Mr. Michael Hudson reports

SOUTHERN CROSS GOLD WELCOMES BOTH A$20 MILLION ANTIMONY PROCESSING ELECTION COMMITMENT AND DECISION ON ADVANCING ANTIMONY GRANT

Southern Cross Gold Consolidated Ltd. has noted yesterday's announcement that a re-elected Carroll Labor government would commit $20-million (Australian) toward Australia's first antimony processing facility in northern Victoria (Labor will bring critical minerals processing home, Oct. 14, 2026).

Separately, the company is pleased to confirm it has been named a preferred recipient under the Victorian government's Advancing Antimony Grants program. The Victorian government announced yesterday that Southern Cross and Ballarat-based Gekko systems will share more than $750,000 (Australian) through the program, to finance studies into antimony processing options and supply chains (new grants to back antimony processing in Victoria, Oct. 14, 2026).

Four high-level takeaways

• $20-million (Australian) election commitment toward Australia's first antimony processing facility in northern Victoria, to be open to Australian producers and designed to produce up to 5,000 tonnes of antimony metal a year.
• Labor's announcement states the facility is expected to support around 200 construction jobs and 60 continuing skilled jobs.
• Southern Cross and Gekko Systems have been named preferred recipients of the Advancing Antimony Grants program, sharing more than $750,000 (Australian) in funding for studies into local antimony processing and supply chains.
• Labor's announcement identifies Sunday Creek as a key Victorian antimony discovery, alongside existing production at Costerfield.

Michael Hudson, president and chief executive officer, states: "Sunday Creek is a high-grade gold discovery with a meaningful antimony component, which contributes approximately 15 per cent to 17 per cent of the project's in situ recoverable value. The Carroll Labor government's election commitment is a practical step towards processing that antimony into metal here in Victoria. Sovereign infrastructure requires political will to actually build, and we thank Premier Carroll and Minister Symes for their support of domestic processing. The Advancing Antimony Grant funds the testwork needed to assess turning potential future Sunday Creek concentrates into antimony metal for Australian and allied supply chains. We look forward to continuing to work with the state government including Resources Victoria and the Commonwealth Government in their support of this crucial development in Australia's onshore supply chain."

The company notes that the $20-million (Australian) commitment is an election commitment of the Victorian Labor Party, conditional on its re-election at the Victorian state election on Nov. 28, 2026, and on the terms of any future funding arrangements. The company will continue to engage with government on the development of antimony processing in Victoria.

Bringing antimony processing onshore

Antimony concentrate produced in Victoria is currently shipped overseas for processing. Antimony is listed as a critical mineral by Australia, the United States, Canada, the European Union and Japan, and is used in defence applications, solar panel glass, batteries, flame retardants, and electric steel for drones and electric vehicles.

The Sunday Creek gold-antimony project contains antimony mineralization associated with high-grade gold. The company is studying the production of antimony metal in Victoria through an antimony metallization facility, which would take concentrate from Sunday Creek and other Australian producers.

The Advancing Antimony Grant will contribute to pilot-scale metallization testwork on Sunday Creek concentrate. This includes confirming antimony and gold recoveries, testing antimony metal product quality, and characterizing process residues for environmental permitting. It also funds updated flowsheet and balance-of-plant engineering for the proposed facility.

Announcing the grants, Minister for Energy and Resources Jaclyn Symes said: "We're backing Southern Cross Gold and Gekko Systems to build the case for local antimony processing and bring new investment to regional Victoria."

About Sunday Creek

The Sunday Creek epizonal-style gold project is located 60 kilometres north of Melbourne within 16,900 hectares (Ha) of granted exploration tenements. Southern Cross is also the freehold landholder of 2,296 Ha that form the key portion of land in and around the main drilled area at the Sunday Creek project. The company applied for its first mining licence, MIN009040, in September, 2026.

Further information

Further discussion and analysis of the Sunday Creek project is available through the interactive Vrify 3-D animations, presentations and videos available on the Southern Cross website. Interviews with president and chief executive officer Michael Hudson can be viewed at the company website.

Critical Metal epizonal gold-antimony deposits

Sunday Creek is an epizonal gold-antimony deposit formed in the late Devonian (like Fosterville, Costerfield and Redcastle), 60 million years later than mesozonal gold systems formed in Victoria (for example Ballarat and Bendigo). Epizonal deposits are a form of orogenic gold deposit classified according to their depth of formation: epizonal (less than six kilometres), mesozonal (six km to 12 km) and hypozonal (greater than 12 km).

Epizonal deposits in Victoria often have associated high levels of the critical metal, antimony and Sunday Creek is no exception. China claims a 56-per-cent share of global mined supplies of antimony, according to a 2023 European Union study. Antimony features highly on the critical minerals lists of many countries including Australia, the United States, Canada, Japan and the European Union. Australia ranks seventh for antimony production despite all production coming from a single mine at Costerfield in Victoria, located near Southern Cross's projects. Antimony alloys with lead and tin, resulting in improved properties for solders, munitions, bearings and batteries. Antimony is a prominent additive for halogen-containing flame retardants. Adequate supplies of antimony are critical to the world's energy transition, and to the high-tech industry, especially the semiconductor and defence sectors where it is a critical additive to primers in munitions.

Antimony represents approximately 15 per cent to 17 per cent of the in situ recoverable value of Sunday Creek, based on the AuEq (gold-equivalent) ratio of 2.39 set out below.

About Southern Cross Gold Consolidated Ltd.

Southern Cross Gold Consolidated is defining a leading gold-antimony project at the Sunday Creek gold-antimony project, located 60 km north of Melbourne. Sunday Creek is a significant gold and antimony drill discovery in a Tier 1 location, with high-grade drill results including 106 composite intersections exceeding 100 grams per tonne Au from 146.4 km of drilling (including historic drilling). The mineralization follows a Golden Ladder structure over 12 km of interpreted strike length, with structures drill tested from surface to 1,200 m depth.

Sunday Creek's strategic value is enhanced by its dual-metal profile. The company has a critical mineral that the Western world needs. This has gained increased significance following China's export restrictions on antimony, a critical metal for defence and semiconductor applications. Southern Cross Gold's inclusion in the U.S. Defense Industrial Base Consortium (DIBC) and Australia's AUKUS-related legislative changes position it as a potential key Western antimony supplier.

Technical fundamentals further strengthen the investment case, with preliminary metallurgical work showing non-refractory mineralization suitable for conventional processing and gold recoveries of 93 per cent to 98 per cent through gravity and flotation.

With a strong cash position, 2,296 Ha of strategic freehold land ownership and a large 200 km drill program planned through Q1 2027, Southern Cross is well positioned to advance this globally significant gold-antimony discovery in a Tier 1 jurisdiction, delivering milestone by milestone.

We seek Safe Harbor.