Royal Road Minerals Enters into Option and Royalty and Cash and Royalty Paying Formalization Agreements with Two Producing Gold Mines; Colombia

Toronto, October 24, 2023 - Royal Road Minerals Ltd. (TSXV: RYR) ("Royal Road" or the "Company") is pleased to announce that its 100% owned Colombian subsidiary Exploraciones Northern Colombia SAS ("ENC"), has entered into two formalization-based agreements with producing gold mines in the Antioquia and Caldas Departments of Colombia.

The Aleman Option and Royalty Agreement

ENC has executed an Option and Royalty Agreement (the "Aleman Agreement") with respect to the "El Aleman" gold mining concession contract (the "Aleman Concession Contract") owned by individual titleholders (the "Titleholders") and located in Colombia's Antoquia Department. The Aleman Agreement replaces a Binding Heads of Agreement which was entered into between the Company and the Titleholders in December of 2021 (see Press Release December 14, 2021).

The property underlying the Aleman Concession Contract is located immediately adjacent to the Company's Guintär copper and gold porphyry project where the Company has intersected significant porphyry-style mineralization including, GUI-DD-012, 303.7 meters at 0.8% copper equivalent¹ (including 62.0 meters at 2.1 grams per tonne gold, 12.4 grams per tonne silver and 0.62% copper), GUI-DD-013, which returned 126.0 meters at 0.9% copper equivalent (1.2 grams per tonne gold equivalent), GUI-DD-020 which returned 118.0 meters at 0.8% copper equivalent and GUI-DD-021 which returned 181.0 meters at 0.9% copper equivalent (1.1 grams per tonne gold equivalent; see press releases December 14, 2021, April 28, 2022 and June 28, 2022). In 2022 the Company conducted exploratory drilling on the Aleman Concession Contract area and intersected encouraging results including ALM-DD-001, 80.5 meters at 1 gram per tonne gold, including 18 meters at 3 grams per tonne gold (see Press Release June 28, 2022).

Under the terms of the Option and Royalty Agreement, the Company can acquire 100% of the Aleman Concession Contract. Summary terms are as follows:

• Royalty Commitment: The Titleholders shall pay a 3% Net Smelter Returns royalty to ENC which is payable quarterly for a period of 20-years (the current term of the company's Guintär concession contract) or until the Company exercises its Option to acquire an 80% interest in the Concession Contract
• Option Agreement: At any point, Royal Road may exercise its option to acquire an 80% interest in the Concession Contract by making a one-time payment to the Titleholders of USD$2.25 million
• Free Carry: Following such payment, the 20% interest retained by the Titleholders shall be free carried until a successful feasibility study is delivered in connection with or incorporating the Aleman concession contract, at which point this interest will be converted to a 2% net smelter returns royalty. The net smelter returns royalty may be purchased by Royal Road for a sum of USD$20 million
• Further Terms: Traditional representations and warranties by the Titleholders including compliance with all regulatory requirements at all times, payment of all taxes, duties, and other government payments, maintenance of minimum investments required by law, and performance of all acts and all obligations under applicable law required to maintain the Aleman Concession Contract in good standing

The El Tambo Purchase and Sale Agreement

ENC has entered into an agreement (the "El Tambo Agreement") to sell 100% of its "El Tambo" mining concession contract (GDI-138) located in Cauca Department to Esplendor CH S.A.S ("Esplendor"), a Colombian gold mining company in exchange for a 2% Net Smelter Return royalty (NSR) payable over a 5-year term, and a cash consideration.

The El Tambo mining concession contract is located in Cauca Department and is approximately 4000 hectares in area. The concession contract was acquired through the Company's purchase of Northern Colombia Holdings Limited, an affiliate of AngloGold Ashanti Limited ("AGA"; see Press Release May 31, 2019). The area underlying the El Tambo mining concession contract contains gold mineralized quartz veins some of which continue along-strike and extend onto Esplendor's contiguous underground mining operation. Esplendor's mining operation is Fairmined Certified. This agreement is expected to significantly boost production from extensions to Esplendor's vein bodies which continue directly from active underground workings onto the El Tambo concession contract area.

