GBBFF - Granada Gold Mine Prepares to Extract Bulk Sample on Extension of High-Grade Zone on Mining Lease BM 813 in 2022

(TheNewswire)

Company has begun preparation fordrilling and blasting for the extraction of new bulk sample onmineralized zone on BM 813

Rouyn Noranda, Q.C. - TheNewswire- December 8, 2021 - Granada Gold Mine Inc. (TSXV:GGM) (OTC:GBBFF) (Frankfurt:B6D)(the “Company” or “Granada”) is pleasedto announce that it has initiated stripping of overburden and blocksorting of historical broken mineralized material on mining lease BM813 as part of its ongoing work to assess the grade on the structureEast of former open pit #1.

Based on high-grade drill results, both down-dip withinthe structure and across the structure (see Press Release September 7,2021 for detailed assay results), the company initiated the sortingand relocation of broken, mineralized material on mining lease BM 813in September 2021. This work should enable extraction and sampling ofthe mineralized structures which links to the structure on the mininglease BM 852 where a previous bulk sample was taken 250m to the East(see Press Release June 16, 2021).

The ongoing stripping is expected to continue until thearea is free of overburden. The second phase, consisting of cleaningthe surface with a smaller excavator, will follow in spring to earlysummer of 2022.

Granada President and CEO Frank J. Basa, P.Eng.,states: “The company is working on multiple fronts to enabledevelopment of its Granada asset. A portion of 500 tonnes of themineralized material blasted on lease BM 852 has been shipped to theTTL laboratory in Cobalt, Ontario to assess the free gold content andthe grade of the mineralization. This should allow the company to makecomparisons to the adjacent drill results and the latest MineralResource block model from SGS Geostat. We are looking forward tohaving preliminary results from that extraction. The company will dothe same for the structure on lease BM 813 in 2022”.

Location

The Granada Gold project is located in an establishedmining district 5 km south of Rouyn-Noranda adjacent to the prolificCadillac Break shear zone, which is hosted in Pontiac metasedimentaryrocks, granites, and younger syenite sills along the Granada shearzone (LONG Bars Zone). The project is located on the same side of theCadillac Fault as the Canadian Malartic mine property, which hashistorically produced 12.7 million Ounces of gold from 1935 to 2010with an additional 5 million ounces as of June 18, 2020 (CanadianMalartic Technical Report of March 25, 2021 & Le Citoyen June 19,2020).

Qualified person

The technical information in this news release has beenreviewed by Claude Duplessis, P.Eng., GoldMinds Geoservices Inc., amember of the Québec Order of Engineers, and isa qualified person in accordance with the National Instrument43- 101 standards.

Mineral Resource Estimate

On March 15, 2021 the Company released an updated NI43-101 resource estimate for the Granada Gold project (Please seeJanuary 29, 2021 news release) with a combined total of 713,000 goldounces of measured, indicated, and inferred. This estimate contains351,000 gold ounces of combined measured,indicated, and inferred for the open pit and 362,000 gold ounces ofcombined measured, indicated, and inferred for the underground. Pleasesee Table 2 below for full details. Report reference: Granada GoldProject Mineral Resource Estimate Update, Rouyn-Noranda, Quebec,Canada authored by Yann Camus, P.Eng. and Maxime Dupéré, B.Sc,P.Geo., SGS Canada Inc. with an effective date of December 15, 2020and signature date of March 15, 2021.

Table 2: Mineral Resource Estimate Showing Tonnes,Average Grade, and Gold Ounces

About Granada Gold Mine Inc.

Granada Gold Mine Inc. continues to develop and exploreits 100% owned Granada Gold Property near Rouyn-Noranda, Quebec, andis 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.

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 1990’s, 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.

Chief Executive Officer

For further information, Contact:

Frank J. Basa, P.Eng.

Chief Executive Officer

P: 416-625-2342

Or:

Wayne Cheveldayoff,

Corporate Communications

P: 416-710-2410

E: waynecheveldayoff@gmail.com

Neither the TSX Venture Exchange norits Regulation Services 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 which include, but are not limited to,comments that involve future events and conditions, which are subjectto various risks and uncertainties. Except for statements ofhistorical facts, comments that address resource potential, upcomingwork programs, geological interpretations, receipt and security ofmineral property titles, availability of funds, and others areforward-looking. Forward-looking statements are not guarantees offuture performance and actual results may vary materially from thosestatements. General business conditions are factors that could causeactual results to vary materially from forward-lookingstatements.

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