Corporate Update - QCM Property Exploration Update

CALGARY, AB / ACCESS Newswire / August 13, 2026 / Kestrel Gold Inc. ("Kestrel" or the "Corporation") (TSXV:KGC,OTC:KSTBF) is pleased to provide shareholders and the investment community with an exploration update on its 100%-owned QCM Property, located in the Manson-Germanson District of British Columbia, where Centerra Gold Inc. ("Centerra") (TSX:CG)(NYSE:CGAU) is advancing an option earn-in program with CGSI as project operator. This release summarizes highlights from the 2026 surface exploration program completed in the second quarter of 2026, and from Centerra's 2025 diamond drill program, completed in the fourth quarter of 2025.

Figure 1: QCM Property overview showing the 2026 planned soil sampling grid (Priority 1-3 areas), historic gold showings, and the Main Zone / 14 Vein drill target areas. Source: Centerra Gold.

Following the 2025 drill program, Centerra conducted a regional soil sampling, prospecting, and structural mapping program at QCM during June 2026, focused on the historical Flagstaff showing and surrounding target areas. Field crews mobilized to site on June 9, 2026, with geological and geochemical activities conducted from June 13 to June 25, 2026.

• 784 of 1,011 planned Priority 1 soil samples were collected, completing the Priority 1 sampling program; remaining planned sites could not be sampled due to unfavourable ground conditions (glaciofluvial cover, insufficient fine material, or wetland terrain)

• 96 of 364 planned Priority 2 soil samples (26%) were collected, with the program continuing

• 100 rock samples were collected across the property

• 59 outcrop exposures were documented and 40 high-confidence structural measurements were recorded

Figure 6: 2026 soil and rock sample coverage completed to date across the QCM block, by priority area.

Mapping at the Flagstaff showing identified intense Fe-carbonate and moderate mariposite alteration within approximately 50 m of the historic drill collars, together with three distinct quartz vein orientations. Approximately 500 m southeast of Flagstaff, follow-up work at historical anomalies (up to 0.74 g/t Au in soil and 0.15 g/t Au in rock) identified similar alteration and vein characteristics, including localized zones of 5-7% pyritohedral pyrite, indicating potential for the Flagstaff-style mineralized footprint to extend along strike.

Figure 7: Quartz vein exposures mapped in the Flagstaff target area, June 2026, hosted in Fe-carbonate and mariposite-altered greywacke.

Centerra completed 9,110.5 metres of diamond drilling in 36 holes between May 25 and October 31, 2025, comprising 6,305.5 metres at the Main Zone and 2,805.0 metres at the 14 Vein target, located approximately 7 km apart on the property. Drill results were announced previously in news releases dated October 10, 2025 and February 10, 2025. Please see these news releases for full details.

Main Zone

Drilling confirmed and extended historically known gold mineralization, defining a zone of continuous mineralization approximately 500 m long by 180 m wide by 180 m deep that consistently returns average grades of 0.5 to 0.8 g/t Au. Results indicate the zone remains open to the northwest. Selected highlights include:

• QCM-25-006: 137.00 m @ 0.522 g/t Au from 136.00 m

• QCM-25-005: 48.00 m @ 0.823 g/t Au from 87.00 m

• QCM-25-033: 72.00 m @ 0.578 g/t Au from 152.00 m

• QCM-25-036: 93.94 m @ 0.501 g/t Au from 18.06 m

• QCM-25-035: 72.00 m @ 0.591 g/t Au from 319.00 m

• QCM-25-002: 19.00 m @ 0.798 g/t Au from 3.00 m, including zone up to 7.50 g/t Au

Figure 2: Main Zone drill hole location map, 2025 drill program (36 holes). Section traces A-A' and B-B' shown in purple and red. Source: Centerra Gold.

Figure 3: Drill core from QCM-25-006 (193.81-197.40 m), Main Zone - quartz-sericite-ankerite altered greywacke; the 195-196 m interval returned 2.2 g/t Au.

14 Vein

2025 drilling delineated a mineralized zone approximately 200 m by 20 m, trending northwest-southeast and dipping gently to the southwest, with typical grades of 0.4 to 0.6 g/t Au. Drilling has now defined both the northwest and southwest limits of the vein. Selected highlights include:

• QCM-25-018: 25.00 m @ 0.632 g/t Au from 91.00 m

• QCM-25-019: 33.84 m @ 0.412 g/t Au from 49.16 m

• QCM-25-025: 22.35 m @ 0.661 g/t Au from 207.00 m

A step-out hole 100 m north of the 14 Vein, QCM-25-022, returned 11.00 m @ 0.975 g/t Au from 25.00 m (including 7.00 m @ 1.347 g/t Au), identifying a new target warranting follow-up as a potential parallel mineralized structure. A 500 m step-out hole to the northwest, QCM-25-030, intersected visible gold in quartz veining at 104 m and helped define the broader target area.

Figure 5: 14 Vein drill hole location map, 2025 drill program, showing 2024 and 2025 drill traces (cross-section lines A-G in red).

Metallurgy and Quality Control

• Assay results from the 2026 Phase 1 sampling program are anticipated in late August 2026

• Additional soil sampling and follow-up fieldwork are planned for September 2026

• A Kestrel management site visit is planned for the third quarter of 2026

• Work will continue towards refining the QCM geological model, including primary and secondary fault structures

Gordon Aldcorn, President and CEO of Kestrel, states: "Over the next 30 days, our management team will be conducting site visits to our existing QCM and KSD properties to support current technical assessment of ongoing programs. We are actively evaluating a number of prospective new projects to generate growth for the Corporation, including opportunities in western Canada and South America." Kestrel is pleased to introduce a new, updated website with interactive models for reference. We encourage shareholders and interested parties to visit us at www.kestrelgold.com.

The scientific and technical information contained in this news release has been reviewed and approved by Duncan McBean, P.Geo., a Qualified Person as defined under National Instrument 43-101 and a Director of Kestrel Gold Inc.

Kestrel Gold Inc. is an exploration company headquartered in Calgary, Alberta, focused on the acquisition, exploration, and evaluation of mineral properties in the Canadian Cordillera. Kestrel holds a 100% interest in the QCM Property (subject to a 2% NSR), an orogenic gold target in the Manson-Germanson placer district of British Columbia, where Centerra Gold Inc. is advancing an earn-in option to acquire up to a 75% interest. Kestrel also holds a 100% interest in the KSD Property (subject to a 2.5% NSR), an orogenic gold target in the Tintina Gold Belt, Yukon. Kestrel is listed on the TSX Venture Exchange under the symbol KGC.

Contact: Gordon Aldcorn, President & CEO | Office: (825) 454-4653 | gordon@kestrelgold.com | www.kestrelgold.com

This news release contains certain forward-looking information. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Kestrel to be materially different from any future results, performances, or achievements expressed or implied by such forward-looking statements. Such factors include, among others, risks related to exploration and development, fluctuating gold prices, operating hazards, and the ability to obtain necessary financing. Readers are cautioned not to place undue reliance on forward-looking statements. Kestrel does not undertake to update any forward-looking statements, except as required by applicable securities laws.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

SOURCE: Kestrel Gold Inc.