Steppe Gold Announces Third Quarter Operations Update

Ulaanbaatar, October 5, 2022 - Steppe Gold Ltd. (TSX: STGO) (OTCQX: STPGF) (FSE: 2J9) ("Steppe Gold" or the "Company") is pleased to provide an operations update for the third quarter.

• Gold production was approximately 13,300 oz, up 28% from second quarter
• Mined 266,292 tonnes and 230,399 tonnes crushed and stacked in third quarter
• At September 30, total estimated recoverable gold in inventory is 71,000 ounces

Gold production in the third quarter was approximately 13,300 oz, up 28% from the second quarter where the Company produced 10,400 oz. The Company has continued with its regular pour schedule, twice per month. Ongoing deliveries to MongolBank attract a 5% premium to the LME Spot price.

Mining and stacking activities were on plan for the third quarter and we are now stacking ore on the second lift of the leach pad. Mining activities decreased in September as the planned fall and winter slowdown commenced, with 266,292 tonnes mined across ATO2, ATO1 and ATO4, and 230,399 tonnes crushed and stacked in the third quarter.

As of September 30, 2022 the Company has now mined 3.29 million tonnes, crushed and stacked 2.56 million tonnes @ 1.93 g/t for approximately 158,884 ounces of gold on the leach pad and 684,000 tonnes of ore at an average grade of 1.0 g/t on the ROM pad. At an estimated 70% recovery, the total inventory on the leach pad, ROM pad and pit floors is approximately 71,000 ounces of recoverable gold.

President and CEO of Steppe Gold, Bataa Tumur-Ochir commented, "We are very pleased to report continued ramp up of production at the ATO Gold Mine in the third quarter. All activities at site are operating well. We are still looking to build our reagent stocks in the fourth quarter with new deliveries expected in October and November. We maintain a strong inventory of ore and we plan to leach through the winter, at planned lower production rates."

Steppe Gold Ltd.
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 Street19A, Sukhbaatar District 1,Ulaanbaatar 14241, MongoliaTel: +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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