Southern Cross Gold Consolidated Ltd. press release

Southern Cross Gold Doubles Exploration Target With Increasing Grade at Sunday Creek Gold-Antimony Project

2025-03-03

TSX - Toronto Stock Exchange · Australia

VANCOUVER, BC AND MELBOURNE, AUSTRALIA / ACCESS Newswire/ March 3, 2025 / Southern Cross Gold Consolidated Ltd("SXGC", "SX2" or the "Company") (TSXV:SXGC)(ASX:SX2)(OTCPK:MWSNF)(FRA:MV3.F) announces a doubling of the Sunday Creek gold and antimony Exploration Target in Victoria, Australia (Figures 1 and 2).

HIGHLIGHTS

The estimated range of potential mineralization for the Exploration Target is (also see Tables 1 and 2):

8.1 - 9.6 million tonnes grading from 8.3 g/t gold equivalent ("AuEq") to 10.6 g/t AuEq for: 2.2 M oz AuEq to 3.2 M oz AuEq

The potential quantity and grade of the Exploration Target is conceptual in nature and therefore is an approximation. There has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource. The Exploration Target has been completed in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") and the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, 2012 Edition ("JORC").

Notably, the Exploration Target is constrained to three of the fourmain areas along the strike of the dyke breccia host on the project: Rising Sun (over 340 m strike), Apollo (over 280 m strike) and Golden Dyke (over 400 m strike) for a total 1,020 mof strike. This does not include the recently drilled high grade Christina mineralization and strike represents approximately 67% of the 1.5 km strike of the main drill footprint to date at Sunday Creek.

The 2025 Exploration Target demonstrates strong growth compared to the 2024 Exploration Target reported January 23, 2024, with tonnage increasing by up to 88%, grades improving by up to 15%, and total contained AuEq metal growing by up to 120%. The project's spatial coverage has expanded significantly, now covering 67% of the 1.5 km main drill footprint, while technical improvements include a 40% increase in drill holes, nearly double the assay results, more than tripled density measurements, and deeper mineralization reaching 1,120 m below surface. These comprehensive advancements underscore the project's expanding scale while maintaining its exceptional high-grade characteristics.

Drilling operations at Sunday Creek continue with six active rigs, and expansion is imminent as two additional drill rigs are scheduled to join the project-one in late March and another in early April. 2025-to accelerate exploration along strike and at deeper depths.

_Michael Hudson, President & CEO of SXGC states:"Sunday Creek continues to demonstrate why it is one of the most significant high-grade gold-antimony discoveries made in recent times. _The dramatic expansion of Sunday Creek's exploration target - doubling in both tonnage and contained metal while maintaining exceptional grades over the last year - while only representing 67% of the drilled area, represents another key milestone for Sunday Creek.

"In the last year we have grown our exploration target from 1.0 to 1.6 Moz AuEq to 2.2 to 3.2 Moz AuEq, while maintaining exceptional grades ranging from 8.3 to 10.6 g/t AuEq. This represents significant growth across all metrics, with tonnage increasing by 84 to 88%, grades improving by 9 to 15%, and total contained gold equivalent ounces growing by 100 to 120%. This constitutes an addition of 1.2 to 1.6 Moz AuEq to our target through both tonnage expansion and improved grades, particularly at Rising Sun where we're seeing consistently higher grade results at depth. Most significantly, this target captures only 67% of the main 1.5 km drill footprint, suggesting substantial upside remains both within and outside of the drilled footprint.

"The target demonstrates Sunday Creek's exceptional high grades that place it in the highest global quartile offering substantially high margin potential. The project benefits from its location in a Tier 1 jurisdiction with excellent infrastructure with direct road access, nearby power, and no need for remote camps or extensive diesel transport.

