Canagold Initiates Resource Expansion Drilling at New Polaris Project

Canagold Resources Ltd. (TSX: CCM, OTC-QB: CRCUF, Frankfurt: CANA) (the “Company” or “Canagold”), is pleased to announce that, in line with its commitment to accelerating the advancement of the New Polaris Gold project towards production, drill crews have been mobilized to the site in northern British Columbia to restart drilling operations.

The 2024 drilling program includes 12,000 meters of drilling, primarily targeting high-grade mineralization adjacent to historic workings in the upper part of the deposit. Recent modeling of historic drill data, comprising a total of 36 drill holes, has revealed an area of significant mineralization with numerous high-grade intercepts, indicating potential for expansion to the north. This mineralization is not yet well enough defined to be included in the Company’s existing resource and mining plans.

This target presents an opportunity to expand known mineralization and define high-grade resources at a shallow depth, which could be accessed early in the mine life, thereby potentially reducing the initial capital required to bring the property into production.

Historical intercepts* from previous drilling have yielded very attractive high-grade mineralization, reinforcing the potential for significant resource growth.

• 26.2 grams per tonne (“gpt”) gold (“Au”) over 4.3 m in drill hole 475 (late 1940s)
• 16.7 gpt Au over 1.6 m in drill hole PT9706 (1997)
• 11.9 gpt Au over 3.0 m in drill hole PT9618 (1996)

*True widths have not been determined. Further drilling is required to determine the mineralized body orientation and true widths.

The 2024 drilling program is designed to add to the Indicated Resource category for possible inclusion in the ongoing feasibility study.

“Through our thorough review and modeling of historic drill data, we are pleased to announce the discovery of this mineralized area, presenting an opportunity to add significant high-grade, near-surface resources,” said Canagold CEO, Catalin Kilofliski. “Our current drilling program builds upon the Company’s highly successful 2021 and 2022 campaigns. By applying the same effective geological rationale to other parts of the deposit, we aim to confirm and expand our gold resources.”

**The New Polaris resource was prepared by Moose Mountain Technical Services in the format prescribed by NI43-101 Standards of Disclosure for Mineral Projects and filed on SEDAR June 30, 2023.

Qualified Person

Garry Biles, P.Eng, President & COO for Canagold Resources Ltd, is the Qualified Person who reviewed and approved the contents of this news release.

About Canagold

Canagold Resources Ltd. is a growth-oriented gold exploration company focused on advancing the New Polaris Project through feasibility and permitting. Canagold is also seeking to grow its assets base through future acquisitions of additional advanced projects. Canagold has access to a team of technical experts that can help unlock significant value for all Canagold shareholders.

On behalf of the Board of Directors

“Catalin Kilofliski”

Catalin KilofliskiChief Executive Officer

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240605334516/en/