LUNDIN GOLD REPORTS STRONG EXPLORATION RESULTS ACROSS PORTFOLIO OF TARGETS AND EXPANDS 2025 DRILLING PROGRAM TO 108,000 METRES Lundin Gold Inc. (TSX: LUG ) (Nasdaq Stockholm: LUG ) (OTCQX: LUGDF) ("Lundin Gold" or the "Company") is pleased to announce positive results from its conversion and near-mi
NEWS RELEASE
Vancouver, May 7, 2025
Lundin Gold Inc. Suite 2800, Four Bentall Centre Phone: +1 604 689 7842 lundingold.com
1055 Dunsmuir Street Fax: +1 604 689 4250 Email: [email protected]
Vancouver, BC, Canada, V7X 1L2
LUNDIN GOLD REPORTS STRONG EXPLORATION RESULTS ACROSS PORTFOLIO OF
TARGETS AND EXPANDS 2025 DRILLING PROGRAM TO 108,000 METRES
Lundin Gold Inc. (TSX: LUG ) (Nasdaq Stockholm: LUG ) (OTCQX: LUGDF) ("Lundin Gold" or the
"Company") is pleased to announce positive results from its conversion and near-mine exploration drilling
programs at its 100% owned Fruta del Norte (“FDN”) gold mine in southeast Ecuador . High-grade
intercepts from the conversion program at FDN South ("FDNS") have confirmed the deposit’s continuity.
At FDN East, further high-grade results continue to underscore the target’s growth potential. At
Trancaloma, results confirm the discovery of a copper-gold porphyry system at surface and highlight the
potential for other porphyries near Trancaloma. At Bonza Sur, drilling confirms the mineral envelope and
indicates the potential for further extension. Following the programs’ successes in the first quarter and a
growing pipeline of targets, the 2025 exploration program is being expanded from an initial 80,000 metres
to a minimum of 108,000 metres. Highlights from drilling programs at FDNS, FDN East, Trancaloma and
Bonza Sur are outlined below, with detailed results provided in Appendix 1.
Ron Hochstein, President and CEO, commented, “ I am very excited to announce our initial results from
Lundin Gold’s 2025 drilling program, which continue to demonstrate the significant exploration potential
and a growing pipeline of targets around FDN . At FDNS, high -grade results from our conversion drilling
program have confirmed the continuity of the system and identified new mineralized zones. Recent high -
grade drill results at FDN East have significantly advanced our geological understanding of the target and
its potential. At Trancaloma, the wide copper -gold mineralization intercepted confirm the existence of a
porphyry at surface and our recent exploration work strongly suggest the occurrences of other mineralized
porphyry systems surrounding FDN. Based on these results, we will accelerate the delineation of these
new exploration opportunities and are therefore planning to increase our drilling programs for 2025 from
80,000 to a minimum of 108,000 metres, which will represent the largest annual drilling program ever
completed at FDN.”
FDNS Drilling Highlights (not true widths):
• Drill hole FDN-C25-196 intersected 72.80 grams per tonne (“g/t”) of gold (“Au”) over 7.95m from
67.60m, including:
o 1,320.0 g/t Au over 0.40m
• Drill hole FDN-C25-204 intersected 40.60 g/t Au over 13.90m from 43.80m, including:
o 272.57 g/t Au over 1.90m
• Drill hole FDN-C25-198 intersected 48.82 g/t Au over 6.45m from 145.85m, including:
o 616.00 g/t Au over 0.45m
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.
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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:
o 15.23 g/t Au over 5.75m
o 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:
o 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 , the se results significantly
enhance the prospectivity arou nd 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:
o 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:
o 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:
o Conversion drilling program increased from 15,000 to 25,000 metres2
o 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
1 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.
2 Costs of the 2025 conversion drilling program are classified as Sustaining Capital.
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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 continue s 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 fr om 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 n ew
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
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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% CuEq 1) 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 a ll
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 west ern portion of
Trancaloma, additional drill holes have suggested copper-gold mineralization intercepted from surface
that remains open at de pth (see Figure 3) . The most r ecent 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.
1 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.
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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 si x 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.
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Figure 1: Map showing FDNS near-mine exploration targets
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Figure 2: Map showing FDNS deposit and FDN East target with selected FDNS conversion drilling results
and FDN East exploration results
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Figure 3: Castillo-Bonza Sur and Trancaloma cross-section showing initial drilling results