Mr. Roger Moss reports

LABRADOR GOLD ANNOUNCES ACQUISITION OF SUBSCRIPTION RECEIPTS OF NORTHERN SHIELD

Further to Labrador Gold Corp.'s press release of Dec. 8, 2025 (the COB press release), it has acquired 16,666,667 subscription receipts of Northern Shield Resources Inc. at six cents per subscription receipt for an investment of $1,000,000.02 pursuant to a subscription agreement dated Dec. 5, 2025. The initial investment funds are held in escrow and the release of the funds to Northern Shield will be conditional upon receipt of LabGold shareholder and regulatory approval to its proposed change of business from a pure exploration company to an exploration and investment issuer. This allows LabGold to maintain its exploration activities while also being able to make equity investments in other resource companies as set out in the COB (change of business) press release. Each subscription receipt will entitle LabGold to receive, without any further action or any additional consideration, and subject to adjustment, one unit of Northern Shield upon satisfaction of the escrow release conditions. Each unit consists of one common share of Northern Shield and one common share purchase warrant. Each warrant entitles the holder to purchase one additional common share at a price of 10 cents per warrant share for a period of 36 months from the escrow release date.

As additional consideration for LabGold in respect of the Northern Shield financing, for as long as LabGold retains a 10-per-cent equity interest in Northern Shield, LabGold shall have the following rights: (i) a pre-emptive right to participate in future financings of Northern Shield to maintain its equity interest in Northern Shield following the issuance of the units to LabGold; and (ii) the right to appoint a technical adviser to help guide exploration activities carried out on the properties of Northern Shield. The units will be subject to a voluntary lockup agreement prohibiting the trading of the common shares, warrants or warrant shares for a period of four months from the escrow release date. In the event that the shareholders of LabGold do not approve the change of business, the initial investment funds will be returned to LabGold less an amount of $20,000 to be paid to Northern Shield as reimbursement for its reasonable expenses in relation to the Northern Shield financing.

Early warning disclosure regarding Labrador Gold

Pursuant to the Northern Shield financing, the company acquired 16,666,667 subscription receipts of Northern Shield, which on the escrow release date, will automatically convert into 16,666,667 units. Immediately prior to the Northern Shield financing, the company did not hold any securities in Northern Shield. Immediately following the closing of the Northern Shield financing, the company beneficially owned, directly or indirectly, or exercised control or direction over, 16,666,667 subscription receipts which are convertible into 16,666,667 common shares and 16,666,667 warrants on the escrow release date, representing approximately 10.965 per cent of the issued and outstanding capital of Northern Shield on a non-diluted basis, after giving effect to the conversion of the subscription receipts to units, and 19.76 per cent on a partially diluted basis, assuming the company exercises all the warrants.

The company has advised that the 16,666,667 subscription receipts were acquired for investment purposes and that it has no present intention to either increase or decrease its holdings in Northern Shield. Notwithstanding the foregoing, it has advised that it may increase or decrease its beneficial ownership, control or direction over the common shares of Northern Shield through market transactions, private agreements, exercise of warrants, other treasury issuances or otherwise, upon conversion of the subscription receipts.

This news release is issued pursuant to National Instrument 62-103 -- The Early Warning System and related Take-Over Bid and Insider Reporting Issues of the Canadian Securities Administrators, which also requires an early warning report to be filed with the applicable securities regulators containing additional information with respect to the foregoing matters. A copy of this early warning report in respect of this transaction will be available on Northern Shield's issuer profile on SEDAR+.

Adviser and shareholder inquiries

Kingsdale Advisors is serving as LabGold's strategic adviser in relation to the change of business. If you have any inquiries, please contact Kingsdale Advisors, by telephone at 1-888-518-6813 (toll-free in North America) or 1-647-251-9740 (text and call enabled outside North America), or by e-mail at contactus@kingsdaleadvisors.com.

About Labrador Gold Corp.

Labrador Gold is a Canadian-based mineral exploration company focused on the acquisition and exploration of prospective gold projects in Eastern Canada.

The Hopedale property covers much of the Archean-age Florence Lake greenstone belt that stretches over 60 kilometres. The belt is typical of greenstone belts around the world but has been underexplored by comparison. Work to date by Labrador Gold show gold anomalies in rocks, soils and lake sediments over a three-kilometre section of the northern portion of the Florence Lake greenstone belt. Five gold occurrences lie along this trend, four of which Thurber Boundary, Thurber North, TD500 and Thurber South were discovered by LabGold. Anomalous gold in soil and lake sediment samples also occur over approximately 40 km along the southern section of the greenstone belt. LabGold's recent exploration has also demonstrated the potential for the critical metals copper, nickel and cobalt in the belt.

The Borden Lake project near Chapleau, Ont., lies immediately southeast of Newmont Corp.'s Borden gold mine currently being acquired by Discovery Silver Corp. LabGold's past exploration on the property identified two anomalous zones based on geochemistry, including up to 48 gold grains in till samples, and geophysics, one in the north extending over 1.3 km northwest-southeast and another in the south extending over one km north-south.

The company has 170,009,979 common shares issued and outstanding and trades on the TSX Venture Exchange under the symbol LAB.

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