Headwater Gold Inc. announced the planned 2024 exploration activities on the Spring Peak and Lodestar projects under earn-in agreements (the "Earn-In Agreements" or "Agreements") with Newmont Corporation announced on August 16, 2022 and May 9, 2023. Headwater and Newmont have agreed upon proposed 2024 exploration activities at the Spring Peak and Lodestar projects targeting high-grade gold mineralization in epithermal veins; Exploration activities are currently expected to include up to 7,000 metres of drilling at Spring Peak and up to 3,500 metres of drilling at Lodestar; Further exploration activities including geophysics, additional geological mapping and environmental baseline surveys are currently planned across both project areas; Drilling is estimated to commence at Spring Peak in early summer 2024 and at Lodestar in the fall of 2024; As the current operator, Headwater will earn a 10% management fee on earn-in exploration expenditures; and Discussions are underway regarding potential work plans across the remainder of the Newmont earn-in project portfolio. The Spring Peak project is located in the Aurora Mining District in the Walker Lane belt, west- central Nevada, approximately 50 km southwest of the town of Hawthorne.

The project adjoins Hecla Mining Company's past-producing Aurora Mine complex where existing infrastructure includes a 350 ton per day mill, several production water wells and high- voltage three-phase power. A multi-rig drill program totaling up to approximately 7,000 metres over 20 to 25 holes is scheduled to begin in early summer 2024. The primary objective of the drill program will be to test for extensions of mineralization along the Bear Fault corridor which hosts high-grade mineralization at the Disco Zone discovery.

Targets along strike, down dip and in the hanging wall of the Bear Fault will be drill tested. The Disco Zone is a mineralized corridor which hosts a series of high-grade epithermal veins at depth discovered by Headwater in 2022 by drilling beneath a thick accumulation of silica sinter at surface. Drilling at the Disco Zone intercepted multiple discrete mineralized veins (Table 1).

The highest-grade gold encountered to date at the Spring Peak project is in drill hole SP22-13 which intersected two individual veins assaying 15.92 g/t Au over 2.38 m and 10.43 g/t Au over 2.01 m. The highest individual assay returned 69.6 g/t Au over 0.34 m. These intervals are part of a broader zone which assayed 2.73 g/t Au over 34.72 m. A further objective of the 2024 drill program will be to test multiple new targets across the property package with initial scout drilling, including targets on newly acquired private lands which have no prior drilling. Drilling is authorized for 2024 under an existing drill permit and an expanded Plan of Operations permit has been submitted to the United States Forest Service which is projected to be approved for the 2025 drilling season.