drilled length. Sampling protocols, quality control and assurance measures and geochemical results related to historic drill core samples quoted in this news release have not been verified by the Qualified Person and therefore must be regarded as estimates.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

All statements, other than statements of historical fact, contained in this news release constitute "forward-looking information" within the meaning of applicable Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (referred to herein as "forward-looking statements"). Forward-looking statements include, but are not limited to, the Company's future exploration plans with respect to its property interests and the timing thereof, the prospective nature of the projects, future price of gold, success of exploration activities and metallurgical test work, permitting time lines, currency exchange rate fluctuations, requirements for additional capital, government regulation of exploration work, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate" or "believes", or the negative connotation thereof or variations of such words and phrases or state that certain actions, events or results, "may", "could", "would", "will", "might" or "will be taken", "occur" or "be achieved" or the negative connotation thereof.

All forward-looking statements are based on various assumptions, including, without limitation, the expectations and beliefs of management, the assumed long-term price of gold, that the Company will receive required permits and access to surface rights, that the Company can access financing, appropriate equipment and sufficient labour, and that the political environment within Canada and the United States will continue to support the development of mining projects in Canada and the United States. In addition, the similarity or proximity of other gold deposits to the Company's projects is not necessary indicative of the geological setting, alteration and mineralization of the Rattlesnake Hills Gold Project, the Goldarm Property, the Pen Gold Project and the Dore Gold Project.

Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of GFG to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: actual results of current exploration activities; environmental risks; future prices of gold; operating risks; accidents, labour issues and other risks of the mining industry; availability of capital, delays in obtaining government approvals or financing; and other risks and uncertainties. These risks and uncertainties are not, and should not be construed as being, exhaustive.

Although GFG has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. In addition, forward-looking statements are provided solely for the purpose of providing information about management's current expectations and plans and allowing investors and others to get a better understanding of our operating environment. Accordingly, readers should not place undue reliance on forward-looking statements.

Forward-looking statements in this news release are made as of the date hereof and GFG assumes no obligation to update any forward-looking statements, except as required by applicable laws.