Metals Update 12/05/2021

Troilus drills 13 m of 2.12 g/t AuEq at Troilus

Troilus Gold Corp. has released positive drill results from the J zone as part of the continuing exploration and infill program on its 100-per-cent-owned Troilus gold project, the largest gold and copper development project within the Frotet-Evans greenstone belt in Quebec, Canada. The identification of a substantial new western extension of the J Zone, traced over a minimum of 200 metres in strike, previously modelled as waste within the pit shell proposed in the Preliminary Economic Assessment (“PEA”) (See August 31, 2020 press release), has the potential to add substantial value to the Company’s development model.

H ighlights from the J Zone drill results include:

ZJ21-226 was drilled 50 metres beyond any previous historic holes, identifying a new parallel zone of gold mineralization within 200m from surface:

1.10 g/t AuEq over 68m, incl. 1.65 g/t AuEq over 10m

2.23 g/t AuEq over 3m

ZJ21-225 drilled 50m beyond all historic holes, defined strong mineral continuity to the northwest, an undrilled area of the PEA pit previously considered waste. Furthermore, excellent grades and widths were intersected over 300 metres beyond the PEA pit shell, extending down dip mineralization over 650 metres below surface:

1.01 g/t AuEq over 34m, incl. 1.40 g/t AuEq over 15m and 1.60 g/t AuEq over 5m, located 100m from surface and within the PEA pit shell

2.12 g/t AuEq over 13m, incl. 7.13 g/t AuEq over 1m and 4.39 g/t AuEq over 3m, located outside of the PEA pit shell

These results have defined new extensions of mineralization within and outside of the pit shell proposed in the PEA, one of which identified a new gold zone with continuous mineralization over 68 metres within 200m from surface (see drill hole TLG-ZJ21-226, Figure 3). Gold mineralization at the J Zone target currently covers an area of approximately 1.5km by 1km and remains open in all directions (see Figure 1).

“The latest results from the J Zone drilling continue to validate our belief in the scale potential of the gold system on our property,” commented Justin Reid, CEO of Troilus Gold. “The Troilus Mine operated for 14 years starting in 1996, during a very weak gold environment which, among other factors, resulted in minimal expansion drilling outside of the main mineralized zones to replace the mine’s reserves. In the few years since acquiring Troilus, systematic drilling driven by a new geological model and an improved understanding of the structural controls of the mineralization has significantly expanded the footprint of mineralization across the entire deposit, including the most recent results in the J Zone where we identified new broad gold zones that are near surface and directly adjacent to the former operation. We expect these results to have a meaningful impact on the economics of the project.”

These are the first results from the J Zone since it was extensively drilled during the successful 2019 mineral expansion program that showcased open pit potential at Troilus. In 2020, drilling focused primarily on the new and expanding Southwest Zone (see 2021 press releases dated Jan. 12, Feb. 9, Feb 24, Mar. 16, and Apr. 8), however 2 drills were mobilized to the J Zone earlier this year with the aim to continue improving drill resolution while defining the extent of the mineral boundaries.

These intercepts are demonstrating new hanging wall mineral extensions that appear to be widening as they are drilled deeper, as has been observed in the lower levels of J Zone and the Southwest Zone. Furthermore, the new zone appears to be higher grade than the previously defined mineralization at J Zone.

Additional drilling has been planned in this new area of interest and currently two drill rigs are focused on expansion and delineation in advance of a mineral resource update and Pre-Feasibility Study planned for completion in the second half of 2021. Troilus has completed 32,000 metres of drilling since January 2021 and intends to drill approximately 10,000 metres per month throughout the summer.

