Highlights include:

• 16,000 m of drilling at Bonnefond, including 8,000 m of expansion drilling at depth on the Bonnefond intrusive and 8,000 m of exploration drilling on the broader Bonnefond property;
• 12,000 m of exploration drilling around the formerly producing Bevcon mine;
• 7,000 m of exploration drilling on the New Louvre target.

Following on a very active and successful 2020, QMX has commenced the winter campaign. The 35,000 m winter campaign, focusing on the highly prospective East zone, will culminate in seven drill rigs turning on the Bonnefond, New Louvre and Bevcon targets. The primary objective of this drilling campaign is to further expand the Bonnefond deposit and follow up on previous significant drilling results in the East zone.

“We are thrilled to report the start of our winter campaign,” said Dr. Andreas Rompel, vice-president, exploration. “We intend to enlarge the known resource on Bonnefond even further and want to embark on exploration around the prolific Bevcon intrusive, which has been the host to a historic mine which was far from depletion when stopped. We are very confident that we can build a similar resource base compared to our flagship Bonnefond project.”

Continuing exploration

QMX is currently operating four drill rigs on and around the Bonnefond deposit area. This initial phase of the winter campaign is focused on deep drilling below the Bonnefond deposit and exploration drilling near the New Louvre target. Three additional drill rigs will be mobilized as the winter campaign progresses.

Bonnefond deposit

This winter, QMX plans to drill approximately 8,000 m to explore the Bonnefond intrusive further at depth with the objective of expanding the current underground resource. In parallel, QMX is conducting a broader 8,000 m exploration program testing prospective targets to the east of the Bonnefond deposit.

Previous drilling at Bonnefond intersected 6.48 grams per tonne gold over 73.2 m, and 35.56 g/t Au over 4.0 m at 1,050 m in DDH 17215-20-121 (news release dated Aug. 18, 2020) and intersected 185.0 m of 2.16 g/t Au in pit and 11.2 m of 10.88 g/t Au at depth in DDH 17315-20-149 (news release dated Jan. 5, 2021).

Bevcon intrusive

During the fall of 2020, QMX tasked InnovExplo to complete a Leapfrog 3-D model and structural analysis of the Bevcon mine. This detailed geological model integrated all of the available data on the project and facilitated a better understanding of the 2.5 km long target area, driving the company’s 12,000 m drill program this winter.

The initial phase of the winter campaign on the Bevcon intrusive will follow up on the significant results returned from the 2019 drilling campaign. The previous drilling to the west of the Bevcon mine intersected 84.8 g/t Au over 6.0 m, including 137.5 g/t Au over 3.7 m in DDH 17311-18-015 and 10.8 g/t Au over 4.3 m in DDH 17311-18-017 (news release dated Sept. 24, 2019).

New Louvre target

The New Louvre target is located 1.5 km southeast of the Bonnefond deposit on the Bonnefond property. It consists of a grano-dioritic sill hosted in a major shear zone. Mineralization is hosted in quartz-tourmaline veins associated with the deformation. In 2018, a first reconnaissance drilling campaign on the New Louvre sill returned several mineralized intersection over the roughly one km structure, including 6.6 g/t Au over 3.7 m in DDH 17315N-18-007, 14.0 g/t Au over 1.4 m in DDH 17315N-18-008, 21.5 g/t Au over 0.9 m in DDH 17315N-18-017 and 10.9 g/t Au over 2.5 m in DDH 17315N-18-018 (news release dated Aug. 22, 2019).

QMX anticipates drilling 7,000 m on the New Louvre target during the winter campaign.

Quality control

During the drilling program, assay samples were taken from the NQ core and sawed in half. One-half is sent to Swaslab Ltd., a certified commercial laboratory. The other half of the core is retained for future reference. A strict quality assurance and quality control program was applied to all samples, which included insertion of mineralized standards, blank samples and duplicates inside each batch of 20 samples. The gold analyses were completed by fire assay with an atomic absorption finish on 50 grams of material. Repeats were carried out by fire assay with a gravimetric finish on each sample containing 5.0 g/t Au or more. The gold analyses were undertaken by fire assay on 50 grams of pulp with an atomic absorption finish. Repeats were carried out by fire assay with a gravimetric finish on each sample containing 5.0 g/t Au or more.

Drill holes reported herein show significant extensions of gold mineralization beyond the PEA whittle pit published in 2020 (see press release dated Aug. 31, 2020), which successfully outlined an estimated inferred resource of 580,000 ounces of gold equivalent (AuEq) ounces (22.6 million tonnes, at average grade of 0.80 gram per tonne gold equivalent) in the Southwest zone (SWZ). This new zone, initially discovered and drilled in late 2019 and early 2020, is located approximately three kilometres southwest of the former mine and main mineral resource area, and is believed to represent one of the most important near-term mineral growth targets on the Troilus property.

Southwest zone drilling highlights include:

• Drill hole TLG-ZSW20-204, a 200-metre stepout hole, intersected high-grade gold-bearing mineralization between 50 metres and 450 m from surface, all located outside of the National Instrument 43-101 mineral resource envelope and the open pit proposed in the August, 2020, PEA.

Intercept highlights include:

• 1.95 g/t AuEq over 20 metres, including 2.73 g/t AuEq over nine metres, and 1.50 g/t AuEq over nine metres, including 2.21 g/t AuEq over five metres, located over 50 metres beyond the pit wall proposed in the PEA;
• 3.51 g/t AuEq over one metre and 9.01 g/t AuEq over two metres, located over 200 metres below the pit wall proposed in the PEA;
• 2.09 g/t AuEq over four metres.

Drill hole TLG-ZSW20-201 confirmed extensions of mineralization in a previously undrilled area within the PEA pit. Intercept highlights include:

• 2.48 g/t AuEq over six metres and 2.5 g/t AuEq over five metres within a broader intersection of 1.74 g/t AuEq over 21 metres;
• 1.9 g/t AuEq over 2.6 metres within a broader intersection of 1.03 g/t AuEq over eight metres;
• 1.77 g/t AuEq over four metres;
• 1.22 g/t AuEq over 2.2 metres located beyond the pit wall proposed in the PEA.

Justin Reid, chief executive officer of Troilus, commented: “In just 12 months, our geology team has discovered, interpreted, outlined and is now extending what could be the most significant new drill results in the Frotet-Evans belt since the discovery of the Troilus mine nearly 35 years ago. Today’s results from the Southwest zone reaffirm our belief that the sizable mineral resource estimates that we have already outlined around the past-producing mine are only scraping the surface of the Troilus mineralized system, and highlight the potential positive impact they could have on the prefeasibility study we intend to complete later this year. We remain focused on the Southwest zone as a priority target as we aim to further expand and define the extent of this zone.”

