Canary Gold Corp. Receives Positive Heavy-Mineral Results Supporting Gold Model at Madeira River Project

Canary Gold Corp. has announced encouraging results from heavy-mineral analyses completed by Overburden Drilling Management Ltd (ODM), a globally recognized Canadian laboratory specializing in heavy-mineral concentrate evaluation. The findings significantly strengthen the company's geological thesis that gold-bearing sediments originating from erosion of the Andes Mountains have accumulated within the Madeira River basin in Rondonia, Brazil over extended periods, supporting the potential for sediment-hosted and paleoplacer gold systems across Canary's expanding land position.

ODM Ltd confirmed strong heavy-mineral assemblages consistent with gold-bearing alluvial and paleoplacer environments in samples submitted from the Madeira River Project Area. The laboratory's report supports the project's conceptual model, concurring that the iron-cemented gravel, known as mocururu, is clearly of the very mature, heavy-mineral-enriched placer type. According to the ODM report to Canary Gold, November 2025, "The iron-cemented gravel is clearly of the very mature, heavy-mineral-enriched placer type and its pebble varieties support the interpretation that the gravel is sourced primarily from the Andes, a known gold endowed area."

The technical findings reveal that the matrix of the prospective mocururu gravel consists of well-rounded quartz grains indicating long transport history from a much higher elevation source, presumably the Andes Mountains. Although consisting primarily of quartz grains, the sandy matrix contains 5-10% detrital ilmenite grains, with the high concentration of this heavy mineral indicating that the host gravel is a placer gravel. The absence of magnetite, which is chemically less resistant than ilmenite, further indicates that the placer is very mature and may contain significant concentrations of other resistant minerals including gold.

ODM's investigation identified visible gold particles in a mocururu sample from sonic drill hole SN-007 and from two outcrop mocururu samples collected within Canary Gold's tenement holdings. These findings align with prior work including visible gold recovered in panned samples from reconnaissance air-core drilling initially announced in April 2025 and data from the sonic drilling program mobilized in June 2025 to capture continuous sediment profiles for detailed analysis.

The results integrate directly with several key milestones previously reported by the company, including the April 2025 discovery of visible gold grains in panned air-core drill samples, the June 2025 mobilization of a sonic drill rig for continuous core collection, and the August 2025 acquisition of additional ground that significantly grew the company's exploration footprint along the Madeira River. Mark Tommasi, President of Canary Gold, stated that ODM's results provide independent confirmation that reconnaissance sampling successfully identified the presence of targeted sediments hosting gold occurrences across multiple tenements, validating the exploration model and supporting the view that the mocururu horizon represents evidence of a gold-endowed system worthy of systematic drill testing.

The company will integrate ODM's data into its regional exploration model to refine target prioritization ahead of the upcoming tenement-wide drilling campaign. These datasets collectively support Canary's phased exploration strategy as it advances toward its upcoming major drilling program across its extensive tenement holdings, with only approximately 2% of the extensive tenement package tested with reconnaissance drilling to date, underscoring the enormous scalability and district-wide potential of the project.