LUNDIN GOLD REPORTS EXCEPTIONAL DRILLING RESULTS AT FDNS AND FDN EAST WITH FDNS ADVANCING TOWARDS INTEGRATION INTO MINE PLAN

VANCOUVER, BC, July 31, 2025 /CNW/ – Lundin Gold Inc. (TSX: LUG) (Nasdaq Stockholm: LUG) (OTCQX: LUGDF) (“Lundin Gold” or the “Company”) is pleased to announce positive results from its conversion and near-mine exploration drilling programs at its 100% owned Fruta del Norte (“FDN”) gold mine in southeast Ecuador.  Notable conversion drilling results at Fruta del Norte South (“FDNS”) confirmed the deposit’s continuity and identified additional mineralized zones.  Mine engineering studies are underway aiming to integrate the FDNS deposit into the FDN long term mine plan.  Concurrently, further high-grade results at FDN East continue to underscore the target’s substantial growth potential.  Highlights from the drilling programs at FDNS and FDN East are outlined below.  Detailed results can be found in Appendix 1. PDF Version

Ron Hochstein, President and CEO, commented, “Conversion drilling on FDNS continues to yield some of the highest-grade results to date alongside the discovery of a new mineralized vein that lies outside the existing inferred resource.  With significant advances in our engineering studies, we remain on track to integrate a portion of the FDNS mineralization in FDN’s long-term mine plan, just a year since its maiden resource announcement.  In addition, recent drill results at FDN East continue to underscore its excellent exploration potential, located in close proximity to our existing underground development.”

FDNS Conversion Drilling Highlights (not true widths):

• Drill hole FDN-C25-238 intersected 139.53 grams per tonne (“g/t”) of gold (“Au”) over 9.05m from 62.20m, including:
  • 1,720 g/t Au over 0.70m
• Drill hole FDN-C25-234 intersected 220.32 g/t Au over 4.20m from 93.70m, including:
  • 520.18 g/t Au over 1.75m
• Drill hole FDN-C25-245 intersected 43.77 g/t Au over 9.85m from 102.70m, including:
  • 74,70 g/t Au over 3.80m
• Drill hole FDN-C25-205 intersected 31.63 g/t Au over 8.10m from 38.60m, including:
  • 101.35 g/t Au over 1.40m

These conversion drilling results have confirmed the continuity of the mineralization at FDNS, with several higher-grade zones identified within the deposit. High-grade drill holes outside the current geological model demonstrate significant potential for further resource expansion.  In addition, engineering studies are progressing well with the objective of integrating FDNS into FDN’s long-term mine plan.

FDN East Drilling Highlights (not true widths):

• Drill hole UGE-E-25-207 intersected 6.61 g/t Au over 10.00 m from 497.15m including:
  • 13.16 g/t Au over 3.95 m
• Drill hole FDNE-2025-279 intersected 11.52 g/t Au over 3.10m from 170.65m, including:
  • 23.80 g/t Au over 1.30m

Drill results at FDN East have successfully expanded gold mineralization along the north extension and indicated potential areas for further growth.

DRILLING PROGRAMS

The Company’s near-mine exploration strategy focuses on extending the mine life at FDN through the expansion of Mineral Resources and the delineation of new discoveries in close proximity to the operation.  Over the past three years, exploration programs at FDN have significantly contributed to resource growth and successfully discovered new mineralized sectors.  In recent months, the near mine underground drilling has prioritized the FDNS Mineral Resource conversion while simultaneously advancing exploration along the extensions of FDNS and at FDN East.

The 2025 drilling program is currently estimated to be a minimum of 108,000 metres consisting of 83,000 metres of exploration drilling and 25,000 metres of conversion drilling. Seventeen rigs are currently turning across the conversion and near-mine exploration programs.