These results continue to validate the company’s new structural model for gold mineralization at Troilus developed by the exploration team over the last three years. This geologic reinterpretation has been successfully applied to the main Z87, Z87 South, J zones and more recently to the Southwest zone, where the overall estimated indicated mineral resources have grown 142 per cent and estimated inferred mineral resources have grown 350 per cent in 24 months with only 80,500 metres drilled (see press release announcing the latest mineral resource estimate dated July 28, 2020). This summer’s field exploration program, developed using the same methodology, has also demonstrated success at a regional scale as new targets were defined and discoveries made on Troilus’s recently expanded 107,000-hectare property (see latest regional exploration press release dated Dec. 9, 2020).

Update on operations during COVID-19 pandemic

On Jan. 6, 2021, the government of Quebec announced a new lockdown for several sectors of the Quebec economy, however, mineral exploration companies with commitments and essential work are permitted to continue with operations. The Troilus site reopened effective Jan. 11, 2021, following a temporary closure over the holiday break. Current operations remain focused on essential activities related to the continuing drill program. Strict COVID-19 protocols and screening remain in place at site to protect the health of employees, contractors and the company’s local communities and it will continue to closely monitor the provincial government’s directives and public health guidelines.

                        SUMMARY OF NEW SOUTHWEST ZONE DRILL RESULTS

                 From        To     Int.     Au grade    Cu grade    Ag grade    AuEq grade
Hole               (m)       (m)      (m)*       (g/t)         (%)       (g/t)         (g/t)

TLG-ZSW20-201   182.0    190.00     8.00         0.78       0.163        3.65          1.03       
incl.           186.4    189.00     2.60         1.50       0.241        4.35          1.90       
                197.0    218.00    21.00         1.35       0.270        7.66          1.74       
incl.           198.0    204.00     6.00         1.90       0.372        9.60          2.48       
incl.           211.0    216.00     5.00         2.08       0.312        1.68          2.50       
                220.0    227.00     7.00         0.58       0.264        1.18          0.93       
                232.0    234.00     2.00         1.12       0.015        0.38          1.14       
                237.0    240.00     3.00         0.70       0.012        9.52          0.82       
                266.0    278.00    12.00         0.87       0.029        0.33          0.91       
incl.           266.0    270.00     4.00         1.75       0.014        0.25          1.77       
                404.0    406.15     2.15         0.95       0.188        3.15          1.22       
TLG-ZSW20-204    59.0     66.00     7.00         1.08       0.004        0.79          1.09       
incl.            61.0     64.00     3.00         1.60       0.002        0.76          1.61       
                 75.0     77.00     2.00         1.07       0.010        4.07          1.13       
                142.0    146.00     4.00         1.71       0.287        1.88          2.09       
                315.0    324.00     9.00         1.23       0.201        1.34          1.50       
incl.           315.0    320.00     5.00         1.80       0.304        1.90          2.21       
                346.0    366.00    20.00         1.69       0.193        1.90          1.95       
incl.           357.0    366.00     9.00         2.38       0.266        1.69          2.73       
                546.0    553.00     7.00         0.78       0.079        1.60          0.91       
                574.0    575.00     1.00         3.19       0.212        4.09          3.51       
                599.0    601.00     2.00         8.57       0.079        32.35         9.01       

* Note drill intervals reported in this news release are down-hole core lengths as true 
  thicknesses cannot be determined with available information.

All four holes intersected high-grade shallow oxide gold. Selected highlighted results from these first holes are 3.3 grams per tonne Au over 25 metres, including 5.4 g/t Au over seven m (FG20-001C); 3.4 g/t Au over 51.6 m, including 14 g/t Au over 10 m (FG20-002C); 3.2 g/t Au over 14.6 m (FG20-003C); and 1.8 g/t Au over 92 m, including 8.7 g/t Au over 7.7 m and 15.1 g/t Au over 4.3 m (FG20-006C). Gold mineralization extends to at least 200 metres and is open at depth. Of note, the high-grade zones lie within broader lower grade mineralized envelopes, such as 1.1 g/t over 189.1 metres (FG20-006C; see attached table). Drill holes reported in this press release cover an area of 150 by 50 metres of the Lemhi deposit.

    
                           Total                      Depth (m)                            Average grade
Drill hole ID           depth (m)              From               To           Int. (m)          (g/t Au)

FG20-001C                    247              28.0              53.0              25.0               3.3
incl.                                         32.0              41.0               9.0               4.0
and incl.                                     46.0              53.0               7.0               5.4
FG20-002C                    242               6.4              58.0              51.6               3.4
incl.                                         47.0              57.0              10.0              14.0
FG20-003C                    185              40.0              96.0              56.0               1.2
incl.                                         81.4              96.0              14.6               3.2
FG20-006C                    213              12.9             202.1             189.1               1.1
incl.                                         37.0             129.0              92.0               1.8
incl.                                         81.5              89.2               7.7               8.7
incl.                                         81.5              85.8               4.3              15.1

* Intervals are core length. True width is estimated between 90 and 95 per cent of core length.


  

Will Randall, president and chief executive officer, commented: “These initial results clearly demonstrate the high-grade nature of the Lemhi gold project, including project enhancing thick shallow high-grade oxide gold zones. This is a great start to the drill campaign confirming historically defined mineralization as well as providing a more comprehensive understanding of the gold mineralization and its controls.”

Geologically, the Lemhi gold project lies within the Idaho-Montana porphyry belt, a northeast-trending alignment of metallic ore deposits and mines related to granitic porphyry intrusions. These extend northeasterly across Idaho and are related to the Trans-Challis fault system, a broad (20 to 30 km wide) system of en echelon northeast-trending structures extending from Boise basin more than 270 km into Montana. At Lemhi, gold mineralization is hosted in Mesoproterozoic quartzites and phyllites within a series of relatively flat-lying lodes consisting of quartz veins, quartz stockwork and breccias. Mineralized lodes are associated with low-angle faults, folding and shear zone(s). The mineralized zones have varying amounts of sulphides (pyrite, chalcopyrite, bornite, molybdenum and occasionally arsenopyrite) where free gold is common. Gold mineralization at Lemhi is open at depth and on strike.

All drill core and rock samples are sent to ALS Global Laboratories (geochemistry division) in Vancouver, Canada, an independent and fully accredited laboratory (ISO 9001:2008) for analysis for gold by fire assay and multielement induction coupled plasma spectroscopy (select drill holes). Freeman Gold has a regimented quality assurance, quality control (QA/QC) program where at least 10 per cent duplicates, blanks and standards are inserted into each sample shipment.

