Mr. Colin Moorhead reports

AMENDED & RESTATED TECHNICAL REPORT TO SUPPORT KHARMAGTAI PRELIMINARY ECONOMIC ASSESSMENT

Xanadu Mines Ltd. has filed an amended and restated independent National Instrument 43-101 technical report titled "National Instrument 43-101 Amended and Restated Preliminary Economic Assessment Technical Report, Kharmagtai Copper-Gold Project, South Gobi, Mongolia," effective April 4, 2022.

As a result of a review by staff of the Ontario Securities Commission, it is issuing the following news release regarding its disclosure of the Kharmagtai project. The PEA is amended and restated to include additional clarifications and confirmatory information related specifically to the following:

• Replacement of Andrew Stewart with Julien Lawrence as the independent qualified person for the amended and restated PEA;
• Inclusion of further details regarding the site visit conducted by Robert Spiers of SGC in his role as qualified person for the mineral resource statement and other relevant sections of the PEA;
• Addition of a draft budget for completion of recommendations outlined for the prefeasibility study;
• Minor further clarifications;
• The effective date for the mineral resource in the PEA remains Dec. 8, 2021, as reported in the technical report filed on SEDAR+ on Feb. 28, 2022, and the effective date of the PEA remains April 4, 2022, as reported in the technical report filed on SEDAR+ and the Australian Securities Exchange on June 23, 2022;
• There have been no changes to the technical or economic outcomes reported in the original PEA as lodged on SEDAR+ and the ASX on June 23, 2022;
• The company expects to supersede this PEA with a PFS technical report in third quarter of calendar year 2024 after completion of the PFS currently in progress with Xanadu's joint venture partner Zijin Mining Group.

The amended and restated PEA has been classified in accordance with the Canadian Institute of Mining Metallurgy and Petroleum Definition Standards (CIM, 2014) and National Instrument 43-101 Standards of Disclosure for Mineral Projects and with the 2012 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (Joint Ore Reserves Committee Code, 2012 edition).

The amended and restated PEA, dated May 7, 2024, may be found under the company's profile on SEDAR+ and at the Xanadu website.

About Xanadu Mines Ltd.

Xanadu is an Australian Securities Exchange- and Toronto Stock Exchange-listed exploration company operating in Mongolia. It gives investors exposure to globally significant, large-scale copper-gold discoveries and low-cost inventory growth. Xanadu maintains a portfolio of exploration projects, and remains one of the few junior explorers on the ASX or TSX which jointly controls a globally significant copper-gold deposit in its flagship Kharmagtai project. Xanadu is the operator of a 50-50 joint venture with Zijin Mining Group in Khuiten Metals Pte. Ltd., which controls 76.5 per cent of the Kharmagtai project.

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