Lexington Gold : Results for the Six Months Ended 30 June 2021

14 September 2021

Lexington Gold Ltd

("Lexington Gold" or the "Company")

Interim Results for the half-year ended 30 June 2021

Lexington Gold (AIM: LEX), the gold exploration and development company with projects in North and South Carolina, USA, is pleased to announce its unaudited interim results for the six month period to 30 June 2021 ("H1 2021" or the "Period").

Highlights:

Corporate Summary:

The first half of 2021 has been an encouraging period for the Company, following a transformational 2020 in which the Company completed its acquisition of majority interests in four gold exploration projects in North and South Carolina in the United States (the "Projects") and was readmitted to trading on AIM on 25 November 2020. The Period has seen the Company build on such transformation, with exciting exploration progress made on its gold projects in the Carolinas.

Operational Highlights:

Jones-Keystone-Loflin ("JKL") Project:

• Good exploration progress with encouraging results obtained from the six-hole Phase 1 drilling campaign
• All six holes encountered intervals of gold mineralisation of over 1g/t Au above 100m depth
• Fixed-wingairborne geophysical survey completed
• Additional mining lease with option to purchase agreements entered into on the south- western ("Loflin") side of JKL

Carolina Belle Project:

• Fixed-wingairborne geophysical survey completed
• Soil sampling and rock sampling programme completed
• New gold anomaly identified over an initial surface area of approximately 350 metres x 250 metres, with individual surface rock assay samples returning up to 17 grammes per tonne ("g/t") gold
• Detailed modelling, interpretation and drill target generation undertaken

Jennings-Pioneer Project:

• Interpretation and modelling of helicopter-borne Versatile Time Domain Electromagnetics ("VTEM") geophysical survey completed
• VTEM survey identified two potential anomalies that will be further investigated through soil sampling, trenching and drilling

Argo Project:

• Fixed-wingairborne geophysical survey completed
• Interpretation of the resulting data and modelling underway

Lexington Gold Ltd: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.

Registration No: EC33385 Website: www.lexingtongold.co.uk

Post Period End:

• Contract signed for a 5,000m Reverse Circulation ("RC") drill programme at the JKL and Carolina Belle Projects
• Drill rig and crew scheduled to arrive on site during the week commencing 20 September 2021
• Assay results received following surface exploration sampling at Carolina Belle, with 10 samples out of 37 returning in excess of 1g/t Au
• Maiden resource estimate for Loflin expected to be received in the coming weeks from Pivot Mining Consultants Pty Ltd following completion of their resource and 3D modelling process

Financial Summary:

• Net loss for the Period from continuing operations was US$0.47 million (H1 2020: US$0.21 million)
• Total assets at the Period end were US$5.0 million (31 December 2020: US$5.5m)
• Net cash position at the Period end of US$2.1m (31 December 2020: US$2.9m)
• Total liabilities at the Period end of US$0.027m (31 December 2020: US$0.094m)

For further information, please contact:
Lexington Gold Ltd	www.lexingtongold.co.uk
Bernard Olivier (Chief Executive Officer)	via Yellow Jersey
Edward Nealon (Chairman)
Mike Allardice (Group Company Secretary)
Strand Hanson Limited (Nominated Adviser)	www.strandhanson.co.uk
Matthew Chandler / James Bellman / James Harris	T: [phone]
Peterhouse Capital Limited (Broker)	www.peterhousecap.com
Duncan Vasey / Lucy Williams (Broking)	T: [phone]
Eran Zucker (Corporate Finance)
Yellow Jersey PR Limited (Financial Public Relations)	www.yellowjerseypr.com
Joe Burgess / Charles Goodwin	T: [phone]

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018.

Note to Editors:

Lexington Gold Ltd (AIM: LEX) is focused on the exploration and development of its four diverse gold projects, covering a combined area of approximately 1,675 acres in North and South Carolina, USA. The projects are situated in the highly prospective Carolina Super Terrane ("CST"), which has seen significant historic gold production and is host to a number of multi-million-ounce mines operated by majors and was also the site of the first US gold rush in the early 1800s, before gold was discovered in California.

Further information is available on the Company's website: www.lexingtongold.co.uk. Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

Lexington Gold Ltd: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.

