Western Exploration Inc. (TSX-V: WEX) (OTCQX: WEXPF) is pleased to report an updated mineral resource estimate, prepared in accordance with National Instrument 43-101, for its Gravel Creek and Wood Gulch deposits, which are part of its, 100% owned Aura Project, located 120 kilometers north of Elko, Nevada.

Highlights of the updated MRE include:

• A significant increase in grades and ounces, at a 3.0g AuEq/t cutoff^*, in the inferred mineral resource category, reflecting the positive contribution from the high-grade vein discovery hosted in Jarbidge rhyolite east of Gravel Creek.
  • Increased ounces of gold in the inferred mineral resource category from 367,000 oz/Au to 571,000 oz/Au, representing a 56%* increase in ounces of gold and a 9% increase in grade of gold.
  • Increased ounces of silver in the inferred mineral resource category from 5,307,000 oz/Ag to 9,726,000 oz/Ag, representing an 83%* increase in ounces of silver and a 28%* increase in grade of silver.
• Indicated gold equivalent grade and ounces, reported at a 3.0 g Aueq/t cutoff, remained relatively constant between 2021 and 2025 with 216,000 ounces Au and 3,367,000 ounces Ag being reported in the current MRE.

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“The updated MRE at Gravel Creek-Wood Gulch validates our exploration model and reinforces two years of drilling success,” said Darcy Marud, CEO and President of Western Exploration. “Our revised geologic models highlight new exploration opportunities along the GC Fault at Gravel Creek and the potential to expand high-grade veins in the Jarbidge rhyolite. This update reinforces our strategy and underscores Western Exploration’s momentum in growing the resource footprint.

“While Wood Gulch remains the focus of our 2025 exploration program, the significant increase at Gravel Creek supports a more extensive drill program aimed at additional resource growth. The strength of this updated resource, combined with favorable market conditions for both gold and silver, positions us to deliver shareholder value in the near term.”

Join Darcy for a live webinar on Thursday, June 26, at 1 pm PT where he will discuss key highlights from the Mineral Resource Estimate news release. Please Register here. 

The MRE was prepared by RESPEC Company LLC, based in Reno, Nevada. A technical report is being prepared in accordance with NI 43-101, which will include the results of the updated MRE described in this news release and the preliminary economic assessment for Doby George, as described in the news release of the Company dated May 8, 2025 (entitled “Western Exploration Announces Positive Preliminary Economic Assessment for the Doby George Resource at the Aura Project”). The Technical Report will be filed within 45 days of the PEA News Release.

Significance of Results

The significant expansion of the inferred mineral estimate at the Gravel Creek deposit demonstrates that the Company has executed on its strategic initiative to expand the mineralized footprint. The MRE is based on 96 drill holes exhibiting a remarkable success rate in drilling, which management expects could translate into additional resource expansion with continued drilling and exploration activities.

Table 1: Resource Comparison

Note: Table 1: Resource Comparison contains a comparison of indicated and inferred mineral resource estimates between 2021 and 2025, describing the updated MRE at 3.0 g AuEq/t cut-off grade and the prior mineral resource estimates in the Prior Report (which applied a 2.0g AuEq/t cutoff grade) at a 3.0g AuEq/t cutoff grade contained in a sensitivity table in the Prior Report.

The current resource increase is attributed primarily to the 2023-2024 high-grade vein discovery in the Jarbidge rhyolite hanging wall zone east of Gravel Creek, and the positive impact of a revised geologic and structural model.

At Jarbidge, initial geologic and resource modelling has demonstrated remarkable continuity for an area that has currently only been tested by 19 diamond drill holes. The new zone contributed approximately half of the gold ounces and a majority of the silver ounces in the inferred mineral resource category, representing significant increases in the updated MRE. The mineral resource estimate applied the same methodology at Gravel Creek, including 4-meter estimation block sizes. Additional drilling will be required to provide better definition of the high-grade veins and upgrade resource classification.

