Due to the continuing health risk related to the COVID-19 pandemic and continuing government restrictions on public gatherings in support of social distancing, the company strongly recommends that shareholders cast their votes by proxy in advance of the meeting and not attend the meeting in person. The business of the meeting will be limited to legal requirements for shareholder meetings, with no investor presentation or reception planned. Recognizing the important opportunity that the meeting provides shareholders to both hear from and communicate with management, a virtual question-and-answer period will be held as part of the conference call following the conclusion of the meeting.

Annual and special meeting conference call and webcast

Date:   Thursday, Aug. 20, 2020, 10 a.m. MT

Canada/United States toll-free number:  1-800-319-4610

Toronto toll-free number:  1-416-915-3239

International number:  1-604-638-5340

Location:   Central Park Plaza, second floor, 340 — 12 Ave. SW, Calgary, Alta., T2R 1L5

Options for voting shares prior to the meeting

Telephone toll-free:   1-888-489-5760

Internet:  the AST Vote My Proxy website

Mail:  AST Trust Company (Canada), P.O. Box 721, Agincourt, Ont., M1S 0A1

Fax:   416-368-2502 or toll-free in Canada and United States 1-866-781-3111

E-mail:  proxyvote@astfinancial.com

The shares issued in this closing are subject to a hold period expiring Dec. 15, 2020. Finders’ fees of $47,731 were paid in connection with this tranche of the placement.

Proceeds from the placement will be applied to the upcoming exploration program on the company’s Rackla project in the Yukon, as well as for general working capital of the company.

Number of creditors:  two creditors

Insiders:  Balkam Partners Ltd. (Hugh Mac Balkam), $80,340, 472,588 shares at 17 cents; Hugh Mac Balkam, $281,782, 1,657,541 shares at 17 cents

For further details, please refer to the company’s news release dated June 23, 2020, and Aug. 14, 2020.

Number of creditors:  12 creditors

Insiders:  Margeo Consulting Inc. (Marcio Fonseca), $7,500, 15,790 shares at 47.5 cents; Promaid Services Ltd. (Blaine Bailey), $6,188, 13,027 shares at 47.5 cents; Shordean Pty. Ltd. (Trevor Woolfe), $15,000, 31,579 shares at 47.5 cents

The company shall issue a news release when the shares are issued and the debt extinguished.

The board of directors and management of Enviroleach would like to thank Mr. Kiland for his significant contributions to the company since its inception and wish him well as he focuses on his health.

Robert Wares, Chairman & interim President of Komet, commented: “With the sale of most of its African assets and the signing of this option agreement, we are very happy to reposition Komet as a company focused on exploration and development of exceptional base and precious metal properties in Canada.  This agreement is an important first step toward achieving our new objectives with both greenfield and brownfield Canadian exploration targets. We are especially excited to have the opportunity to expand the resources at Key Anacon and Gilmour South and further explore the prolific Brunswick Belt, host to world-class massive sulfide deposits of past-producer Brunswick Mining & Smelting”.

Jeff Hussey, President and COO of Osisko Metals, added: “With the release of our robust PEA at Pine Point, we are happy to partner with Komet on the Brunswick Belt. Osisko Metals is currently focused on the development of its flagship Pine Point zinc-lead project and this agreement will allow advancement of the Brunswick Belt Property without incurring further financial dilution, which we believe will deliver maximum value to our shareholders. Osisko Metals will maintain its interest in the large property package to the west of the Brunswick Belt, including Mount Fronsac, Mount Fronsac North, Devil’s Elbow and Camel Back, and will seek out partners to joint-venture these projects”.

Option Agreement Details

The Option is divided into three distinct earn-in requirements (all amounts in Canadian dollars):

• The First Option: by funding an aggregate of $1,000,000 on or before the first-year anniversary of the signing of the Option and completing a cash payment of $100,000, Komet can earn an initial 25% interest in the Property.
• The Second Option: by funding an aggregate of $10,000,000 (inclusive of First Option expenditures) according to the schedule below, Komet can earn an additional 26% interest in the Property for a total interest of 51%:
  • An aggregate of $2,000,000, on or before the 2nd year anniversary;
  • An aggregate of $4,000,000, on or before the 3rd year anniversary;
  • An aggregate of $6,500,000, on or before the 4th year anniversary; and
  • An aggregate of $10,000,000, on or before the 5th year anniversary.
• The Third Option: by funding an additional aggregate of $5,000,000 and completing an economic study according to the schedule below, Komet can earn a further 24% interest in the Property for a total interest of 75%:
  • An aggregate of $2,500,000, on or before the 6th year anniversary;
  • An aggregate of $5,000,000, on or before the 7th year anniversary; and
  • Complete an Economic Study on or before the 7th year anniversary.

Once any one of the three earn-in requirements are met (as per Komet’s discretion), a joint venture can be formed between Komet and Osisko Metals. An NI 43-101 independent geological report was recently completed by John Langton, P. Geo., of JPL GeoServices and will be filed by Komet on SEDAR in the near future.

Robert Wares is chairman of the Board and Chief Executive Officer of Osisko Metals and Chairman of the Board and interim President of Komet. The Transaction constitutes a “Related Party Transaction” within the meaning of the policies of the TSX Venture Exchange (“TSX-V”), as it involves “Non-Arm’s Length Parties”, as defined in such policies. The Transaction is an arm’s length transaction within the meaning of applicable securities laws.

The Transaction is conditional upon TSX-V’s approval and trading in Komet common shares may remain halted until such approval is obtained.

Brunswick Belt Property Overview

The Property is composed of 14 claims comprised of 1,732 units that cover approximately 37,862 hectares (380 sq. kms). The Property is located southwest of the city of Bathurst and covers the continuation of the mineralized volcanic horizon (Brunswick Belt) that hosted the world-class Brunswick No. 12 Mine (past-production of 137 Mt grading 8.74% zinc, 3.44% Pb, 0.37% Cu, and 102 g/t Ag ) and Brunswick No. 6 Mine (past production of 12 Mt grading 5.43% zinc, 2.15% Pb, 0.40% Cu, and 67 g/t Ag). The Property currently hosts two massive sulfide deposits along the strike extension of Brunswick Belt: the Key Anacon and Gilmour South deposits.

Following substantial re-interpretation and development of a new geological model by Osisko Metals across the 72 kilometre strike length of the Brunswick Belt, high priority drill targets have been identified with coincident geochemical and geophysical anomalies. These targets are found in areas of sparse drilling along favorable geology, near existing infrastructure and are situated between surface and 500 meters depth.

