Multiple IP/Resistivity Anomalies Defined At Kinsley Mountain Gold Project

VANCOUVER - New Placer Dome Gold Corp. reported the results of a 19 line-kilometer induced polarization (IP) / resistivity ground geophysical survey completed during late 2020 at its flagship Kinsley Mountain Gold Project in Nevada. The results of the IP/resistivity survey reveal high grade gold mineralization at the Western Flank Zone is associated with changeability anomalies along the Kinsley Northwest / Mine (KNW) fault zone. Multiple chargeability anomalies have been identified at the high grade Western Flank Zone and Shale Saddle target that warrant expansion of the IP geophysical grid and follow-up drill testing.

Kinsley Mountain hosts Carlin-style gold mineralization under and adjacent to a historical open-pit, run-of-mine heap leach operation, and hosts an Indicated Resource at the Western Flank Zone (WFZ) of 302,000 ounces of gold grading 6.11 g/t Au (1.54 million tonnes)1.  The 2020 IP / Resistivity survey successfully identified the deposit and shows the target is open for extension laterally in undrilled ground. The 2020 Kinsley Mountain reverse circulation and diamond drill campaign comprised 49 drill holes totaling 17,970 meters and tested five targets within the greater Resource area. To date, only 20% of Kinsley Mountain has been drill tested. Exploration drilling planned for 2021 is expected to build on several new discoveries and also expand the current indicated and inferred resource at the Western Flank Zone, Main Pit North Oxide and Secret Spot targets.

In 2020 New Placer Dome conducted a review of historical geophysical surveys at Kinsley Mountain and noted chargeability anomalies coincident with high grade gold mineralization at the Western Flank Zone within a single 2015 IP/resistivity orientation survey line. Subsequent electrical property measurements of WFZ Secret Canyon shale-hosted high grade gold mineralization, and surrounding shale in drill core confirmed an apparent chargeability contrast between mineralized and un-mineralized Secret Canyon shale rocks at Kinsley Mountain.

New Placer Dome commissioned an expanded program of IP/resistivity over the WFZ resource and high-priority Shale Saddle target areas and has confirmed a correlation between the geophysical survey results and historically drill confirmed high grade gold in associations with sulphide mineralization.The 2020 IP/resistivity comprised a total of 19 line-kilometers over nine lines; including 5 lines at WFZ and 4 lines at the Shale Saddle target. 2020 drill hole KMR20-035 is located on the margin of a larger untested chargeability anomaly that also warrants follow-up drill testing.

Two IP/resistivity grids were completed during 2020 covering the WFZ and Shale Saddle target area. Five lines spaced 150 meters apart were completed at Western Flank and four lines spaced 150 meters apart were completed at Shale Saddle. Line lengths ranged from 1,300 meters to 2,300 meters. Data were collected using the Direct Current Resistivity, Induced Polarization ("DCIP") method, on a 16-channel pole-dipole array with a dipole size (a-spacing) of 100 m. A GDD GRx16 receiver and GDD 5000W-2400V-20A IP Tx model Tx4 transmitter was used. Raw data were loaded into Geosoft Oasis Montaj software for quality control and review. The reviewed data were used to produce pseudo section plots of apparent resistivity and apparent chargeability and were the input for the inversion. Inversions were completed using the UBC-GIF DCIP2D inversion codes. Each line of data was inverted independently. The resistivity and IP inversion is a two-step process. The resistivity inversion is run first, and this model is used in the chargeability inversion. Multiple inversions were completed for quality control.