Phase One Drilling Affirms VMS Potential at Clifford Jones Zone

HM Exploration's assay outcomes from the first seven drill holes at the Clifford Jones (Bull Road) Zone confirm a polymetallic volcanogenic massive sulphide system with multiple mineralized horizons. Both upper and lower mineralized zones remain open along strike and at depth, indicating potential for resource expansion. The drilling targeted continuity of mineralization beneath known surface showings and along strike to enhance understanding of geological controls.

The upper zone features semi-massive to massive sulphide fragments that are fractured, transported, and chaotically mixed with volcanic rocks, ranging from sub-rounded to angular shapes. This suggests multiple transport events and proximity of source material, potentially supported by a stockwork vein feeder system. Conversely, the lower zone exhibits more massive and coherent sulphide fragments with less fracturing, interpreted as debris deposited nearer to the original hydrothermal vent.

High-Grade Intervals Highlight Mineralized Zones

Drill hole PI-26-007 delivered one of the highest-grade intersections to date: 23.0 metres averaging 1.21% Cu, 1.67% Zn, 10.67 g/t Ag, and 0.25 g/t Au from 7.00 to 30.00 metres, including a high-grade interval of 2.03% Cu, 0.62% Pb, 2.36% Zn, 16.35 g/t Ag, and 0.38 g/t Au over 8.18 metres. A deeper section of 0.66 metres graded 2.45% Cu, 1.70% Zn, 92.20 g/t Ag, and 5.89 g/t Au, representing the highest gold and silver grades reported so far.

Hole PI-26-001 intersected 4.47 metres grading 1.49% Cu, 1.04% Pb, 5.05% Zn, 19.54 g/t Ag, and 0.28 g/t Au, including a 0.60-metre interval with 4.58% Cu, 1.60% Zn, 28.10 g/t Ag, and 0.56 g/t Au. Additionally, it returned 6.45 metres of 0.50% Cu, 1.20% Zn, 5.77 g/t Ag, and 0.15 g/t Au from 50.30 to 56.75 metres. All intervals reflect drilled lengths; true widths are yet to be determined pending further analysis.

Upper Mineralized Zone Extends Over Significant Strike Length

Data from HM Exploration indicate the upper copper-bearing debris flow mineralization extends approximately 60 metres along strike within a total drill-tested length of about 135 metres. This mineralization was consistently intersected as massive to semi-massive sulphide zones in holes 1, 2, 5, 6, and 7, supporting a geological model of a stacked, multi-lens mineralized system.

The upper zone's fragmented nature suggests greater transport or post-depositional reworking, with sulphide fragments varying in shape and size indicative of multiple transport events. This supports the presence of a nearby feeder zone or stockwork system, consistent with classical VMS deposit architectures in Newfoundland.

Lower Sulphide Lens Exhibits Massive Characteristics

The lower mineralized lens, confirmed in hole PI-26-007, is mainly massive to semi-massive sulphide with minor disseminated mineralization. Its more coherent and less fractured nature suggests deposition closer to the original hydrothermal vent, distinguishing it from the transported upper zone. This supports a proximal VMS model with multiple discrete lenses representing different positions within the submarine hydrothermal system.

Both upper and lower zones remain open along strike and at depth, indicating further drilling potential to define lateral and vertical extensions. Planned downhole electromagnetic surveys will refine Phase Two drilling targets.

Project Geology and Regional VMS Context

The Pilley's Island Project lies within the Notre Dame Subzone of the Dunnage Tectonostratigraphic Zone, predominantly underlain by Ordovician submarine volcanic rocks of the Roberts Arm Group. This sequence is part of the Buchans-Roberts Arm Belt, a mature volcanic arc hosting the historic Buchans mine and other former VMS producers, providing a strong regional exploration framework.

Mineralization at Pilley's Island includes lower-grade (Spencer's Dock), medium-grade (Old Mines), and high-grade (3B-Zone/Clifford Jones) deposits exhibiting sub-seafloor replacement and exhalative styles. Extensive alteration zones of chlorite, sericite, silica, K-feldspar, and epidote typify the bimodal-felsic VMS system. Historically, the Pilley's Island Mine–Old Mines produced about 450,000 tonnes of massive pyritic ore since the late 1800s, confirming established mineralization.