"Our metallurgical testing demonstrates excellent gold and antimony recoveries (93 to 98%), with non-refractory mineralization suitable for conventional processing. The gold-antimony system shows remarkable continuity from surface to 1,120 m depth, with evidence from nearby mines suggesting potential for even higher grades below our current exploration depth, presenting significant upside for future exploration, while the strategic antimony content (contributing 21 to 24% of in-situ value) takes on heightened importance given China's recent export restrictions and Western nations' push for secure critical mineral supply chains.

"Environmental baseline studies are progressing concurrently with drilling, and successful regional exploration results could potentially expand our overall resource footprint beyond the current Sunday Creek focus."

EXPLORATION TARGET

The approximate combined Exploration Target ranges are listed in Table 1, while Table 2 provides a summary of the Exploration Targets for each prospect. Locations shown in Figures 1 and 2.

Table 1. Sunday Creek Exploration Target for Apollo, Rising Sun, Golden Dyke at the Sunday Creek Project

| Range | Tonnes (Mt) | AuEq g/t* | Au g/t | Sb % | Au Eq (Moz) | Au (Moz) | Sb (kt) | | Lower Case | 8.1 | 8.3 | 6.4 | 0.8 | 2.2 | 1.7 | 66.6 | | Upper Case | 9.6 | 10.6 | 8.3 | 0.9 | 3.2 | 2.6 | 88.2 |

Table 2. Exploration Targets for Rising Sun, Apollo and Golden Dyke prospects at the Sunday Creek Project

| Prospect | Tonnes Range (Mt) | AuEq Grade Range (g/t) | Au Grade Range (g/t) | Sb Grade Range (%) | Contained AuEq (Moz) | Contained Au (Moz) | Contained Sb (Kt) | | | | | | | | | Low | High | Low | High | Low | High | Low | High | Low | High | Low | High | Low | High | | | Rising Sun | 3.1 | 3.8 | 11.3 | 16.1 | 9.3 | 13.7 | 0.8 | 1.0 | 1.1 | 2 | 0.9 | 1.7 | 25.4 | 38.3 | | Apollo | 3.2 | 3.6 | 5.9 | 6.4 | 4.2 | 4.5 | 0.7 | 0.8 | 0.6 | 0.7 | 0.4 | 0.5 | 23.1 | 28.6 | | Golden Dyke | 1.8 | 2.1 | 7.6 | 7.6 | 5.2 | 5.2 | 1.0 | 1.0 | 0.4 | 0.5 | 0.3 | 0.4 | 18.1 | 21.4 | | Total | 8.1 | 9.6 | 8.3 | 10.6 | 6.4 | 8.3 | 0.8 | 0.9 | 2.2 | 3.2 | 1.7 | 2.6 | 66.6 | 88.2 |

EXPLORATION TARGET UPSIDE

The Sunday Creek Project continues to demonstrate significant upside potential well beyond its recently expanded exploration target area. The project combines high-grade mineralization with multiple high-grade zones drilled that remain outside the current target area.

The Exploration Target covers 67% of the strike of the core 1.5 km main drill area. The other portion of the main drill area has not been drilled to the intensity required to include in this Exploration Target, highlighting the potential to further increase the overall gold-antimony endowment of the Sunday Creek gold-antimony project. Drilled areas notyet included in the Exploration Target include:

Geographic/Spatial Upside:

1. Christina Zone

Shows system capable of bonanza grades 400 m west of the current Exploration Target, including:

SDDSC148: 0.5 m @ 76.1 g/t AuEq(76.0 g/t Au, 0.1% Sb) from 252.6 m

SDDSC137W2: 1.7 m @ 300.2 g/t AuEq(296.2 g/t Au, 1.7% Sb) from 208.2 m

SDDSC137W2: 11.9 m @ 2.1 g/t AuEq(0.9 g/t Au, 0.5% Sb) from 166.9 m

SDDSC150: 1.7 m @ 204.3 g/t AuEq(204.1 g/t Au, 0.1% Sb) from 570.8 m

SDDSC150: 0.7 m @ 137.7 g/t AuEq(137.7 g/t Au, 0.0% Sb) from 591.3 m

Multiple high-grade intersections suggest mineralization is of a similar style to Apollo and Rising Sun

