Mineral Reserve Estimate

The Mineral Reserve Estimate presented in Table 2 was prepared by Independent Qualified Person Joanne Robinson, P.Eng., of Nordmin.

Table 2: Mineral Reserve Statement for the Goldboro Gold Project – Effective Date of December 15, 2021

Category

Area

Cut-off Grade

(g/t gold)

Tonnes (t)

Diluted

Grade

(g/t gold)

Contained Gold Metal (Troy ounces)

Probable Mineral Reserve

East Pit

0.45 g/t

5,468,300

2.54

446,000

Probable Mineral Reserve

West Pit

0.45 g/t

10,330,600

2.12

704,200
 

Total

0.45 g/t

15,798,900

2.26

1,150,200

Mineral Reserve Estimate Notes

  1. Mineral Reserves were prepared in accordance with NI 43-101 and the CIM Definition Standards for Mineral Resources and Mineral Reserves (2014) and the CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines (2019). This estimate of Mineral Reserves may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
  2. The Effective Date of the Mineral Reserves Estimate is December 15, 2021.
  3. The Mineral Reserve Estimate is based metallurgical recovery algorithms which result in an overall average recovery of 95.8%.
  4. Metal prices are set at US$ 1,600/oz gold with an exchange rate assumption of 1US$:1.25C$ resulting in C$2,000/oz
  5. The Mineral Reserve was derived from a pit limit analysis and detailed pit design. A cut-off grade of 0.45 g/t gold was based on parameters described in Table 3.
  6. The Mineral Reserve Estimate incorporates mining dilution and mining loss assumptions through regularization of block size to 2mx2mx4m. An additional 5% mining loss assumption was incorporated. The overall impact is approximately 26% additional tonnes and approximately 8% reduction in contained gold.

 

Mineral Resource Estimate

The Mineral Resource Estimate presented in Table 3 was prepared by Independent Qualified Person Glen Kuntz, P. Geo., of Nordmin. The Mineral Resource Estimate is based on validated results of 681 surface and underground drill holes for a total of 121,540 metres of diamond drilling completed between 1984 and the effective date of November 15, 2021, including 55,803 metres conducted by Anaconda.

Table 3: Mineral Resource Estimate for the Goldboro Gold Project – Effective Date November 15, 2021

Resource Type

Gold Cut-off (g/t gold)

Category

Tonnes

Grade

(g/t gold)

Gold Troy Ounces

Open Pit

0.45

Measured

7,680,000

2.76

681,000

Indicated

7,988,000

2.89

741,000

Measured + Indicated

15,668,000

2.82

1,422,000

Inferred

975,000

2.11

66,000

Underground

2.40

Measured

1,576,000

7.45

377,000

Indicated

4,350,000

5.59

782,000

Measured + Indicated

5,925,000

6.09

1,159,000

Inferred

2,206,000

5.89

418,000

Combined Open Pit and Underground*

0.45

and

2.40

 

Measured

9,255,000

3.56

1,058,000

Indicated

12,338,000

3.84

1,523,000

Measured + Indicated

21,593,000

3.72

2,581,000

Inferred

3,181,000

4.73

484,000

* Combined Open Pit and Underground Mineral Resources; The Open Pit Mineral Resource is based on a 0.45 g/t gold cut-off grade, and the Underground Mineral Resource is based on 2.40 g/t gold cut-off grade.

Mineral Resource Estimate Notes

  1. Mineral Resources were prepared in accordance with NI 43-101 and the CIM Definition Standards for Mineral Resources and Mineral Reserves (2014) and the CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines (2019). Mineral Resources that are not mineral reserves do not have demonstrated economic viability. This estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
  2. Mineral Resources are inclusive of Mineral Reserves.
  3. Open Pit Mineral Resources are reported at a cut-off grade of 0.45 g/t gold that is based on a gold price of C$2,000/oz (~US$1,600/oz) and a metallurgical recovery factor of 89% around cut-off as calculated from ((GRADE-(0.0262*LN(GRADE)+0.0712))/GRADE*100)-0.083.
  4. Underground Mineral Resource is reported at a cut-off grade of 2.60 g/t gold that is based on a gold price of C$2,000/oz (~US$1,600/oz) and a gold processing recovery factor of 97%.
  5. Assays were variably capped on a wireframe-by-wireframe basis.
  6. Specific gravity was applied using weighted averages to each individual wireframe.
  7. Effective date of the Mineral Resource Estimate is November 15, 2021.
  8. All figures are rounded to reflect the relative accuracy of the estimates and totals may not add correctly.
  9. Excludes unclassified mineralization located within mined out areas.

Reported from within a mineralization envelope accounting for mineral continuity.