   
New Southwest Zone Drill Results Highlights 
 
Hole                 From     To   Interval   Au grade  Cu grade   Ag grade   AuEq grade
                      (m)    (m)        (m)      (g/t)       (%)      (g/t)        (g/t)
TLG-ZJ21-221
                      220    226          6       0.81      0.20       2.33         1.09
                      237    238          1       2.31      0.10       1.10         2.46
                      278    280          2       1.68      0.20       2.95         1.97
                      316    317          1       1.43      0.05       1.00         1.50
                      325    360         35       0.66      0.05       1.06         0.74
incl.                 333    337          4       1.35      0.06       1.31         1.44
and                   349    358          9       0.97      0.07       1.96         1.09
                      366    367          1       0.98      0.01       0.25         1.00
                      374    375          1       1.19      0.06       1.00         1.28
                      378    379          1       0.84      0.11       1.60         1.00
                      407    408          1       1.51      0.41       7.20         2.12
TLG-ZJ21-222
                      117    118          1       1.55      0.05       0.25         1.62
                      151    156          5       0.54      0.19       1.37         0.81
                      213    214          1       1.21      0.16      23.40         1.66
                      272    306         34       0.52      0.06       0.83         0.61
incl.                 274    279          5       1.27      0.16       2.04         1.49
and                   295    296          1       1.37      0.04       0.60         1.43
and                   304    305          1       1.54      0.02       0.25         1.57
                      333    338          5       0.69      0.01       0.35         0.72
                      343    348          5       1.61      0.09       1.60         1.74
                      356    359          3       0.77      0.03       0.37         0.81
                      391    392          1       1.67      0.02       1.40         1.71
TLG-ZJ21-223
                      188    210         22       0.53      0.16       1.12         0.75
incl.                 199    210         11       0.78      0.21       1.38         1.07
and                   200    204          4       1.19      0.38       2.80         1.72
TLG-ZJ21-224
                      150    151          1       0.91      0.78       3.90         1.96
                      192    193          1       1.36      0.24       3.80         1.71
                      202    215         13       0.42      0.14       0.92         0.62
incl.                 214    215          1       2.43      0.77       6.30         3.50
TLG-ZJ21-225
                       58     59          1       0.91      0.24       4.60         1.27
                       62     96         34       0.62      0.27       3.96         1.01
incl.                  70     75          5       1.03      0.39       6.12         1.60
and                    78     93         15       0.86      0.37       5.62         1.40
and                    78     83          5       0.95      0.44       7.70         1.59
                      125    126          1       0.86      0.26       3.20         1.23
                      156    160          4       0.94      0.17       1.66         1.18
                      165    167          2       0.78      0.25       2.85         1.14
                      270    271          1       0.81      0.33       2.90         1.26
                      369    370          1       2.18      0.20       2.10         2.46
                      449    456          7       0.72      0.20       1.84         1.00
incl.                 449    450          1       1.83      0.06       0.80         1.91
and                   454    455          1       0.98      0.65       4.90         1.88
                      466    467          1       1.33      0.12       2.00         1.51
                      479    482          3       1.16      0.31       3.90         1.60
                      546    547          1       1.67      0.15       2.10         1.88
                      554    556          2       1.67      0.11       1.63         1.82
                      564    571          7       0.86      0.03       0.98         0.92
incl.                 567    569          2       2.09      0.03       1.25         2.14
                      591    592          1       1.42      0.07       1.90         1.53
                      619    621          2       1.09      0.03       0.60         1.14
                      674    687         13       1.83      0.19       3.69         2.12
incl.                 675    676          1       6.54      0.41       5.30         7.13
and                   679    682          3       3.76      0.41       8.67         4.39
                      709    710          1       1.18      0.34       3.80         1.66
TLG-ZJ21-226
                       93    161         68       0.71      0.27       3.80         1.10
incl.                 103    112          9       0.90      0.47       7.43         1.59
and                   118    128         10       1.08      0.39       5.09         1.65
and                   151    159          8       1.08      0.42       5.54         1.69
                      181    188          7       0.73      0.32       4.26         1.19
incl.                 181    184          3       1.26      0.67       9.01         2.23
                      203    209          6       0.69      0.37       3.74         1.22
TLG-ZJ21-227
                      122    129          7       0.47      0.11       1.99         0.63
incl.                 127    128          1       1.55      0.34       6.40         2.06
                      150    159          9       0.41      0.16       2.55         0.64
incl.                 153    154          1       0.87      0.27       4.10         1.26
and                   157    158          1       0.92      0.46       6.30         1.58


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

Treasury Metals drills 23.3 m of 2.73 g/t Au at Goliath

Treasury Metals Inc. has provided results from the first 3,000 metres of a planned 5,000-metre diamond drilling program for 2021 at the Miller gold deposit within the larger 100-per-cent-owned Goliath gold complex, which includes the Goliath, Goldlund and Miller deposits along a prospective 65-kilometre trend in Northwestern Ontario.

Highlights

  • Results from 21 holes of Treasury’s first drilling at Miller undertaken in 2021 released today include significant intersections both within the PEA (preliminary economic assessment) inferred resource zone and along strike to the southwest. Selected drill results include:
    • MI-21-046, which intersected 23.3 metres grading 2.73 grams per tonne Au, including 1.2 m grading 14.00 g/t Au and 1.0 m grading 27.30 g/t;
    • MI-21-042, which intersected 26.7 m grading 1.59 g/t Au, including 14.7 m grading 2.58 g/t Au, which includes 1.0 m grading 14.40 g/t;
    • MI-21-047, which intersected 52.6 m grading 0.72 g/t Au, including 10.7 m grading 2.39 g/t Au and 1.0 m grading 8.31 g/t.
  • Overall program enhances continuity and highlights opportunities to add to the overall resource envelope for the Miller project.