Core photos and drill sections can be found at the company’s website. Drill holes are not analyzed in order but as shipments were logged in at the laboratory. Results from the remaining 30 drill holes are pending.

The technical content of this release has been reviewed and approved by Dean Besserer, PGeo, vice-president of exploration for the company and a qualified person as defined by the National Instrument 43-101.

2020 Airstrip exploration highlights

• Diamond drill hole AS-20-005 intersected 46.32 metres of 0.51 gram per tonne gold from surface and hole AS-20-004 intersected 26.06 m of 0.48 g/t gold from 128.81 m.
• Broad zones of lower grade gold mineralization were encountered in multiple diamond drill holes, including 101.13 m of 0.24 g/t gold from 314.27 m in AS-20-005 and 117.35 m of 0.14 g/t gold from 7.32 m in AS-20-002.
• Higher grade discrete veins were identified in drilling, including 0.29 m of 7.33 g/t gold in hole AS-20-005.
• Rotary air blast (RAB) and diamond drilling has encountered gold mineralization over an 1,800 by 900 m area and across a vertical extent of 380 m;
• High-grade silver-copper-tungsten mineralization was encountered in two holes, including 2.45 m of 3,350 g/t silver, 0.85 per cent copper and 0.40 per cent tungsten from 64.30 m in hole AS-20-002.

“Our first six diamond drill holes at Airstrip have successfully demonstrated the presence of orogenic gold mineralization over a considerable area. Systems like this are typically complex and have broad lower grade zones with higher grades concentrated in key structural areas,” stated president and chief executive officer Graham Downs. “The 2020 exploration program has barely scratched the surface of this large 11.5 square km gold anomaly, and we have already identified multiple broad horizons of gold mineralization. Future work will allow us to systematically test the six km long target area for structurally favourable zones with higher grades.”

Phase two program summary

The phase two exploration program included six diamond drill holes totalling 1,876 m, RAB (rotary air blast) drilling, prospecting, mapping and trenching focused on better defining gold mineralization at the largely overburden covered Airstrip target.

Highlight gold results from the 2020 diamond drilling at the Airstrip target are in the attached “Gold results” table.

                                  GOLD RESULTS
  
Hole                From (m)           To (m)     Interval (m)       Gold (g/t)

AS-20-002              7.32           124.67           117.35             0.14
incl.                  7.32            22.56            15.24             0.43
AS-20-004            120.09           179.16            59.07             0.26
incl.                128.81           154.87            26.06             0.48
and                  228.04           252.00            23.96             0.18
AS-20-005              0.31            46.63            46.32             0.51
incl.                 40.17            43.00             2.83             3.12
and                  177.92           211.22            33.30             0.32
and                  314.27           415.40           101.13             0.24
incl.                415.11           415.40             0.29             7.33


  

Two holes also encountered high-grade silver with associated copper and tungsten.

  
Hole               From (m)          To (m)    Interval (m)    Silver (g/t)      Copper (%)    Tungsten (%)

AS-20-001           191.41          193.85            2.44           3,060           0.59%           0.56%
AS-20-002            64.30           66.75            2.45           3,350           0.85%           0.40%


  

Reported intersections are drilled thicknesses and true widths are unknown.

Holes AS-20-001 and -002 were targeted to twin and extend 2016 RAB holes ASR-16-004 and ASR-16-006, respectively. Challenging drilling conditions led to very poor core recovery in portions of both of these holes, and the RAB results were not replicated. Hole AS-20-001 encountered sporadic zones of trace gold, but no significant gold results were returned. Hole AS-20-002 returned a broad zone of 117.35 m of 0.14 g/t gold from near surface, including 15.24 m of 0.43 g/t gold.

Both of these holes also returned intervals of high-grade silver mineralization within faulted sections, including 2.45 m of 3,350 g/t silver, 0.85 per cent copper and 0.40 per cent tungsten from 64.30 m in hole AS-20-002.

AS-20-003 targeted an undercut of RAB hole ASR-16-004, drilling from the opposite direction. Sporadic zones of trace gold were encountered, but no significant results were returned.

AS-20-004 targeted an undercut of RAB hole ASR-20-019 and high-grade rock samples collected at surface. This hole returned multiple horizons of low-grade mineralization, including 26.06 m of 0.48 g/t gold, as well as higher grade discrete veins, including 1.87 m of 3.48 g/t gold.

AS-20-005 twinned and extended RAB hole ASR-20-018, and encountered multiple horizons of low-grade mineralization, including 46.32 m of 0.51 g/t gold and 101.13 m of 0.24 g/t gold, with higher grade discrete veins returning up to 0.29 m of 7.33 g/t gold.

AS-20-006 twinned and extended RAB hole ASR-20-021. Sporadic zones of trace gold were encountered, but no significant results were returned.

RAB hole ASR-20-024 was drilled 800 m to the west of AS-20-001, testing an area of elevated gold- and arsenic-in-soil response, and returned 39.62 m of 0.23 g/t gold from 13.72 m, ending in mineralization.

Airstrip geology and mineralization

The Airstrip target hosts an about 11.5 square km gold-in-soil anomaly with values ranging from detection limit up to 2,360 parts per billion gold. The target area is underlain by a variably graphitic and calcareous phyllite with lesser amounts of quartzite, and mafic to intermediate volcanic and volcaniclastic rocks of the Devonian-Mississippian earn group.

Gold mineralization occurs within east-southeast- to west-northwest-trending and vertically dipping, broad zones of highly deformed quartz-carbonate plus or minus sericite veins. Mineralization is also disseminated within the phyllite host rock around veins. The mineralized areas contain variable amounts of pyrite, arsenopyrite and lesser pyrrhotite, and are typically oxidized near surface.

The observations made to date would suggest the Airstrip target is a Phanerozoic orogenic gold system (such as Moose River Gold Mines, Canada, and Fosterville mine, Australia).

High-grade silver mineralization, with associated copper and tungsten, has been encountered in faulted zones in two holes. The nature of this mineralization is not currently known, and will be investigated further in future work.

East Goldfield update

Exploration work is under way at Atac’s East Goldfield, Nevada, project. Airborne hyperspectral and lidar surveys were flown last summer, first pass soil sampling was conducted in October, and initial prospecting was completed in December. A follow-up prospecting and mapping program is scheduled to begin in late January. Further information will be provided in the coming weeks once results have been received and reviewed.

