Bradford Cooke has Destroyed 98% of the Value at Canagold Resources Ltd Since 1994; Sun Valley Asks How Much Lower Can it Go Before There’s a Change? Quick Math Suggests 2%

• A simple question remains unanswered: Will the Board accept the PREMIUM financing offer that is open for the public to see?
• Canagold still has not articulated a plan to stop the hemorrhaging at the hands of Bradford Cooke; material change is urgently needed.
• Canagold continues to repeat the same misleading statements on their press release dated June 30, 2022.
• Sun Valley’s goal is simple: Positive change and value creation for all shareholders.
• Vote only the BLUE proxy FOR Sun Valley’s nominees by 5:00 p.m. on Thursday, July 14, 2002. To vote, contact Kingsdale Advisors at 1-888-213-0093 or at contactus@kingsdaleadvisors.com.

Sunvalley Company DMCC (“Sun Valley”), a strategic and long-term focused investor of Canagold Resources Ltd (TSX: CCM) (“Canagold”), urges shareholders to stop the value destruction at Canagold by Bradford Cooke and the currently entrenched board of directors (the “Board”) and vote only the BLUE proxy FOR Sun Valley’s nominees at Canagold’s upcoming annual and special meeting on Tuesday, July 19, 2022 (the “Meeting”).

Bradford Cooke and the Board are ignoring their fiduciary duties, and instead, are focusing on spinning more falsehoods to continue their entrenchment. They cannot hide any longer. Canagold’s latest trick is to deny the existence of a PREMIUM financing offer, which was provided by Sun Valley in writing, all while the next day, Mr. Cooke bought shares of Canagold. Canagold also misled to their shareholders by saying Sun Valley’s offer was at a discount to previous prices. The fact is Sun Valley’s offer was at a 20% premium above market price or at a 60% premium on a flow-through basis. Shareholders deserve to know the truth.

We now have a simple question for Mr. Cooke and the Board. With Sun Valley’s PREMIUM financing offer on the table, which can help move Canagold forward, will you publicly confirm that you will not do a financing below our offer or encumber shareholder value with another royalty financing? Shareholders deserve a response and need to know your motivation.

Sun Valley Can Help Restore Value, Integrity and Governance at Canagold

Sun Valley’s strategic plan to put Canagold on the right track can be found on SEDAR and on www.TheNewCanagold.com. The plan details the case for change at the Canagold Board and lays out Sun Valley’s strategic steps to advance Canagold’s long-stalled flagship project, New Polaris, and to strengthen Canagold's governance for the benefit to all shareholders. Our exceptionally qualified nominees have the right experience to effect positive changes at Canagold.

Vote the BLUE proxy

Sun Valley has the right plan and the resources to turn Canagold around.

Shareholders are encouraged to vote only the BLUE proxy FOR all three of Sun Valley’s highly-experienced, independent nominees – Dr. Carmen Letton, Ms. Sofia Bianchi and Mr. Andrew Trow.

Don’t wait, voting is fast and easy. Please vote well in advance of the proxy voting deadline of Thursday, July 14, 2022 at 5:00 p.m. ET. If you have questions or need help voting, contact Kingsdale Advisors at 1-888-213-0093 or at contactus@kingsdaleadvisors.com.

Advisors

Kingsdale Advisors is acting as strategic shareholder and communications advisor to Sun Valley. Wildeboer Dellelce LLP and Crawley Mackewn Brush LLP are acting as legal counsel to Sun Valley.

About Sun Valley

Sun Valley is a private equity firm focussed on the precious metals industry with portfolio companies and branch offices in the Americas, Europe and Asia. Sun Valley seeks to invest in sustainable development projects and operations with growth potential, low cash costs of production, or the operating flexibility to insulate against volatility in the commodity markets.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking information within the meaning of applicable securities laws. In general, forward-looking information refers to disclosure about future conditions, courses of action, and events. All statements contained in this press release that are not clearly historical in nature or that necessarily depend on future events are forward-looking, and the use of any of the words “anticipates”, “believes”, “expects”, “intends”, “plans”, “will”, “would”, and similar expressions are intended to identify forward-looking statements. These statements are based on current expectations of Sun Valley and currently available information. Forward-looking statements are not guarantees of future performance, involve certain risks and uncertainties that are difficult to predict, and are based upon assumptions as to future events that may not prove to be accurate. Sun Valley undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by applicable securities legislation.

Disclaimer

The information contained or referenced herein is for information purposes only in order to provide the views of Sun Valley and the matters which Sun Valley believes to be of concern to shareholders described herein. The information is not tailored to specific investment objectives, the financial situations, suitability, or particular need of any specific person(s) who may receive the information, and should not be taken as advice in considering the merits of any investment decision. The views expressed herein represent the views and opinions of Sun Valley, whose opinions may change at any time and which are based on analyses of Sun Valley and its advisors.

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