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HIGH LEVEL TAKEAWAY

Today’s results from SDDSC150 and SDDSC153 at Christina mark several pivotal developments that increase the project’s significant potential.

What is particularly significant about these intersections? SDDSC150 – the deepest hole at Christina – delivered 1.7 m @ 204.1 g/t Au at approximately 450 m below surface. Most encouragingly, this high-grade intersection came 350 m down-dip from previous drilling that returned 1.7 m @ 254.0 g/t AuEq (SDDSC137W2), demonstrating that the mineralization system maintains its high grade at depth.

Perhaps most compelling is the emergence of Christina as a fourth major mineralized body alongside Apollo, Rising Sun and Golden Dyke. What was initially planned as control drilling has instead revealed multiple high-grade veins with consistent frequency—a hallmark of robust system development.

The project footprint now spans 1,350 m strike from Christina to Apollo prospects, though only approximately 620 m has been more intensively tested. SXGC have defined at least 70 ‚rungs‘ or mineralized vein sets to date, characterized by high-grade intercepts (20 g/t to >7,330 g/t Au). Most importantly, the consistency in grade distribution, structural characteristics, and host rock properties remains predictable at depth.

The success of these control holes in intersecting the mineralized system not only validates the geological model but provides valuable data points for targeting future drilling in this expanding zone. The consistent way the system is developing – with predictable structural controls and high grades at depth – gives us increased confidence in our ability to efficiently target mineralization as we test the system’s extent. This systematic approach to understanding the "Golden Ladder" structure has proven particularly effective, with the relationship between the host dyke ("rails") and mineralizing veins ("rungs") becoming increasingly predictable.

Sunday Creek represents one of the Western world’s most significant gold-antimony discoveries. The strategic value of the antimony component (20% of in-situ value) has only increased following China’s recent export restrictions. Most importantly, these results confirm our geological model and demonstrate that the system extends well beyond historical mining areas, both in grade and scale.

Twelve holes are currently being processed and analyzed, with five holes in progress. With A$20M in cash and one of the largest global exploration drill programs (60 km) planned through Q3 2025, Southern Cross Gold Consolidated is well-positioned to continue expanding this significant discovery in a tier-one jurisdiction.

FOR THOSE WHO LIKE THE DETAILS

HIGHLIGHTS

• SDDSC150 was drilled 450 m vertically below the historic Christina Mine and 350 m vertically below the high-grade interval in SDDSC137W2 (1.7 m @ 254.0 g/t AuEq – 28 October, 2024). The hole contained four intervals >20 g/t Au (up to 1,060 g/t Au) and intercepted three new mineralized vein sets. Highlights include: 
  – 1.7 m @ 204.2 g/t AuEq (204.1 g/t Au, 0.1% Sb) from 570.8 m, including: 
         – 0.6 m @ 630.8 g/t AuEq (630.5 g/t Au, 0.1% Sb) from 572.0 m
                – including 3 m @ 1,060 g/t Au from 572.0 m
  – 0.7 m @ 14.7 g/t AuEq (14.7 g/t Au, 0.0% Sb) from 584.4 m
  – 0.7 m @ 137.7 g/t AuEq (137.7 g/t Au, 0.0% Sb) from 591.3 m, including:3 m @ 340.0 g/t AuEq (340.0 g/t Au, 0.0% Sb) from 591.3 m
• A second control hole, SDDSC153, was drilled to 390 m vertically below Christina and intercepted a prospective corridor of 45 m. Highlights include:
  – 3.5 m @ 3.1 g/t AuEq (3.1 g/t Au, 0.0% Sb) from 549.2 m
• SDDSC150 and SDDSC153 were planned as ‘control’ holes (drilled more north south at a higher angle to the dyke/breccia host), to test the host (rails of the ladder) at significant depth (390 m to 450 m) below the surface. Both drill holes intercepted the host package and significant mineralization in large down dip extensions in the deepest drilling at Christina to date.
• Ongoing Exploration: With $20 million in cash and no debt. Twelve holes (SDDSC140, 142, 146 – 149, 146W1, 149W1, 151, 154, 155, 157A) are currently being processed and analysed, with five holes (SDDSC152, 155A, 156, 157, 158) in progress (Figure 1 and 2).