Brunswick Belt – Key Anacon

The Key Anacon deposit is comprised of the Main and Titan Zones that occur along the north-east extremity of the Brunswick Belt. A historic estimate of an Indicated mineral resource of 1.96Mt grading 9.00% ZnEq and an Inferred mineral resource of 1.59Mt grading 7.80% ZnEq across both neighboring deposits was previously reported (see Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals). Both at the Main and Titan Zones remain open along strike and at depth.

The above-mentioned resources at Key Anacon are historical in nature. John Langton, P. Geo., acting as independent QP for Komet, is of the opinion that the resources disclosed by Osisko Metals are relevant and reliable, but he has not done sufficient work to classify the above-mentioned estimates as current mineral resources or mineral reserves for Komet’s disclosure. Komet is not treating the historical estimate as current mineral resources or mineral reserves. Such historical estimates must be independently estimated and disclosed by Komet following NI43-101 standards.

At the Titan Zone, a drill hole from previous operators intercepted substantial mineralization at a vertical depth of 1100 meters (drill hole KA01-15B: 13.00 meters at 6.87% Zn, 2.38% Pb, 0.38% Cu, 49.8g/t Ag,) located approximately 500 meters below the current resource boundaries. There is strong potential to expand the resources to this lower intercept.

The Key Anacon Main and Titan Zones are separated by a distance of 1.5 km and sit along a strongly folded portion of the Brunswick Belt. As both deposits are contained in the nose of regional fold closures, the potential of additional mineralization hosted within the closures of multiple intervening fold structures is considered high.

Brunswick Belt – Gilmour South

The Gilmour South deposit also occurs along the Brunswick Belt and is located 27 km southwest of the Key Anacon deposit. A historic estimate of Inferred mineral resources of 2.26Mt grading 8.08% ZnEq was previously reported (see Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals). The deposit remains open at depth and along strike.

The above-mentioned resources at Gilmour South are historical in nature. John Langton, P. Geo., acting as independent QP for Komet, is of the opinion that the resources disclosed by Osisko Metals are relevant and reliable, but he has not done sufficient work to classify the above-mentioned estimates as current mineral resources or mineral reserves for Komet’s disclosure. Komet is not treating the historical estimate as current mineral resources or mineral reserves. Such historical estimates must be independently estimated and disclosed by Komet following NI43-101 standards.

Qualified Persons and Additional Notes Regarding Resources

Mr. Robin Adair, P.Geo. and Vice President Exploration of Osisko Metals, is the Qualified Person who has approved the scientific and technical information contained in this news release on behalf of Osisko Metals.

John Langton, P. Geo., of JPL GeoServices, is the independent Qualified Person who has approved the scientific and technical information contained in this news release on behalf of Komet.

All assumptions, parameters and methods used to prepare the historical estimates reported above are summarized in the Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals. These historical estimates do not assume any categories other than those disclosed in the Osisko Metals press release dated February 20, 2019, and no additional data pertinent to the resources have been made available to Komet since the disclosure dated February 20, 2019.

About Osisko Metals

Osisko Metals Incorporated is a Canadian exploration and development company creating value in the base metal space with a focus on zinc mineral assets. The Company controls two of Canada’s premier past-producing zinc mining camps: 1) the Pine Point Mining Camp (“PPMC”), located in the Northwest Territories, for which the recently filed PEA has indicated an after-tax NPV of $500M and IRR of 29.6%. The Project is host to a Mineral Resource of 12.9Mt of Indicated Mineral Resources grading 6.29% ZnEq and 37.6Mt of Inferred Mineral Resources grading 6.80% ZnEq. The PPMC is located on the south shore of Great Slave Lake in the Northwest Territories, near infrastructure and paved highway access and with 100 kilometres of viable haulage roads already in place; 2) The Bathurst Mining Camp (“BMC”), located in northern New Brunswick, has Indicated Mineral Resources of 1.96 Mt grading 5.77% zinc, 2.38% lead, 0.22% copper and 68.9g/t silver (9.00% ZnEq) and Inferred Mineral Resources of 3.85 Mt grading 5.34% zinc, 1.49% lead, 0.32% copper and 47.7 g/t silver (7.96% ZnEq) in the Key Anacon and Gilmour South deposits. Please refer to the technical report entitled “NI 43-101 Maiden Resource Estimate for the Bathurst Mining Camp, New Brunswick, Canada” dated April 4, 2019 (with an effective date of February 20, 2019) which has been filed on SEDAR.

The mineral resources mentioned above under “Osisko Metals” conform to NI43-101 standards and were prepared by independent qualified persons, as defined by NI43-101 guidelines. The abovementioned mineral resources are not mineral reserves as they do not have demonstrated economic viability. The quantity and grade of the reported Inferred Mineral Resources are conceptual in nature and are estimated based on limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological grade and/or quality of continuity. Zinc equivalency (ZnEq) percentages are calculated using metal prices, forecasted metal recoveries, concentrate grades, transport costs, smelter payable metals and charges (see respective technical reports for details).

About Komet

Komet is a Montreal-based mineral exploration company listed on the TSX-V under symbol KMT and was previously active in gold exploration and mining in West Africa. It has put its African assets for sale and is now focused on exploration and development of gold and base metal properties in Eastern Canada.

For further information on this press release, contact:

Osisko Metals Killian Charles VP Corporate Development Osisko Metals Incorporated (514) 861-4441 Email: info@osiskometals.com www.osiskometals.com

Komet Robert Wares, Chairman and interim President Email: r.wares@kometgold.com

“We are very happy to welcome Stuart to the FPX Nickel board,” commented the company’s chairman, Peter Bradshaw. “Stuart has deep operational experience in the development and management of major nickel operations in North America and Asia, and has an extensive background in the marketing of nickel products to global consumers in the stainless steel and battery markets. As a recognized leader in the global nickel industry, he will play a critical role in helping us to advance our flagship Baptiste deposit at the Decar nickel district, fostering the ongoing development of relationships with key strategic players in the nickel market, including offtakers, trading companies and major mining companies.”

Mr. Harshaw established a record of success over a 28-year career at Vale and its predecessor firm Inco, occupying senior leadership roles in operations, marketing and corporate strategy. He was responsible for creating and managing annual budgets of greater than $1.0-billion and for managing external relations with provincial and municipal governments and first nations. Before serving as vice-president, operations, at Vale’s Sudbury complex, Mr. Harshaw acted as vice-president, marketing and operations, in Vale’s Asia-Pacific division, where he was responsible for nickel refineries in Japan, China and Taiwan and for marketing Vale’s nickel products to the stainless steel, specialty alloy and battery industries. Mr. Harshaw obtained his MBA from Laurentian University (where he currently serves on the board of governors) and a bachelor of science in metallurgical engineering from Queen’s University.

