Mr. Caleb Stroup reports

HEADWATER GOLD ENGAGES GEOMORPHIC AI TO ACCELERATE DATA INTEGRATION AND TARGETING

Headwater Gold Inc. has engaged Geomorphic AI to provide AI-assisted (artificial intelligence) geological data compilation, integration and project evaluation services across the company's exploration portfolio.

Geomorphic is applying its technology to accelerate the conversion of large and often fragmented historical exploration data sets into modern, integrated data sets that can be directly utilized by Headwater's technical team. The engagement also provides Headwater with additional capacity for geological project reviews, target evaluation and technical due diligence on both existing projects and new opportunities.

Highlights:

• AI-assisted project evaluation: Geomorphic will support technical reviews across Headwater's existing portfolio and new project opportunities.
• Unlocking historical exploration data: Fragmented drilling, geochemistry, geological mapping, geophysics and other legacy data sets will be converted into modern, integrated exploration databases.
• Accelerating targeting: Large, data-intensive compilation and review projects can be completed more rapidly, allowing Headwater's technical team to focus on geological interpretation and exploration targeting.
• Expanded technical capacity: The engagement provides Headwater with additional geological, geochemical, geophysical and data-science capability that can be deployed across multiple projects in parallel.

Caleb Stroup, president and chief executive officer of Headwater, stated: "Many of our projects come with decades of historical exploration data, but that information is often scattered across reports, maps and legacy files and can take a tremendous amount of technical time to bring together. Geomorphic gives us the ability to rapidly organize that information and integrate it with our modern data sets, allowing our geologists to spend more time interpreting geology and developing targets rather than compiling data. Once that information is brought together, AI also gives us a new way to interrogate this data by evaluating relationships across geological, geochemical, geophysical, remote-sensing and drilling data sets at scale. We believe the combination of these tools with the experience and judgment of our technical team can help us identify relationships we may have missed, challenge existing interpretations, and ultimately generate new exploration ideas and targets, with the goal of improving exploration outcomes and creating value for shareholders."

Mark Sumner, co-founder of Geomorphic AI, stated: "Headwater has assembled a substantial exploration portfolio in the Western United States and has a technical team with a clear focus on systematic, data-driven exploration. We are excited to work alongside the Headwater team to bring modern AI and data-science tools to these projects and help accelerate the conversion of historical exploration information into actionable geological data sets."

Application of Geomorphic AI across Headwater's portfolio

Headwater intends to apply Geomorphic's platform across a range of exploration and project-evaluation activities, with initial work focused on large, data-rich projects where substantial historical information can be rapidly compiled, integrated and evaluated alongside the company's modern exploration data sets.

The work includes the recovery and organization of historical drilling, geochemistry, geological mapping, geophysics, hyperspectral and other technical information into integrated spatial databases. Geomorphic will also incorporate relevant regional and publicly available data sets, evaluate data quality and completeness, and identify gaps or inconsistencies that may be important to future exploration. This approach is intended to rapidly move projects from fragmented historical data sets to a common technical framework that can be directly used by Headwater's geological team.

Beyond data compilation, Geomorphic will use its AI-driven platform to undertake independent technical reviews, test geological interpretations, evaluate and rank targets, and generate new exploration concepts. By synthesizing multiple data sets simultaneously, the platform provides an additional line of technical inquiry alongside Headwater's geological team, with the objective of identifying relationships and exploration opportunities that may not emerge through conventional review alone.

About Headwater Gold Inc.

Headwater Gold is a technically driven mineral exploration company focused on the discovery of high-grade precious metal deposits in the Western United States. Headwater is actively exploring one of the world's most well-endowed, mining-friendly jurisdictions, with a goal of making world-class precious metal discoveries. The company has a large portfolio of exploration projects and a technical team with diverse experience in capital markets and major mining companies. Headwater is systematically drill testing several projects in Nevada and has strategic earn-in agreements with Oceanagold Corp. on its TJ, Jake Creek and Hot Creek projects; Newmont Corp. on its Spring Peak, Lodestar and Jupiter projects; and Centerra Gold Inc. on its Crane Creek project in Idaho. In August, 2022, and September, 2024, Newmont and Centerra acquired strategic equity interests in the company, further strengthening Headwater's exploration capabilities.

Qualified person

The technical information contained in this news release has been reviewed and approved by Joshua Carron (SME registration No. 042931540), a qualified person as defined in National Instrument 43-101, Standards of Disclosure for Mineral Projects. Mr. Carron is not independent as he is the company's vice-president, exploration.

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