Michael Hudson, President & CEO of SXGC states: "A great start to life for Southern Cross Gold Consolidated as a dual-listed company (TSXV:SXGC and ASX:SX2). These results mark a significant milestone in our understanding of Christina’s potential as we continue to expand and demonstrate high grades further west and at depth at Sunday Creek.

“Intersecting such exceptional grades, including 1.7 m @ 204.1 g/t Au, in the deepest hole at Christina, located 350 m down dip from previously drilled 1.7 m @ 254.0 g/t AuEq (SDDSC137W2) is a remarkable result. What’s particularly encouraging is that these intersections came from what were initially planned as control holes to test the east-west mineralized host location (the “rails of the ladder”). Instead, they have revealed multiple high-grade veins (“the rungs of the ladder”) and demonstrated that high grades are maintained at depth.

"The consistency of the vein frequency continues to demonstrate that we are dealing with a robust and well-developed system. This provides confidence in the potential for further high-grade discoveries as we continue to test the depth extensions of the Christina prospect. Most importantly, these results confirm our geological model and demonstrate that the Sunday Creek system continues to extend well beyond the historical mining areas, both in terms of grade and scale.

“The project footprint now spans 1,350m strike from Christina to Apollo prospects, with only approximately 620 m has been more intensively drill tested. We’ve defined at least 70 ‚rungs‘ to date, characterized by high-grade intercepts (between 20 g/t to >7,330 g/t Au) and now have a total of fifty-five (55) >100 g/t AuEq x m intersections. Most importantly, the consistency in grade distribution, structural characteristics, and host rock properties remains predictable at depth.

“Twelve holes are currently being processed and analyzed, with five holes in progress. With A$20M in cash and a large 60km drill program planned through Q3 2025, we are well-positioned to continue expanding this globally significant discovery in a tier-one jurisdiction.”

Drill Hole Discussion

Both SDDSC150 and SDDSC153 were drilled at high angles to the dyke host rock, creating a relatively short but highly prospective corridor for intersecting mineralization. Despite being designed primarily as control holes to test the dyke location below the Christina Mine, these holes intersected multiple high-grade veins, which is particularly significant as it demonstrates consistent vein frequency continuing at depth. The success of these control holes in intersecting the mineralized system not only validates the geological model but also provides valuable data points for targeting future drilling in this expanding zone.

SDDSC150 represents the deepest hole drilled to date at the Christina prospect, reaching a vertical depth of approximately 450 m below surface. The hole contained four intervals >20 g/t Au (up to 1,060 g/t Au) and intercepted three new mineralized vein sets. The hole delivered several outstanding intersections, highlighted by:

• 1.7 m @ 204.2 g/t AuEq (204.1 g/t Au, 0.1% Sb) from 570.8 m, including:
  – 0.6 m @ 630.8 g/t AuEq (630.5 g/t Au, 0.1% Sb) from 572.0 m
• 1.7 m @ 14.7 g/t AuEq (14.7 g/t Au, 0.0% Sb) from 584.4 m
• 1.7 m @ 137.7 g/t AuEq (137.7 g/t Au, 0.0% Sb) from 591.3 m, including:
  – 0.3 m @ 340.0 g/t AuEq (340.0 g/t Au, 0.0% Sb) from 591.3 m

SDDSC153, drilled approximately 100 m higher and 80 m west of SDDSC150, returned 3.5 metres at 3.1 g/t Au from 549.2 m. This intersection, along with the multiple high-grade veins intersected in SDDSC150, confirms that the grade, structural characteristics, and host rock properties maintain their consistency at significant depths and now allows new drilling to be planned perpendicular to the vein sets, that remain within the host sequence.

Pending Results and Update

Twelve holes (SDDSC140, 142, 146 – 149, 146W1, 149W1, 151, 154, 155, 157A) are currently being processed and analysed, with five holes (SDDSC152, 155A, 156, 157, 158) in progress (Figure 1 and 2).

