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Conversion drilling results have confirmed the continuity of FDNS and identified additional mineralized zones.  Based on these results, the 2025 conversion drilling program is being increased by 10,000 metres.  In addition, studies are underway with the goal of integrating FDNS into FDN's 2026 long-term mine plan.

FDN East Drilling Highlights (not true widths):

• Drill hole UGE-E-25-248 intersected 7.12 g/t Au over 14.30m from 229.85m and 4.62 g/t Au over 23.15m from 321.30m including:

  • 15.23 g/t Au over 5.75m

  • 8.19 g/t Au over 6.85m

Drill results show FDN East mineralization continuity and indicate areas for further expansion.

Trancaloma Drilling Highlights (not true widths):

• Drill hole TRL-2024-220 intersected 0.41% Cu, 0.10 g/t Au, 1.51 g/t Ag, and 14.21 ppm Mo (0.50% CuEq¹) over 858.10m from 0.0m, including:

  • 0.54% Cu, 0.14 g/t Au, 1.94 g/t Ag, and 11.08 ppm Mo (0.65% CuEq¹) over 447.95m

With confirmation of the presence of a copper and gold porphyry system, these results significantly enhance the prospectivity around FDN and suggest the potential for other porphyry targets near Trancaloma, including Castillo and Sandia.

Bonza Sur Highlights (not true widths):

• Drill hole BLP-2024-205 intersected 1.10 g/t Au over 162.30m from 0.40m including:

  • 3.19 g/t Au over 11.00m

• Drill hole BLP-2025-267 intersected 2.14 g/t Au over 58.40m from 75.40m including:

  • 5.41 g/t Au over 19.20m

Results confirm the continuity of the mineral envelope and indicate potential extension along the southern limit and spatial relation in the east with the recently discovered Trancaloma porphyry.  The decision has been made to delay the initial Mineral Resource estimate on Bonza Sur to better understand this mineral system.

2025 Exploration Program Increase:

• The 2025 drilling program is being expanded as follows:

  • Conversion drilling program increased from 15,000 to 25,000 metres²

  • Near-mine exploration program increased from 65,000 to 83,000 metres and estimated to cost $39 million from $32 million

SUMMARY OF CURRENT DRILLING PROGRAMS

The Company's near-mine exploration strategy focuses on extending mine life through the expansion of Mineral Resources at FDN by exploring and delineating new discoveries close to the operation.  Over the past three years, the exploration programs at FDN have driven the resource growth and the discovery of new sectors.

In 2025, the near-mine underground drilling program continues to advance at FDNS by expanding this deposit, while the surface drilling explores the extensions of Bonza Sur, FDN East, Trancaloma and test new sectors around FDN (see Figure 1).  The conversion drilling program at FDNS is meeting our objectives to date regarding improving our understanding of the deposit.  Fourteen rigs (10 surface rigs and four underground rigs) are currently turning across the conversion and near-mine exploration programs.

FDNS

Starting in February, the conversion underground drilling programs advanced at FDNS where the primary focus is to convert Inferred Resources to Indicated category and improve the confidence of the geological model.  The FDNS deposit is an epithermal vein system recently defined across the southern limit of FDN and is currently estimated to contain a large Inferred Resource of approximately 2.09 Moz from 12.35 Mt with an average grade of 5.25 g/t.  For more information on the FDN Mineral Reserve and Resource estimate as at December 31, 2024, please refer to the Company's Annual Information Form dated March 17, 2025 (the "AIF") under the Company's profile at www.sedarplus.ca.

The conversion drilling program advanced in the western and central sectors of FDNS where a total of 2,761 metres of underground drilling across 17 drill holes was completed.  All drill holes confirmed the mineralization continuity and indicated higher grade zones within the vein system (see Figure 2).  Highlights to drill holes FDN-C25-196 (72.80 g/t Au over 7.95m) and FDN-C25-198 (48.82 g/t Au over 6.45m) related to higher grade veins in the west sector of the deposit.  Assay results from the drilling undertaken at FDNS are presented in Table 1.

Furthermore, several conversion drill holes intercepted mineralized zones outside of existing geological modelling.  Of note, drill holes FDN-C25-204 (40.60 g/t Au over 13.90m), FDN-C25-203 (12.49 g/t Au over 10.55m) and UGE-S-25-251 (10.80 g/t Au over 12.85m) defined an additional higher-grade zone within the central portion of FDNS.  Two underground rigs are currently turning as part of the conversion drilling program at FDNS.

The FDNS deposit remains open for expansion to the North and along the south extension where an underground rig is currently exploring this potential from the recently reopened and rehabilitated South Portal.  In addition to the drilling programs, engineering work began to evaluate geotechnical, mine design, metallurgical characteristics and infrastructure needs with the goal of integrating FDNS into FDN's 2026 long-term mine plan.

