Headwater Gold Announces Completion of Drilling Campaigns at the Lodestar and TJ Projects, Nevada

(TheNewswire)

Vancouver, British Columbia -TheNewswire - February 23, 2026:Headwater Gold Inc. (CSE: HWG) (OTCQX: HWAUF) (the "Company"or "Headwater") is pleased to announce the completion ofdrill programs at the Lodestar and TJ projects located in Nevada,United States.  Lodestar drilling was 100% funded by NewmontCorporation (“Newmont”) (NYSE: NEM, ASX: NEM, PNGX: NEM) throughan earn-in agreement announced on May 9, 2023.  TJ drilling was 100%funded by OceanaGold Corporation(“OceanaGold”) (TSX: OGC,OTCQX: OCANF) pursuant to the earn-inagreement announced on October 15, 2025.

Highlights:

• Lodestar Drilling: Approximately 2,950 metres were completed over four coreholes and five reverse circulation holes.  All holes drilled in theZodiac Sinter target area intersected the modeled structural target oradjacent pervasive hydrothermal alteration. 

• TJ Drilling: Approximately 1,350 metres of core drilling were completedover five holes in two target areas. Drilling was suspended due to theonset of inclement winter weather. All holes encountered hydrothermalbreccias and veining within pervasive epithermal alteration. 

• All drill samples from both programs have beensubmitted for laboratory analysis. Final assay results are expectedover the coming weeks. 

Caleb Stroup, President and CEO of the Company, states:“We are pleased to havesuccessfully completed both the Lodestar and TJ drill programs whichbegan in Q4 2025. At Lodestar, we intersected the targeted structuresand associated hydrothermal alteration and at TJ we confirmed thescale and continuity of epithermal veining along the East Sinter faultsystem. While assays are pending, the geological observations fromboth programs are encouraging. We look forward to receiving andinterpreting the analytical results and will outline follow-up plansonce the full dataset has been evaluated.”

About the 2025 Lodestar DrillProgram:

Headwater completed approximately 2,950 metres ofdrilling in four core holes and five reverse circulation (“RC”)holes at the Lodestar project.  The core drilling focused on theZodiac Fault, a northwest-striking structure hosted in Miocenevolcanic rocks exposed over a 550-metre strike length, with silicasinter and intensely altered hydrothermal breccias at surface.  TheRC drill was used for exploratory drilling on multiple satellitetargets defined by geologic mapping and geophysics and step-outdrilling along the Zodiac Fault.  Exploratory holes confirmed a 600metre by 700 metre zone of pervasive illite-pyrite-silica epithermalalteration within Miocene volcanic rocks extending north and east fromthe Zodiac Fault zone.  This hydrothermal alteration zone is open tonorth, south and east, where widely-spaced RC drilling intersectedthis alteration in each hole, as shallow as 30 metres from surface andcovered by pediment gravels or younger Miocene andesite lava flows.Alteration studies and geochemical analysis of these drill holes willbe used as vectors to influence potential follow-up drill targetingwithin this large alteration footprint.

About the Lodestar Project:

The Lodestar project is located in the Aurora MiningDistrict in the Walker Lane belt, west-central Nevada, approximately10 km north of Headwater’s Spring Peak project (also subject to anearn-in agreement with Newmont) and adjacent to Hecla MiningCompany’s past-producing Aurora mine complex, which hosts existinginfrastructure including a 600 ton per day mill, several productionwater wells and high-voltage three-phase power. The project features aprominent silicified and brecciated ridgeline capped by a silicasinter, similar to the sinter overlying the Disco Zone at Spring Peak,where Headwater has previously intersected high-grade goldmineralization, including 15.92 g/t Au over 2.38 m and 10.43 g/t Auover 2.01 m. Historic shallow drilling at Lodestar encounteredanomalous gold but did not test deeper feeder structures, leavingexploration potential largely untested. Headwater holds an option toacquire a 100% undivided interest in the Lodestar project from aprivate vendor, subject to retained royalties and Newmont’s optionto acquire up to 75% of the project following certain expenditures anddelivery of a Pre-Feasibility Study within a designated timeframe.

About the 2025 TJ DrillProgram:

Headwater completed approximately 1,350 metres of coredrilling over five holes at TJ prior to the winter shutdown.

The East Sinter fault, identified in the Company’sfirst pass RC program in 2024, was the highest priority and wasintersected in three of the four holes designed to test the target.The last hole of the program, designed as a ~300 metre southernstep-out along the East Sinter fault, was paused due to inclementweather prior to reaching target depth and cased for future re-entry.

Thick intervals of epithermal veining, fault gouge andsilicified fault breccias were encountered in the main structuraltarget area of all three holes that intercepted the East Sinter fault.A silicified hydrothermal breccia body, up to 60 metres thick, wasalso intercepted in the hanging wall of all holes directed at the EastSinter fault and coincides with the highest epithermal veiningintensity and generally the thickest vein widths.

All holes encountered epithermal alteration andveining, confirming that the system extends over at least the>500-metre-long tested extent and remains open along strike.Multiple discrete phases of epithermal alteration are evidenced byseveral overlapping vein, breccia and intrusive relationships as wellas an interpreted series of stacked silica sinters encountered inseveral drillholes.