The appointment of Mr. Harshaw is subject to receipt of approval from the TSX Venture Exchange and the securities regulatory authorities. Mr. Harshaw has been granted options on 250,000 shares of the company’s common stock, exercisable at a price of 45 cents per share for a five-year period commencing on Aug. 14, 2020.

Steppe Gold CEO, Mr Bataa Tumur-Ochir commented “We are pleased to report a very strong first quarter of production at the ATO Gold Mine. With cash costs under $600 in this ramp up phase, and over 1m tonnes of ore now mined and paid for, we are seeing the strong cash flow generation of this first phase of the ATO project. We have continued our unblemished safety record and we have largely avoided the impacts of COVID-19, with uninterrupted production in the period.

With over US$23m cash on hand and regular gold sales occurring we are well positioned to benefit from the current trend in rising gold prices. We are now also turning our attention to finalising the ATO resource update, incorporating the Mungu discovery, and the Bankable Feasibility Study (“BFS”) Update at the fresh rock phase of the ATO Project. We are very excited to commence the larger second phase of this long life, low cost project.”

HIGHLIGHTS

Financial Results for the Three Months Ended, June 30, 2020 (all figures in US$)The Company announced its achievement of commercial production at the ATO gold mine effective April 2020 having met all the required metrics.Production of 15,389 gold ounces and 4,978 silver ounces.Gold and silver sales were $19.5m as 12,458 gold ounces and 3,728 silver ounces were sold with average realized prices per ounce of $1,714 and $15 respectively.Cash costs were $595 per ounce sold All-In sustaining cost (“AISC”) was $739 per ounce soldGroup adjusted EBITDA for the quarter was $10.4m.Operating income from mine operations, before depreciation and depletion, was $12.1mThe Company is currently working on a BFS for the expansion of the ATO Gold mine. The BFS aims to see expansion of the ATO Gold Mine into fresh rock ores with a planned production profile of approximately 150,000oz gold equivalent per year and an estimated ten-year mine life. The Company has commenced exploration drilling and trenching programs at the ATO Gold Mine and Uudam Khundii (“UK”) Gold Project. Initial trenching results should be available in the coming months and this will be followed by an active drilling program through to the end of the year. Three diamond core drilling rigs have commenced operations at the ATO Gold Mine. All three rigs are now located at the Mungu Discovery where drilling is underway with the aim of delivering an initial resource calculation in the coming months.The Company completed a non-brokered private placement of approximately C$15.0 million through the sale of 6,976,944 units at a price of $2.15 per unit, to Eric Sprott.The Company currently has a cash balance of US$23.1m.

Details of Non-IFRS Performance Measures noted above can be found in the Company’s Management’s Discussion & Analysis.

The Company’s interim consolidated financial results for the second fiscal quarter ended June 30, 2020 have been filed on SEDAR. The full version of the Condensed Interim Consolidated Financial Statements and Management’s Discussion & Analysis can be viewed on the Company’s website at http://www.steppegold.com or under the Company’s profile on SEDAR at http://www.sedar.com. Amounts are expressed in United States dollars unless otherwise noted.

Quotes from the Company:

“We made significant progress on our two core objectives of advancing the Bayan Khundii Gold Project (“Bayan Khundii” or “BK’) towards development and expanding high-grade gold resources in the Khundii Gold District during the second quarter,” said Peter Akerley, Erdene’s President and CEO.

“Results from our Q2 2020 exploration program were outstanding, with near-surface, high-grade gold intersections in all the areas targeted,” said Mr. Akerley. “We have identified three distinct high-grade zones to target additional exploration drilling within the Khundii Gold District in Q3 2020.”

“The recently announced Bayan Khundii Bankable Feasibility Study results demonstrate the strong economics of the high-grade BK project, employing conventional mining and processing techniques,” continued Mr. Akerley. “As a low-CAPEX, a low-OPEX project with less than two-year payback and significant growth potential, Bayan Khundii offers investors and stakeholders exposure and leverage to gold price as we move towards first production in 2022.”

“With the proceeds of the recent C$20 million financing, led by a strategic C$15 million investment from Eric Sprott, we have the funds to aggressively continue exploration to expand resources and to commence early works for the BK development,” concluded Mr. Akerley.

Q2-2020 Highlights and Subsequent Events:

Bayan Khundii Gold Project – 100% Erdene

• Announced positive results of the BK BFS on July 20 (results at US$1,400/oz gold price, unless noted):
  °  After-tax Net Present Value of US$100 million (NPV5%) and 42% Internal Rate of Return (IRR), increasing to US$216 million and 77% IRR, respectively, at a gold price of US$1,800/oz
  °  Life of Mine Earnings Before Interest, Taxes and Depreciation of US$257 million, increasing to US$400M at a US$1,800/oz gold price
  °  381,700 ounces gold recovered over the initial phase of the Khundii Gold District development
  °  All-in sustaining cost (“AISC”) of US$733/oz and upfront capital expenditure of US$59 million
  °  Measured and Indicated Resources of 521,000 ounces gold at an average grade of 3.16 g/t gold
  °  Proven and Probable Reserves of 409,000 ounces gold at an average grade of 3.71 g/t gold
  °  Average annual gold production of 63,500 ounces, including 77,600 ounces in Year 2
  °  Eight-year project, including one-year pre-production, six-year operating life and one-year closure
  °  Payback period of less than 2 years
  °  Adjacent high-grade resources and recent discoveries provide excellent growth opportunities
  °  Significant benefits to Mongolia, including Life of Mine royalties and taxes of US$103 million and approximately 400 new direct jobs in Bayankhongor Province
• Completed the ESIA and the Mongolian statutory Detailed Environmental Impact Assessment (“DEIA”) for BK, built upon the ESIA, has been fully drafted in advance of public consultations:
  °  These studies provide detailed background information, assessment, and management commitments for major impact domains, including climate and air quality, water, biodiversity conservation, economy and employment, land use, cultural heritage, occupational and community health, safety, security, and transport
  °  Public consultations are planned in late Q3 2020, following which the company will submit the BK DEIA to the Mongolian government for approval
• Obtained several necessary permits and regulatory approvals required for mine development:
  °  Land use permits issued, granting access to an initial 100-hectare area needed to construct the BK open-pit and associated surface infrastructure
  °  Tax stabilization certificate conditionally approved, fixing tax rates for a period of nine years on no less favourable terms than the current conditions in place in Mongolia