Registration No: EC33385 Website: www.lexingtongold.co.uk

Chairman's Statement

Dear Fellow Shareholder

On behalf of the Board, I am pleased to present the Group's unaudited results for the six months to 30 June 2021. It has been a highly fruitful period, with Lexington Gold building on its readmission in 2020 by conducting targeted, effective exploration that has markedly progressed the Company's understanding and operations on its four promising gold projects.

Following the successful reverse acquisition of Global Asset Resources Ltd ("GAR"), the associated fundraising, and the Company's readmission to AIM, the Company's focus for 2021 involves unlocking the excellent potential of our gold projects in North and South Carolina, USA. We have been steadily delivering on this objective, with sustained and sophisticated exploration activities carried out that have to date confirmed our confidence in the prospectivity of our Projects.

Initially, our efforts were focused primarily on our most advanced projects, Jones-Keystone-Loflin and Carolina Belle in North Carolina. At the JKL Project, we conducted an encouraging Phase 1 drilling campaign during the Period, with the final results received in June 2021. All six holes intersected gold mineralisation including multiple broad zones of over 30m, with high grade gold mineralisation found close to surface. Post-Period end, we signed a contract for a Phase 2 drilling campaign with FTE Drilling. We are also expecting to receive a maiden resource estimate for the south-western (Loflin) side of the JKL Project in the coming weeks.

At Carolina Belle, we received the results of our recently completed surface exploration sampling programme. A new gold anomaly was identified over an initial surface area of approximately 350m x 250m and individual surface rock assay samples returned up to 17 grammes per tonne ("g/t") gold.

We have also carried out some initial exploration work at our earlier stage projects, Jennings-Pioneer and Argo. At the Jennings-Pioneer Project, we conducted a 207.3 line-kilometre VTEM geophysical survey. The aim of the VTEM survey was to identify any conductors located within and surrounding the Jennings-Pioneer Project area that could be associated with volcanic massive sulphide style mineralisation. The results of this survey have encouragingly identified two potential anomalies that will be further investigated through soil sampling, trenching and drilling.

At the Argo Project, concurrently with the JKL and Carolina Belle Projects, we carried out a fixed- wing airborne geophysical survey. The aim of the survey was to further define and delineate the known areas of mineralisation over the three projects, as well as identifying new targets for geological studies and potential drilling. An initial high-level overview of the unprocessed data, as received from the geophysical survey, has already returned promising results and we are expecting the full results in due course.

We feel we have taken great strides in delivering on our strategy to unlock the potential of these promising, underexplored gold projects through our initial exploration work and look forward to updating shareholders on further progress in due course. On behalf of the Board, I wish to express appreciation for the valued and ongoing support of the Company's various stakeholders and shareholders.

Mr Edward Nealon

Non-Executive Chairman

14 September 2021

Lexington Gold Ltd: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.

Registration No: EC33385 Website: www.lexingtongold.co.uk

Chief Executive's Operational and Financial Review

1. Overview

On 2 February 2021, we announced that we had signed a contract with an experienced local drilling company for an initial minimum 610m diamond core drill programme at the JKL Project. JKL was selected as the first project for drilling due to its promising historical drill hole intersections and geological similarities with the third-party Haile Mine which has a mineral resource grade of 1.67 g/t Au.

The initial campaign was to focus on the south-western (Loflin) side of JKL, involving six holes by way of infill drilling and seeking to expand on and confirm the findings of historical third party drilling undertaken on the Loflin property. The Company also announced that a fixed-wing airborne geophysical survey had commenced over the JKL, Carolina Belle and Argo Projects in North Carolina.

On 26 May 2021, we announced a promising initial batch of assay results for the first three holes from this Phase 1 drilling campaign which indicated continuation of broad zones of shallow gold mineralisation. The results also showed good correlation to the historical drilling. These initial results were sufficiently encouraging for the Company to commence planning for a Phase 2 drill programme.

On 15 June 2021, we were able to announce assay results for the remaining three diamond drill holes from our Phase 1 drilling campaign, which revealed intersections of significant gold mineralisation above 50m depth. Looking at the results as a whole, all six holes of the campaign encountered intervals of gold mineralisation of over 1 g/t Au above 100m depth.

