2018 Exploration Program

The 2018 work program executed by Equity Exploration Consultants LTD. included;

  • Prospecting of a 2.1 km long access tunnel
  • Relogging and resampling of 25 historical drill holes (for 3113.7 m)
  • Re-assay of 10 historical coarse reject material
  • Sampling of tailings

The tunnel prospecting program collected 45 samples over 1200 m of tunnel length, defining at least two new zones of quartz-carbonate sulphide shear veins that are likely related to Scottie Gold veins. Assays returned grab samples with up to 8.1 g/t Au and 2.1 g/.t Au, as well as a sample grading 236 g/t Ag, 5.9% Pb and 9.4% Zn.

Results from the 2018 core re-logging program suggest that the more prospective “Summit Lake zones” are marked by increased pyrite, pyrrhotite, chlorite, sericite and/or narrow sulphide-bearing shear veins. Increased silica and quartz-rich shear veins appear to have a negative effect on grade.

Re-analysis of historical coarse rejects helped to confirm historical assays. Multi-element correlation from the tunnel, relogging and coarse reject samples suggest that gold is generally not correlated with other elements (including Ag) whereas Ag occurs with Pb and Zn.

The silty to sandy tailings dump outside of portal C was tested with 14 auger holes and 74 samples taken between depths of 0-3 m, for an average of 5-6 samples per hole. Thirteen out of the 14 holes returned composites of 2-3 g/t Au over 2-3 m, with grades in the lower half (>1.5 m depth) of the hole typically higher (2.7 g/t Au) than in the upper half (1.7 g/t Au). This sampling program also defined a horizontal gradient, with the highest-grade holes located nearest to the inferred tailing outlet location.

“This summary of potential may contain forward–looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.” The reader is cautioned that the above results reserve estimates have not been confirmed by the Company. These are being used for reference purposes and should not be relied upon.