Summary deal terms are as follows:

• Cash Consideration: Esplendor will make five cash payments totaling COP$700M (approximately USD$177,000) to ENC in exchange for the transfer of the El Tambo mining concession contract with payments linked to progress throughout the regulatory stages of title transfer
• Royalty Commitment: Esplendor shall pay a 2% NSR to ENC on a quarterly basis and for a period of five years from the commencement of commercial production from within the El Tambo concession contract area
• Further Terms: Esplendor shall be bound to the terms of the Share Purchase Agreement entered into between the Company and AGA

"These agreements reflect our ongoing commitment to the formalization of informal mining operations in Colombia and illustrate our intention of assuring our Colombian interests are responsibly self-sustaining," said Tim Coughlin, Royal Road's President and CEO.

About Royal Road Minerals

Royal Road Minerals is a mineral exploration and development company with its head office and technical-operations center located in Jersey, Channel Islands. The Company is listed on the TSX Venture Exchange under the ticker RYR and on the Frankfurt Stock Exchange under the ticker RLU. The Company's mission is to apply expert skills and innovative technologies to the process of discovering and developing copper and gold deposits of a scale large enough to benefit future generations and modern enough to ensure minimum impact on the environment and no net loss of biodiversity. The Company currently explores in the Kingdom of Saudi Arabia, Argentina, Morocco and Colombia. More information can be found on the Company's website www.royalroadminerals.com.

Neither the 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.

The information in this news release was compiled, reviewed and verified by Dr. Tim Coughlin, BSc (Geology), MSc (Exploration and Mining), PhD (Structural Geology), FAusIMM, President and CEO of Royal Road Minerals Ltd. and a qualified person as defined by National Instrument 43-101. Royal Road Minerals employees are instructed to follow standard operating and quality assurance procedures intended to ensure that all sampling techniques and sample results meet international reporting standards. More information can be found on Royal Road Minerals web site at www.royalroadminerals.com.

Quality Assurance and Quality Control:

Sample preparation and analyses are conducted according to standard industry procedures. Drill core and saw-cut channel samples are crushed, split and pulverized prior to analysis of Gold by fire assay and Atomic Absorption and multi-elements by ICP-AES and ICP-MS after four acid digestion. Soil samples are sieved to -200 mesh and analyzed for Gold by fire assay and ICP AES and multi-elements by ICP-AES and ICP-MS after aqua regia digestion. Analytical performance is monitored by means of certified reference materials (CRMs), coarse blanks, coarse and pulp duplicate samples. Surface samples have been prepared in ALS Chemex preparation lab in Colombia and analyses have been completed in ALS Chemex Lima.

Cautionary statement:

This news release contains certain statements that constitute forward-looking information and forward-looking statements within the meaning of applicable securities laws (collectively, "forward-looking statements") describing the Company's future plans and the expectations of its management that a stated result or condition will occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company, or developments in the Company's business or in the mineral resources industry, to differ materially from the anticipated results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements include all disclosure regarding possible events, conditions or results of operations that is based on assumptions about, among other things, future economic conditions and courses of action, and assumptions related to government approvals, and anticipated costs and expenditures. The words "plans", "prospective", "expect", "intend", "intends to" and similar expressions identify forward looking statements, which may also include, without limitation, any statement relating to future events, conditions or circumstances. Forward-Looking statements of the Company contained in this news release, which may prove to be incorrect, include, but are not limited to the Company's exploration plans.

The Company cautions you not to place undue reliance upon any such forward-looking statements, which speak only as of the date they are made. There is no guarantee that the anticipated benefits of the Company's business plans or operations will be achieved. The risks and uncertainties that may affect forward-looking statements include, among others: economic market conditions, anticipated costs and expenditures, government approvals, and other risks detailed from time to time in the Company's filings with Canadian provincial securities regulators or other applicable regulatory authorities. Forward-Looking statements included herein are based on the current plans, estimates, projections, beliefs and opinions of the Company management and the Company does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change.

For further information please contact:

Tim Coughlin
Phone: +44 (0)1534 887166
tim.coughlin@royalroadminerals.com

¹ Copper and gold equivalent calculations assume Gold $1985/ounce, Copper $3.58/lb and Silver $23.0/ounce and 90% metallurgical recoveries.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/185058