Quality assurance/quality control

Sawn diamond drill core and RAB sample splits were forwarded to ALS Minerals in Whitehorse for sample preparation. Samples were fine crushed to 70 per cent passing two millimetres before a 250-gram split was pulverized to better than 85 per cent passing 75 microns. Pulps were then analyzed at ALS Minerals in North Vancouver where gold determinations were carried out. Gold analyses were by the Au-AA24 (RAB) and Au-AA26 (diamond drill core) procedures, which involve fire assay preparation using a 50-gram charge with an atomic absorption spectroscopy finish.

Initial multielement data for 48 elements were determined for all samples by the ME-MS61 procedure, which involves a four-acid digestion followed by inductively coupled plasma atomic emission spectroscopy and inductively coupled plasma mass spectrometry. Overlimit values for silver were determined by the Ag-OG62 method which utilizes a four-acid digestion followed by an inductively coupled plasma atomic emission spectroscopy finish. Overlimit values for silver determined by the Ag-OG62 method were reanalyzed using the Ag-GRA21 method which involves fire assay preparation using a 30 gram charge and a gravimetric finish.

Rigorous procedures are in place regarding sample collection, chain of custody and data entry. Certified assay standards, duplicate samples and blanks are routinely inserted into the sample stream of diamond drill samples to ensure integrity of the assay process. All diamond drill samples included in this news release have passed the QA/QC procedures as described above.

All results reported in this release represent highlight results only. Low or below detection values for gold, silver, copper and tungsten were encountered in unreported samples and drill intervals.

The technical information in this news release has been approved by Adam Coulter, MSc, PGeo, vice-president of exploration for Atac and a qualified person for the purposes of National Instrument 43-101.

Abraplata made substantial progress on multiple fronts in 2020, with the top three highlights being:

• The successful completion of three equity financings for aggregate gross proceeds of $25-million, also resulting in Eric Sprott becoming the company’s largest shareholder;
• Announcing multiple high-grade silver, gold and copper exploration results at Oculto as part of the continuing 13,000-metre drill program. Refer to the attached table for summary of top drill intercepts; and
• Strong share price appreciation with increased shareholder value of 750 per cent for the year, resulting in the company being among the best performing mineral exploration companies listed on the TSX-Venture Exchange.

John Miniotis, president and chief executive officer, commented: “The past year has truly been transformational for the company, and has greatly positioned us to continue to add value going forward. With an aggressive exploration program at Diablillos under way, a strong balance sheet and a highly supportive shareholder base, we’re pleased to be rapidly emerging as one of the premier silver-gold-focused exploration stories. I would personally like to thank all of our team members for their hard work and shareholders for their continuing support, as we look forward to further exciting years ahead in 2021 and beyond.

“Finally, we are extremely pleased to be actively working in the Salta province, which is ranked among one of the best mining jurisdictions, not only in Argentina but in the Americas. The province has proven over time its commitment to support the mining and exploration industry, which has had a very positive impact on the business environment. We look forward to continuing to work closely with the government and local communities, as we look to advance the Diablillos project towards production,” stated Mr. Miniotis.

2020 drilling highlights

In 2020, Abraplata drilled approximately 8,900 metres in 33 holes at Diablillos. Of these holes, the company has reported drill results from only 14 holes, with the results from the remaining 19 holes currently pending. The three main priority drilling targets were to:

• Identify additional gold resources in the deeper oxide gold zone;
• Extend silver-gold mineralization northeast of the Whittle Pit boundary; and
• Define a shallow gold zone (from surface to approximately 100-metre depth) which would benefit early open pit mining operations.

2021 outlook

The company begins the year with a substantial backlog of assays from 19 exploration drill holes that it expects to report in Q1 2021. These assay results are expected to be released in batches starting in the next several weeks, which should help lead to record-high levels of news flow ahead. Other expected milestones for the year ahead include:

• Completing the 13,000-metre exploration program (Q1 2021);
• Completing additional metallurgical test work and mineralogical studies (H1 2021);
• Completing additional water well drilling to test identified aquifers (H1 2021);
• Updated mineral resource estimate and preliminary economic assessment study (mid-2021);
• Evaluating additional targets and district-scale potential at Diablillos (throughout 2021);
• Advancing environmental and hydrology baseline studies (throughout 2021);
• Progressing other projects (throughout 2021);
• Arcas project, Chile — The company’s partner, Rio Tinto, has an option to earn up to a 75-per-cent interest in Arcas by spending up to $25-million (U.S.) in exploration expenditures. Rio Tinto is expected to commence an initial 2,000-metre RC drill program in H1/2021;
• Santo Domingo, San Juan — The company has an option to acquire a 100-per-cent interest by paying a total of $2.5-million (U.S.) in staged payments over the next seven years. Numerous targets have been identified on the project and will be evaluated in H1/2021, with the company potentially commencing an initial drill program by the end of the year; and
• La Coipita, San Juan — The company has an option to acquire a 100-per-cent interest by paying a total of $4,265,000 (U.S.) in staged payments over the next four years. The company is currently in discussions with potential strategic partners to advance the project.

“We are pleased that our warrant holders exercised all the outstanding warrants that were expiring and were able to benefit from the continued growth in value of the company since the securities were issued in 2019. The proceeds from the exercise of the warrants only strengthen what is an already strong treasury while we continue to generate free cash flow from our operations. We begin 2021 in an excellent position to execute our growth programs and create further value for our shareholders,” said Kevin Bullock, president and chief executive officer of Anaconda Mining.

Upcoming investment conference

The company is also pleased to announce that Mr. Bullock, president and CEO, will be participating in the BMO Capital Markets Global Metals and Mining Conference to be held virtually from March 1 to March 5, 2021. The BMO Capital Markets Global Metals and Mining Conference connects mining companies with institutional finances, private equity groups, family offices and sector analysts.

Milestones Achieved in 2020

Columba Project, Chihuahua

• Initiated and completed the second drill program comprised of 43 holes, totaling over 9,114 meters designed as a follow up the initial 41 holes completed in 2019.
• Targeted infill and step out drilling within the high-grade F vein at the site of historical mining
• Further drill tested higher grade intercepts encountered in 2019 on other veins (such as the J & Z Veins) and tested previously undrilled veins mapped by the Kootenay geologic team.
• Discovered the J-Z vein – an area that hosts a different geological structure composed of veins and breccia as opposed to the classic epithermal veins present in the F vein.
• Intercepted additional high-grade silver mineralization within the F vein, which included an impressive hanging wall structure parallel to the F vein that was not apparent from surface.
• Drill highlights included:
  • CDH-20-045: 0.5 meters of 974 gpt silver; F Vein
  • CDH-20-046: 0.6 meters of 1,585 gpt silver and 1.4 meters of 911 gpt silver; F Vein
  • CDH-20-049: 2.8 meters of 762 gpt silver including 1.0 meter of 2,010 gpt silver; hanging wall structure
  • CDH-20-051: 2.0 meters of 865 gpt silver; hanging wall structure
  • CDH-20-060: 11.0 meters of 361 gpt silver including 5 meters of 608 and 1.0 meter of 1160; hydrothermal breccia and stockwork
  • CDH-20-066: 1.5 meters of 773 gpt silver; hydrothermal breccia
• Assays from the remaining 17 holes are being analyzed and interpreted with results to be released once completed.