FDN EAST

At FDN East, the exploration program continues to define and expand this new buried epithermal mineralized system located only 100m east of FDN (see Figure 2).  Since its discovery, the drilling program advanced the understanding of the main geological controls which resulted in the delineation of new mineralized zones in the central part of the target.

The most recent drilling results confirmed the gold mineralization continuity and indicated areas for further expansion potential toward the north and south direction (Figure 2).  Highlights that returned distinct mineralized levels from underground hole UGE-E-25-248 (7.12 g/t Au over 14.30m, 15.23 g/t Au over 5.75m and 6.85m @ 8.19 g/t Au) that indicate further step out drilling is warranted.  Assay results from the drilling undertaken at FDN East are presented in Table 2.  Currently, one surface drill rig and one underground rig are turning at FDN East.

TRANCALOMA COPPER-GOLD PORPHYRY SYSTEM AND ADDITIONAL NEAR MINE PORPHYRY POTENTIAL

Since the discovery of FDN, the occurrence of porphyry systems has been recognized around FDN with very limited exploration carried out (see Figure 3 and 4).  In recent months, a systematic exploration program employing geochemical and geophysical surveys and geological mapping advanced on potential targets, and the initial drilling results confirmed the occurrence of copper-gold porphyry mineralization in distinct sectors.

At Trancaloma, located on the east border of Bonza Sur, the drilling program intercepted a wide copper-gold porphyry mineralization in the eastern portion of the target (see Figure 3 and 4).  Drill hole TR 2024-220 intersected 0.41% Cu, 0.10 g/t Au, 1.51 g/t Ag, and 14.21 ppm Mo (0.50% CuEq¹) over 858.10m, including 0.54% Cu, 0.14 g/t Au, 1.94 g/t Ag, and 11.08 ppm Mo (0.65% CuEq¹) over 447.95m.  This showed continuous mineralization from surface, with a wide inner higher-grade core that remains open in all directions.  This drill hole ended in mineralization.  The mineralization is associated with a strongly developed and zoned porphyry related hydrothermal alteration and veining.  In the western portion of Trancaloma, additional drill holes have suggested copper-gold mineralization intercepted from surface that remains open at depth (see Figure 3).  The most recent assay results from the drilling program undertaken at Trancaloma are presented in Table 3.

At the porphyry target Castillo, located along the west border of Bonza Sur, the drill hole CAS-2025-241 intercepted copper gold mineralization, potentially an outer hydrothermal alteration halo of another porphyry system in this sector, and covered by conglomerates of the Suarez Basin (see Figure 3 and 4).  Additional drilling is planned at Castillo as well in additional untested sectors.  Currently, three surface drill rigs are exploring Trancaloma.

BONZA SUR

At Bonza Sur, located south from FDN, the drilling advanced in the mineral envelope delineation.  The Bonza Sur deposit currently extends over 2.6 kilometres along strike, is 150 metres wide, and reaches at least 500 metres deep (see Figures 1 and 4).

Over the last few months, the drilling program confirmed the deposit's continuity in the central area and defined the east limit, close to the contact with the Trancaloma porphyry.  Furthermore, drill hole AMN-2025-245 (0.51 g/t Au over 135.90m, including 1.12 g/t Au over 47.20m) located in the south end of the deposit suggests further potential for expansion along this direction (see Figure 4).  The most recent assay results from the drilling program undertaken at Bonza Sur are presented in Table 2.

Based on the drilling to date at Bonza Sur and the nearby Trancaloma target that was recently discovered, the decision has been made to delay the initial Mineral Resource Estimate for Bonza Sur.  The exploration work completed to date indicates that the two systems are spatially related.  Additional drilling is currently underway to define their limits and exploration potential.  (see Figure 1 and 3).  Currently, three rigs are currently turning at Bonza Sur.

2025 DRILLING PROGRAM EXPANSION

The 2025 drilling programs continue to yield exciting results and demonstrate the significant untapped exploration potential near the current FDN deposit.  Based on these initial results, the Company will increase the near-mine exploration drilling program by 18,000 metres to a minimum of 83,000 metres to accelerate the definition of near-mine targets and the conversion drilling program from 15,000 metres to approximately 25,000 metres.  A minimum of 108,000 metres of drilling are planned across the conversion and near-mine drilling programs for 2025.  This revised program will now include up to sixteen drill rigs, ten surface rigs and six underground rigs.  The total cost estimate of the 2025 near mine exploration program is $39 million while the 2025 conversion drilling program is included in sustaining capital.  The 2025 regional exploration program remains unchanged at $8 million.  The 2025 program represents the largest annual drill program ever completed on the land package that hosts the FDN deposit.

