GGM - Granada Closes Shares for Debt Transaction and Confirms Repricing and Extending Warrants

(TheNewswire)

Rouyn Noranda, Quebec, September 6, 2023 - Granada GoldMine (TSXV: GGM) (“Granada Gold” or the “Company”) announcesthat further to its news release dated July 25, 2023, the Company hasclosed the shares for debt transaction (“Transaction) and theCompany has issued 2,558,333 common shares at a deemed price of $0.03per share to certain creditors to settle $76,750 worth of debt owed tothe creditors.  One of the creditors was a related party as one ofthe principals is a director and officer of the Company.  The relatedcreditor was issued 1,833,333 shares to settle $55,000 worth ofdebt.

All securities issued in connection with theTransaction will be subject to a four?month expiring on December 25,2023 in accordance with applicable Canadian securities laws.

Further to the Company’s news release of August 9,2023, the Company confirms it has repriced 3,956,521 share purchase warrants (“Warrants”) which were issued intwo tranches pursuant to a private placement that closed on September4, 2020. The Warrants have been repriced to $0.05 and have beenextended to August 27, 2025 (3,043,478 Warrants) and September 4, 2025(913,043 Warrants).

The Company has also repriced 5,178,572 Warrants whichwere issued pursuant to a private placement that closed on September27, 2021. The Warrants have been repriced to $0.05 and have beenextended to September 27, 2025.

The Warrants, as amended, are subject to an acceleratedexpiry provision such that if for any ten consecutive trading days(the “Premium Trading Days”) during the unexpired term of theWarrants, the closing price of the Company’s shares on the TSXVenture Exchange exceeds $0.0625, representing the amended Warrantexercise price of $0.05 plus 25%, the exercise period of the Warrantswill be reduced to 30 days, starting seven days after the last PremiumTrading Day. The Company will announce any such accelerated expirydate by press release. All other terms of the Warrants remainunchanged.

About Granada Gold Mine Inc.

Granada Gold Mine Inc. continues to develop and exploreits 100% owned Granada Gold Property near Rouyn-Noranda, Quebec whichis adjacent to the prolific Cadillac Break. The Company owns 14.73 square kilometers of landin a combination of mining leases and claims. The company is currentlyundergoing a large drill program with 30,000m out of 120,000mcomplete. The drills are currently paused to provide the technicalteam with the necessary time to evaluate and assimilate existing data.

The Granada Shear Zone and the South Shear Zonecontain, based on historical detailed mapping as well as from currentand historical drilling, up to twenty-two mineralized structurestrending east-west over five and a half kilometers. Three of thesestructures were mined historically from four shafts and three openpits. Historical underground grades were 8 to 10 grams per tonne goldfrom two shafts down to 236 m and 498 m with open pit grades from 3.5to 5 grams per tonne gold.

Mineral Resource Estimate

On August 20, 2022 the Company released an updated NI43-101 technical report supporting the resource estimate update forthe Granada Gold project (Please see July 6, 2022 news release)reporting that the Granada deposit contains an updated mineralresource, at a base case cut-off grade of 0.55g/t Au for pit constrained mineral resources within a conceptual pitshell and at a base case cut-off grade of 2.5 g/t for undergroundmineral resources within reasonably mineable volumes, 543,000 ouncesof gold (8,220,000 tonnes at an average grade of 2.05 g/t Au) in theMeasured and Indicated category, and 456,000 ounces of gold (3,010,000tonnes at an average grade of 4.71 g/t Au) in the Inferredcategory. Please see Table 1 below for fulldetails. Report reference: Granada Gold Project Mineral ResourceEstimate Update, Rouyn-Noranda, Quebec, Canada authored by Yann Camus,P.Eng. and Maxime Dupéré, B.Sc, P.Geo., SGS Canada Inc. dated August20th, 2022 and with an effective date of June 23rd, 2022.

Table 1: Mineral Resource Estimate Showing Tonnes,Average Grade, and Gold Ounces

1. (1) The1930-1935 production was removed from these numbers (164,816 tonnes at9.7 g/t Au / 51,400 ounces Au).

2. (2) TheIndependent QP for this resources statement is Yann Camus, P.Eng., SGSCanada Inc.

3. (3) Theeffective date is June 23 rd ,2022.

4. (4) CIM (2014)definitions were followed for Mineral Resources.

5. (5) Mineralresources which are not mineral reserves do not have demonstratedeconomic viability. An Inferred Mineral Resource has a lower level ofconfidence than that applying to a Measured and Indicated MineralResource and must not be converted to a Mineral Reserve. It isreasonably expected that the majority of Inferred Mineral Resourcescould be upgraded to Indicated Mineral Resources with continuedexploration.

6. (6) No economicevaluation of the resources has been produced.

7. (7) All figuresare rounded to reflect the relative accuracy of the estimate. Totalsmay not add due to rounding

8. (8) Compositeshave been capped where appropriate. The 2.5 m composites were cappedat 21 g/t Au in the thin rich veins and at 7 g/t Au in the low-gradevolumes.

9. (9) Cut-offgrades are based on a gold price of US$1,700 per ounce, a foreignexchange rate of US$0.78 for CA$1, a processing gold recovery of 93%.

10. (10) Pitconstrained mineral resources are reported at a cut-off grade of 0.55g/t Au within a conceptual pit shell

11. (11) Underground mineral resources are reported at a cut-off grade of 2.5g/t Au within reasonably mineable volumes.

12. (12) A fixedspecific gravity value of 2.78 g/cm was used to estimate the tonnage fromblock model volumes

13. (13) There areno mineral reserves on the Property.

14. (14) Thedeepest resources reported are at a depth of 990 m.

15. (15) SGS is notaware of any known environmental, permitting, legal, title-related,taxation, socio-political, marketing or other relevant issues thatcould materially affect the mineral resource estimate.

16. (16) Theresults from the pit optimization are used solely for the purpose oftesting the “reasonable prospects for economic extraction” by anopen pit and do not represent an attempt to estimate mineral reserves.There are no mineral reserves on the Property. The results are used asa guide to assist in the preparation of a mineral resource statementand to select an appropriate resource reporting cut-offgrade.

The property includes the former Granada Goldunderground mine which produced more than 50,000 ounces of gold at 10grams per tonne gold in the 1930’s from two shafts before a firedestroyed the surface buildings.  In the 1990s, Granada Resourcesextracted a bulk sample (Pit #1) of 87,311 tonnes grading 5.17 g/t Au. They also extracted a bulk sample (Pit # 2) of 22,095 tonnes grading3.46 g/t Au.

“Frank J. Basa”

Frank J. Basa, P. Eng.

President & Chief ExecutiveOfficer

For further information, Contact:

Frank J. Basa, P.Eng.

President & Chief ExecutiveOfficer

P: 416-625-2342

Or:

Wayne Cheveldayoff,

Corporate Communications

P: 416-710-2410

E: waynecheveldayoff@gmail.com

Neither the TSX Venture Exchange norits Regulation Service Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release. This news release may containforward-looking statements including but not limited to commentsregarding the timing and content of upcoming work programs, geologicalinterpretations, receipt of property titles, potential mineralrecovery processes, etc. Forward-looking statements address futureevents and conditions and therefore, involve inherentrisks and uncertainties.Actual results may differ materially from those currently anticipatedin such statements.

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