Copalito Project, Sinaloa

• Completed the first drill program to ever be conducted on the property consisting of 40 holes totaling over 4,100 meters
• Intercepted high-grade mineralized intersections with the following drill highlights:
  • BDH-20-001: 369 gpt silver equivalent (“AgEq.”); 250 gpt silver and 0.247 gpt gold over 5.0 meters; 360 gpt silver and 0.1 gpt gold over 1.0 meter within 272 gpt AgEq.
  • BDH-20-002: 179 gpt AgEq.; 1.69 gpt gold over 4.3 meters and 274.8 gpt AgEq.; 3.02 gpt gold over 1.7 meters
  • BDH-20-004: 1,323 AgEq.; 1,297 gpt silver and 0.285 gpt gold over 3.2 meters
  • BDH-20-009: 1,047 gpt AgEq.; 936 gpt silver, 0.29 gpt gold and 3.31% lead+zinc (“Pb+Zn”) over 1.0 meter
  • BDH-20-015: 394 gpt AgEq.; 51 gpt silver, 2.28 gpt gold, 6.18 % Pb+Zn over 1.2 meters
  • BDH-20-033: 1,210 gpt AgEq.; 59 gpt silver, 7.05 gpt gold, 13.55 % Pb+Zn over 0.2 meters
  • BDH-20-037: 1,261 gpt silver AgEq. over 1.0 meter consisting of 846 gpt silver, 3.11 gpt gold and 6.15% lead plus zinc; 5 senores vein
  • BDH-20-040: 933 gpt AgEq. over 2.25 meters consisting of 6.65 gpt gold, 335 gpt silver 1,813 gpt AgEq. over 0.51 meters consisting of 16.95 gpt gold, 369 gpt silver and 3.74% lead plus zinc including:
    • 1,813 gpt AgEq. over 0.51 meters consisting of 16.95 gpt gold, 369 gpt silver and 3.74% lead plus zinc 5 Senores vein (one of the deepest holes drilled to date)

Complete drill results for both Columba and Copalito can be found on our company website. AgEq. based $24/oz silver $1900/oz gold, $1/lb zinc, $0.8/lb lead. Estimated true widths range from 65 to 90% of drilled widths depending on dip of the vein and inclination of the hole. All AgEq. And silver composites rounded to the nearest whole number.

Cervantes Project, Sonora

• Completed a joint venture (“JV”) agreement with Aztec Minerals Corp. in respect of the Cervantes porphyry gold-copper project in Sonora, Mexico.
• Aztec Minerals completed the earn-in to acquire 65% interest in Cervantes with Kootenay retaining the remaining 35%. Both companies will hold interests in the Property indirectly through share ownership in the JV company, Aztec Minerals (Mexico) JV Corp.

La Cigarra Project, Chihuahua

• Initiated the relogging of drill core from within the resource to work conducted in 2015, to create a new geological model better fitting the geology of the resource to potentially optimize grade and increase economic favourability.

Financings

• Closed a major financing in August with leader broker Mackie Research Capital Corporation for gross proceeds of $7 million. Each $0.40 unit was comprised of one share and one-half of one common share purchase warrant exercisable at $0.55 until August 25, 2022. Eric Sprott, through 21764123 Ontario Ltd. maintained his proportionate equity interest in Kootenay.
• Received cash proceeds of $2.5 million during Q4, 2020 from the exercise of 8,478,150 warrants exercised at $0.30.

Strategic Plans Developing for 2021

Columba and Copalito

Significant drilling is planned at both Columba and Copalito. Planning meetings are being held in the next two weeks after which details of these programs will be finalized. An announcement outlining the programs will be issued thereafter.

La Cigarra

Continued geologic modeling will be completed with modeling to date tested to see if mineralization within the deposit may possibly exist within a more constrained area resulting in a higher-grade resource. Upon positive findings, a small drill program will be conducted to confirm the model is predictive (reliable and accurate) after which a decision will be made on if a new resource update is supportable or required. The over-arching objective is to optimize the resource and advance it to a PEA study.

La Negra, Sonora

Examination of the extensive drill data is underway to determine if a resource calculation is warranted. Following a positive outcome, a NI43-101 maiden resource estimate will be prepared on the project.

Cervantes

Once a budget has been approved by the JV committee, details of an exploration program will be provided in a news release. Cervantes is host to gold-copper porphyry type mineralization and has promise for both open pit heap leach gold and a larger gold-copper porphyry deposit.

Other

Introducing the Top 25th Percentile Search

In addition to the extensive drilling in 2020 Kootenay continued its grass roots exploration efforts with the initiation of two programs aimed specifically at the discovery of large silver-base metal deposits in the top 25 percentile of size. One such program is focused in the famous Purcell Basin in southeastern B.C. that is host to billions of ounces of silver in the Coeur D’Alene, Montana Copper-Silver and Sullivan mining districts. The second is focussed on the discovery of Carbonate Replacement Deposits (“CRD”) deposits in northern Mexico which make up some of the biggest and longest producing silver-base metal deposits in Mexico.

Moyie Anticline Program – Southeast B.C.

This program was stimulated by the alignment of several fortuitous events. Firstly, for the first time in over 50 years a large land package of prospective geology was open and available for staking; secondly the advancement of deep penetrating geophysical methods to see buried ore bodies and Kootenay’s long-term association with the Kennedy Exploration Group and their deep knowledge and understanding in the area has resulted in identifying targets based on geology/mineralization.

The program was kicked off in 2020 with the acquisition of nearly 35,000 hectares at an up -front cost of less than $60,000. The Company’s next steps will involve detailed geologic mapping and prospecting combined with deep seeing geophysics and then drilling.

CRD Program – Northern Mexico

CRD’s in Mexico are well known for being some of the biggest and longest-lived silver and base metal producers in the world’s largest silver producing country. In the last quarter of 2020 Kootenay designated a team dedicated to the identification and acquisition of projects with CRD discovery potential. An extensive database has been compiled and priorities identified with numerous prospects visited. This will be an ongoing concentrated effort that will take time but given the target size, the Company believes it is worth the effort.

