SQX Resources Ltd Discoveries Exceed Expectations at Red Bird Gold

Outstanding Final Drilling Results Exceed Expectations

Discoveries at SQX Resources Ltd have reached a significant milestone with the completion of their maiden drilling campaign at the Red Bird Gold Project in Arizona. The final 11 holes from the 25-hole, 2,509-metre program delivered outstanding intercepts, including 22.9m @ 2.8g/t Au and 15.2m @ 2.2g/t Au, with mineralisation remaining open in multiple directions.

The announcement confirms that SQX's maiden drilling campaign has successfully defined a robust mineralised system with significant lateral and vertical extent. Furthermore, the most recent drilling intercepts demonstrate both high-grade zones and broader mineralised envelopes that support potential bulk-tonnage economics.

Key Drilling Highlights

The results build upon previously reported intercepts from the 2026 program, including 42.7m @ 1.4g/t Au (RBRC012), 24.4m @ 3.1g/t Au (RBRC023), and 25.9m @ 2.4g/t Au (RBRC026). Consequently, these findings establish Red Bird as a systematic gold discovery with significant exploration potential.

"The results from Red Bird continue to exceed our expectations with new zones identified and mineralisation remaining open in multiple directions. We believe we are still in the early stages of defining a potentially significant gold system at Red Bird."

Dr Julian Stephens, Executive Director

Understanding Strata-Bound Gold Systems: Educational Overview

The latest discoveries at SQX Resources Ltd demonstrate that Red Bird represents a strata-bound gold system, a geological model that provides predictable frameworks for resource expansion. This mineralisation style occurs when gold concentrates within specific rock layers that can be traced both horizontally and vertically, offering systematic exploration opportunities.

Key Characteristics of Strata-Bound Systems

Geological Controls:

• Gold mineralisation occurs within specific sedimentary or volcanic rock units
• Mineralisation follows bedding planes and structural controls
• Host rocks provide chemical and physical traps for gold precipitation
• Systems often display predictable geometry and continuity

Exploration Advantages:

• Systematic targeting: Host rock units can be mapped and followed along strike
• Multiple horizons: Different stratigraphic levels provide multiple exploration targets
• Predictable extensions: Geological model guides future drilling programs
• Resource confidence: Continuity within host units supports resource estimation

Economic Considerations:

• Often suitable for bulk-tonnage, open-pit extraction methods
• Consistent grade distribution supports mine planning
• Multiple horizons can extend mine life
• Near-surface mineralisation reduces development costs

At Red Bird, SQX has identified two distinct mineralised horizons within limy conglomerate units that coalesce toward a northeast-striking fault structure. In addition, this provides multiple targets for resource expansion.

Geological Model Confirms Systematic Discovery

The announcement confirms that Red Bird displays a fault-controlled strata-bound model where gold mineralisation concentrates within low-dipping limy conglomerate units in contact with the primary fault structure. However, this geological understanding provides a roadmap for future exploration efforts.

Complete 2026 Drilling Program Results

Maiden Campaign Summary:

• Total drilling: 25 holes, 2,509 metres
• Program type: Reverse Circulation (RC)
• Target approach: Systematic testing of known mineralised areas
• Discovery outcome: Robust system larger than historical data suggested

Notable Intercept Progression:

The identification of both "upper" and "lower" mineralised zones that converge toward the northeast-striking controlling fault creates multiple horizons for resource expansion. Furthermore, this significantly reduces exploration risk for future drilling programs.

Critical Geological Observations

Structural Controls:

• Northeast-striking fault acts as primary feeder structure
• Potential for significant mineralisation at depth along fault
• Hanging-wall position suggests favourable ore-forming environment

Host Rock Characteristics:

• Mineralisation within Cretaceous Bisbee Formation limestone and conglomerate
• Epithermal style with quartz veins, breccias, and alteration
• Carbonate replacement alteration extends mineralised zones

Exploration Implications:

• Footwall discoveries west of main mine reveal new prospective areas
• System scale potentially larger than currently defined
• Multiple drilling vectors support resource expansion

Strategic Next Steps: IP Geophysics and Regional Assessment

The announcement confirms that SQX has moved quickly to capitalise on drilling success, with Induced Polarisation (IP) geophysical surveys already underway on-site. For instance, this advanced exploration technique will assist in identifying additional targets both at depth and along strike from the defined mineralisation.