Strategic Partnership and Option Agreement

Under the option agreement, HM Exploration can earn a 100% interest in the Pilley's Island Project through ongoing exploration and development expenditures. This arrangement allows Great Atlantic to maintain strategic exposure while leveraging HM Exploration's capital and operational expertise. Great Atlantic regards this partnership as advantageous, enabling portfolio growth through partner-funded exploration while retaining upside.

Christopher R. Anderson, President and CEO of Great Atlantic, highlighted the partnership's benefits, emphasizing how collaboration with a committed exploration partner enhances project value. This approach exemplifies a common junior exploration strategy to attract well-funded partners to advance assets efficiently without shareholder dilution.

Pending Drill Results and Upcoming Geophysical Surveys

Assay results for five additional holes—PI-26-008 through PI-26-012—are awaited. These holes, drilled to depths between 220 and 341.6 metres across varied locations, aim to further delineate mineralization geometry and grade continuity.

HM Exploration plans to conduct downhole electromagnetic (EM), ground EM, optical, and acoustic televiewer surveys to inform Phase Two drilling. These geophysical methods are standard in VMS exploration for identifying conductive sulphide bodies and structural controls. Phase Two drilling is expected to commence in the fall, targeting extensions of mineralization identified in Phase One.

Geological Model and VMS Exploration Framework

The geological interpretation aligns with classical VMS deposit models formed by submarine volcanic-hosted hydrothermal sulphide precipitation. Multiple stacked lenses with varying fragmentation and transport degrees reflect expected vertical and lateral zonation. The documented bimodal-felsic volcanism at Pilley's Island is a favorable indicator for VMS mineralization.

The project shares geological characteristics with renowned Newfoundland VMS districts like Buchans, Ming, and Rambler Mines. The presence of sulphide-clast breccias, a strong vector towards proximal massive sulphide lenses, supports the exploration model. Many historic showings have not undergone systematic modern exploration, with previous drilling shallow and vertical, limiting geological understanding. Planned work includes validating historic assays and collecting new data from multiple showings such as 3B-Zone, Clifford Jones (Bull Road) Extension, Bouzanne Shaft, Henderson, Mansfield, and Pilley's Cove.

Quality Assurance and Technical Oversight

Sampling and analysis adhered to established protocols. Drill collars were located using hand-held GPS (NAD83-Zone 21N), and drill rigs aligned with a Reflex TN-14 Gyrocompass. Samples were uniquely identified and sent directly to Eastern Analytical Ltd., an ISO/IEC 17025 accredited independent laboratory. Analytical methods included ICP-OES (34 elements) with four-acid digestion, Au Fire Assay (30g) with atomic absorption finish, and Ore Grade Assay (multi-acid digestion) with AA finish.

HM Exploration implemented standard QA/QC procedures with standards, blanks, and duplicates. Nicholas Rodway, P.Geo. (Licence #46541), CEO and Director of HM Exploration and a Qualified Person under NI 43-101, supervised and verified technical content. Verification included drill logs, sample tags, chain of custody, and analytical protocols with no limitations. David Martin, P.Geo., VP Exploration for Great Atlantic and Qualified Person under NI 43-101, reviewed and approved technical data for Great Atlantic; however, Great Atlantic has not independently verified drilling intercepts.

Project Location and Regional Infrastructure

The road-accessible Pilley's Island Project is approximately 25 kilometres east of Springdale in north-central Newfoundland. It is situated about 55 kilometres southeast of Firefly Metals' Green Bay Project and roughly 150 kilometres from the Pine Cove Mill and Port via major roads. This infrastructure proximity may benefit future development if economic mineralization is established.

The project resides within a well-established mining district, with the historic Buchans camp nearby, known for significant copper, zinc, lead, silver, and gold production. Existing regional mining operations and infrastructure provide a favorable context for potential future development, although no such plans have been announced to date.