Mr. Ralph Shearing reports

GOLDGROUP COMMENCES 24,000 M DIAMOND DRILLING PROGRAM AT SAN FRANCISCO GOLD PROJECT

Goldgroup Mining Inc. has commenced a 24,000-metre diamond core drilling program at its 100-per-cent-owned San Francisco gold project in Sonora, Mexico. This is the first new drilling program at the San Francisco project in many years, and is designed to optimize the resource model and provide additional technical data in preparation for the restart of gold production, targeted for the end of 2026 or early 2027. The drill program is expected to be completed in the third quarter of 2026. The budget for the program is estimated at approximately $8-million (U.S.) and financed in-house.

The San Francisco project is fully permitted for a rapid restart of mining operations and comprises two open pits together with heap leach processing facilities and associated infrastructure. It is a robust project with significant gold resources and strong upside in terms of optimized development and multiple, large-scale exploration targets. With a solid foundation of measured and indicated resources of an estimated 1.2 million ounces (oz) gold (National Instrument 43-101 technical report dated May 1, 2026 (1)), the company intends to aggressively explore these targets in a subsequent drilling campaign focused on exploration.

Ralph Shearing, chief executive officer, commented: "What's exciting about the San Francisco project is the possibility of starting gold production quickly in an ongoing strong gold market. This drill program will give our team the necessary information to optimize a mine plan for the restart of mining operations. The infrastructure already in place at the mine is a great advantage to our shareholders, reducing the time to less than one year to bring a mine into production at a very low capital cost. Key value drivers include the potential for rapid exposure to cash flow and the possibility of significant resource and mine life expansion with exploration discovery upside."

Together with the company's producing Cerro Prieto heap leach gold mine in Sonora, the San Francisco project is expected to position Goldgroup on a fast-track growth path. In addition, the company is advancing the proposed business combination with Gold Resource Corp., which holds a 100-per-cent interest in the producing Don David gold mine in Oaxaca, Mexico, as well as the Back Forty gold/silver development project in Michigan, U.S. Successful execution of this transaction could be potentially transformative to the company.

(1) M&I (measured and indicated) resources as outlined in a technical report dated May 1, 2026, entitled "NI 43-101 Technical Report for the San Francisco Project, Sonora, Mexico," with an effective date of April 30, 2026, prepared by Micon International Ltd. for Goldgroup Mining, written by William J. Lewis, BSc, PGeo, Richard M. Gowans, PEng, and Tudorel Ciuculescu, BSc, MSc, PGeo, and is available for viewing on SEDAR+ under the Goldgroup Mining profile or on the company's website. Resources were estimated for San Francisco and La Chicharra: a gold price of $3,500 (U.S.) per oz, recovery from 54.5 per cent to 74.4 per cent (average recovery of 64 per cent), open-pit mining cost of $2.69 (U.S.) per tonne (t), processing costs of $5.10 (U.S.) per t, and general and administration cost of $1 (U.S.) per t; for north pit, a gold price of $3,500 (U.S.) per oz, recovery from 54.5 per cent to 73 per cent (average recovery of 67 per cent), open-pit mining cost of $2.69 (U.S.) per t, processing costs of $5.10 (U.S.) per t, and general and administration cost of $1 (U.S.) per t.

Qualified person

The technical contents of this news release have been reviewed and approved by Craig Gibson, PhD, CPG, an independent qualified person under National Instrument 43-101.

About Goldgroup Mining Inc.

Goldgroup is a Canadian-based mining company with two high-growth gold assets in Mexico. In addition to the San Francisco gold project, the company has a 100-per-cent interest in the producing Cerro Prieto heap leach gold mine located in the state of Sonora. The company recently announced a proposed business combination with Gold Resource, which holds a 100-per-cent interest in the producing Don David gold mine in Oaxaca, Mexico, as well as the Back Forty gold/silver development project in Michigan, U.S.

Goldgroup is led by a team of highly successful and seasoned individuals with extensive expertise in mine development, corporate finance and exploration in Mexico.

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