Exploration

• Confirmed three new near-surface, high-grade gold zones on the Khundii Mining License:
  °  Discovered a very high-grade gold zone starting at the surface in the Midfield SE zone:
     °  Intersected 5.5 metres of 125.9 g/t gold, including 1 metre of 581.6 g/t gold, in BKD-288, beginning 11.5 metres downhole
     °  Drilled 15 metres of 25.6 g/t gold, including 1 metre of 338 g/t gold beginning at 14.9 metres in BKD-274, 40 metres north of BKD-288
     °  Intersected anomalous mineralization in 16 of 18 holes, all within 25 metres from the surface
     °  The area is currently classified as waste or low-grade stockpile material in the resource model
  °  Intersected anomalous (≥0.2 g/t) gold in all 11 holes in a 100m x 50m area at Striker SW
     °  BKD-292 intersected 15 metres of 29 g/t gold beginning 0.9 metres from drill collar, including one metre of 353 g/t gold
  °  Trenched high-grade zones at recently discovered Khar Mori (Dark Horse) prospect
     °  Returned 6 metres grading 8.8 g/t gold, including 1 metre of 50.8 g/t gold on the main Dark Horse structure in trench KMT-01
     °  Trenched 4 metres of 14 g/t gold, including 1 metre of 45.3 g/t gold at KMT-03 on a structural intersection zone 850 metres east southeast of KMT-01

Financial and Corporate Highlights

• Closed $20 million financing led by $15 million strategic investment from Eric Sprott
  °  Proceeds will be used to advance exploration of the Khundii Gold District and development of the Bayan Khundii Gold Project and for working capital and general corporate purposes
• Recorded a net loss of $6,677,985 for the three months ended June 30, 2020, compared to a net loss of $755,291 for the comparative 2019 period
  °  Exploration and Evaluation expenditures, including capitalized costs of $2,036,502 in Q2 2020 exceeded expenditures of $1,807,460 for Q2 2019 as increased technical consultant costs associated with the Bayan Khundii Bankable Feasibility Study more than offset lower exploration activity
  °  Corporate and administrative expenses, excluding non-cash, share-based compensation and depreciation were $225,948 for the three months ended June 30, 2020, versus $259,666 in the prior-year quarter as lower directors’ fees and travel costs more than offset increased professional fees
  °  Non-cash fair value adjustment of $5,740,401 and accrued interest expense of $502,991 in the current quarter relating to the convertible loan from the European Bank for Reconstruction and Development (“EBRD”) that was secured in Q4 2019

Background on the Bayan Khundii Gold Project Development

Erdene’s deposits are located in the Edren Terrane, within the Central Asian Orogenic Belt, host to some of the world’s largest gold and copper-gold deposits. The Company has been the leader in exploration in southwest Mongolia over the past decade and is responsible for the discovery of the Khundii Gold District comprised of multiple high-grade gold and gold/base metal prospects, two of which are being considered for development: the 100%-owned Bayan Khundii and Altan Nar projects. Together, these deposits form the Khundii Gold Project. 

In July 2020, Erdene announced the results of an independent Feasibility Study for the Bayan Khundii Gold Project (press release here). The Feasibility Study results include an after-tax Net Present Value at a 5% discount rate and a US$1,400/oz gold price of US$100 million and Internal Rate of Return (“IRR”) of 42%. The Feasibility Study envisions an open-pit mine at Bayan Khundii from Years 0-7, producing an average of 63,500 oz gold per year at a head grade of 3.71 g/t gold, utilizing a conventional carbon in pulp processing plant at the Bayan Khundii mine. Production is expected to commence in early 2022 based on the current project schedule. 

Qualified Person and Sample Protocol

Peter Dalton, P.Geo. (Nova Scotia), Senior Geologist for Erdene, is the Qualified Person as that term is defined in National Instrument 43-101 and has reviewed and approved the technical information contained in this news release. All samples have been assayed at SGS Laboratory in Ulaanbaatar, Mongolia. In addition to internal checks by SGS Laboratory, the Company incorporates a QA/QC sample protocol utilizing prepared standards and blanks. All samples undergo standard fire assay analysis for gold and ICP-OES (Inductively Coupled Plasma Optical Emission Spectroscopy) analysis for 33 additional elements. For samples that initially return a grade greater than 5 g/t gold, additional screen-metallic gold analysis is carried out which provides a weighted average gold grade from fire assay analysis of the entire +75 micron fraction and three 30-gram samples of the -75 micron fraction from a 500 gram sample.

Erdene’s drill core sampling protocol consisted of collection of samples over 1 or 2 m intervals (depending on the lithology and style of mineralization) over the entire length of the drill hole, excluding minor post-mineral lithologies and un-mineralized granitoids. Sample intervals were based on meterage, not geological controls or mineralization. All drill core was cut in half with a diamond saw, with half of the core placed in sample bags and the remaining half securely retained in core boxes at Erdene’s Bayan Khundii exploration camp. All samples were organized into batches of 30 including a commercially prepared standard, blank and either a field duplicate, consisting of two quarter-core intervals, or a laboratory duplicate. Sample batches were periodically shipped directly to SGS in Ulaanbaatar via Erdene’s logistical contractor, Monrud Co. Ltd.

Robert Wares, Chairman & interim President of Komet, commented: “With the sale of most of its African assets and the signing of this option agreement, we are very happy to reposition Komet as a company focused on exploration and development of exceptional base and precious metal properties in Canada. This agreement is an important first step toward achieving our new objectives with both greenfield and brownfield Canadian exploration targets. We are especially excited to have the opportunity to expand the resources at Key Anacon and Gilmour South and further explore the prolific Brunswick Belt, host to world-class massive sulfide deposits of past-producer Brunswick Mining & Smelting”.

Jeff Hussey, President and COO of Osisko Metals, added: “With the release of our robust PEA at Pine Point, we are happy to partner with Komet on the Brunswick Belt. Osisko Metals is currently focused on the development of its flagship Pine Point zinc-lead project and this agreement will allow advancement of the Brunswick Belt Property without incurring further financial dilution, which we believe will deliver maximum value to our shareholders. Osisko Metals will maintain its interest in the large property package to the west of the Brunswick Belt, including Mount Fronsac, Mount Fronsac North, Devil’s Elbow and Camel Back, and will seek out partners to joint-venture these projects”.

Option Agreement Details

The Option is divided into three distinct earn-in requirements (all amounts in Canadian dollars):

The First Option: by funding an aggregate of $1,000,000 on or before the first-year anniversary of the signing of the Option and completing a cash payment of $100,000, Komet can earn an initial 25% interest in the Property.

The Second Option: by funding an aggregate of $10,000,000 (inclusive of First Option expenditures) according to the schedule below, Komet can earn an additional 26% interest in the Property for a total interest of 51%:

• An aggregate of $2,000,000, on or before the 2nd year anniversary;
• An aggregate of $4,000,000, on or before the 3rd year anniversary;
• An aggregate of $6,500,000, on or before the 4th year anniversary;
• An aggregate of $10,000,000, on or before the 5th year anniversary.

