The Board of Directors of SolGold provided an update regarding a collaboration with the Lita and Carolina communities and Franco-Nevada Corporation on new community initiative in the vicinity of the Alpala Project in northern Ecuador. SolGold places utmost importance on its social and environmental initiatives. As part of the Franco-Nevada Net Smelter Returns Financing Agreement, Franco-Nevada has agreed to contribute a total of USD 150,000 per calendar year for three years investing in one or more distinct ESG projects jointly with SolGold.

SolGold will match or exceed Franco-Nevada's contribution towards these projects. Franco-Nevada has confirmed its sponsorship of SolGold's community recycling and waste management initiative. Community waste management is a recurring theme when the Company conducts participatory community surveys and is considered a major concern for the communities and the local government alike.

The communities collaborating in the waste management initiative are the Lita Parish and La Carolina Parish in the Imbabura province with benefits extending to a population of around 7,000 in both communities. The initiative has the potential to increase the well-being and living standards of the communities in close proximity to the mine site and create sustainable independent businesses while reducing pollution, including plastic waste, in the local environment. Meetings with the Ibarra Mayoress, Andrea Scacco whose Municipality have responsibility for Waste Management for the area have progressed quickly and favourably and the initial cooperation agreement is expected to be signed in the coming days.

This initiative aims to improve the quality of life in local communities through the following objectives: Training of members in both communities on recycling and composting methods; Education on increased waste consciousness which should lead to minimising waste that can't be recycled or reused; Implementation of a waste collection centre to satisfy the demand of projected population growth for the next 10 years in both parishes; and Creation of an economically independent small business within these communities which will generate self-sustaining income and provide employment for community members.