The Phase 1 drilling campaign added significantly to our understanding of the JKL Project's mineralisation and confirmed the presence of broad zones of particularly shallow gold mineralisation. The results have given us significant confidence in the project's potential economics and we plan to undertake additional drilling on the project area in due course as part of a Phase 2 drill programme.

On 23 June 2021, we announced an update for our project portfolio. We had appointed Pivot Mining Consultants ("Pivot") to review, interpret and model the complete dataset, including data from the Phase 1 drilling campaign, with the aim of working towards a potential maiden resource estimate for Loflin. As announced on 25 August 2021, we are now working with Pivot to plan the Phase 2 RC drilling campaign to either enable a maiden resource estimate to be published for JKL or expand on any estimate that can already be determined from the existing database.

We also announced that we had completed a soil sampling and rock sampling programme at the Carolina Belle Project, with rock samples sent to SGS in Vancouver and soil samples sent to American Assay Laboratories in Nevada. Alongside this, a drilling campaign was being planned for the Carolina Belle Project and, dependent on drill rig suitability and availability, was expected to be incorporated into the Phase 2 drill programme at JKL.

In light of the encouraging results and data already obtained from Phase 1, we also decided to extend an existing 4.05 acre mining lease with option to purchase agreement on Loflin for an additional six month period to 17 December 2021.

2. Financial Performance

• Net loss for the Period from continuing operations was US$0.47 million (H1 2020: US$0.21 million)
• Total assets at the Period end were US$5.0 million (31 December 2020: US$5.5m)

Lexington Gold Ltd: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.

Registration No: EC33385 Website: www.lexingtongold.co.uk

• Net cash position at the Period end of US$2.1m (31 December 2020: US$2.9m)
• Total liabilities at the Period end of US$0.027m (31 December 2020: US$0.094m)

3. Dividend

The directors have not declared a dividend (2020: Nil).

4. Post Period End

On 12 July 2021, we were delighted to announce that the surface exploration sampling programme at the Carolina Belle Project had yielded a discovery of a new gold mineralised area at the project. Individual surface rock assay samples had returned up to 17 g/t Au and 10 samples assayed out of 37 returned in excess of 1 g/t Au, including: 17g/t; 5.1g/t; 3.5g/t, 3.2g/t; 2.7g/t; 2.2g/t.

We are extremely pleased with the progress made at Carolina Belle from this initial exploration programme which successfully evaluated and extended the known prospects, identified new areas of alteration and mineralisation, and helped us to identify additional drill targets in the project area.

These results gave us the confidence to incorporate a comprehensive drill programme at Carolina Belle into a much larger Phase 2 drilling campaign. Accordingly, on 25 August 2021 we announced that we had signed a contract for a 5,000m RC drill programme with FTE Drilling, a highly experienced international drilling company headquartered in Canada.

Core Geophysics in Perth, Australia has completed its modelling and interpretation of the geophysical data for both the JKL and Carolina Belle Project, with the drill targets generated for both projects included in the planned RC drilling programme for testing. Meanwhile, Pivot has completed its geological interpretation and data verification for the Loflin deposit and is currently assisting with planning certain drill locations for incorporation in the Phase 2 RC drilling programme at Loflin.

The drill rig and crew are due to arrive on site during the week commencing 20 September 2021.

5. Outlook

We are extremely pleased with the exploration progress made during the first six months of the year, particularly at the JKL and Carolina Belle Projects, and we are optimistic about moving these up the value chain as soon as possible. A maiden resource estimate for Loflin is expected to be received from Pivot in the coming weeks once their resource and 3D modelling process has been completed and we are extremely excited to get underway with the 5,000m Phase 2 drill programme in Q4 2021.

Lexington Gold remains well financed, with quality assets and a strong technical team. The exploration work performed to date, combined with the historical data, provides great encouragement to the Directors with respect to the potential for these projects and we look forward to providing further updates to the market as our further work progresses.

Dr Bernard Olivier

Chief Executive Officer

14 September 2021

Lexington Gold Ltd: Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.

Registration No: EC33385 Website: www.lexingtongold.co.uk