Ulaanbaatar, Mongolia--(Newsfile Corp. - January 11, 2023) - Steppe Gold Limited (TSX: STGO) (OTCQX: STPGF) (FSE: 2J9) ("Steppe Gold" or the "Company") is pleased to provide an operations update for the final quarter of 2022.

• Gold production was 5,600 oz in the fourth quarter for a total of 33,500 oz for 2022
• Mined 958,288 tonnes and 922,051 tonnes crushed and stacked in the year ended 2022
• Strong reagent supplies at the year end and new supply routes functioning well
• At December 31, 2022, total estimated recoverable gold from oxide ores is 80,000 oz
• Construction start for Phase 2 Expansion is planned for Q2 2023

The Company is pleased to report a strong finish to 2022 with uninterrupted gold production since the resumption of irrigation in the Spring. Gold production was approximately 5,600 oz in the fourth quarter for a total of 33,500 oz for 2022, and sales for the year was 33,700 oz. We expect 2023 production to come in at a similar level to 2022 with some potential for upside. First quarter production is expected to be approximately 6,000 oz.

The new boiler house has been working effectively through the winter to keep the solution above freezing and this has allowed for cold weather production to continue through the quarter.

The Company has secured a strong inventory of reagent supplies and the new supply routes are functioning well.

Mining activities decreased in the fourth quarter as the planned winter slowdown commenced, with 93,380 tonnes mined across ATO2, ATO1 and ATO4, and 230,399 tonnes crushed and stacked in the third quarter. The Company mined 958,288 tonnes and 922,051 tonnes crushed and stacked in the year ended 2022. We are now stacking Cell 1 of the second lift of the leach pad.

A reserve update has been prepared and we expect to release the details shortly.

As at December 31, 2022 the Company had mined 3.4 million tonnes, crushed and stacked 2.8 million tonnes @ 1.92 g/t for approximately 173,958 ounces of gold on the leach pad and 498,000 tonnes of ore at an average grade of 0.79 g/t on the ROM pad. At an estimated 70% recovery, the total inventory from oxide ores is approximately 80,000 oz of recoverable gold inclusive of 16,000 oz in situ based on internal reserve estimates.

President and CEO of Steppe Gold, Bataa Tumur-Ochir commented, "We are pleased to report that the Company produced 33,500 ounces of gold in 2022, a 180% increase over 2021. The Company has completed the construction of a new crushing unit and has a substantial inventory of mined ore to continue active production in 2023. Our primary focus for 2023 is to complete the financing for the Phase 2 Expansion and start construction of the new flotation plant to increase annual production to over 100,000 oz Au Eq by the end of 2024."

Steppe Gold Limited

Steppe Gold is Mongolia's premier precious metals company.

For Further information, please contact:
Bataa Tumur-Ochir, CEO and President

Shangri-La office, Suite 1201, Olympic Street 19A, Sukhbaatar District 1, Ulaanbaatar 14241,
Mongolia Tel: +976 7732 1914

Cautionary Note Regarding Forward-Looking Statements:

The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include, among other things, statements regarding the trading of the Common Shares and business, economic, and political conditions in Mongolia. Although we believe the expectations reflected in our forward-looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements. We disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

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