Qualified Persons and Technical Notes

The technical information contained in this News Release has been reviewed and approved by Andre Oliveira, P. Geo, Vice President, Exploration of the Company, who is a Qualified Person in accordance with the requirements of National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Samples consist of half HQ and NQ-size diamond core that are split by diamond saw on site, prepared at the ALS laboratory in Quito, and analyzed by 50g fire assay and multi-element (ICP-AES/ICP-MS) at the ALS Laboratory in Lima, Peru.  The quality assurance-quality control (QA-QC) program of Lundin Gold includes the insertion of certified standards of known gold content, blank and duplicate samples.  The remaining half core is retained for verification and reference purposes.  For further information on the assay, QA-QC, and data verification procedures, please see Lundin Gold's AIF.

Copper equivalent (CuEq) for drill intersections is calculated based on US$4.00/lb Cu, US$1,800/oz Au, US$30/oz Ag and US$25/oz Mo.  The formula is: CuEq % = Cu % + (0.6562 * Au g/t) + (0.0109 * Ag g/t) + (0.0006 * Mo ppm).  Metallurgical recoveries and net smelter returns are not considered.

About Lundin Gold

Lundin Gold, headquartered in Vancouver, Canada, owns the Fruta del Norte gold mine in southeast Ecuador.  Fruta del Norte is among the highest-grade operating gold mines in the world.

The Company's board and management team have extensive expertise and are dedicated to operating Fruta del Norte responsibly.  The Company operates with transparency and in accordance with international best practices.  Lundin Gold is committed to delivering value to its shareholders through operational excellence and growth, while simultaneously providing economic and social benefits to impacted communities, fostering a healthy and safe workplace and minimizing the environmental impact.  Furthermore, Lundin Gold is focused on continued exploration on its extensive and highly prospective land package to identify and develop new resource opportunities to ensure long-term sustainability and growth for the Company and its stakeholders.

Additional Information

The information in this release is subject to the disclosure requirements of Lundin Gold under the EU Market Abuse Regulation.  This information was publicly communicated on May 7, 2025 at 3:00 p.m. Pacific Time through the contact persons set out below.

Caution Regarding Forward-Looking Information and Statements

Certain of the information and statements in this press release are considered "forward-looking information" or "forward-looking statements" as those terms are defined under Canadian securities laws (collectively referred to as "forward-looking statements").  Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends", "plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "should" "might", "will be taken", or "occur" and similar expressions) are not statements of historical fact and may be forward-looking statements. By their nature, forward-looking statements and information involve assumptions, inherent risks, and uncertainties, many of which are difficult to predict, and are usually beyond the control of management, that could cause actual results to be materially different from those expressed by these forward-looking statements and information.  Lundin Gold believes that the expectations reflected in this forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be correct.  Forward-looking information should not be unduly relied upon.  This information speaks only as of the date of this press release, and the Company will not necessarily update this information, unless required to do so by securities laws.

This press release contains forward-looking information in a number of places, such as in statements relating to the Company's exploration plans, activities and results and its plans to update its estimates of Mineral Reserves and Resources.  There can be no assurance that such statements will prove to be accurate, as Lundin Gold's actual results and future events could differ materially from those anticipated in this forward-looking information as a result of the factors discussed in the "Risk Factors" section in Lundin Gold's AIF.

Lundin Gold's actual results could differ materially from those anticipated.  Factors that could cause actual results to differ materially from any forward-looking statement or that could have a material impact on the Company or the trading price of its shares include: instability in Ecuador; community relations; reliability of power supply; tax changes in Ecuador; security; availability of workforce and labour relations; mining operations; waste disposal and tailings; environmental compliance; illegal mining; Mineral Reserve and Mineral Resource estimates; infrastructure; regulatory risk; government or regulatory approvals; forecasts relating to production and costs; gold price; dependence on a single mine; shortages of critical resources; climate change; exploration and development; control of Lundin Gold; dividends; information systems and cyber security; title matters and surface rights and access; health and safety; human rights; employee misconduct; measures to protect biodiversity, endangered species and critical habitats; global economic conditions; competition for new projects; key talent recruitment and retention; market price of the Company's shares; social media and reputation; insurance and uninsured risks; pandemics, epidemics or infectious disease outbreak; conflicts of interest; violation of anti-bribery and corruption laws; internal controls; claims and legal proceedings; and reclamation obligations.

APPENDIX 1

Table 1: Drillhole assay results from the drilling program at FDNS reported for thickness versus grade intervals above 14 (m x g/t Au >14).  Drill hole intercepts are reported in drill core lengths and true widths

Table 2: Drillhole assay results from FDN East and Bonza Sur drilling program reported for thickness versus grade intervals above 14 (m x g/t Au >14).  Drill hole intercepts are reported in drill core lengths

Table 3: Drillhole assay results from the Trancaloma and Castillo Porphyry targets surface drilling program.  Drill hole intercepts are reported in drill core lengths.

Table 4: FDNS, FDN East, Bonza Sur and Trancaloma Collar Drill Holes