P2 Gold Starts Drilling at Gabbs

VANCOUVER, July 20, 2021 - P2 Gold Inc. ("P2" or the "Company") (TSX-V:PGLD) reports that drilling has commenced at its Gabbs Project in Nevada. Gabbs is located on the Walker-Lane Trend in west-central Nevada approximately 145 miles by paved road from Reno, Nevada.

"We're off to a great start at Gabbs," noted Joe Ovsenek, President and CEO of P2. "We announced the Gabbs acquisition on May 17, 2021 and within two months have completed satellite hyperspectral and ground geophysics surveys, initiated a metallurgical test program, hired an exploration manager, received a drill permit and mobilized a drill to site."

Gabbs Phase One Drill Program

The Gabbs Phase One Drill Program consists of approximately 1,800 meters of diamond core drilling and approximately 8,000 meters of reverse circulation drilling. The diamond core drilling is expected to consist of six exploration holes totaling approximately 1,500 meters and two metallurgical holes totaling approximately 300 meters to collect samples from the oxide and transitional ore zones.

Due to the limited systematic exploration completed to date at Gabbs, the Company believes the full potential of each of the known zones of mineralization has yet to be recognized. The mineralized zones have not been tested along strike or at depth, and of the 494 holes drilled at Gabbs between 1970 and 2011, 180 holes (36%) ended in mineralization. Also, a significant number of holes drilled prior to 2004 were, depending on the focus of the operator, assayed only for gold or only for copper, not both metals.

A diamond drill rig has mobilized to Gabbs and has started drilling hole GBD-001, the first of six diamond drill holes in the Phase One Drill Program to test the strike and depth extent of the Sullivan Zone. A plan map for the diamond drill holes of the Gabbs Phase One Drill Program is available here.

Drill results will be reported on receipt. For further details on the Gabbs Project, please see www.p2gold.com/projects/nevada/gabbs.

Qualified Persons

Ken McNaughton, M.A.Sc., P.Eng., Chief Exploration Officer, P2 Gold, is the Qualified Person, as defined by National Instrument 43-101, responsible for the Gabbs Project.

About P2 Gold Inc.

P2 is a mineral exploration and development company focused on advancing precious metals discoveries and acquisitions in the western United States and British Columbia.

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Neither the TSX Venture Exchange (the "Exchange") nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Information

This press release contains "forward-looking information" within the meaning of applicable securities laws that is intended to be covered by the safe harbours created by those laws. "Forward-looking information" includes statements that use forward-looking terminology such as "may", "will", "expect", "anticipate", "believe", "continue", "potential" or the negative thereof or other variations thereof or comparable terminology. Such forward-looking information includes, without limitation, information with respect to the Company's expectations, strategies and plans for the Gabbs Project including the Company's planned expenditures and exploration activities.

Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made. Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of the Company to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking information. See "Risk Factors" in the Company's annual information form dated October 21, 2020 filed on SEDAR at www.sedar.com for a discussion of these risks.

The Company cautions that there can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, investors should not place undue reliance on forward-looking information.

Except as required by law, the Company does not assume any obligation to release publicly any revisions to forward-looking information contained in this press release to reflect events or circumstances after the date hereof.