The Third Option: by funding an additional aggregate of $5,000,000 and completing an economic study according to the schedule below, Komet can earn a further 24% interest in the Property for a total interest of 75%:

• An aggregate of $2,500,000, on or before the 6th year anniversary;
• An aggregate of $5,000,000, on or before the 7th year anniversary;
• Complete an Economic Study on or before the 7th year anniversary.

Once any one of the three earn-in requirements are met (as per Komet’s discretion), a joint venture can be formed between Komet and Osisko Metals. An NI 43-101 independent geological report was recently completed by John Langton, P. Geo., of JPL GeoServices and will be filed by Komet on SEDAR in the near future.

Robert Wares is chairman of the Board and Chief Executive Officer of Osisko Metals and Chairman of the Board and interim President of Komet. The Transaction constitutes a “Related Party Transaction” within the meaning of the policies of the TSX Venture Exchange (“TSX-V”), as it involves “Non-Arm’s Length Parties”, as defined in such policies. The Transaction is an arm’s length transaction within the meaning of applicable securities laws.

The Transaction is conditional upon TSX-V’s approval and trading in Komet common shares may remain halted until such approval is obtained.

Brunswick Belt Property Overview

The Property is composed of 14 claims comprised of 1,732 units that cover approximately 37,862 hectares (380 sq. kms). The Property is located southwest of the city of Bathurst and covers the continuation of the mineralized volcanic horizon (Brunswick Belt) that hosted the world-class Brunswick No. 12 Mine (past-production of 137 Mt grading 8.74% zinc, 3.44% Pb, 0.37% Cu, and 102 g/t Ag ) and Brunswick No. 6 Mine (past production of 12 Mt grading 5.43% zinc, 2.15% Pb, 0.40% Cu, and 67 g/t Ag). The Property currently hosts two massive sulfide deposits along the strike extension of Brunswick Belt: the Key Anacon and Gilmour South deposits.

Following substantial re-interpretation and development of a new geological model by Osisko Metals across the 72 kilometre strike length of the Brunswick Belt, high priority drill targets have been identified with coincident geochemical and geophysical anomalies. These targets are found in areas of sparse drilling along favorable geology, near existing infrastructure and are situated between surface and 500 meters depth.

Brunswick Belt – Key Anacon

The Key Anacon deposit is comprised of the Main and Titan Zones that occur along the north-east extremity of the Brunswick Belt. A historic estimate of an Indicated mineral resource of 1.96Mt grading 9.00% ZnEq and an Inferred mineral resource of 1.59Mt grading 7.80% ZnEq across both neighboring deposits was previously reported (see Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals). Both at the Main and Titan Zones remain open along strike and at depth.

The above-mentioned resources at Key Anacon are historical in nature. John Langton, P. Geo., acting as independent QP for Komet, is of the opinion that the resources disclosed by Osisko Metals are relevant and reliable, but he has not done sufficient work to classify the above-mentioned estimates as current mineral resources or mineral reserves for Komet’s disclosure. Komet is not treating the historical estimate as current mineral resources or mineral reserves. Such historical estimates must be independently estimated and disclosed by Komet following NI43-101 standards.

At the Titan Zone, a drill hole from previous operators intercepted substantial mineralization at a vertical depth of 1100 meters (drill hole KA01-15B: 13.00 meters at 6.87% Zn, 2.38% Pb, 0.38% Cu, 49.8g/t Ag,) located approximately 500 meters below the current resource boundaries. There is strong potential to expand the resources to this lower intercept.

The Key Anacon Main and Titan Zones are separated by a distance of 1.5 km and sit along a strongly folded portion of the Brunswick Belt. As both deposits are contained in the nose of regional fold closures, the potential of additional mineralization hosted within the closures of multiple intervening fold structures is considered high.

Brunswick Belt — Gilmour South

The Gilmour South deposit also occurs along the Brunswick Belt and is located 27 km southwest of the Key Anacon deposit. A historic estimate of Inferred mineral resources of 2.26Mt grading 8.08% ZnEq was previously reported (see Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals). The deposit remains open at depth and along strike.

The above-mentioned resources at Gilmour South are historical in nature. John Langton, P. Geo., acting as independent QP for Komet, is of the opinion that the resources disclosed by Osisko Metals are relevant and reliable, but he has not done sufficient work to classify the above-mentioned estimates as current mineral resources or mineral reserves for Komet’s disclosure. Komet is not treating the historical estimate as current mineral resources or mineral reserves. Such historical estimates must be independently estimated and disclosed by Komet following NI43-101 standards.

Qualified Persons and Additional Notes Regarding Resources

Mr. Robin Adair, P.Geo. and Vice President Exploration of Osisko Metals, is the Qualified Person who has approved the scientific and technical information contained in this news release on behalf of Osisko Metals.

John Langton, P. Geo., of JPL GeoServices, is the independent Qualified Person who has approved the scientific and technical information contained in this news release on behalf of Komet.

All assumptions, parameters and methods used to prepare the historical estimates reported above are summarized in the Osisko Metals press release dated February 20, 2019 and NI43-101 report dated April 4, 2019 and filed on SEDAR under Osisko Metals. These historical estimates do not assume any categories other than those disclosed in the Osisko Metals press release dated February 20, 2019, and no additional data pertinent to the resources have been made available to Komet since the disclosure dated February 20, 2019.

Highlights:

• Mobilization to site completed with one diamond drill turning
• Upcoming drill program targeting high-grade Crestaurum deposit
• Additional drilling planned targeting the Campbell Shear regional structure
• Commencing drilling with a strong cash position following an equity raise of $7.1 million
• COVID-19 protocols in place for drilling program

David Suda, President and CEO, stated, “The company is well funded and we are very excited to start drilling on the Crestaurum high-grade gold deposit, which has considerable potential for expansion along strike and at depth. Following Crestaurum, our drilling activities will focus on testing multiple new high-grade targets along the prolific Campbell Shear structure.“

This first phase of drilling, consisting of seven holes totaling 3,700 metres, will cover a strike length of approximately 1 kilometre to test the depth extension of the Crestaurum deposit to 400 metres below surface, approximately 200 metres below the current resource limit, and to test the Daigle fault offset which displaces the deposit to the south (Link to long section). Following the first phase of drilling, the Company is planning to test the Crestaurum deposit deeper between 400 and 600 metres (Refer to news release dated July 21, 2020).