The new Gravel Creek geologic/structural model shows that mineralization is controlled by the northwest-trending GC Fault, with Au-Ag mineralization along the Paleozoic-Eocene unconformity and in favorable volcanic host lithologies. The model displays better continuity of mineralization and highlights significant potential for resource expansion along the strike.

In combination with the prospective target along 3.0 km of the Tomasina Fault zone (see the news release of the Company dated February 24, 2025 entitled “Western Exploration Expands Exploration Footprint at Gravel Creek with 3.0 Km Untested Structural Corridor at the Past Producing Wood Gulch Mine”), Western Exploration now has three high priority targets to pursue that have potential to increase the Gravel Creek-Wood Gulch resource significantly. Drilling of the Tomasina target is scheduled to begin in late July or early August of 2025.

Figure 1. View looking N-NW showing comparative dimensions of the +2.0 g/t AuEq grade shells for the Gravel Creek and Jarbidge resource areas. Gravel Creek Resource shows dominant control by the N45W, 70NE GC Fault system, with shallower mineralization reflecting stratigraphic control within the Eocene Frost Creek tuff. Mineralization within the Jarbidge Discovery Zone reflects control of dominantly N-S trending, moderately west dipping vein/stockwork/breccia zones.

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Table 2: Updated Mineral Resource Estimate

Note: Table 2: Updated Mineral Resource Estimate contains the mineral resource estimates for the Aura Project expected to be included in the Technical Report.

Notes: 

1. The effective date of the Wood Gulch-Gravel Creek mineral resource estimate is May 27, 2025.
2. In-situ mineral resources are classified in accordance with CIM Definition Standards for Mineral Resources & Mineral Reserves prepared by the CIM Standing Committee on Reserve Definitions.
3. The average grades of the tabulations are comprised of the weighted average of block-diluted grades within the underground shells and optimized pits.
4. The Gravel Creek MRE is reported using a cut-off grade of 3.0g AuEq/t. Gold equivalent values were calculated using metal prices of US$2,025 per oz for gold and US$24 per oz for silver, and metallurgical recoveries of 95% for gold and 92% for silver. The AuEq calculation accounts for metal prices and recoveries only. The 3.0g AuEq/t cut-off grade was applied to constrain the reported mineral resource estimates to material with reasonable prospects for economic extraction.
5. The Au cut-off grade for Wood Gulch Mineral Resources is based on an Au price of US$2,150/oz, an average recovery of 66% Au, a processing rate of 7,500 tonnes per day and cost assumptions including: US$3.02/t mining cost for open-pit mining; US$6.52/t processing cost; US$1.89/t processed G&A cost; and US$5.00/oz Au refining cost.
6. The effective date of the Doby George mineral resource estimate is January 27, 2025.
7. The project mineral resources are comprised of all model blocks at a cutoff grade of 0.17 g Au/t for all material within optimized pits.
8. The gold cutoff grade for Doby George mineral resource estimate is based on an gold price of US$2,150/oz, an average recovery of 66% Au, a processing rate of 7,500 tonnes per day, and cost assumptions including: US$3.02/t mining cost for open-pit mining; US$6.52/t processing cost; US$1.89/t processed G&A cost, and US$5.00/oz Au refining cost. An average royalty of 3% has also been applied to cutoff grade determination.
9. The mineral resource estimates described herein may be materially affected by geology, environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
10. There are no known factors related to metallurgical, environmental, permitting, legal, title, taxation, socio-economic, marketing or political issues which could materially affect the mineral resource estimate described in this news release.
11. Rounding as required by reporting guidelines may result in apparent discrepancies between tonnes, grade, and contained metal content.
12. Mineral resources are not mineral reserves and do not have demonstrated economic viability. An inferred mineral resource estimate has a lower level of confidence than an indicated mineral resource estimate, and has not been converted into a mineral reserve. It is reasonably expected that a majority of the inferred mineral resources could be upgraded to indicated mineral resources with continued exploration.

