Astra Exploration Inc. announced that it has signed a binding letter agreement dated July 8, 2024 granting Astra the option to acquire up to a 90% interest in the Manchuria epithermal gold-silver Project from Patagonia Gold Corp. located in the prolific Deseado Massif of Santa Cruz, Argentina. The Deseado Massif has extraordinary geological fertility and hosts multiple low-sulphidation epithermal (LSE) precious metals deposits, including AngloGold Ashanti's Cerro Vanguardia (approximately 10 million gold-equivalent ounces) and Newmont Corp.'s Cerro Negro (approximately 7.5 million gold-equivalent ounces) world-class deposits.

Previous exploration consists of surface and trench samples, geophysics (ground mag, IP and CSAMT) and 22,200 metres of drilling (91% DDH) in 133 holes. Exploration activity concentrated at an elevated and altered 600 by 700 metre area exposing a dense group of NW to NNW trending parallel banded quartz-adularia veins with bonanza grades that can be divided into the Main and the Eastern Zones. This area is interpreted by Astra geologists as a hydrovolcanic centre with evidence of phreatic to phreatomagmatic breccias, and is currently the only area drilled.

Drilling was concentrated at the Main Zone, where in 2019 Patagonia published a 43-101 resource which remains open in all directions. The Eastern Zone (900 by 250 metres) consists of a similar group of NW-trending parallel banded quartz-adularia veins with bonanza grades that were not explored in detail (only 8 of the 133 holes drilled at Manchuria) and could likely expand the near-surface resources. Additionally, to the east there are more NW-oriented trends with shallow LSE style mineralization, and to the south more evidence of phreatic breccias and strong silicification is present.

After relogging drill holes along select sections, Company geologists interpret that the Main Zone is an extensional basin filled with rhyolitic flow tuffs that develop into a dacitic to andesitic sequence of tuffs and lava flows. The contact between the two units is represented by a layer with important amounts of carbonized wood representing the base of the rhyolitic flow tuffs. LSE mineralization was mainly tested in the rhyolitic tuffs unit with several Au-Ag rich drill intersections that created the bulk disseminated resource published in the 43-101.

However, there is strong evidence that there are high-grade precious metal intersections when faults and fluids cross-cut the carbon-rich level (grades listed in blue), and there is also evidence of thicker and more continuous veins in the dacitic-andesitic basal unit. Agreement Terms Astra has the option to acquire an initial 80% interest in the Manchuria Project by fulfilling the following project expenditures, subject to Astra's right to extend the earn-in timeframe: USD 150,000 in non-discretionary expenditures in the first year; USD 350,000 expenditures in the second year; USD 1.5 Million expenditures in the third year; USD 1 Million expenditures in the fourth year; Upon earning 80%, Astra may then elect to purchase an additional 10% (for 90% total ownership) by making a cash payment of USD 5 Million to Patagonia by the end of the sixth year, subject to Astra's right to extend this period. Patagonia's interest (10% or 20% as the case may be) will be carried until the publication of a 43- 101 compliant resource totaling at least 1 million ounces of gold-equivalent in the indicated + inferred categories.

Upon publication of the resource, each party will contribute their pro-rata amounts of expenditures from that point forward. If either Party´s ownership is reduced to less than 10%, such ownership will automatically convert to a 1% NSR. Upon signing of the Agreement, Astra will have a period of 45 days to conduct due diligence, during which time Astra has the exclusive option to proceed with the transaction. Further, the due diligence period will only commence upon both of: (i) approval from the existing royalty holder; and (ii) approval from the Santa Cruz Provincial authorities of the work plan which has been agreed to by Astra and Patagonia.