About Sunday Creek

The Sunday Creek epizonal-style gold project is located 60 km north of Melbourne within 16,900 hectares (“Ha”) of granted exploration tenements. SXGC is also the freehold landholder of 1,054.51 Ha that forms the key portion in and around the main drilled area at the Sunday Creek Project, 

Gold and antimony form in a relay of vein sets that cut across a steeply dipping zone of intensely altered rocks (the “host”). These vein sets are like a “Golden Ladder” structure where the main host extends between the side rails deep into the earth, with multiple cross-cutting vein sets that host the gold forming the rungs.  At Apollo and Rising Sun these individual ‘rungs’ have been defined over 600 m depth extent from surface to over 1,100 m below surface, are 2.5 m to 3.5 m wide (median widths) (and up to 10 m), and 20 m to 100 m in strike.

Cumulatively, 156 drill holes for 70,971.59 m have been reported from Sunday Creek since late 2020. An additional 12 holes for 582.55 m from Sunday Creek were abandoned due to deviation or hole conditions. Fourteen drillholes for 2,383 m have been reported regionally outside of the main Sunday Creek drill area. A total of 64 historic drill holes for 5,599 m were completed from the late 1960s to 2008. The project now contains a total of fifty-five (55) >100 g/t AuEq x m and sixty (60) >50 to 100 g/t AuEq x m drill holes by applying a 2 m @ 1 g/t AuEq lower cut.

Our systematic drill program is strategically targeting these significant vein formations, initially these have been defined over 1,350 m strike of the host from Christina to Apollo prospects, of which approximately 620 m has been more intensively drill tested (Rising Sun to Apollo). At least 70 ‘rungs’ have been defined to date, defined by high-grade intercepts (20 g/t to >7,330 g/t Au) along with lower grade edges. Ongoing step-out drilling is aiming to uncover the potential extent of this mineralized system (Figure 3).

Geologically, the project is located within the Melbourne Structural Zone in the Lachlan Fold Belt. The regional host to the Sunday Creek mineralization is an interbedded turbidite sequence of siltstones and minor sandstones metamorphosed to sub-greenschist facies and folded into a set of open north-west trending folds.

Further Information

Further discussion and analysis of the Sunday Creek project is available through the interactive Vrify 3D animations, presentations and videos all available on the SXGC website.  These data, along with an interview on these results with Managing Director Michael Hudson can be viewed at www.southerncrossgold.com .

No upper gold grade cut is applied in the averaging and intervals are reported as drill thickness. However, during future Mineral Resource studies, the requirement for assay top cutting will be assessed. The Company notes that due to rounding of assay results to one significant figure, minor variations in calculated composite grades may occur.

Figures 1 to 4 show project location, plan and longitudinal views of drill results reported here and Tables 1 to 3 provide collar and assay data. The true thickness of the mineralized intervals reported is approximately 40% of the sampled thickness for other reported holes. Lower grades were cut at 1.0 g/t AuEq lower cutoff over a maximum width of 2 m with higher grades cut at 5.0 g/t AuEq lower cutoff over a maximum of 1 m width unless specified unless otherwise* specified to demonstrate higher grade assays.

Critical Metal Epizonal Gold-Antimony Deposits

Sunday Creek (Figure 4) is an epizonal gold-antimony deposit formed in the late Devonian (like Fosterville, Costerfield and Redcastle), 60 million years later than mesozonal gold systems formed in Victoria (for example Ballarat and Bendigo). Epizonal deposits are a form of orogenic gold deposit classified according to their depth of formation: epizonal (<6 km), mesozonal (6-12 km) and hypozonal (>12 km). 

Epizonal deposits in Victoria often have associated high levels of the critical metal, antimony, and Sunday Creek is no exception. China claims a 56 per cent share of global mined supplies of antimony, according to a 2023 European Union study. Antimony features highly on the critical minerals lists of many countries including Australia, the United States of America, Canada, Japan and the European Union. Australia ranks seventh for antimony production despite all production coming from a single mine at Costerfield in Victoria, located nearby to all SXG projects. Antimony alloys with lead and tin which results in improved properties for solders, munitions, bearings and batteries. Antimony is a prominent additive for halogen-containing flame retardants. Adequate supplies of antimony are critical to the world’s energy transition, and to the high-tech industry, especially the semi-conductor and defence sectors where it is a critical additive to primers in munitions.