2. Rising Sun Extensions

Unconstrained drill results not yet included in the Exploration Target within the footprint of Rising Sun including:

SDDSC144: 0.7 m @ 193.6 g/t AuEq(193.4 g/t Au, 0.1% Sb) from 609.3 m

SDDSC061: 6.1 m @ 19.0 g/t AuEq(19.0 g/t Au, 0.0% Sb) from 689.0 m

Demonstrate high grades continue with depth

3. Apollo East

High antimony grades (up to 10.9% Sb) showing metal zoning potential up to 100 m above and east of the exploration target, with drill results including:

SDDSC112: 0.9 m @ 42.8 g/t AuEq(16.7 g/t Au, 10.9% Sb) from 273.2 m

4. Regional Scale

The Sunday Creek mineralized system extends far beyond the current drill area, with compelling evidence for a 12 km strike length of prospective geology.

The mineralizing system is defined by multiple parallel dyke-breccia structures and extensive zones of altered sediments, all following a consistent east-west trend. This structural framework has been validated by a network of historic mine workings and documented gold-antimony production from multiple locations along the trend.

Modern technical work has further confirmed this potential through multiple independent datasets:

Strong Induced Polarization (IP) geophysical anomalies align with systematic soil geochemistry anomalies and detailed geological mapping, all confirming the continuity of the mineralized system.

Early stage drilling by SXGC includes the Leviathan prospect 3 km east showing gold mineralization, including:

SDDLV003: 0.5 m @ 15.7 g/t Aufrom 87.0 m

SDDLV004: 0.3 m @ 5.6 g/t Aufrom 73.4 m and 0.3 m @ 19.4 g/t Aufrom 100.7 m

5. Depth Potential

Mineralization proven to >1,120m depth

System remains open at depth, where surrounding mines have proved mineralization down to 2 km below surface

Deep drill holes showing continuation of high grades

6. Grade Upside

Potential for additional high-grade domain definition: for example, no high-grade domains have been wireframed at Golden Dyke to date

High-grade shoots remaining open

Rising Sun showing highest grades to date

COMPARISON 2024-2025 EXPLORATION TARGETS: SIGNIFICANT GROWTH

Substantial growth was recorded in this updated 2025 Exploration Target based on a very successful year of drilling, which shows strong improvement across all key metrics, highlighting the project's expanding scale and continuing high-grade nature. Figure 4 shows a longitudinal section of the main drill area over time, with the 2024 Exploration target and the current updated exploration target outline highlighting the rapid exploration success over the last few years.

In the prior update released on January 23, 2024, the Company reported an Exploration Target with estimated potential mineralization ranging from 4.4 Mt @ 7.2 g/t AuEq (1.0 Moz AuEq) in the Lower Case to 5.1 Mt @ 9.7 g/t AuEq (1.6 Moz AuEq) in the Upper Case.

The new March 02, 2025 Exploration Target demonstrates significant growth with estimated potential mineralization now ranging from:

Lower Case:8.1 Mt @ 8.3 g/t AuEq (2.2 Moz AuEq)

Upper Case:9.6 Mt @ 10.6 g/t AuEq (3.2 Moz AuEq)

Key Improvements from 2024 to 2025 (lower to upper case)

Tonnage Growth:84 to 88% increase

AuEq Grade Improvement:9 to 15% increase

Contained AuEq Metal:100 to 120% increase (gold 103 to 1030%, antimony 24 to 40%)

Spatial Expansion

2024: Covered 50% of the 1.2 km main drill footprint (620 m)

2025: Covers 67% of the 1.5 km main drill footprint (1,020 m)

Technical Advancements

Increased drill density (from 116 holes to 162 holes)

