Granada Gold Mine Inc. provided an updated mineral resources estimate at the Granada property, a past producer located adjacent to the prolific Cadillac Break in the Abitibi near Rouyn-Noranda and close to several gold deposits and operating mines in northwestern Quebec. The estimates combine in-pit constrained and underground mineral resources estimates and include the results of the 30,000-meter drill program conducted on the Big Claim at Granada since the last estimate was published in January 2021. The Granada property includes the former Granada Gold underground mine which produced more than 50,000 oz of gold at 9.7 g/t Au from two shafts before a fire destroyed the surface buildings.

Bulk samples taken from the surface in the 1990s and since then have graded in the 3-5 g/t range (see May 10, 2022 news release). The 2022 mineral resource estimates in this news release represent the second estimate since the Company shifted its approach to the deposit by reducing the size of the pit in order to increase the pit grade to the range of 2 g/t Au from 1 g/t Au (and reduce the production of waste and overburden removal) to improve the potential economics of the deposit for future mining. The first estimate since the shift was published in a news release on January 29, 2021 and an associated National Instrument (NI) 43-101 technical report was released on March 15, 2021.

The previous mineral resource estimate published in 2021 had reported a measured and indicated estimates for open pit of 5,113,000 tonnes grading 2.06 g/t Au containing 339,0n00 oz Au, and underground of 844,000 tonnes grading 4.03 g/t containing 109,000 oz Au (amounting to a combined open pit and underground contained 449,000 oz Au). The 2021 estimate also reported inferred resources for open pit of 34,000 tonnes grading 11.29 g/t Au containing 12,000 oz, and underground of 1,244,000 tonnes grading 6.33 g/t Au containing 253,000 oz Au (amounting to a combined open pit and underground contained 266,000 oz Au). Compared to the 2021 amounts of contained gold, the new in-pit and underground resource estimates represent a 21 percent increase for measured and indicated (543,000 oz Au in 2022 vs 449,000 oz Au in 2021) and a 71 percent increase for inferred (456,000 oz Au in 2022 vs 266,000 oz Au in 2021).

The planned upcoming 2022 NI 43-101 technical report using data available as of January 2022 and including the updated mineral resources for Granada contained in this news release is currently being completed by SGS and is expected to be delivered and filed on SEDAR by Granada within 45 days. The goal is to present resources with both open pit potential and underground potential using cut-off grades (see table and notes) based on a gold price of USD 1,700/oz, a foreign exchange rate of USD 0.78 for CAD 1 and a processing gold recovery of 93% (versus the use of USD 1,600/oz, USD 0.76 for CAD 1 and 93%, respectively, in the 2021 report).