VANCOUVER, BC - January 15, 2026 (NEWMEDIAWIRE) - Canary Gold Corp. (CSE: BRAZ; OTC: CNYGF; Frankfurt: K5D) (“Canary” or the “Company”) is pleased to announce the mobilization of its 2026 exploration program at the Madeira Project, marked by the arrival of the first drill rig on site. The Company has engaged Geosol, a leading drilling services contractor, to execute a comprehensive, multi-rig drilling campaign focused on defining near-surface mineralization.

The exploration program is designed with a dual-rig strategy, combining specialized drilling for geological definition with rapid regional coverage.

Figure 1. Excavator and drill rig loaded on transport truck en route to the Madeira River Project.

Screw-auger Drilling (Underway)

The first drill rig has arrived on site and is currently mobilizing to initial collar locations. The rig utilizes a screw-auger drilling system, a specialized technique that represents a variation of diamond drilling optimized for unconsolidated ground conditions. This method is specifically designed to recover high-quality samples from the favourable "Mocururu" geologic horizon and associated prospective gravel beds.

Key highlights of the screw-auger program include:

• Targeting: Definition of high-priority geological zones (Mocururu and gravel beds).

• Total drilling: Approximately 5,000 metres across roughly 100 drill holes.

• Spacing: Initial grid of 200 m x 100 m, with flexibility to tighten spacing based on visual observations and assay results.

• Depth: Shallow drilling to a maximum depth of approximately 50 metres per hole.

Reverse Circulation (RC) Drilling (Commencing Late January)

The Company expects the arrival of a second drill rig—a Reverse Circulation (RC) unit—during the second half of January. While the screw-auger program is focused on defining specific near-surface geological units, the RC rig will be deployed to "sweep" the broader land package included in the original agreement with New Frontiers.

This phase of drilling is intended to rapidly assess regional geological continuity and identify new priority targets across the property. Drilling of the additional land package associated with the agreement with Talisman is not contemplated at this stage.

Key highlights of the RC program include:

• Objective: Regional reconnaissance drilling to test the broader extent of the property and identify new geological anomalies.

• Total drilling: Approximately 15,000 metres across roughly 300 drill holes.

• Spacing: Wide-spaced reconnaissance grid of approximately 2,000 m x 1,000 m.

• Depth: Consistent testing of the oxide profile to a maximum depth of approximately 50 metres.

Website and Investor Materials Update

In parallel with the mobilization of its 2026 exploration program, the Company has completed a comprehensive update of its corporate website and investor presentation. These refreshed materials are designed to more clearly communicate the geological framework, exploration strategy, and scale of the Company’s land position, while ensuring consistent and accessible disclosure for investors.

The updated website and investor materials reflect the Company’s transition into an active execution phase, providing shareholders with improved technical context and a more structured overview of Canary’s exploration objectives at the Madeira Project and across the broader Madeira River region.

Mark Tommasi, President of Canary Gold Corp., commented:

“As we move into an active drilling phase, it was important that our public-facing materials evolve alongside our operations. The updated website and investor presentation better reflect where the Company is today and support clear, consistent communication as we move into what is expected to be a very productive year of exploration.”

Option Issuance

The Company also announces that it has granted an aggregate of 6,107,500 stock options to certain directors, officers and consultants of the Company pursuant to the Company’s Omnibus Equity Incentive Plan. The options have an exercise price of $0.27per common share for a period of five years from the date of grant. All securities are subject to a statutory hold period of four months and one day from the date of grant, in compliance with applicable stock exchange policies.

The grant of stock options to certain directors and officers constitutes a related party transaction pursuant to Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, respectively, as the fair market value of the stock options granted to related parties does not exceed 25% of the Company’s market capitalization. The Company did not file a material change report 21 days before the grant of the stock options, which is reasonable for a grant of stock options given the exemptions being relied upon.

Qualified Person Statement (NI 43-101):

The scientific and technical information contained in this news release has been reviewed and approved by Andrew Lee Smith, P.Geo., Executive Director of Canary Gold Corp., who is a “Qualified Person” as defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects. Mr. Smith is not independent of the Company, as he holds an executive and board position.

