Forge Resources Corp. (CSE: FRG) (OTCQB: FRGGF) (FSE: 5YZ) (“Forge” or the “Company“) is pleased to provide an operational update from its fully permitted flagship La Estrella coal project, located in Santander, Colombia. Underground development activities continue to advance steadily, supported by a fully deployed operational team and ongoing progress in the main underground ramp as the Company enters 2026.
During recent development of the underground project, the Company has re-encountered a coal seam at the development face of the underground ramp showing at 1.1 metres in width (Photo 1). The company first encountered this coal seam in July 2025, and these events were previously reported in News Releases dated July 24, 2025 and August 13, 2025. This exposure further confirms the continuity and geological potential of the La Estrella coal system. No additional assays are planned at this stage, as the seam encountered corresponds to previously identified and characterized coal horizons for which laboratory analysis has already been completed.
Photo 1. Coal seam exposed at the development face of the underground ramp
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In parallel with ongoing development, Forge has started implementing additional enhancement measures in collaboration with Grupo A and Webber Mining & Tunneling to further support safety and long-term performance of the underground ramp. These initiatives involve the use of resin injection and self-drilling bolts to strengthen and reinforce the main access tunnel, which represents a key piece of infrastructure and the primary gateway to the underground workings over the life of the project (Photo 2). This approach reflects the Company’s focus on building durable, high-quality underground infrastructure designed to support safe operations and sustained project development over the long term. This technique complements the primary support system of the underground ramp, which consists of TH25 and TH29 steel arches, timber lagging, and electro-welded mesh, further enhancing overall structural integrity and long-term performance.
Photo 2. Resin injection at the underground development face
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PJ Murphy, CEO of Forge Resources Corp., commented: “Underground development at La Estrella continues to progress steadily, and the re-encounter of a coal seam at the underground ramp face further strengthens our confidence in the coal deposit and the continuity of the coal system at the project. As we advance, we are proactively enhancing the main access tunnel to support safety, durability, and long-term performance. The underground ramp is a critical asset over the life of the project, and our focus remains on building high-quality underground infrastructure that supports sustained development and responsible operations.”
Coal Market Surge Aligned with Strategic Positioning of La Estrella
Driven by increased demand, coal prices have experienced a notable resurgence as we enter 2026.The domestic consumption in the United States has spiked by 7-8% over the past year, to record levels. At the same time, China is commissioning dozens of new coal-fired plants to ensure energy security amidst surging industrial electricity needs, while India’s continuous infrastructure expansion keeps global coal demand at record-breaking levels near 8.8 billion tonnes. The price increases are due to these factors combined with tight inventories and robust power-sector demand.
Global coal markets have demonstrated continued resilience, supported by steady demand for both metallurgical and thermal coal. Metallurgical coal prices have shown improvement in recent months, reflecting ongoing steel production, infrastructure investment, and disciplined supply in key producing regions. This has reinforced confidence in the medium-term fundamentals of the metallurgical coal market.
Thermal coal prices have also remained stable, with signs of gradual improvement in several markets driven by energy security considerations, seasonal demand, and the ongoing role of coal in ensuring reliable baseload power. While regional dynamics vary, thermal coal continues to play an important role in global energy systems, particularly in emerging and industrial economies.
Overall, these market conditions support sustained interest in high-quality coal projects with existing permits, established infrastructure, and development momentum. Projects such as La Estrella, which benefit from multiple metallurgical and thermal coal seams and near-term operational progress, remain well positioned within the current coal market environment.
Metallurgical and thermal coal futures have currently a blended FOB price per metric tonne of USD $177 (CAD $246 / metric tonne), with metallurgical coal prices surging from September 2025 and thermal coal being steadier at USD $120 / metric tonne to USD $95 / metric tonne.
Figure 1. Metallurgical coal price (USD), per metric tonne- Source: https://tradingeconomics.com/
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Figure 2. Blended average price (USD), per metric tonne (metallurgical and thermal coal) – Source: https://tradingeconomics.com/
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About Forge Resources Corp.
Forge Resources Corp. is a Canadian-listed junior exploration company. The Company holds an 80% in Aion Mining Corp., a company that is developing the fully permitted La Estrella coal project in Santander, Colombia. La Estrella contains eight known seams of metallurgical and thermal coal. The Company also holds an option on the Alotta project, a prospective porphyry copper-gold-molybdenum project consisting of 230 mineral claims that cover 4,723 hectares, located 50 km south-east of the Casino porphyry deposit in the unglaciated portion of the Dawson Range porphyry/epithermal belt in the Yukon Territory of Canada.
On behalf of the Board of Directors
“PJ Murphy”, CEO Forge Resources Corp.
[email protected]
Forward Looking Statements
Certain of the statements made and information contained herein may contain forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, information concerning the Aion Acquisition. Forward-looking information is based on the views, opinions, intentions and estimates of management at the date the information is made, and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated or projected in the forward-looking information (including the actions of other parties who have agreed to do certain things and the approval of certain regulatory bodies). Many of these assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. 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. In particular, there can be no assurance that the Proposed Transaction will be completed as described or at all. The Company undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change except as required by applicable securities laws, or to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities. The reader is cautioned not to place undue reliance on forward-looking information. We seek safe harbor.
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