Signal Gold Consolidates the Goldboro Gold District and Provides a Goldboro Project Update

TORONTO, July 11, 2023 - Signal Gold Inc. ("Signal Gold" or the "Company") (TSX:SGNL)(OTCQX:SGNLF) is pleased to announce that through staking and third-party transactions, the Company has now consolidated the majority of the Goldboro Gold District in Nova Scotia, nearly quintupling its exploration licence area to approximately 19,450 hectares (195 km²). The significantly expanded prospective land position, adjacent to the Goldboro Project ("Goldboro", or the "Project") and the Company's existing exploration land package, encompasses a 28-kilometre strike length along the Upper Seal Harbour Anticline (the "Goldboro Trend") and a 23-kilometre strike length along the Lower Seal Harbour Anticline (the "Seal Harbour Trend") (Exhibit A). Signal Gold now has a significant exploration base at Goldboro in Nova Scotia which is becoming one of Canada's larger scale, prospective development-stage gold districts.

The Company is also providing an update on the various development initiatives being undertaken for the Goldboro Project and on certain delays that have been experienced. The Company will be submitting the Mineral Lease Application imminently and is targeting the submission of the Industrial Approval and Fisheries Act Authorization in August. As announced on June 6, 2023, the unprecedented forest fires in Nova Scotia delayed the Company's work relating to, among other things, fisheries offsetting, archeological field work and geotechnical programs. These matters, combined with ongoing crown land use discussions will result in a delay to the Project past the previously forecasted construction start in early 2024. Given these delays and the challenging capital markets and inflationary environment for gold development companies, the Company intends to continue to demonstrate the potential scale of the Goldboro Deposit and greater Goldboro District and to optimize the operating parameters of the Project, and will re-evaluate a potential construction start date in due course.

"While the capital markets and inflationary environment continue to be challenging for junior gold development companies, we have been able to significantly consolidate the Goldboro Gold District, expanding our footprint in one of Canada's emerging, large-scale development-stage gold districts. While the Company continues to advance all key permitting activities, including the Industrial Approval and the Fisheries Act Authorization, we have also slowed down our expenditure rate to focus on key value-add activities to the Project, in particular the growth potential of the Goldboro Deposit and the gold camp potential of the district.

We are executing our largest ever growth exploration drill program of 12,000 metres with the aim of expanding the Goldboro Deposit westward towards the past producing Dolliver Mountain Gold Mine and will commence a review of the potential of our new land position for further mineral resource growth along the Upper and Lower Seal Harbour Anticlines, which includes the Goldboro and Seal Harbour Trends."

~ Kevin Bullock, President and CEO, Signal Gold Inc.

Mineral Exploration Licence Acquisition

The Company staked nine (9) new exploration licences for a total of approximately 7,415 hectares, to add to the 4,047 hectares the Company already controlled adjacent to, and including, the Goldboro Project. A further 18 exploration licences were acquired from third parties, adding a further 7,981 hectares to the Company's exploration licence land position (Exhibit A).

The Company acquired two (2) exploration mineral licences to the east of the Goldboro Deposit and contiguous to newly staked land positions, for total purchase consideration of $100,000 in cash and the issuance of 639,004 common shares of the Company. The Company also assumed an existing 2% gross royalty which applies to the two exploration licences acquired.

The Company also acquired sixteen (16) exploration mineral licences to the west of the Goldboro Deposit and contiguous to newly staked land positions, for a total purchase consideration of $100,000 in cash and the issuance of 2,529,933 common shares of the Company. The Company also granted a 2% gross sales royalty to the third-party vendor which applies to the exploration licences acquired.

All dollar amounts are in Canadian dollars unless otherwise noted.

This news release has been reviewed and approved by Paul McNeill, P. Geo., VP Exploration with Signal Gold Inc., a "Qualified Person", under National Instrument 43-101 Standard for Disclosure for Mineral Projects.

ABOUT SIGNAL GOLD

Signal Gold is advancing the Goldboro Gold Project in Nova Scotia, a significant growth project subject to a positive Feasibility Study which demonstrates an approximately 11-year open pit life of mine ("LOM") with average gold production of 100,000 ounces per annum and an average diluted grade of 2.26 grams per tonne gold. (Please see the 'NI 43-101 Technical Report and Feasibility Study for the Goldboro Gold Project, Eastern Goldfields District, Nova Scotia' on January 11, 2022, for further details). On August 3, 2022, the Goldboro Project received its environmental assessment approval from the Nova Scotia Minister of Environment and Climate Change, a significant regulatory milestone which enables the Company to commence site-specific permitting processes including the Industrial Approval and Crown Land Lease and Mining Lease applications. The Goldboro Project also has potential for further Mineral Resource expansion, particularly towards the west along strike and at depth. A future study will consider upgrading and expanding potentially mineable underground Mineral Resources as part of the longer-term mine development plan.

FORWARD-LOOKING INFORMATION

This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation, including the Company's future plans with respect to the exploration licences, the timing for the development of the Project, and the results of the Feasibility Study. Generally, forward-looking information 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 variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Signal Gold to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Signal Gold's annual information form for the year ended December 31, 2022, available on www.sedar.com. Although Signal Gold has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Signal Gold does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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SOURCE: Signal Gold Inc.