More assay results (from 26,513 to 49,595)

Better density measurements (from 353 to 1,169)

Deeper mineralization (deepest from 1,003 m to 1,120 m below surface)

SUMMARY OF RELEVANT EXPLORATION DATA, METHODOLOGY, ASSUMPTIONS AND NEXT STEPS

The basis on which the disclosed potential quantity and grade has been determined based on continuity of mineralization defined by exploration diamond drilling results (previously reported, including relevant sections and plans) within proximity to the intrusive "main structure" zone and bleached sediments. Strike extents in the lower-case model are minimized to half drill spacing (~15 m) or to locally restrictive geology (i.e. bounds of bleached sediment or dyke) whichever was smaller. The upper-case model strike extents were extended to the average vein strike (typically around ~40 m) or to geological constraints, whichever was smaller.

The Exploration Target was limited to a vertical depth of 1,120 m below surface (-835 m RL), limited by the deepest mineralization defined to date within the "main structure" dyke/dyke breccia and bleached sediments within Rising Sun.

A series of sub-vertical lodes within a 1,020 m-wide corridor has been outlined at Rising Sun, Apollo and Golden Dyke with mineralization remaining open to the east, west and to depth.

Only the Rising Sun, Apollo and Golden Dyke areas were considered for the Exploration Target as they contain sufficient drilling to suggest continuity and infer grade ranges, but insufficient drill spacing to convert the entire area into a mineral resource estimate. The Exploration Target is based on the interpretation of the following geology and mineralization data that has been collated as of the date of this announcement:

162 structurally oriented drillholes for 73,299.16 m at the main Sunday Creek area that have been drilled by Mawson/SXGC;

64 aircore, reverse circulation and unoriented diamond drill holes for 5,599 m that were drilled historically on the project;

49,595 drill hole assay results;

1,169 density measurements on mineralized diamond drill core, a variable SG was calculated using the average of rock types and a regression calculation dependent on the content of antimony, where Sb% >1 used an SG value of 0.0197 x Sb% + 2.77, and if below 1% Sb a value of 2.77 was applied to the Exploration Target.

Surface geological mapping, costean data and diamond core geological logging;

Detailed LiDAR imagery;

Geophysical datasets including detailed ground magnetic and 3D induced polarization;

Wireframing and modelling of the Apollo, Rising Sun and Golden Dyke mineralized body.

A total of 85 mineralized vein set shapes were created for the Exploration Target of 18 contained high-grade internal shapes (at Rising Sun and Apollo, but not Golden Dyke due to the lack of drill data) were defined (Table 3 & Table 4). A total of 70 of the vein set shapes had grades estimated from composited assay data, while 15 vein set shapes used the average calculated grade of either Rising Sun (lower case 7.8 g/t Au and 0.8% Sb and upper case 11.5 g/t Au and 1.0% Sb), Apollo (lower case 3.8 g/t Au and 0.7% Sb and upper case 4.1 g/t Au and 0.7% Sb) or Golden Dyke (lower and upper case 5.6 g/t Au, 1.0% Sb) and this was applied to the Exploration Target. Drilling indicates Rising Sun could contain higher gold and antimony grades than Apollo and Apollo Deep, with Golden Dyke not yet being tested to depth to determine the propensity of higher grades.

Mineralization across all vein sets was limited by the deepest mineralization defined to date, within the "main structure" dyke/dyke breccia and bleached sediments within Rising Sun approximately 1,120 m below surface. While at Apollo the Exploration Target extended from surface to where drill density decreases, 900 m below surface.

Below drilling intercepts to the lower estimation limit, the low tonnage range used a minimum width of 2 m (~75% of median estimated true width of all modelled domains) while the high tonnage range applied a minimum width of 2.5 m (approximate median true width of all modelled domains). Strike extents in the low tonnage range model were minimized to half drill spacing (~15 m) or to locally restrictive geology (i.e. bounds of altered sediment (ASED) or dyke) whichever was smaller. The high tonnage range model applied strike extents that were extended to the average vein strike (typically around ~40 m) or to geological constraints, whichever was smaller.

