Vancouver - Spanish Mountain Gold Ltd. (the 'Company') (TSX-V: SPA) is pleased to report encouraging results based on significant progress achieved on a number of value-added initiatives for the Spanish Mountain Gold Project (the 'Project') located in British Columbia, Canada.

As announced on September 9, 2021, the work programs underway build on the successful completion of the Project's Pre-feasibility study (PFS filed in June 2021) in which a multi-million ounce Mineral Reserve has been delineated along with robust economics and a 14-year mine plan.

Environmental Assessment

The Company continues to execute its stated strategy of fast-tracking its multi-million ounce Resource through the process for environmental assessment/ permitting. In addition to ongoing technical analyses and comprehensive field surveys, the Company has launched multiple initiatives to intensify ongoing engagements with all three Indigenous Nations whose traditional territories include the project area. Significant progress has been made as follows: Indigenous Nations Engagement - the Company signed an Engagement Protocol Agreement with Xatll First Nation in October 2021 and Lhtako Dene Nation in December 2021 formalizing the engagement process between the Nations and the Company and proceeded with the process of completing a Life-of-Mine relationship agreement with Williams Lake First Nation. Management has also initiated pre-submission review of the draft Initial Project Description with all three First Nations. Continuous engagement with Indigenous Nations will remain an integral part of the Project.

Initial Project Description (IPD) - the draft Initial Project Description for the Project is now in pre-submission review with all three First Nations. Management has adopted an engagement practice in which the First Nations communities will have opportunities to address their interests and concerns throughout the EA process. The Company expects to submit the IPD to the B.C. Environmental Assessment Office and Impact Assessment Agency of Canada within the first quarter of the year and thereby formalize the first stage of both the provincial and the federal EA processes.

Site-wide Water Balance - the Company commenced a field program in September 2021 to study groundwater flows in the area of the planned open pit and Tailings Storage Facility. In spite of challenging operating environment caused by extreme weather events and the pandemic, the field staff successfully completed the targeted drill holes over a wide area where monitors will be installed. The drilling crew was demobilized in December. The field work resumed in mid-January to perform pump test in order to monitor and gather ground water data needed for the development of the site-wide water balance for the Project. The water balance model is a critical tool for formulating effective water management strategy and cost optimization.

About Spanish Mountain Gold

Spanish Mountain Gold Ltd. is focused on advancing its 100%-owned Spanish Mountain gold project in southern central British Columbia. The Company is simultaneously pursuing the dual objectives of delivering critical project milestones for the multi-million ounce Mineral Reserve and further expanding the overall Mineral Resource. The Pre-Feasibility Study (2021) demonstrates the Project's potential to be a mining operation with a robust production profile (>150,000 oz per year) and profitability (AISC $801 per oz) over a mine life of 14 years.

Contact:

Larry Yau

Tel: (604) 601-3651

Email: info@spanishmountaingold.com

Web: www.spanishmountaingold.com

FORWARD LOOKING STATEMENTS

Certain of the statements and information in this press release constitute 'forward-looking statements' or 'forward-looking information' Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as 'expects', 'anticipates', 'believes', 'plans', 'estimates', 'intends', 'targets', 'goals', 'forecasts', 'objectives', 'potential' or variations thereof or stating that certain actions, events or results 'may', 'could', 'would', 'might' or 'will' be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information.

The Company's forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management's assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

(C) 2022 Electronic News Publishing, source ENP Newswire