Ulaanbaatar, Mongolia--(Newsfile Corp. - November 14, 2023) - Steppe Gold Ltd. (TSX: STGO) (OTCQX: STPGF) (FSE: 2J9) ("Steppe Gold" or the "Company") is pleased to announce its financial results for the third quarter ended September 30, 2023.

HIGHLIGHTS

Third quarter and nine months ended September 30, 2023 Highlights

(all figures in US$000's unless stated otherwise, except per unit figures which are in US$)

• Revenue for the three and nine months ended September 30, 2023, amounted to $15,765 and $39,562 on sales of 7,920 and 19,809 gold ounces, and 23,845 and 53,694 silver ounces, respectively.
• Average realized prices for the three and nine months ended September 30, 2023 were $1,933 and $1,922 per gold ounce and $22 and $22 per silver ounce, respectively.
• Operating income from mine operations, before depreciation and depletion for the three and nine months ended September 30, 2023 was $8,906 and $23,700 respectively.
• Adjusted EBITDA after stream payments for the three and nine months ended September 30, 2023, was $3,550 and $8,466, respectively.
• Site All in Sustaining Costs were $856 and $786 per ounce sold respectively for the three and nine months ended September 30, 2023. All in Sustaining Cost was $1,078 and $1,085 per ounce sold for the three and nine months ended September 30, 2023, respectively.
• During the three and nine months ended September 30, 2023, 261,696 and 481,559 tonnes of ore were mined and 247,046 and 705,400 tonnes of ore were stacked on the leach pad, respectively with an average gold grade of 0.72 g/t and 0.86 g/t, respectively, and an average silver grade of 6.03 g/t and 5.17 g/t, respectively.
• As at September 30, 2023, cash amounted to $2,814; total bank debt and other debts (excluding convertible debentures and stream arrangements) was $15,921 with net debt of $13,107.
• The Private Placement of 11,000,000 common shares resulted in $9,020 cash being raised.
• The acquisition of Anacortes Mining Corp. ("Anacortes") was completed on June 28, 2023. As a result, a further 19,437,948 common shares were issued to Anacortes shareholders and a further 924,654 common shares were issued to the advisors to the transaction.
• On July 11, 2023, the Company announced it had signed a binding term sheet with Trade and Development Bank of Mongolia, and affiliated entities, for $150,000 in financing to fully fund the construction and completion of the Phase 2 Expansion at the ATO Gold Mine (the "Phase 2 Expansion"). The terms of the financing comprise three tranches of $50,000 each for a total of $150,000, expected to be funded in line with the planned construction phase of the Phase 2 Expansion. On August 30, 2023 the Company signed a loan agreement for the first tranche of $50,000 and, on October 9, 2023, made its first draw down of $9,600.
• On August 22, 2023 the Company announced the filing of an updated preliminary economic assessment regarding its 100% owned Tres Cruces Project.
• The Company is actively working on the engineering, procurement and construction ("EPC") arrangements for the Phase 2 Expansion. Construction and installation of the new fixed crushing unit is expected to be completed by fourth quarter 2023. Camp design is complete and design phase for the major capex work is underway.

Outlook

With the landmark financing package secured and drawdowns now commenced, the Company's main focus is to accelerate development of Phase 2 Expansion and soon order the long lead items.

EPC arrangements are in the final stages, partnering with leading international engineering firms and construction teams in Mongolia. The Company is exploring the option of 100% renewable energy in the camp, with expansion already underway.

The Company continues to look at ways of developing its two earlier stage projects and is actively exploring partnership opportunities to progress these assets while assessing exploration efforts.

The Company's consolidated financial results for the quarter ended September 30, 2023 have been filed on SEDAR+. The full version of the condensed interim consolidated financial statements and associated management's discussion & analysis can be viewed on the Company's website at www.steppegold.com or under the Company's profile on SEDAR+ at www.sedarplus.ca.

Steppe Gold Ltd.

Steppe Gold is Mongolia's premier precious metals company.

For Further information, please contact:

Bataa Tumur-Ochir, Chairman and CEO

Jeremy South, Senior Vice President and Chief Financial Officer

Shangri-La office, Suite 1201, Olympic Street
19A, Sukhbaatar District 1,
Ulaanbaatar 14241, Mongolia
Tel: +976 7732 1914

Non-IFRS Performance Measures

EBITDA is defined as earnings before interest, taxes, depreciation and amortization. Adjusted EBITDA is defined as adjusted earnings before interest, taxes, depreciation and amortization. Further details of Non-IFRS Performance Measures noted above can be found in the Company's management's discussion & analysis.

Cautionary Note Regarding Forward-Looking Statements

This news release contains certain statements or disclosures relating to the Company that are based on the expectations of its management as well as assumptions made by and information currently available to the Company which may constitute forward-looking statements or information ("forward-looking statements") under applicable securities laws. All such statements and disclosures, other than those of historical fact, which address activities, events, outcomes, results, or developments that the Company anticipates or expects may, or will occur in the future (in whole or in part) should be considered forward-looking statements. In some cases, forward-looking statements can be identified by the use of the words "continues", "progress", "expected", "focus", "opportunities", "planned", "will" and similar expressions. In particular, but without limiting the foregoing, this news release contains forward-looking statements pertaining to the following: plans and development for the Phase 2 Expansion; partnership opportunities; and the Company's operational position, potential, growth, success, commitments and strategy.

The forward-looking statements contained in this news release reflect several material factors and expectations and assumptions of the Company including, without limitation: material adverse effects on the business, properties and assets of the Company, changes in business plans and strategies, market and capital finance conditions, risks inherent to any capital financing transactions, risks inherent to a possible Steppe Gold dual primary listing, changes in world commodity markets, currency fluctuations, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry.

The Company believes the material factors, expectations, and assumptions reflected in the forward-looking statements are reasonable at this time, but no assurance can be given that these factors, expectations, and assumptions will prove to be correct. The forward-looking statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements including, without limitation: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry, and certain other risks detailed from time to time in the Company's public disclosure documents including, without limitation, those risks identified in this news release and in the Company's annual information form dated March 31, 2023, copies of which are available on the Company's SEDAR+ profile at www.sedarplus.ca. Readers are cautioned that the foregoing list of factors is not exhaustive and are cautioned not to place undue reliance on these forward-looking statements.

The forward-looking statements contained in this news release are made as of the date hereof and the Company undertakes no obligations to update publicly or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, unless so required by applicable securities laws.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/187286