Wireframes have been created in Leapfrog Geo using a threshold of 1.0 g/t Au over 2 m. The economic composite tool was used to allow for the inclusion of thin, high-grade intercepts. Grade ranges have been informed by a preliminary grade estimate conducted on top-cut, composited data using Leapfrog Edge.

Grade estimates were calculated using a post composite top-cut of 80 g/t Au for vein sets in Apollo, Rising Sun and Golden Dyke. The high-grade sub domains had a range restriction of 15% applied (~10 to 15 m) and then a top-cut of 300 g/t Au for Apollo and 400 g/t Au for Rising Sun.

The high- and low-grade ranges are primarily influenced by the proportion of high-grade subdomains ("high-grade cores") within the Rising Sun and Apollo estimates. The low-end grade range assumes the existing ratio of high-grade cores to vein set material - approximately 2% of the exploration shape volume - while the high-end grade range applies a higher ratio of ~4%. This variation reflects the exclusion or inclusion of a distinct high-grade population observed across multiple veins. As additional drilling improves confidence in subdomaining, these high-grade zones may be more precisely delineated and estimated separately.

For the low-range domains, Rising Sun contributes 38% of the tonnes and 55% of the contained ounces, Apollo contributes 40% of the tonnes and 26% of the contained ounces and Golden Dyke contributes 22% of the tonnes and 18% of the contained ounces.

For the high-range domains, Rising Sun contributes 40% of the tonnes and 66% of the contained ounces, Apollo contributes 38% of the tonnes and 21% of the contained ounces and Golden Dyke contributes 22% of the tonnes and 13% of the contained ounces.

Significant upside also remains within the tenor potential of all the prospects when further high-grade domains can be recognized and separated to maintain the high-grade nature of the veins i.e. top cuts can be raised with further data.

Antimony content contributes between 24% (Low-Range) and 21% (High-Range) of the AuEq ounces at an AuEq factor of 2.39.

Notably, the Exploration Target is constrained to three of the four main areas along the strike of the dyke breccia host on the project: Rising Sun (over 340 m strike), Apollo (over 280 m strike) and Golden Dyke (over 400 m strike) for a total 1,020 mof strike. This strike represents approximately 67% of the 1.5 km strike of the main drill footprint to date at Sunday Creek.

Figure 3 illustrates how gold grade capping (top-cuts or "TC") affects both the average grade of composites in the Exploration Target and the statistical reliability of these sample populations. Lower coefficient of variation (CV) values-calculated as standard deviation divided over mean-indicate reduced geological risk through more consistent sample data.

The Sunday Creek project demonstrates favourable statistical characteristics across all zones:

Rising Sun: CV decreased from 1.8 (before top-cutting) to 1.35 (after top-cutting)

Apollo: CV reduced from 1.36 (before top-cutting) to 1.0 (after top-cutting)

Golden Dyke: CV remained stable at 1.0 (both before and after top-cutting)

Importantly, as drilling has progressed and high-grade core sub-domains have been identified, Sunday Creek has shown consistent decreases in CV valuesboth before and after applying top-cuts, indicating improving data reliability and reduced uncertainty.

The estimated true widthsof Rising Sun, Apollo, and Golden Dyke are relatively consistent across all prospects. Apollo has the largest estimated true width, averaging 4.2 m (median 3.5 m),Rising Sun at 2.8 m (median 2.4 m),and Golden Dyke at 3.2 m (median 2.3 m). Within the centre of many vein sets high-grade cores show consistency, with Apollo averaging 0.5 m (median 0.4 m, maximum 1.3 m) and Rising Sun averaging 0.6 m (median 0.4 m, maximum 2.4 m).