Gold Terra has received a Mineral Incentive Program (“MIP”) grant of $86,000 from the Government of the Northwest Territories for exploration work on its YCG project. The proposed work program totaling $240,000 will mainly include ground geophysical surveys (Induced Polarisation) to cover the extension of the Campbell Shear zone onto the North Belt of the YCG property, immediately north of the Giant mine.

The Company is also planning to drill a number of targets on the high-grade Campbell Shear structure, which extends on the Company’s property both north and south of the former Con and Giant mines, which have produced over 14 million ounces of gold (Refer to news release dated June 2, 2020).

Following the completion of the Crestaurum drilling program, the Company plans to update its mineral resource estimate for the YCG project at year-end. Currently, the project hosts a NI 43-101 inferred mineral resource estimate of 735,000 ounces of gold (12.8 million tonnes averaging 1.79 g/t Au) based on a gold price of US$1,300 per ounce (Refer to news release dated November 4, 2019).

The technical information contained in this news release has been approved by Joseph Campbell who is a Qualified Person as defined in National Instrument 43-101, Standards of Disclosure for Mineral Projects.

About Gold Terra’s Yellowknife City Gold Project

The YCG project encompasses 790 sq. km of contiguous land immediately north, south and east of the City of Yellowknife in the Northwest Territories. Through a series of acquisitions, Gold Terra controls one of the six major high-grade gold camps in Canada. Being within 10 kilometres of the City of Yellowknife, the YCG is close to vital infrastructure, including all-season roads, air transportation, service providers, hydro-electric power and skilled tradespeople.

The YCG lies on the prolific Yellowknife greenstone belt, covering nearly 70 kilometres of strike length along the main mineralized shear system that host the former-producing high-grade Con and Giant gold mines. The Company’s exploration programs have successfully identified significant zones of gold mineralization and multiple targets that remain to be tested which reinforces the Company’s objective of re-establishing Yellowknife as one of the premier gold mining districts in Canada.

Visit our website at www.goldterracorp.com.

For more information, please contact:

David Suda, President and CEO
Phone: 604-928-3101 | Toll-Free: 1-855-737-2684
dsuda@goldterracorp.com

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

Cautionary Note Regarding Forward-Looking Information

Certain statements made and information contained in this news release constitute “forward-looking information” within the meaning of applicable securities legislation (“forward-looking information“). Generally, this forward-looking information can, but not always, be identified by use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events, conditions or results “will”, “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved” or the negative connotations thereof.

All statements other than statements of historical fact may be forward-looking information. Forward-looking information is necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. In particular, this news release contains forward-looking information regarding the Crestaurum deposit having considerable potential for expansion along strike and at depth, planning to test the Crestaurum deposit deeper between 400 and 600 metres, and planning to drill a number of targets on the high-grade Campbell Shear structure, and the Company’s objective of re-establishing Yellowknife as one of the premier gold mining districts in Canada.

There can be no assurance that such statements will prove to be accurate, as the Company’s actual results and future events could differ materially from those anticipated in this forward-looking information as a result of the factors discussed in the “Risk Factors” section in the Company’s most recent MD&A and annual information form available under the Company’s profile at www.sedar.com.

Although the Company has attempted to identify important factors that would cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. The forward-looking information contained in this news release is based on information available to the Company as of the date of this news release. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. All of the forward-looking information contained in this news release is qualified by these cautionary statements. Readers are cautioned not to place undue reliance on forward-looking information due to the inherent uncertainty thereof. Except as required under applicable securities legislation and regulations applicable to the Company, the Company does not intend, and does not assume any obligation, to update this forward-looking information.

The report is available to view on the Company’s website at: https://horizonteminerals.com/uk/en/sustainability_report/

This is the first standalone Sustainability Report that Horizonte has published as the Company recognises the importance of conveying its efforts and achievements around the areas of environmental stewardship, social responsibility and corporate governance to its various stakeholders as it moves towards construction at Araguaia.

The following key achievements are noted within the Sustainability Report:

US$1.5m of direct economic contribution;

Zero Lost Time Injuries & fatalities;

Over 200 community engagements;

618 students engaged in environmental awareness programmes;

55% of total purchases from local suppliers;

42% female employees; and

46% of Brazil employees from Para State, where the projects are located.

Jeremy Martin, Chief Executive Officer, commented, “I am delighted to introduce our first Sustainability Report, which we believe is an important step in the Company’s evolution and development into a nickel producer. Sustainability has been central to Horizonte’s operations in Brazil for the past 10 years, and our ability to deliver on our environmental, social and governance commitments will be key to our future success.

“Projects of the scale of Araguaia and Vermelho need to be underpinned by robust sustainability performance, reporting and measurement. This maiden report highlights the extensive ESG initiatives we have already undertaken and sets a baseline against which we will measure ourselves in future. The commitment and undertaking required for such a programme should not be underestimated, particularly for a company of the size of Horizonte.

“As we continue to build momentum in our journey towards production, we remain committed to helping our communities grow alongside us, protecting the environment in which we operate and delivering value to our shareholders.”

Pursuant to the articles of the company, the board of directors of the company has approved the consolidation by way of board resolutions. The board believes the consolidation will enable Los Andes to gain increased interest from investors and therefore broaden the company’s investor base.

The consolidation remains subject to receipt of approval from the TSX Venture Exchange. The company’s name will not be changed in conjunction with the consolidation.

NOVEMBER 2018 BLOCK 14 FEASIBILITY STUDY SUMMARY

Probable Reserves	79.94Mt @ 1.11g/t for 2.85 Moz
Average Annual production:
First 7 Years	5.8Mtpa @ 1.49g/t averaging 228,000oz Au/year
Life of Mine (“LOM”)	167,000oz Au/year
Mine Life	13.6 years
Production Costs:	Yrs 1 – 7	LOM
Cash Costs	$689/oz	$707/oz
All-in Sustaining Costs (“AISC”)	$789/oz	$783/oz
After-Tax Net Present Value (“NPV”)Discount rate: 5%; Gold Price: $1,250/oz	$403 million
After-Tax Internal Rate of Return (“IRR”)	24.2%
Payback Period	3.9 years
Pre-Production Capital	$328 million
Sustaining Capital	$181 million

Highlights:

• Results from an eight-hole (1,544m) diamond drilling programme at Tabakorole
• Intersections include 4.7 g/t Au over 14.0m and 1.2 g/t over 31.0m (not true widths)
• Potential 600m long north-west extension confirmed with 1.2 g/t Au over 12m
• Project remains open along strike and down dip
• Updated mineral resource estimate on Tabakorole is now being prepared
• Graphex is earning an initial 33% interest in the Project under the JV
• Altus holds a Net Smelter Return gold royalty on Tabakorole

Steven Poulton, Chief Executive of Altus, commented:

“We are encouraged to report the high grades and broad widths of gold mineralisation intersected from the recent drilling programme at Tabakorole. The programme was financed and completed by our ASX-listed JV partner Graphex Mining, which is earning an initial 33% interest in the Project. The intersection of 4.7 g/t gold over 14m, within a wider envelope of 38m averaging 2.1 g/t gold is excellent. The results have also extended a high-grade plunge that was not previously modelled in the 2007 historical mineral resource estimate. An updated independent mineral resource estimate is now being prepared, which will include results from the 11,736m of reverse circulation and 1,936m of diamond drilling that have occurred at Tabakorole since 2007.”