Data Verification:
In verifying the scientific and technical information disclosed herein, the Qualified Person has reviewed all available geological logs, field notes, sampling documentation, heavy-mineral concentrate reports, analytical certificates, laboratory procedures, and other relevant technical records associated with the Company’s 2025 exploration program. Verification included assessment of sampling methods, chain-of-custody protocols, security of samples from collection through transport to the laboratory, and a review of the analytical methods used by Overburden Drilling Management Ltd. (“ODM”), an independent Canadian laboratory specializing in heavy-mineral evaluation. Where applicable, drill core photographs, stratigraphic profiles, and field observations were compared against laboratory findings to confirm consistency.

Limitations & Stage of Exploration:
The information disclosed herein relates to early-stage exploration results, including heavy-mineral indicator mineral data, reconnaissance sampling, and preliminary geological interpretations. Heavy-mineral analyses and field-based observations do not provide quantitative gold grades and cannot be used to estimate mineral resources. Additional drilling, systematic sampling, and assay verification are required to determine the significance of the geological features described.

Visible Gold Caution:
The Qualified Person notes that visible gold described in this release is a qualitative field observation only. Visible gold does not confirm grade, continuity, or the presence of economic mineralization. Quantitative determination of gold content requires fire-assay analysis and appropriate QA/QC procedures. Early-stage occurrences of visible gold should not be interpreted as indicative of a mineral resource or economic viability.

Exploration Target & Geological Interpretation Caution:
Any reference to potential mineralization, sediment-hosted or paleoplacer systems, or regional metal enrichment is conceptual in nature. There has been insufficient exploration to define a mineral resource, and it is uncertain whether further exploration will result in the delineation of a mineral resource. Geological models, including interpretations of the Mocururu horizon, sediment provenance, placer maturity, and basin-scale transport mechanisms, are interpretive hypotheses based on limited datasets and should not be considered definitive.

Historical or Third-Party Information:
Where the release refers to historical information, academic references, or third-party geological interpretations (including ODM’s technical commentary), such data have not been independently verified by the Qualified Person and may not be representative of mineralization within Canary Gold’s current tenement boundaries.

About Canary Gold Corp.

Canary Gold Corp. is a Canadian public exploration company focused on the acquisition and advancement of gold projects in Brazil. The Company holds an option to earn up to a 70% undivided interest in the Rio Madeira Project through a series of staged exploration expenditures and milestone payments.

In August 2025, Canary further expanded its regional strategy by entering into a definitive agreement to acquire a 100% interest in ten additional mineral tenements totaling approximately 94,700 hectares from Talisman Venture Partners Ltd., a private British Columbia corporation. The total consideration of CAD $1.7 million is being satisfied through staged cash and share payments, a portion of which remains outstanding in accordance with the terms of the agreement.

Talisman retains a 1.0% net smelter return (NSR) royalty on future production from the acquired tenements, one-half of which (reducing the NSR to 0.5%) may be repurchased by the Company at any time for CAD $1.0 million.

Together, these interests provide Canary Gold with a dominant and strategically consolidated land position in the Madeira River region of Rondônia State - one of Brazil’s most prospective yet underexplored gold provinces.

For Further Information, Please Contact:
Canary Gold Corp.
Mark Tommasi, President
Tel: (604) 318-1448
www.canarygold.ca

Cautionary Statement Regarding Forward-Looking Information

This news release contains forward-looking statements within the meaning of applicable securities laws that are not historical facts. Forward-looking statements are often identified by terms such as “will”, “may”, “should”, “anticipates”, “expects”, “believes”, and similar expressions or the negative of these words or other comparable terminology. All statements, other than statements of historical fact, included in this release, including, without limitation, statements regarding the Company’s planned exploration programs and drill programs and potential significance of results, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include but are not limited to the risks detailed in the Company’s Prospectus and in the continuous disclosure filings made by the Company with securities regulations from time to time. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward-looking statements only as expressly required by applicable law.

No securities exchange or commission has reviewed or accepts responsibility for the adequacy or accuracy of this release.

Disclaimer

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful. The securities of the Company have not been and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”), or any state securities laws and may not be offered or sold in the “United States” or to “U.S. persons” (as such terms are defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

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