Kootenay’s technical team will continue to advance our grass roots projects, look for new acquisitions and seek partners to advance the properties we currently own.

Highlights

The carbon intensity of Baptiste operations is expected to average 2.40 tonnes of carbon dioxide (“CO2 “) per tonne of refined nickel production (“t CO2/t refined Ni”) Baptiste carbon intensity compares very favourably to published literature estimating the carbon intensity of existing nickel production from various mineral deposit types:

7.19 t CO2/t refined Ni for Class 1 nickel production from sulphide ore

27.50 t CO2/t refined Ni for Class 1 nickel production from laterite ore

45.00 t CO2/t refined Ni for ferronickel production from laterite ore

69.00 t CO2/t refined Ni for nickel pig iron production from laterite ore

Results summarized herein assume no sequestration of carbon dioxide in Baptiste tailings

“These results, taken in combination with the recent PEA, position Baptiste as a truly disruptive project in the global nickel industry, with the potential to become a significant nickel producer at both low-cost and low-carbon intensity for the electric vehicle battery and stainless steel markets,” commented Martin Turenne, FPX’s President and CEO. “Importantly, these estimates of Baptiste’s carbon footprint do not account for the potential sequestration of CO2 in the Project’s tailings, which our ongoing research collaboration with the University of British Columbia suggests could act as a sizeable carbon storage facility and further lower the Project’s net carbon emissions below 2.40 t CO2/t refined Ni. Given the regulatory push by governments in Europe and elsewhere to impose maximum carbon footprint thresholds for electric vehicle batteries, we see the favorable positioning of Baptiste on the global nickel ‘carbon curve’ as a key differentiator for the Project going forward.”

Based on the diesel and electricity consumption for mining and processing activities outlined in the PEA, the carbon intensity of Baptiste operations is expected to average 2.40 tonnes of CO2 per tonne of refined nickel production over the Project’s 35-year mine life. Figure 1 provides a comparison of the estimated carbon footprint of Baptiste nickel production versus industry-wide emissions averages for other major forms of nickel production, as documented in published independent studies.

The low carbon intensity of Baptiste nickel production is a function of several features specific to the Project, including:

Low Stripping Ratio: Baptiste has a life-of-mine stripping ratio of 0.40:1, and thus requires lower consumption of diesel for the mining fleet compared to other similar-scale operations with higher overburden and waste content and higher stripping ratios

Hydroelectric Power: The Project’s processing facility will be powered by low-carbon hydro-electric power, while a significant proportion of global nickel operations (e.g. ferronickel and nickel pig iron) are powered by carbon-intensive coal-fired plants

Refined Nickel Product with No Smelting: Given their high metal content (63% nickel and 30% iron) and low level of deleterious elements, Baptiste’s ferronickel briquettes are expected to bypass the traditional nickel smelting process and be sold as a refined nickel product directly to stainless steel producers, thereby avoiding the carbon emissions associated with the smelting and refining of typical nickel sulphide concentrates.

Comparison to Sulphide Nickel Production

The Baptiste PEA (which was filed September 29, 2020 under the Company’s SEDAR profile) demonstrates the potential for establishing a greenfield open-pit mine and an on-site magnetic separation and flotation processing plant, using conventional technology and equipment. At a throughput rate of 120,000 tonnes per day (or 43.8 million tonnes per year), annual production is projected to average 99 million pounds (44,932 tonnes) nickel contained in ferronickel briquettes grading 63% nickel at C1 operating costs of US$2.74 per pound (US$6,038 per tonne) of nickel.

Cautionary Statement: The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that the conclusions or results as reported in the PEA will be realized.

Investor Relations Engagement

The Company has retained the services of Renmark Financial Communications Inc. (“Renmark”) to assist with its investor relations activities. In consideration of the services to be provided, the monthly fees incurred by the Company will be a cash consideration of up to $8,000 CAD, starting January 1 st, 2021 for a period ending on June 30 th, 2021 and monthly thereafter. Renmark does not have any interest, directly or indirectly, in the Company or its securities, or any right or intent to acquire such an interest.

Dr. Peter Bradshaw, P. Eng., FPX’s Qualified Person under NI 43-101, has reviewed and approved the technical content of this news release.

About the Decar Nickel District

The Company’s Decar Nickel District claims cover 245 square kilometres of the Mount Sidney Williams ultramafic/ophiolite complex, 90 km northwest of Fort St. James in central British Columbia. The District is a two-hour drive from Fort St. James on a high-speed logging road.

Decar hosts a greenfield discovery of nickel mineralization in the form of a naturally occurring nickel-iron alloy called awaruite, which is amenable to bulk-tonnage, open-pit mining. Awaruite mineralization has been identified in four target areas within this ophiolite complex, being the Baptiste Deposit, the B target, the Sid target and Van target, as confirmed by drilling in the first three plus petrographic examination, electron probe analyses and outcrop sampling on all four. Since 2010, approximately US $24 million has been spent on the exploration and development of Decar.

Of the four targets in the Decar Nickel District, the Baptiste Deposit, which was initially the most accessible and had the biggest known surface footprint, has been the main focus of diamond drilling since 2010, with a total of 82 holes and over 31,000 metres of drilling completed. The Sid target was tested with two holes in 2010 and the B target had a single hole drilled into it in 2011; all three holes intersected nickel-iron alloy mineralization over wide intervals with DTR nickel grades comparable to the Baptiste Deposit. The Van target was not drill-tested at that time as rock exposure was very poor prior to logging activity by forestry companies.

As reported in the current NI 43-101 resource estimate, having an effective date of September 9, 2020, the Baptiste Deposit contains 1.996 billion tonnes of indicated resources at an average grade of 0.122% DTR nickel, containing to 2.4 million tonnes of nickel, plus 593 million tonnes of inferred resources with an average grade of 0.114% DTR nickel, containing 0.7 million tonnes of nickel, both reported at a cut-off grade of 0.06% DTR nickel. Mineral resources are not mineral reserves and do not have demonstrated economic viability.

Highlights:Q1 gold production of 9,204 ounces, reflecting guided lower production in first half of fiscal 2021Gold sales of 9,210 ounces at an average realized price of $1,868 per ounceMined ore production in Q1 of 14,574 tons per day with the stripping ratio of 1.0:1.0 and grade of 0.014 ounces/tonClosing cash balance of $19.2 million at December 31, 2020, a reduction in cash from September 30, 2020 as we invest in the expansion of the Pan heap leach pad to accommodate added mine life, and in on-going drilling and Feasibility Study activities to advance Gold Rock69,940 man-hours worked in Q1 with no lost time injuries and no reportable environmental incidentsFollowing the completion of the Gold Rock Preliminary Economic Assessment, we are conducting a program of resource expansion, metallurgical, geotechnical and condemnation drilling in support of a Gold Rock Feasibility Study. First drill results were announced in November 2020, headlined by 48.8 metres of 2.17 g/t gold and 32.0 metres of 1.41 g/t gold.