“The potential of the 600m long north-west extension has also been confirmed, with an intersection of 1.2 g/t gold over 12m from the one diamond hole drilled in this area, which is in the vicinity of the recently reported shallow aircore drill intersection of 6.2 g/t gold over 6m from 14m depth.”

“We look forward to updating shareholders on the progress at Tabakorole and specifically with news on the updated mineral resource estimate when available.”

Drilling program

The drilling was undertaken by Capital Drilling Limited and consisted of eight diamond drill holes for a total of 1,544m. The drill results are summarised in Table 1 below. The holes were drilled between -52 and -60 degrees inclination, perpendicular to the strike of the FT Prospect and ranged between 62.5m to 293.0m in length.

The program was designed to:

• Test high-grade plunge extensions;
• Drill untested gaps in the deposit;
• Drill a single hole into the north-west strike extension;
• Provide QAQC support for the deposit model.

Testing high-grade plunge extensions

One of the key aims of the program was to target the interpreted high-grade plunge extension at the south-east end of the FT Prospect. Three holes were positioned to following-up on historical intersections of 2.5 g/t Au over 24m (hole 10FLRC-01A) and 2.6 g/t Au over 24m (hole 10FLRC-06A). Drilling successfully confirmed and expanded the high-grade plunge extension and returned the following results:20TBK-DD_004: 2.1 g/t Au over 38m from 145m, including 4.7 g/t Au over 14m from 145m20TBK-DD_001: 1.2 g/t Au over 31m from 191m, including 2.1 g/t Au over 6m and 4.0 g/t Au over 4m20TBK-DD_003: 1.0 g/t Au over 35m from 170m, including 1.3 g/t Au over 20m from 173m

The mineralization remains fully open to the south-east and represents a high priority target for follow up drill testing.

Drilling untested gaps

Despite the amount of historical drilling, numerous untested gaps within the FT Prospect exist. Three holes were drilled to infill some of these areas and provide greater continuity for the forthcoming updated mineral resource estimate:

• 20TBK-DD_005: target an untested gap and intersected 1.0 g/t Au over 47.0m to a maximum depth of 85.0m from surface. This area of the FT Prospect did not previously contribute to the historical resource estimate due to the low drill density. This hole demonstrates the continuity of the resource and is higher grade than the material immediately down dip. Hole 20TBK-DD-005 will be included in the new mineral resource estimate.
• 20TBK-DD_006: was drilled up-dip of historical hole 05FLDDH-14 (which intersected 11.2 g/t Au over 9m). This hole intersected 0.5 g/t Au over 25m.
• 20TBK-DD_002: was drilled on the same section as 20TBK-DD_006 and intersected 1.2 g/t Au over 27m.

North-west extension

The north-west extension represents a significant opportunity to grow the FT Prospect.20TBK-DD_008 tested the north-western extension between previously drilled aircore holes. It will aid in interpreting the orientation of the orebody in this area. This hole successfully intersected both interpreted lodes returning 1.2 g/t Au over 12m from 41m and 0.8 g/t Au over 8m from 111m.

Results from this single diamond hole reinforce the potential along this part of the prospect, especially when viewed alongside the recent aircore drilling, which encountered a 28m wide zone with an average grade of 2.7 g/t Au and a best intercept of 6.2 g/t Au over 6m (see Company announcement of 06 August 2020).

Tabakorole recent drill intersections

Hole ID        From (m)  To (m)  Intersection (m)  Grade (g/t Au)

20TBK-DD_001      191.5   223.0              31.5            1.23          
including         191.5   195.0               5.5            2.14          
and               213.0   216.6               3.6            4.01          
20TBK-DD_002a      60.0    87.0              27.0            1.18          
20TBK-DD_003      169.7   205.0              35.3            0.97          
including         173.0   193.0              20.0            1.34          
20TBK-DD_004      145.0   183.5              38.5            2.15          
including         145.0   159.0              14.0            4.73          
and               165.0   183.5              18.5            0.80          
20TBK-DD_005       53.5   101.0              47.5            1.01          
including          91.0   101.0              10.0            1.29          
20TBK-DD_006      208.0   233.5              25.5            0.50          
20TBK-DD_006      285.0   288.0               3.0            0.54          
20TBK-DD_007        9.0    44.0              35.0            0.54          
including          31.5    44.0              12.5            1.24          
20TBK-DD_007a      54.0    59.0               5.0            0.80          
20TBK-DD_008       41.0    53.0              12.0            1.21          
20TBK-DD_008      111.0   118.5               7.5            0.78          
20TBK-DD_008      146.0   149.5               3.5            0.80          

Notes:

• Intersections based on 0.5g/t Au cut off and less than or equal to 3m internal waste
• Intersections are down-the-hole and do not represent true widths of mineralisation
• No grade capping has been applied

Mineral Resource Update

Graphex intends to incorporate these results, along with assays from 11,736m of reverse circulation and 1,936m of diamond drilling which have been completed on the Project since 2007 into an updated mineral resource estimate.

Tabakorole Project: Location

The 100 km2 Tabakorole gold project is located in southern Mali, approximately 280 km south of the capital city of Bamako. The Project sits on the Massagui Belt which hosts the Morila gold mine (operated by Barrick NYSE:GOLD, TSX:ABX), located approximately 100 km to the north. The Project is 125 km southeast of the Yanfolila gold mine (operated by Hummingbird AIM:HUM) and 100 km east of the Kalana gold project (operated by Endeavour Mining TSX:EDV). Mineralisation hosted on these properties is not necessarily indicative of mineralisation hosted at Tabakorole.

Tabakorole Project: Geology

Tabakorole comprises a 2.7 km long shear zone which is up to 200m wide, hosted in the Archaean and Birimian aged Bougouni Basin of the Man Shield of southern Mali. The geology is dominated by clastic sediments, cut by northwest trending deformation zones which host gold mineralisation. At least two, possibly three, Eburnean deformation events are believed to have affected the geology of Tabakorole. The Project hosts the FT Prospect comprised of mylonites, sheared diorite, gabbro, mafic dykes and late stage felsic dykes, within a folded and deformed metasedimentary package of meta-siltstone, meta-wacke and meta-sandstone. Mineralisation is locally most favourably associated where structures cut gabbro and along lithological contacts with gabbro.