In August 2024, the Chinese government announced it will place export limits from September 15, 2024 on antimony and antimony products. This puts pressure on Western defence supply chains and negatively affect the supply of the metal and push up pricing given China’s dominance of the supply of the metal in the global markets. This is positive for SXGC as we are likely to have one of the very few large and high-quality projects of antimony in the western world that can feed western demand into the future.

Antimony represents approximately 20% in situ recoverable value of Sunday Creek at an AuEq of 1.88.

About Southern Cross Gold Consolidated Ltd. (TSXV:SXGC) (ASX:SX2)

Southern Cross Gold Consolidated Ltd. (TSXV:SXGC, ASX:SX2) controls the Sunday Creek Gold-Antimony Project located 60 kilometres north of Melbourne, Australia. Sunday Creek has emerged as one of the Western world’s most significant gold and antimony discoveries, with exceptional drilling results including 55 intersections exceeding 100 g/t AuEq x m from just 70.7 km of drilling. The mineralization follows a "Golden Ladder" structure over 12 km of strike length, with confirmed continuity from surface to 1,100 m depth.

Sunday Creek’s strategic value is enhanced by its dual-metal profile, with antimony contributing 20% of the in-situ value alongside gold. This has gained increased significance following China’s export restrictions on antimony, a critical metal for defense and semiconductor applications. Southern Cross’ inclusion in the US Defense Industrial Base Consortium (DIBC) and Australia’s AUKUS-related legislative changes position it as a potential key Western antimony supplier. Importantly, Sunday Creek can be developed primarily based on gold economics, which reduces antimony-related risks while maintaining strategic supply potential.

Technical fundamentals further strengthen the investment case, with preliminary metallurgical work showing non-refractory mineralization suitable for conventional processing and gold recoveries of 93-98% through gravity and flotation.

With A$22M in cash, over 1,000 Ha of strategic freehold land ownership, and an aggressive 60 km drill program planned through Q3 2025, SX2 is well-positioned to advance this globally significant gold-antimony discovery in a tier-one jurisdiction.

NI 43-101 Technical Background and Qualified Person

Michael Hudson, President and CEO and Managing Director of SXGC, and a Fellow of the Australasian Institute of Mining and Metallurgy and Kenneth Bush, Exploration Manager of SXGC  and a Member of Australian Institute of Geoscientists are the Qualified Persons as defined by the NI43-101. They have reviewed, verified and approved the technical contents of this release.

Analytical samples are transported to the Bendigo facility of On Site Laboratory Services (“On Site”) which operates under both an ISO 9001 and NATA quality systems. Samples were prepared and analyzed for gold using the fire assay technique (PE01S method; 25 g charge), followed by measuring the gold in solution with flame AAS equipment. Samples for multi-element analysis (BM011 and over-range methods as required) use aqua regia digestion and ICP-MS analysis. The QA/QC program of SXGC consists of the systematic insertion of certified standards of known gold and antimony content, blanks within interpreted mineralized rock and quarter core duplicates. In addition, On Site inserts blanks and standards into the analytical process.

SXGC considers that both gold and antimony that are included in the gold equivalent calculation (“AuEq") have reasonable potential to be recovered at Sunday Creek, given current geochemical understanding, historic production statistics and geologically analogous mining operations. Historically, ore from Sunday Creek was treated onsite or shipped to the Costerfield mine, located 54 km to the northwest of the project, for processing during WW1. The Costerfield mine corridor, now owned by Mandalay Resources Ltd contains two million ounces of equivalent gold (Mandalay Q3 2021 Results), and in 2020 was the sixth highest-grade global underground mine and a top 5 global producer of antimony.