FDNS

Since January, the underground drilling program at FDNS has focused on converting Inferred Mineral Resources to the Indicated category.  The objective of the conversion program is to integrate the deposit into FDN’s long-term mine plan in 2026.  The program also continues to explore distinct sectors within FDNS.  Delineated in 2024, the FDNS deposit is an epithermal vein system located along the southern limit of FDN, currently estimated to contain an Inferred Resource of approximately 2.09 million ounces (Moz) from 12.35 million tonnes (Mt) with an average grade of 5.25 g/t.  For more information on the FDN Mineral Reserve and Resource estimate as at December 31, 2024, please refer to the Company’s Annual Information Form dated March 17, 2025 (the “AIF”) under the Company’s profile at www.sedarplus.ca.

During the second quarter, the conversion drilling program completed a total of 7,085 metres of underground drilling across 50 drill holes.  The majority of these drill holes confirmed mineralization continuity with several outstanding intercepts which defined higher-grade zones within the vein system (see Figure 1 and 2).  Notably drill holes FDN-C25-238 (139.53 g/t Au over 9.05m) and FDN-C25-234 (220.32 g/t Au over 4.20m) represent some of the highest-grade intercepts ever recorded at FDNS. Assay results from the drilling undertaken at FDNS are presented in Table 1.

The conversion drill holes also indicate additional gold mineralization extending beyond currently defined zones. Highlights include drill hole FDN-C25-205 (31.63 g/t Au over 8.10m) which is related to a mineralized zone in the central portion of FDNS (See Figure 2).  In the eastern limit, drill hole FDN-C25-227 (18.86 g/t Au @ 9.60m) revealed a new mineralized vein that lies outside the existing inferred resource, indicating further expansion potential towards the south (See Figure 1 and 2).  Three underground rigs are currently dedicated to the conversion drilling program at FDNS.

The FDNS deposit remains open for expansion along its north and south extensions.  Since June, three rigs have been exploring the expansion potential of the deposit with several exploration drill holes completed during this period with assays pending.

Mine planning work is underway on FDNS to evaluate geotechnical, mine design, metallurgical characteristics and infrastructure needs with the goal of integrating the Mineral Resource estimate at FDNS into FDN’s updated long-term mine plan.

FDN EAST

At FDN East, the exploration program continues to define and expand this new buried epithermal mineralized system located only 100 metres east of FDN. Since its discovery, the drilling program has advanced our understanding of the main geological controls, leading to the delineation of subparallel mineralized veins oriented north to south in the central part of the target (see Figure 3).

The most recent drilling results intercepted the continuity of this new system in the northern portion of the sector, indicating promising areas for further expansion potential (Figure 3).  Highlights include drill holes UGE-E-25-207 (4.84 g/t Au over 3.05m and 6.61 g/t Au over 10.00m) and drill hole FDNE-2025-279 (11.52 g/t Au over 3.10m), which confirm that mineralization remains open along the north extension.  Assay results from the drilling undertaken at FDN East are presented in Table 2. Currently, one underground rig is turning at FDN East.

Figure 1: Map showing FDNS deposit with selected FDNS conversion drilling results

Figure 2: A-A’ FDNS cross section with selected conversion drilling results

Figure 3 : Map showing FDN East with selected drilling results

Qualified Persons and Technical Notes

The technical information contained in this News Release has been reviewed and approved by Andre Oliveira, P. Geo, Vice President, Exploration of the Company, who is a Qualified Person in accordance with the requirements of National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Samples consist of half HQ and NQ-size diamond core that are split by diamond saw on site, prepared at the ALS laboratory in Quito, and analyzed by 50g fire assay and multi-element (ICP-AES/ICP-MS) at the ALS Laboratory in Lima, Peru.  The quality assurance-quality control (QA-QC) program of Lundin Gold includes the insertion of certified standards of known gold content, blank and duplicate samples.  The remaining half core is retained for verification and reference purposes.  For further information on the assay, QA-QC, and data verification procedures, please see Lundin Gold’s AIF

About Lundin Gold

Lundin Gold, headquartered in Vancouver, Canada, owns the Fruta del Norte gold mine in southeast Ecuador.  Fruta del Norte is among the highest-grade operating gold mines in the world.