Current Work Program

Immediate Activities:

1. IP Geophysical Survey – Identifying potential repeats of host conglomerate units
2. Regional Alteration Assessment – Mapping priority zones across the claim area
3. Geological Modelling – Integrating drilling results with structural interpretation

Upcoming Exploration Targets:

• Depth extensions along the controlling northeast-striking fault
• Strike extensions of both upper and lower mineralised horizons
• Footwall exploration in newly identified prospective areas west of main mine
• Parallel structures that may host similar mineralisation

The Company's systematic approach combines modern geological understanding with advanced geophysical techniques. Consequently, this strategy defines a comprehensive exploration approach for Red Bird's resource expansion.

Investment Implications: Red Bird's Value Creation Potential

The completion of Red Bird's maiden drilling campaign establishes SQX Resources as a significant player in North American gold exploration. The discoveries at SQX Resources Ltd demonstrate both immediate drilling success and systematic long-term potential.

Key Investment Considerations

Geological Advantages:

• Fault-controlled model provides predictive exploration framework
• Dual mineralised horizons multiply resource expansion opportunities
• Near-surface intercepts from 3.0 metres support open-pit potential
• Open in multiple directions confirmed by systematic drilling approach

Exploration Pipeline:

• 25-hole foundation provides robust database for resource estimation
• Advanced geophysics underway to unlock deeper potential
• Regional prospectivity extends beyond current drilling area
• Experienced management with proven track record in resource development

Market Positioning:

• Tier-one Arizona jurisdiction with established mining infrastructure
• Modern exploration approach applied to historically productive system
• Systematic geological controls reduce exploration risk
• Multiple value creation pathways through resource expansion

Near-Term Catalysts

Immediate Developments:

• IP geophysical results expected to identify new drill targets
• Regional exploration outcomes defining district-scale potential
• Follow-up drilling program targeting mineralised zone extensions
• Resource estimation studies quantifying Red Bird opportunity

Why Investors Should Monitor SQX Resources

The Red Bird discovery represents a significant milestone for SQX Resources, establishing the Company's credentials in North American gold exploration with a systematic approach to resource development. However, the combination of outstanding drill results, predictive geological modelling, and immediate exploration upside positions SQX as a compelling investment opportunity.

Investment Tracking Points

Operational Excellence:

• Systematic exploration strategy combining modern techniques with geological understanding
• Quality asset portfolio providing multiple development pathways
• Strong financial position supporting aggressive exploration programs
• Experienced leadership team with proven resource development track record

Value Creation Drivers:

• Resource growth potential across multiple mineralised horizons
• Advanced exploration pipeline with Williams Gold-Silver Project in Montana
• Strategic North American focus in tier-one mining jurisdictions
• Systematic geological approach reducing exploration risk and improving success probability

The completion of the Red Bird maiden drilling campaign marks a pivotal achievement for SQX Resources. The exceptional results exceed initial expectations and establish a clear framework for future resource expansion. With IP geophysics underway and follow-up drilling planned, investors should monitor developments as the Company advances what could become a significant gold system in Arizona.

SQX Resources has delivered exceptional maiden drilling results at Red Bird, confirming a systematic gold discovery with predictable geological controls and multiple expansion opportunities. The combination of high-grade intercepts, systematic mineralisation, and immediate exploration upside makes SQX a compelling opportunity for investors seeking exposure to quality North American gold exploration with genuine discovery potential.

Looking to Capitalise on SQX's Red Bird Discovery?

SQX Resources has delivered exceptional maiden drilling results that exceed expectations, establishing Red Bird as a systematic gold discovery with multiple expansion opportunities. With IP geophysics underway and follow-up drilling planned to target mineralised zone extensions, now is the time to examine SQX's compelling investment proposition. Discover how the Company's systematic exploration approach and proven geological controls position them for continued success in tier-one North American jurisdictions by visiting sqxresources.com.