Gold production in Q1 was lower than the prior quarter due to fewer ore tons placed, lower ore grade and timing of gold recovery. Gold extraction on the leach pad was also temporarily impacted by a drop in the pH and alkalinity of the leach solution. The issue was addressed by our operating team through the application of additional lime to the pad to bring the leach solution pH back within the optimal range.

Tim Warman, Fiore's CEO commented, "As guided, 2021 will be a year of significant reinvestment to support the longevity of the Pan Mine and to continue advancing Gold Rock. We recently announced a two-year mine life extension at Pan, and we are immediately investing in expanding the heap leach capacity to support this extension. Per our operating plan, gold production is weighted to the second half of 2021 as grades increase through the year and planned recoveries are realized. We look forward to returning to higher production levels as the year progresses. At Gold Rock, we continued with our resource expansion drilling and related Feasibility Study work. We are pleased with initial drill results as they continue to expand the oxide mineralization at Gold Rock."

Technical Disclosure

The scientific and technical information relating to Fiore Gold's properties contained in this news release was approved by J. Ross MacLean (MMSA), Fiore Gold's Chief Operating Officer and a "Qualified Person" under National Instrument 43-101.

Corporate Strategy

Our corporate strategy is to grow Fiore Gold into a 150,000 ounce per year gold producer. To achieve this, we intend to:continue to grow gold production at the Pan Mine, while increasing the resource and reserve baseadvance the development of the nearby Gold Rock projectacquire additional production or near-production assets to complement our existing operations

Under the agreement, ITG will receive compensation of $6,000 per month, payable monthly in advance. The agreement is for an initial term of three months and will renew for additional one-month terms, unless terminated. The agreement may be terminated by either party with 30 days of notice. There are no performance factors contained in the agreement, and ITG will not receive shares or options as compensation. ITG and the company are unrelated and unaffiliated entities, and, at the time of the agreement, neither ITG nor its principals have an interest, directly or indirectly, in the securities of the company.

The company further announces it has initiated the process for uplisting its common shares to the OTCQB Venture Market from the Pink Open Market. The OTCQB Venture Market, operated by OTC Markets Group Inc. in New York, United States, is a premier market for entrepreneurial and development-stage companies that are committed to providing high-quality trading and improved market visibility for U.S. investors to build liquidity and trading volumes. To be eligible, companies must: be current in their financial reporting; pass a minimum bid price test; and undergo an annual company verification and management certification process.

Greg Johnson, chief executive officer and chairman of Metallic Minerals, stated: “We believe that the uplisting on the U.S. OTCQB Venture Market, along with engagement of ITG as a designated market-maker, will provide additional market visibility and liquidity for our shareholders and facilitate investment by long-term institutional investors and large investors in the USA and internationally. The company’s common shares will continue to trade under the symbol MMG on the TSX Venture in Canada and under MMNGF in the USA.”

The company also announces that it has granted, effective today, an aggregate of 825,000 stock options to certain directors and officers of the company, in accordance with the company’s stock option plan. Each option is exercisable into one common share in the capital of the company at a price of 60 cents per share, being the closing price of the shares on the TSX-V on Jan. 11, 2021, for a period of five years from the date of grant. The options are subject to certain vesting requirements, in accordance with the company’s stock option plan.

The company started drilling the first of a six-well, three-phase drilling program at the start of December (see press release dated Dec. 1, 2020) and it was completed just prior to shutting down for Christmas. After satisfying necessary COVID-19 testing requirements, the entire crew has now returned to location to commence flow back and clean out of the well bore. Once completed, the crew and rig will move to the second location of phase 1.

A summary of the company’s three-phase drilling plan

Phase 1: two shallow wells (less than 100 metres) designed to test and confirm geophysical targets on the east and west peripheries of the Tolillar salar. Management elected to drill these targets first, as they were fully permitted and drill ready. The primary objective for these two wells is to confirm lithium grades and further refine the company’s hydrogeological model.

Phase 2: up to two medium-depth wells (between 250 m and 400 m) designed to test geophysical targets on the eastern side of Tolillar salar, which have not previously been tested, other than very shallow lithium tests that were performed by the previous salar owners. The primary objectives of phase 2 drilling are to confirm lithium grades and production flow rates for the 10-square-kilometre extension into the southern portion of the salar. Following a short reapplication process for the expired drilling licence for these locations, the company has been informed that the licence has recently been regranted by the Argentine government.

Phase 3: up to two deep wells (greater than 400 m). Management is eager to drill these wells, as the last round of geophysics (see press release dated Nov. 10, 2020) identified a new, thick, deep horizon in the southern part of the Tolillar salar. This deep horizon has been found to be highly productive and contain exceptionally high lithium concentrations on the nearby Hombre Muerto salar. The primary objective is to identify the geological, chemical and deliverability properties of this new, high-impact horizon. The company has applied for a licence to drill on these two locations and expects to receive approval shortly. The company’s 27,500-hectare Tolillar salar, which is over 20 km long and up to 500 m deep, has the potential to host a significant lithium deposit. It is the company’s intent to capitalize on the next generation of direct lithium extraction (DLE) techniques that have been shown to economically extract lithium at concentrations as low as 100 milligrams per litre. Previous drilling and sampling at the Tolillar salar yielded lithium concentrations of up to 504 mg per litre (see press release dated May 5, 2020).

Brad Nichol, chief executive of Alpha, commented: “Even in the midst of COVID, Christmas vacations and New Year’s break, our operations team in Argentina has successfully completed drilling of Alpha’s inaugural well bore. The crew is back at work and we are almost ready to move the rig to its second location. We are also investigating the availability of a second drilling rig to move quickly and simultaneously onto phase 2.” Mr. Nichol continued: “While the focus is currently and understandably on drilling, Alpha’s corporate motivation is to commence producing the enormous volumes held within this very large salar. Our recent team additions from Beyond Lithium (see press release dated Nov. 18, 2020) are already working on unlocking the potential of DLE, which should allow us to process the large volumes contained within the Tolillar salar.”

Alpha has also granted 1.25 million stock options to a consultant of the company as full compensation in exchange for corporate consulting services, specifically limited to European markets. The stock options have a strike price of 80 cents, a two-year exercise life and will vest immediately.