The Company’s board and management team have extensive expertise and are dedicated to operating Fruta del Norte responsibly.  The Company operates with transparency and in accordance with international best practices.  Lundin Gold is committed to delivering value to its shareholders through operational excellence and growth, while simultaneously providing economic and social benefits to impacted communities, fostering a healthy and safe workplace and minimizing the environmental impact.  Furthermore, Lundin Gold is focused on continued exploration on its extensive and highly prospective land package to identify and develop new resource opportunities to ensure long-term sustainability and growth for the Company and its stakeholders. 

Additional Information

The information in this release is subject to the disclosure requirements of Lundin Gold under the EU Market Abuse Regulation.  This information was publicly communicated on July 31, 2025 at 2:00 p.m. Pacific Time through the contact persons set out below.

Caution Regarding Forward-Looking Information and Statements

Certain of the information and statements in this press release are considered “forward-looking information” or “forward-looking statements” as those terms are defined under Canadian securities laws (collectively referred to as “forward-looking statements”).  Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as “believes”, “anticipates”, “expects”, “is expected”, “scheduled”, “estimates”, “pending”, “intends”, “plans”, “forecasts”, “targets”, or “hopes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “will”, “should” “might”, “will be taken”, or “occur” and similar expressions) are not statements of historical fact and may be forward-looking statements. By their nature, forward-looking statements and information involve assumptions, inherent risks, and uncertainties, many of which are difficult to predict, and are usually beyond the control of management, that could cause actual results to be materially different from those expressed by these forward-looking statements and information.  Lundin Gold believes that the expectations reflected in this forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be correct.  Forward-looking information should not be unduly relied upon.  This information speaks only as of the date of this press release, and the Company will not necessarily update this information, unless required to do so by securities laws.

This press release contains forward-looking information in a number of places, such as in statements relating to the Company’s exploration plans, activities and results and its plans to update its estimates of Mineral Reserves and Resources.  There can be no assurance that such statements will prove to be accurate, as Lundin Gold’s actual results and future events could differ materially from those anticipated in this forward-looking information as a result of the factors discussed in the “Risk Factors” section in Lundin Gold’s AIF.

Lundin Gold’s actual results could differ materially from those anticipated.  Factors that could cause actual results to differ materially from any forward-looking statement or that could have a material impact on the Company or the trading price of its shares include: instability in Ecuador; community relations; reliability of power supply; tax changes in Ecuador; security; availability of workforce and labour relations; mining operations; waste disposal and tailings; environmental compliance; illegal mining; Mineral Reserve and Mineral Resource estimates; infrastructure; regulatory risk; government or regulatory approvals; forecasts relating to production and costs; gold price; dependence on a single mine; shortages of critical resources; climate change; exploration and development; control of Lundin Gold; dividends; information systems and cyber security; title matters and surface rights and access; health and safety; human rights; employee misconduct; measures to protect biodiversity, endangered species and critical habitats; global economic conditions; competition for new projects; key talent recruitment and retention; market price of the Company’s shares; social media and reputation; insurance and uninsured risks; pandemics, epidemics or infectious disease outbreak; conflicts of interest; violation of anti-bribery and corruption laws; internal controls; claims and legal proceedings; and reclamation obligations.

APPENDIX 1

Table 1: Drillhole assay results from the conversion drilling program at FDNS reported for thickness versus grade intervals above 14 (m x g/t Au >14). Drill hole intercepts are reported in drill core lengths and true widths

Table 2: Drillhole assay results from FDN East. Drill hole intercepts are reported in drill core lengths.

Table 3: FDNS and FDN East Collar Drill Holes

SOURCE Lundin Gold Inc.