Canary Gold Identifies Large Paleochannel System at Madeira River Project, Engages Alluvial Gold Specialist

Canary Gold Corp. (CSE: BRAZ; OTCQB: CNYGF; Frankfurt: K5D) announced today that recent deeper drilling at its Madeira River Gold Project in Rondonia State, Brazil, has intersected significant vertical intervals of mature coarse sediments, including gravels and sands, supporting the interpretation of a large-scale paleochannel system associated with the Madeira River. The company interprets the paleochannel to extend across an area measuring approximately 7 kilometres by 5 kilometres, eastward from the present-day Madeira River system.

To strengthen its technical team, the company has engaged Clara Maria Lamus Molina, an internationally recognized geologist-engineer specializing in the evaluation and sampling of alluvial gold deposits. Ms. Molina brings over 20 years of experience in sampling, geological evaluation, and resource estimation of alluvial gold systems in compliance with NI 43-101 standards, including work with large-scale operations in South America such as those operated by Mineros S.A. in Colombia.

The engagement aims to establish robust exploration, sampling, analytical, and quality assurance/quality control (QA/QC) procedures appropriate for large-scale alluvial gold systems, with emphasis on representative sampling in particulate and coarse gold environments. Ms. Molina will work with Canary's technical team to review current methodologies, design sampling protocols, evaluate sedimentological controls on gold concentration, and support geological modeling and future resource evaluation workflows.

To date, the company has completed approximately 21 reverse circulation (RC) drill holes on an approximate 1-kilometre spaced grid, together with 14 PQ-diameter drill holes on approximately 250 metre spaced infill sections within selected target areas. Deeper drilling has penetrated vertical depths of up to 75 metres and intersected sedimentary units forming part of the paleochannel system, including mature sedimentary horizons up to 20 metres thick consisting of rounded quartz pebble gravels and sands hosted within a ferruginous matrix containing ilmenite and organic material.

Mark Tommasi, President of Canary Gold, commented on the significance of the engagement: "The engagement of a specialist alluvial gold consultant is a direct response to the technical progress we are seeing at Madeira. As our drilling continues to define what we interpret to be a large-scale paleochannel system, it is important that we build the sampling, QA/QC and geological evaluation framework correctly from the outset." He added that alluvial and paleochannel-hosted gold systems require careful attention to sample representativity, gold particle size distribution, and sedimentary architecture.

The Madeira River Project covers approximately 80 kilometres of prospective tenure east of the Madeira River, an area with a long history of historic and active artisanal gold dredging operations. Current exploration activities have tested only a limited portion of the broader land package. Canary continues to advance drilling programs focused on defining the geometry and extent of interpreted paleochannel systems and identifying sedimentary environments favorable for potential gold concentration.

Analytical results from the current drilling program remain pending and will be reported once received, compiled, and reviewed. The company cautions that exploration at Madeira remains at an early stage, and no mineral resource has yet been defined. There can be no assurance that continued exploration will result in the delineation of an economic mineral deposit.

The scientific and technical information in this news release has been reviewed and approved by Andrew Lee Smith, P.Geo., a Qualified Person as defined by National Instrument 43-101. Mr. Smith serves as Executive Chairman of Canary Gold Corp. and is not independent of the company.