The exploration program has been designed to ensure the safety of the work force and surrounding communities during the COVID-19 pandemic and incorporates enhanced operating protocols that are consistent with local health guidance.

The drill results today represent the first active follow-up to the Miller maiden resource released as part of the 2021 preliminary economic assessment. The drill program is actively targeting specific areas of conversion within the planned open pit along with additional growth of the resource directly along strike of the current resource and pit areas. Several significant intersections within the pit show indication of successful resource conversion, while respective holes along strike have shown potential with gold hosting lithologies extending an additional 500 metres outside of the current pit area.

“The initial resource and PEA mine plan for the new Miller deposit has given us very specific target areas for drill follow-up and the initial results have shown to be promising to meet our goals of both conversion and growth at Miller. Drilling within the potential mine open pit has shown results consistent with the geological models, and the ability to follow the gold-bearing trend along strike to the southwest from the known gold resources is very exciting for potential future growth of the resource. Further to the positive results, with such a new resource following limited drilling, any and all geological information will help to better understand the nature of the mineralized zones,” said Jeremy Wyeth, president and chief executive officer of Treasury Metals.

The diamond drilling results announced today include notable intersections directly within the PEA planned open pit across extended intervals of mineralization above the anticipated open-pit minable cut-off grade, including hole MI-21-041, which intersected 44.3 m grading 0.68 g/t Au (including 11.3 m grading 2.01 g/t Au), MI-21-042, which intersected 26.7 m grading 1.59 g/t Au (including 14.7 m grading 2.58 g/t Au), MI-21-047, which intersected 52.6 m at 0.72 g/t Au (including 10.7 m grading 2.39 g/t Au), and MI-21-048, which intersected 18.1 m grading 0.65 g/t Au (including 1.0 m grading 7.58 g/t Au).

Additional results were found as potential extensions of known resources along strike to the southwest. These holes include MI-21-043 with 10.2 m grading 0.95 g/t Au, MI-21-046, which intersected 23.3 m grading 2.73 g/t Au (including 1.2 m grading 14.00 g/t Au), MI-21-049, which intersected 17.2 m grading 1.01 g/t Au (including 1.1 m grading 7.75 g/t Au), and MI-21-056, which intersected 11.0 m grading 0.72 g/t Au. Two stepout drill holes were also completed approximately 100 and 200 metres, respectively, along strike from previous drilling and 500 metres from the planned open pit. Both drill holes encountered the gold-hosting diorite lithology and MI-21-060 identified visible gold with an intersection of 1.0 m grading 6.30 g/t Au. These holes give confidence in the potential growth of the Miller resource for future mining studies.

              SELECTED NEW SIGNIFICANT INTERCEPTS AT MILLER FROM 2021 DRILLING
  
Hole ID             Zone            From (m)          To (m)      Length (m)        Au (g/t)

MI-21-041           Miller            83.00          127.30           44.30            0.68
including                            108.00          119.30           11.30            2.01
including                            113.00          114.00            1.00            5.75
And including                        117.00          118.00            1.00            6.23
And including                        118.60          119.30            0.70            7.22
MI-21-042           Miller            52.30           79.00           26.70            1.59
including                             62.45           77.15           14.70            2.58
including                             68.00           69.00            1.00           14.40
MI-21-043           Miller           129.90          140.10           10.20            0.95
MI-21-044           Miller           162.00          171.10            9.10            0.92
MI-21-046           Miller            39.70           63.00           23.30            2.73
including                             42.70           43.90            1.20           14.00
MI-21-047           Miller            59.00          111.60           52.60            0.72
including                             72.35           83.00           10.65            2.39
MI-21-048           Miller            47.00           65.06           18.06            0.65
including                             62.00           63.00            1.00            7.58
MI-21-049           Miller            66.00           83.15           17.15            1.01
including                             79.00           80.05            1.05            7.75
MI-21-056           Miller            33.00           44.00           11.00            0.72
MI-21-060           Miller            90.00           91.00            1.00            6.30
                                                   
Note: Reported intervals are drilled core lengths and do not indicate true widths. For 
      duplicate samples, an average of the two gold assays is used to calculate the 
      intersection grade. All grades are uncapped.


  

The drill holes announced today will contribute to future work as Treasury proceeds to advanced studies. The holes have the potential to both extend the planned open pits and convert ounces internal to the pit for potential future inclusion in reserves.

Complete results from the 2020/2021 drill program at Goldlund can be found on-line. The results from the Miller intersections can be found on the Treasury Metals website.