2025 Exploration Plan

Exploration will continue in 2025 with an approximate 4,000 meter drill program focused on the Tomasina Fault Zone at Wood Gulch. Wood Gulch is a former producing open pit mine and geological reinterpretation based on prior drill results has reprioritized Wood Gulch as a highly prospective target. While Wood Gulch is the focus of Western Exploration’s 2025 exploration program, the significant resource increase at Gravel Creek (as described in this news release) supports a more extensive drill program aimed at infill drilling and resource expansion. In addition, the Company will continue to de-risk the project through project refinement, both in terms of potential processing and cost parameters, continued geotechnical work, ongoing environmental studies, and permit planning.

MRE Methodology

The Wood Gulch-Gravel Creek mineral resource estimate includes the Gravel Creek, Saddle, and Southeast deposits. RESPEC modeled and estimated gold and silver mineral resources as follows:

• Constraining Gravel Creek low-, mid-, and high-grade gold and silver mineral domains were modeled on 50 meter-spaced vertical sections and transposed to long sections centered at mid-block locations. The Gravel Creek geological model and other relevant geological data were used to guide the modeling of mineral domains.
• A block model — with 4m by 4m by 4m blocks — was coded with the gold and silver domains using the long section interpretations.
• Drill-hole assays were composited to a 3 meter length, honoring the mineralized gold domains.
• Gold and silver grades were interpolated into the block model using the mineral domains to explicitly constrain grade estimations. RESPEC utilized Inverse Distance Cubed (ID³) and Quadrupled (ID⁴) interpolations for a two-pass estimation. The first pass used a maximum search distance of 400 meters and applied ID³ interpolation to all domains. The second pass applied ID³ interpolation to the low- and mid-grade domains and ID⁴ interpolation to the high-grade domain to a maximum search distance of 80 meters. Individual domain grades were weighted-averaged to produce fully block-diluted reported mineral resources.

The Doby George MRE includes the West Ridge, Daylight, and Twilight deposits. RESPEC modeled the mineral resource estimate for gold as follows:

• Constraining gold mineral domains of low- and high-grade mineralization were modeled on 30 meter spaced vertical sections and transposed to long sections centered at 6 meter mid-block locations. The Doby George geological model and other relevant geological data were used to guide the modeling of mineral domains.
• A block model — with 6m by 6m by 6m blocks — was coded with the gold domains using the 6 meter spaced long section interpretations.
• Drill-hole assays were composited to a 3 meter length, honoring the mineralized gold domains.
• Gold grades were interpolated into the block model using gold mineral domains to explicitly constrain grade estimations. RESPEC utilized Inverse Distance Cubed (ID³) and Quadrupled (ID⁴) interpolations for the estimation, achieving a localizing effect in the high-grade domain, and applied ID³ interpolation to the low-grade domain estimate. Individual domain grades were weight averaged to produce fully block-diluted reported mineral resources.

Quality Assurance — Quality Control

Drill program design, Quality Assurance/Quality Control and the interpretation of results is performed by qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices.

Technical Information

The MRE was prepared for Western Exploration by Mr. Michael S. Lindholm, C.P.G. of RESPEC in Reno, Nevada, who is a qualified person for purposes of NI 43-101 and independent of Western Exploration as defined in Section 1.5 of NI 43-101. The scientific and technical information in this news release has been reviewed and approved by Mr. Michael S. Lindholm, C.P.G. of RESPEC.

For readers to fully understand the information in this news release, reference should be made to the full text of the Technical Report, once filed, including all assumptions, qualifications and limitations therein. The Technical Report is intended to be read as a whole, and sections should not be read or relied upon out of context.

About Western Exploration

Western Exploration is focused on advancing the 100% owned Aura Project, located approximately 120 kilometers/75 miles north of the city of Elko, Nevada. The Aura Project includes three unique gold and silver deposits: Doby George, Gravel Creek, and Wood Gulch. Western Exploration is comprised of an experienced team of precious metals experts that aim to lead the company to becoming North America’s premiere gold and silver development company.

Additional information regarding Western Exploration can be found on Western Exploration’s corporate website (www.westernexploration.com) and on SEDAR+ (www.sedarplus.ca) under Western Exploration’s issuer profile.