GFG Announces the Grant of Stock Options

Media Release

GFG Announces the Grant of Stock Options

February 16, 2021, Saskatoon, Saskatchewan, Canada: GFG Resources Inc. (TSX-V: GFG)

(OTCQB: GFGSF) (“GFG” or the “Company”) pursuant to the Company’s annual executive

compensation program, the Company announced that it has granted stock options to officers, employees

and senior consultants to purchase up to an aggregate of 1,245,000 common shares of the Company. The

stock options have various vesting periods and are exercisable for a period of five years at a price of $0.165

per common share.

The Company is also pleased to announce that the Company’s President and CEO and its Board of Directors

will maintain their reduced annual cash compensation in a continued effort to maximize the Company’s in-

the-ground exploration expenditures. In lieu of the reduced compensation, the Company will grant the

President and CEO and its Board of Directors stock options to purchase an aggregate of 651,241 common

shares of the Company. These options vest over the next four quarters, beginning March 31, 2021, and are

exercisable for a period of five years at a price of $0.165 per common share.

The incentive and compensation stock options were granted in accordance with the Company’s Stock

Option Plan which provides for the issuance of up to 10% of the issued capital at any time. Including the

grants above, the Company has a total of 7,550,069 options outstanding, representing 5.7% of the issued

capital of the Company.

About GFG Resources Inc.

GFG Resources is a North American precious metals exploration company focused on district scale gold

projects in tier one mining jurisdictions, Ontario and Wyoming. In Ontario, the Company owns 100% of

the Pen and Dore gold projects, two large and highly prospective gold properties west of the prolific gold

district of Timmins, Ontario, Canada. The Pen and the Dore gold projects have similar geological settings

that host most of the gold deposits found in the Timmins Gold Camp which have produced over 70 million

ounces of gold. The Company also owns 100% of the Rattlesnake Hills Gold Project, a district scale gold

exploration project located approximately 100 kilometres southwest of Casper, Wyoming, U.S. The

geologic setting, alteration and mineralization seen in the Rattlesnake Hills are similar to other gold deposits

of the Rocky Mountain alkaline province which, collectively, have produced over 50 million ounces of

gold.

For further information, please contact:

Brian Skanderbeg, President & CEO

Phone: (306) 931-0930

or

Marc Lepage, Vice President, Business Development

Phone: (306) 931-0930

Email: [email protected]

Website: www.gfgresources.com

Stay Connected with Us

Twitter: @GFGResources

LinkedIn: https://www.linkedin.com/company/gfgresources/

Facebook: https://www.facebook.com/GFGResourcesInc/

CAUTION REGARDING FORWARD-LOOKING INFORMATION

2

All statements, other than statements of historical fact, contained in this news release constitute “forward-looking information” within the meaning

of applicable Canadian securities laws and “forward -looking statements” within the meaning of the United S tates Private Securities Litigation

Reform Act of 1995 (referred to herein as “forward -looking statements”). Forward-looking statements include, but are not limited to, the future

price of gold, success of exploration activities and metallurgical test work, permitting timelines, currency exchange rate fluctuations, requirements

for additional capital, government regulation of exploration work, environmental risks, unanticipated reclamation expenses, title disputes or claims

and limitations on insurance coverage. Generally, these forward-looking statements can be identified by the use of forward -looking terminology

such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “ anticipates” or “does

not anticipate” or “believes”, or the negative connotation thereof or variations of such words and phrases or state that cert ain actions, events or

results, “may”, “could”, “would”, “will”, “might” or “will be taken”, “occur” or “be achieved” or the negative connotation thereof.

All forward-looking statements are based on various assumptions, including, without limitation, the expectations and beliefs of managemen t, the

assumed long-term price of gold, that the Company will receive required permits an d access to surface rights, that the Company can access

financing, appropriate equipment and sufficient labour, and that the political environment within Canada and the United State s will continue to

support the development of mining projects in Canada and the United States. In addition, the similarity or proximity of other gold deposits to the

Rattlesnake Hill Gold Project, the Pen Gold Project and the Dore Gold Project is not necessary indicative of the geological s etting, alteration and

mineralization of the Rattlesnake Hills Gold Project, the Pen Gold Project and the Dore Gold Project.

Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of

activity, performance or achievements of GFG to be materially different from those expressed or implied by such forward -looking statements,

including but not limited to: actual results of current exploration activities; environmental risks; future prices of gold; operating risks; accidents,

labour issues and other risks of the mining industry; delays in obtaining government approvals or financing; and other risks and uncertainties. These

risks and uncertainties are not, and should not be construed as being, exhaustive.

Although GFG has attempted to identify important factors that could cause actual results to differ materially from those cont ained in forward -

looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that

such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. In

addition, forward-looking statements are provided solely for the purpose of providing information about management’s current expectations and

plans and allowing investors and others to get a better understanding of our operating environment. Accordingly, readers should not place undue

reliance on forward-looking statements.

Forward-looking statements in this news release are made as of the date hereof and GFG assumes no obligation to update any forward -looking

statements, except as required by applicable laws.