Announcement • Sep 01

Fredonia Mining Announces Positive Preliminary Economic Assessment and Updated Mineral Resource Estimate for El Dorado Monserrat Project

Fredonia Mining Inc. announced the completion and results of a Preliminary Economic Assessment and updated Mineral Resource Estimate on its flagship 100%-owned El Dorado Monserrat gold-silver project in Santa Cruz Province, Argentina. The Preliminary Economic Assessment contemplates a low-cost conventional open-pit truck-and-shovel mining and heap-leach operation, delivering average life-of-mine production of approximately 146,000 oz gold-equivalent per year, including approximately 117,000 oz gold and 2.41 million oz silver per year. Production is weighted toward the earlier years of the mine plan, averaging approximately 183,000 oz gold-equivalent per year during the first five years and reaching approximately 193,000 oz gold-equivalent in Year 3, before tapering to a low of approximately 100,000 oz gold-equivalent in Year 14. The updated Mineral Resource estimate was completed for the El Dorado Monserrat Project, which includes 126.45 Mt in the Measured and Indicated categories at grades of 0.68 g/t gold-equivalent (0.47 g/t gold, 12.66 g/t silver) containing approximately 1.93 Moz gold, 51.46 Moz silver and 2.76 Moz gold-equivalent Measured and Indicated. In addition, the Project hosts 73.89 Mt of Inferred Mineral Resources grading 0.46 g/t gold-equivalent (0.31 g/t gold and 8.98 g/t silver), containing approximately 0.74 Moz gold, 21.35 Moz silver and 1.09 Moz gold-equivalent. Gold and silver grades were estimated independently. The Mineral Resource estimate is effective August 17, 2026, and was prepared in accordance with the CIM Definition Standards incorporated by reference into National Instrument 43-101 – Standards of Disclosure for Mineral Projects. The Mineral Resource estimate consolidates block models for La Herradura, Main Veins and Monserrat West. The scheduled Mineral Resources are contained within two preliminary operationalized pit designs: Main Veins, in the Northern Corridor, and La Herradura, in the Southern Corridor, located approximately 7 km from each other. The mine plan currently excludes the Monserrat West deposit due to a higher associated strip ratio; Monserrat West remains classified as a Mineral Resource and represents an opportunity for future evaluation at higher metal prices or under a revised development configuration. The operationalized pit designs were developed from Whittle optimization shells at a revenue factor of 1.0 and incorporate access ramps, minimum mining widths, operational benches and practical pit geometries. Mineralized material is classified into three destinations by gold-equivalent grade: material below 0.13 g/t gold-equivalent reports to the waste rock dumps, material between 0.13 and 0.35 g/t gold-equivalent reports to the uncrushed run-of-mine leach pad, and material above 0.35 g/t gold-equivalent reports to the crushing/agglomeration and heap-leach process plant. The Preliminary Economic Assessment is preliminary in nature and includes Inferred Mineral Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the Preliminary Economic Assessment will be realized. The tonnages and average grades presented as total scheduled process-plant feed are production-schedule metrics derived from Measured, Indicated and Inferred Mineral Resources contained within the preliminary operationalized Preliminary Economic Assessment pit designs. They do not constitute a combined Mineral Resource category or a Mineral Reserve. No Mineral Reserves have been declared for the El Dorado Monserrat Project. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. The Preliminary Economic Assessment mine plan for the Main Veins and La Herradura deposits includes 79.67 Mt of combined Measured and Indicated Mineral Resources grading 0.606 g/t gold and 16.10 g/t silver (equivalent to 0.797 g/t gold-equivalent) and, separately, 44.10 Mt of Inferred Mineral Resources grading 0.474 g/t gold and 10.25 g/t silver (equivalent to 0.596 g/t gold-equivalent), all scheduled as process-plant feed. The Preliminary Economic Assessment mine plan also includes 28.59 Mt of combined Measured and Indicated Mineral Resources grading 0.135 g/t gold and 5.98 g/t silver (equivalent to 0.206 g/t gold-equivalent) and, separately, 18.45 Mt of Inferred Mineral Resources grading 0.141 g/t gold and 6.72 g/t silver (equivalent to 0.220 g/t gold-equivalent), all scheduled as intermediate-grade material to a separate uncrushed run-of-mine leach pad. Destination assignments and the related gold-equivalent metrics are based on the adopted Preliminary Economic Assessment metal prices of USD 3,800/oz gold and USD 45/oz silver. Monserrat West and multiple additional veins containing high-grade intersections remain outside the current mine plan and offer potential to increase total tonnage inventory further. The Preliminary Economic Assessment base case assumes an operator-owned centrally located processing facility comprising crushing, agglomeration, heap leaching, activated carbon adsorption, desorption, electrowinning and smelting, with a nominal capacity of 20,000 tpd. Intermediate-grade material is treated on a separate run-of-mine leach pad without crushing. Plant recoveries of 85% for gold and 70% for silver were adopted for the process plant, and 50% for gold and 20% for silver for the run-of-mine leach pad. These are preliminary planning assumptions supported by initial bottle-roll testwork, as well as benchmarking and expert criteria. Application of these assumptions to the production schedule results in approximately 146,000 oz gold-equivalent per year average through mine life, including approximately 117,000 oz gold and 2.41 million oz silver per year. Further metallurgical testwork – including representative variability, mineralogical and column-leach testwork – is planned to increase confidence in recoveries across mineralization types and depths. The Preliminary Economic Assessment is preliminary in nature and includes Inferred Mineral Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the results of the Preliminary Economic Assessment will be realized. The current mine plan relies materially on Inferred Mineral Resources. Inferred Mineral Resources represent 35.6% of the scheduled process-plant feed and are reported separately from Measured and Indicated Mineral Resources. The company has not defined any Mineral Reserves for the El Dorado Monserrat Project, and assumptions to date – particularly with respect to processing – remain preliminary in nature.

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