Canary Gold Advances Technical Validation Pathway for Rio Madeira Alluvial Gold Project

Canary Gold Corp. (CSE: BRAZ; OTCQB: CNYGF; Frankfurt: K5D) has received additional technical observations and recommendations from Clara Maria Lamus Molina, an internationally recognized geologist-engineer specializing in alluvial gold deposits, the company announced June 25, 2026. The review supports Canary's view that the Rio Madeira project represents a prospective large-scale alluvial exploration target where the next phase of technical advancement depends on disciplined validation of paleochannel geometry, gravel continuity, recoverable gold content, and volumetric grade.

The review, which follows up on the company's June 10, 2026 announcement, provides a practical roadmap to move from preliminary geological observations toward systematic, representative, and auditable technical data. Canary believes this represents an important step in positioning the project for future exploration milestones and evaluating whether sufficient technical information can ultimately support a National Instrument 43-101 compliant mineral resource estimate.

Ms. Molina highlighted several positive indicators and technical priorities, including active alluvial gold mining within the Madeira River system, visible free gold observed during inspection of active mining operations (providing regional context only), favourable gravel intervals, and geomorphological features compatible with alluvial plains and paleochannels. Sonic drilling was recommended as a preferred validation tool in priority target areas, along with recovered-volume control, standardized logging, granulometry, gold-particle classification, and QA/QC procedures.

As announced on June 10, 2026, recent deeper drilling has intersected targeted mature coarse sediments, including gravels and sands, supporting the company's interpretation of a large-scale paleochannel system. Mark Tommasi, President of Canary Gold, stated: "Rio Madeira exhibits several characteristics commonly associated with alluvial gold systems. The next step is disciplined validation. Ms. Molina's review gives us a clear technical pathway to test the project in a systematic, auditable, and meaningful way for investors."

Alluvial gold systems are formed when gold is naturally liberated from source rocks, transported by river systems, and concentrated within favourable sedimentary environments. Canary's exploration model focuses on identifying preserved paleochannel and high-energy gravel environments. The company is currently in the early stages of development, having identified preliminary geological indicators and priority targets. The next phase aims to validate geometry, continuity, gravel thickness, representative grade, and recovery characteristics.

A central recommendation is sonic drilling in priority target areas, which is well-suited to unconsolidated alluvial environments because it improves sample recovery, preserves stratigraphic relationships, and supports accurate measurement of recovered sample volume. Future work is expected to focus on systematic sonic drilling, metre-by-metre logging, volume measurement, controlled sample processing, gold-particle recovery, laboratory validation, and geological-volumetric modelling.

Canary has also reviewed mature alluvial systems like the Nechí project in Colombia, operated by Mineros S.A., which has NI 43-101 resource and reserve disclosure. The company cautions that Nechí is referenced solely as a technical benchmark and is not directly comparable to Rio Madeira. Tommasi added: "Nechí is a useful example of the technical discipline required. Our objective is to apply that discipline early at Rio Madeira."

Management views the project as an early-stage exploration target requiring further validation. The company is now reviewing budgets, logistics, and sequencing for a priority sonic-drilling and sample-processing program. Investors are cautioned that no mineral resource has been defined, and there is no assurance of economic mineralization. The scientific and technical information has been reviewed by Andrew Lee Smith, P.Geo., a Qualified Person under NI 43-101, who serves as Executive Chairman of Canary Gold.