Tabakorole Project: Historical exploration

The Project was discovered by a regional soil sampling programme completed on a 500m x 100m grid by BHP in the early 1990s. Since 2003, a total of 28,912m of DD, 31,943m of RC, 6,577m of auger drilling and 62,718m of AC have been completed, in addition to 1,400 line km of airborne geophysics. A selection of drill intersects from Tabakorole is shown in Table 2.

In 2010, a total of 58 RC holes (5,492m) were completed within and along strike of the FT Prospect. Results included 6.05 g/t Au over 18.0m from 12.0m (10FLRC-12A) and 2.53 g/t Au over 24.0m from 48.0m (10FLRC-01A) (not true widths).

Tabakorole selected historical drill intersections

Hole ID      From (m)  To (m)  Intersection (m)  Grade (g/t Au)
10FLRC-12A      12.00   30.00             18.00            6.05          
05TKRC-18       24.00   68.00             44.00            3.29          
10FLRC-07        4.00   42.00             38.00            2.63          
10FLRC-01A      48.00   72.00             24.00            2.53          
05FLRC-51       80.00   96.00             16.00            9.31          
06TKDDH-008    179.00  190.00             11.00            5.64          
05FLRC-11       14.00   74.00             60.00            2.91          
05TKRC-52        2.00   18.00             16.00            2.33          
05FLRC-12        2.00   12.00             10.00            3.36          

Notes:

• Intersections based on 0.5g/t Au cut off and less than or equal to 2m internal waste
• Intersections are down-the-hole and do not represent true widths of mineralisation
• No grade capping has been applied

Intersections cited in this news release do not represent true widths of the mineralised intervals.

Cautionary note regarding historic data

Readers are cautioned that the historical data on Tabakorole in this written disclosure that has not been verified by a Qualified Person. Not all historical samples are available and Altus does not have complete information on the quality assurance or quality control measures taken in connection with the exploration results, or other exploration or testing details regarding these results. The historical drilling was predominantly angled at -60 and -55 degrees and intersected steeply dipping mineralisation. True width determinations are estimated to be 50-57% of the cited intersection lengths. There has been insufficient exploration to define a current mineral resource and the Company cautions that there is a risk further exploration will not result in the delineation of a current mineral resource.

Qualified Person

The technical disclosure in this regulatory announcement has been read and approved by Steven Poulton, Chief Executive of Altus. A graduate of the University of Southampton in Geology (Hons), he also holds a Master’s degree from the Camborne School of Mines (Exeter University) in Mining Geology. He is a Fellow of the Institute of Materials, Minerals and Mining and has over 20 years of experience in mineral exploration and is a Qualified Person under the AIM rules and National Instrument 43-101 “Standards of Disclosure of Mineral Projects of the Canadian Securities Administrators”.

• CH20-258 :3.0 g/t Au over 46.9 m, including 158.1 g/t Au over 0.8 m (outside of the pit)
• CH20-265 :10.3 g/t Au over 12.1 m, including 78.9 g/t Au over 1.5 m (outside of the pit)
• CH20-266 :1.8 g/t Au over 116.0 m, including 19.5 g/t Au over 7.5 m, with 147.9 g/t Au over 0.8 m (straddles the pit limit)
• CH20-266 0.8 g/t Au over 55.8 m (additional mineralisation inside the pit)
• CH20-267 :1.1 g/t Au over 24.5 m (additional mineralisation inside the pit)

The objectives of this drilling campaign were to; discover additional gold ounces outside of the conceptual pit, expand the number of ounces within the limit of the pit, as well as boost the confidence level in the estimation within a specific area of the deposit.

Twenty-two drill holes, totaling 5,237 metres, were completed during this campaign. The assay results of the first six drill holes (CH20-246, 248, 249, 251, 253 and 254) were presented in the press release dated May 12, 2020 . Three of these drill holes (#248, 249 and 254) finished in gold mineralization, that continues at depth.

Dominique Doucet, founder and president of Sirios, stated: “The fieldwork on the Cheechoo project continues to yield positive results. The recent drilling campaign confirms our gold mineralization model and will probably allow us to increase the size of the resource for the next update. In the upcoming months, we plan to pursue the development of the project on multiple fronts; including the metallurgical tests, verifying the potential of new ore treatment procedures, as well as the undertaking of a definition drilling campaign to convert inferred resources into indicated resources. Note that during the evaluation of the NI 43-101 resources estimate, it was stated that approximately only an additional 15,000 metres were needed to convert Cheechoo’s inferred resources into indicated resources. With these drilling and metallurgical results, we will have the required information to undertake a Preliminary Economic Assessment (PEA) in 2021.”

The first resource estimate of the Cheechoo project, published in December 2019 and based on an open-pit model, resulted in an inferred resource of 1.6 million ounces of gold hosted in 71.0 million tonnes, at an average grade of 0.69 grams of gold per tonne, with a waste to ore strip ratio of 1.1: 1. In addition, a significant potential for increasing the current mineral resources has been identified with the possibility of adding an additional 25% more ounces of gold, currently located on the Cheechoo property, in the event that an agreement with the owners of the neighbouring property can be reached to access this material. The resource estimate was defined using US $ 1,300 per ounce of gold and a cut-off grade of 0.3 g/t Au.

Assay quality control

All NQ drill core are logged by Sirios personnel at the Cheechoo exploration camp. The drill core is then sent to Rouyn-Noranda to be sawed in half, with one half sent to a commercial laboratory for assaying and other half kept for future reference. A strict QA/QC program is in place by integrating blanks and certified reference standards to the core sample sequence. The samples are assayed for gold by fire assay with an atomic absorption finish by Actlabs. Samples assaying greater than 2 g/t Au as well as drill core samples with visible gold are assayed by fire assay with metallic sieve on a 1 kg sample.

About Cheechoo

Sirios’ 100% owned Cheechoo property is located in the Eeyou Istchee James Bay region of Quebec, approximately 800 km north of Montreal, 200 km east of Wemindji and less than 10 km from Newmont’s Eleonore gold mine. The property contains the Cheechoo deposit with its maiden NI43-101resource estimate of 1.6 million ounces gold with a strong potential of increase.

About Sirios

Pioneer in the discovery of significant gold deposits in the Eeyou Istchee James Bay region of Quebec, Canada. Sirios focuses its work mainly on its Cheechoo gold discovery, while actively exploring the high auriferous potential of its other properties.