SXGC considers that it is appropriate to adopt the same gold equivalent variables as Mandalay Resources Ltd in its Mandalay Technical Report, 2024 dated March 28, 2024. The gold equivalence formula used by Mandalay Resources was calculated using Costerfield’s 2023 production costs, using a gold price of US$1,900 per ounce, an antimony price of US$12,000 per tonne and 2023 total year metal recoveries of 94% for gold and 89% for antimony, and is as follows:

𝐴𝑢𝐸𝑞 = 𝐴𝑢 (𝑔𝑡) + 1.88 × 𝑆𝑏 (%).

Based on the latest Costerfield calculation and given the similar geological styles and historic toll treatment of Sunday Creek mineralization at Costerfield, SXGC considers that a 𝐴𝑢𝐸𝑞 = 𝐴𝑢 (𝑔/𝑡) + 1.88 × 𝑆𝑏 (%) is appropriate to use for the initial exploration targeting of gold-antimony mineralization at Sunday Creek.

JORC Competent Person Statement

Information in this announcement that relates to new exploration results contained in this news release is based on information compiled by Mr Kenneth Bush and Mr Michael Hudson. Mr Bush is a Member of Australian Institute of Geoscientists and a Registered Professional Geologist and Member of the Australasian Institute of Mining and Metallurgy and Mr Hudson is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Bush and Mr Hudson each have sufficient experience relevant to the style of mineralization and type of deposit under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Bush is Exploration Manager and Mr Hudson is the President, CEO and Managing Director of SXGC and both consent to the inclusion in this news release of the matters based on their information in the form and context in which it appears.

Certain information in this announcement that relates to prior exploration results is extracted from the Independent Geologist’s Report dated 11 December 2024 which was issued with the consent of the Competent Person, Mr Steven Tambanis. The report is included the Company’s prospectus dated 11 December 2024 and is available at www2.asx.com.au under code “SX2”. The Company confirms that it is not aware of any new information or data that materially affects the information related to exploration results included in the original market announcement. The Company confirms that the form and context of the Competent Persons’ findings in relation to the report have not been materially modified from the original market announcement.

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original document/announcement and the Company confirms that the form and context in which the Competent Person’s findings are presented have not materially modified from the original market announcement.

This announcement has been approved for release by the Board of Southern Cross Gold Consolidated Ltd.

For further information, please contact:
Mariana Bermudez – Corporate Secretary – Canada
mbermudez@chasemgt.com or +1 604 685 9316    
Executive Office: 1305 – 1090 West Georgia Street Vancouver, BC, V6E 3V7, Canada

Nicholas Mead – Corporate Development
info@southerncrossgold.com or +61 415 153 122  

Justin Mouchacca, Company Secretary – Australia
jm@southerncrossgold.com.au or +61 3 8630 3321

Subsidiary Office: Level 21, 459 Collins Street, Melbourne, VIC, 3000, Australia

In Europe
Swiss Resource Capital AG
Jochen Staiger & Marc Ollinger
info@resource-capital.ch
www.resource-capital.ch

Forward-Looking Statement

This news release contains forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and assumptions and accordingly, actual results and future events could differ materially from those expressed or implied in such statements. You are hence cautioned not to place undue reliance on forward-looking statements. All statements other than statements of present or historical fact are forward-looking statements including without limitation applicable court, regulatory authorities and applicable stock exchanges. Forward-looking statements include words or expressions such as "proposed", "will", "subject to", "near future", "in the event", "would", "expect", "prepared to" and other similar words or expressions. Factors that could cause future results or events to differ materially from current expectations expressed or implied by the forward-looking statements include general business, economic, competitive, political, social uncertainties; the state of capital markets, unforeseen events, developments, or factors causing any of the expectations, assumptions, and other factors ultimately being inaccurate or irrelevant; and other risks described in SXGC’s documents filed with Canadian or Australian securities regulatory authorities (under code SX2). You can find further information with respect to these and other risks in filings made by SXGC with the securities regulatory authorities in Canada or Australia (under code SX2), as applicable, and available for SXGC in Canada at www.sedarplus.ca or in Australia at www2.asx.com.au  under code SX2. Documents are also available at www.southerncrossgold.com  We disclaim any obligation to update or revise these forward-looking statements, except as required by applicable law. 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) or the Australian Securities Exchange accepts responsibility for the adequacy or accuracy of this release.