The material from the Wenden stockpile comprises different styles of mineralization, which are marked and tagged by their source location for detailed analysis. Using American Manganese’s patented manganese recovery process (U.S. patent No. 8,460,631), the initial testing steps include assaying and varying size reductions of the sample material to analyze leach conditions and establish realistic limits for selective manganese extraction and recovery. Testing is to be conducted on the individual samples as well as a master blend to determine the optimal processing conditions.

In 2013, American Manganese tested two Wenden stockpile samples with results indicating that the Wenden material is receptive to treatment with American Manganese’s patented process and flow sheet, initially developed for Artillery Peak’s low-grade manganese resources. The 2013 testing recommended confirmatory measurements, and a larger selection of samples, as outlined in the program that will take place under the DLA grant. The company believes the higher-grade Wenden stockpile material could potentially have smaller equipment footprint requirements and lower operating costs than the flow sheet developed for the Artillery Peak low-grade manganese resources.

Since the development of American Manganese’s patented process for efficient recovery of manganese from lower-grade resources, the manganese market has transformed with the rapid commercialization of electric vehicles. Roskill’s manganese market report expects manganese-sulphate demand from lithium-ion batteries to double over the next decade as electric vehicle market penetration ramps up.

American Manganese has also provided an update on the detailed technical paper, Experimental Study on Recycling of Spent Lithium-Ion Battery Cathode Materials — IOPscience, published in the peer-reviewed Journal of the Electrochemical Society (JES). This technical paper describes the experimental work leading to the development of RecycLiCo, the company’s process for the recycling of valuable and critical metals from spent lithium-ion battery cathode materials. Out of all 16,580,141 research outputs ever tracked by Altmetric, the technical paper has ranked in the top 5 per cent. The Altmetric attention score is a high-level measure of the quality and quantity of on-line attention the publication has received.

“To be peer reviewed speaks well for the results achieved by our patented process,” said Larry Reaugh, president and chief executive officer of American Manganese. “To be in the 97th percentile, or top 5 per cent, of the 16,580,141 research outputs should be a source of pride for our management, shareholders, directors and advisers.”

Iron ore had the greatest price appreciation of any mainstream commodity in 2020, largely due to governments globally spending hundreds of millions on infrastructure projects to get people back to work and stimulate the economy. Black Iron is a low-cost, undeveloped iron ore project on the brink of securing financing for construction, with several major milestones targeted for this coming year, which will be covered during this presentation.

Given substantial recent developments, including a $100-million (U.S.) royalty, progress with offtake parties and increased public enquiries received, management has decided to conduct a 45-minute Web-based presentation, followed by a question period for attendees.

Matt Simpson, chief executive officer of Black Iron, stated: “Two thousand twenty-one is shaping up to be a pivotal year for Black Iron as we look to move the financing and land acquisition matters, which were well advanced in 2020, to a head with binding agreements. Given Black Iron’s share price appreciation, we have received a substantial increase in public enquiries and feel this is a great time and opportunity to: tell our story; explain what investors can expect for 2021; and answer any questions people may have. These types of presentations are generally only available to institutional investors or those who pay to attend conferences; however, we believe anyone who wishes to learn more about Black Iron should have the ability to do so.”

Felix Gold is planning to undertake an initial public offering (“IPO”) and listing on the Australian Securities Exchange (“ASX”) in 2021. Upon successful listing and ASX approval, Millrock will vest with a circa 10% share ownership of Felix Gold (dependent on the final capital raising amount).

Each of the three projects is subject to a production royalty in favour of Millrock:

Treasure Creek 2.0% Net Smelter Returns (“NSR”);

Ester Dome 1.5% NSR; and

Liberty Bell 2.0% NSR.

Each of the royalties has an initial Advanced Minimum (“AMR”) payment of US$50,000 per year that is triggered when certain milestones are met. The AMR payments increase by US$50,000 each year. AMR payments made to Millrock are deductible from future production royalty payments.

Additionally, two company’s technical teams will work together under a Strategic Alliance agreement to generate further projects in the Fairbanks Gold District. Felix Gold will contribute a minimum of US$250,000 annually for this work and future property acquisitions. Mineral rights acquired under strategic alliance efforts will be subject to a 1.0% NSR production royalty in favour of Millrock. Felix Gold will be engaging Millrock through a Services Agreement to provide staff, infrastructure and equipment.

Millrock President & CEO Gregory Beischer commented, “We are very pleased with this development. Millrock envisions a systematic, concerted, and sustained exploration effort in the Fairbanks Gold District with numerous drilling programs in the years to come. The Fairbanks Gold District offers promising chances for new gold deposit discovery success and rewards for our shareholders. The new company, Felix Gold, of which Millrock will become a significant shareholder, is named after Felix Pedroni, the prospector credited with the initial discovery of gold in Fairbanks in 1902. We look forward to our collaboration with Felix Gold and making new gold discoveries in this resurging, under-explored gold camp.”

The Fairbanks Gold District is located in the prolific Tintina Gold Province (Figure 1), which spans Alaska and Yukon. Millions of ounces of alluvial gold has been produced since gold was first discovered near the turn of the prior century. The most prominent lode gold deposit so far discovered in this area is the Fort Knox Mine operated by Kinross Gold Corp. Fort Knox has so far produced in excess of eight million ounces of gold and has substantial resources for future production (source: Kinross Gold Corporation website)

The Ester Dome Project

The Ester Dome project is located on the western bounds of the City of Fairbanks. Alluvial gold has been produced on the flanks of Ester Dome (a prominent topographic high) for over a century and continues to this day. DGGS reports that at least three million ounces of gold have been produced. Numerous lode prospects have been discovered on Ester Dome, including on claims that are held directly by or under option by Millrock. These claims are being transferred to Felix Gold.

The Liberty Bell Project

The Liberty Bell project is located approximately 115 kilometers southwest of Fairbanks. Intrusion-related gold deposits are targeted. Extensive soil anomalies are present in areas of shallow overburden. Thick gravels obscure bedrock in other area that have interesting geophysical signatures. Rotary air-blast drilling is planned to test beneath the gravel blanket in summer 2021.

The company wishes to confirm that the case pertaining to its Ixtaca mineral claims is not being heard at the supreme court level and therefore this reported ruling cannot relate to the company’s Ixtaca project. The company is aware that other mineral claims in Puebla state unrelated to the company’s Ixtaca project are the subject of one or more complaints at the supreme court level, but the company has no first-hand knowledge of the status of these cases.

Number of creditors:  one creditor

Insider:  Resource Capital Fund V LP, $382,698, 1,994,257 shares at 19.19 cents