About the TJ Project:

The TJ project is located on Bureau of Land Managementland in a relatively underexplored area of northeastern Nevada,approximately 25 km southeast of the town of Jackpot. The project areacontains indications of a fully preserved epithermal system, includinga thick and laterally extensive accumulation of silica sinter.Epithermal alteration is localized along a series of steeply inclinedfaults that bound a graben filled with Miocene-age sedimentaryrocks.

Limited historic exploration on the property includedshallow RC drilling that confirmed the presence of a broad zone ofhigh-level epithermal alteration. In 2024, Headwater completed aninitial round of scout drilling which confirmed the project haspotential for high-grade epithermal vein-stylemineralization at depth (see news release dated January 16, 2025). Thefollow-up 2025 core drilling program tested prospective epithermalstructures at depth that were identified during the 2024 program.

Headwater holds an option to acquire a 100% undividedinterest in the TJ project, subject to retained royalties and subjectto OceanaGold’s option to acquire up to 65% of the project followingcertain expenditures and preparation of a Pre-Feasibility Study withina designated time frame.

About Headwater Gold

Headwater Gold Inc. (CSE: HWG, OTCQB: HWAUF) is atechnically driven mineral exploration company focused on exploringfor and discovering high-grade precious metal deposits in the WesternUSA.  Headwater is actively exploring one of the world’s mostwell-endowed, mining-friendly jurisdictions, with a goal of makingworld-class precious metal discoveries.  The Company has a largeportfolio of epithermal vein exploration projects and a technical teamwith diverse experience in capital markets and major mining companies. Headwater is systematically drill-testing several projects in Nevadaand has strategic earn-in agreements with Oceana on its TJ, JakeCreek, and Hot Creek projects as well as Newmont on its Spring Peakand Lodestar projects, in addition to Centerra Gold Inc. on its CraneCreek project in Idaho.  In August 2022 and September 2024, Newmontand Centerra acquired strategic equity interests in the Company,further strengthening Headwater’s exploration capabilities.

For more information about Headwater, please visit theCompany's website at www.headwatergold.com.

Headwater is part of the NewQuest Capital Group whichis a discovery-driven investment enterprise that builds value throughthe incubation and financing of mineral projects and companies. Further information about NewQuest can be found on the companywebsite at www.nqcapitalgroup.com.

On Behalf of the Board of Directors

Caleb Stroup

President and CEO

+1 (775) 409-3197

cstroup@headwatergold.com

For further information, please contact:

Brennan Zerb

Investor Relations Manager

+1 (778) 867-5016

bzerb@headwatergold.com

Qualified Person

The technical information contained in this newsrelease has been reviewed and approved by Dr. Gregory Dering, P.Geo(AIPG CPG-12298), a “Qualified Person” (“QP”) as defined inNational Instrument 43-101 – Standards of Disclosure for MineralProjects. Dr. Dering is not independent by reason of being theCompany’s Vice President of Exploration.

References

Forward-LookingStatements:

Thisnews release includes certain forward-looking statements andforward-looking information (collectively, “forward-lookingstatements”) within the meaning of applicable Canadian securitieslegislation. All statements, other than statements of historical fact,included herein including, without limitation, statements regardingfuture capital expenditures, exploration activities and thespecifications, targets, results, analyses, interpretations, benefits,costs and timing of them, Newmont’s anticipated funding of theearn-in projects and the timing thereof, and the anticipated businessplans and timing of future activities of the Company, areforward-looking statements. Although the Company believes that suchstatements are reasonable, it can give no assurance that suchexpectations will prove to be correct. Often, but not always,forward-looking information can be identified by words such as “proforma”, “plans”, “expects”, “may”, “should”,“budget”, “scheduled”, “estimates”, “forecasts”,“intends”, “anticipates”, “believes”, “potential” orvariations of such words including negative variations thereof, andphrases that refer to certain actions, events or results that may,could, would, might or will occur or be taken or achieved.Forward-looking statements involve known and unknown risks,uncertainties and other factors which may cause the actual results,performance or achievements of the Company to differ materially fromany future results, performance or achievements expressed or impliedby the forward-looking statements. Such risks and other factorsinclude, among others, risks related to the anticipated business plansand timing of future activities of the Company, including theCompany’s exploration plans and the proposed expenditures forexploration work thereon, the ability of the Company to obtainsufficient financing to fund its business activities and plans, therisk that Newmont will not elect to obtain any additional prognosticinterest in the earn-in projects in excess of the minimum commitment,the ability of the Company to obtain the required permits, changes inlaws, regulations and policies affecting mining operations, theCompany’s limited operating history, currency fluctuations, titledisputes or claims, environmental issues and liabilities, as well asthose factors discussed under the heading “Risk Factors” in theCompany’s prospectus dated May 26, 2021 and other filings of theCompany with the Canadian Securities Authorities, copies of which canbe found under the Company’s profile on the SEDAR+ website atwww.sedarplus.ca.

Readers are cautioned not to placeundue reliance on forward-looking statements. The Company undertakesno obligation to update any of the forward-looking statements, exceptas otherwise required by law.

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