Overview

Orebodies has the right to acquire a 100% interest in 251 claim units covering approximately 4,047 hectares that are located in the Hemlo greenstone belt (the "Wire Lake Property"), under an option agreement previously announced on October 12, 2016. Through staking, Orebodies added an additional 455 claim units, bringing the entire property to over 11,300 hectares. The Wire Lake Property lies 29 kilometres to the northwest of the Williams Mine and 40 kilometres to the southwest of the past producing base metal mines near Manitouwadge. In April 2017, Orebodies acquired the adjacent Black Raven Property which added an additional 415 claim units covering 6,640 hectares.

Gold was first discovered on the Wire Lake Property in 1986 and the property was explored by junior companies until 1993. Since that time the property had been dormant pending the outcome of litigation which has now been resolved. The Company's exploration program on the property in the fall was the first in over 20 years. Previous work identified a gold bearing zone (the "Wire Lake Gold Zone") over a 2,300 metre strike length that remains open in both directions and to depth.

The Wire Lake Gold Zone ranges in width from several metres to over 70 metres wide. It is characterized by moderate to intense alteration (silicification, carbonatization, biotitization and sericitization) within predominantly mafic volcanics. Sulphide content (pyrrhotite, pyrite, +/- arsenopyrite and sphalerite) usually ranges from 1-3% but can locally be up to 10%. Visible gold has been rarely observed, and where is does occur it is usually associated with quartz stringers and veinlets.

During the fall of 2016, Orebodies completed an airborne detailed Mag/VLF geophysical survey over the Wire Lake Property, flying approximately 620 line kilometres. In early 2017, the Company completed a 34 line kilometre OreVision IP survey which was performed by Abitibi Geophysics that covered the known 2,300 metre gold bearing zone and extended the historical survey area 300 metres along strike to the north and south. Preliminary results from the survey have identified numerous priority targets that will be evaluated in conjunction with field work to generate targets for the summer drill campaign.

In addition to covering the extension of the Wire Lake gold trend, the Black Raven Property contains several gold and gold-zinc prospects and occurrences, including the Super G Prospect, the Kurt Kuhner Occurrence, as well as the Beaver Pond Boulder Train and Crocker Float.

The Super G Prospect was discovered by Hemlo Gold Mines Inc. in 1993. High-grade visible-gold bearing, quartz vein float boulders on the north shore of Smoke Lake returned grab samples assaying up to 32.3 gpt Au. Follow-up trenching and drilling outlined a narrow but locally, high-grade quartz vein system over strike length of 400 metres to a depth of 130 metres. The Super G Prospect remains open along strike and to depth. Drilling by Entourage Metals Ltd. in 2011-12 returned assay results of 44.57 gpt Au (uncut) over a drilled width of 2.38 metres.

The Kurt Kuhner Gold-Zinc Occurrence was discovered by Kerr Addison Mines Ltd. in 1971. Four diamond drill holes totalling 86.7 metres were drilled. Assay results included 2.74 gpt Au and 1.16% Zn over 5.55 metres from KP-71-5.
The Beaver Pond Boulder Train is located east of Smoke Lake and has been traced by prospecting for over 600 metres. The boulder train consists of angular syenitic-monzonitic material containing quartz veinlets and stockworks with 1-2% finely disseminated pyrite. Historic grab samples have returned results up to 47.66 gpt Au.

The Crocker Float is located approximately 270 metres north of Smoke Lake. Unlike the float in the Beaver Pond Boulder Train, the Crocker Float is composed of granodiorite crosscut by malachite stained quartz veinlets and veins containing up to 5% pyrite +/- chalcopyrite. Two historic samples taken from the boulder returned bonanza grades of 312.90 and 95.31 gpt Au, and 70.70 and 10.70 gpt Ag.

The 2017 phase one drill program consisted of twenty-two holes being drilled (WL-2017-001 to 009, 009a, and 010 to 021) totalling 3,069 metres. Complete assay results have been received from all holes which tested a number of individual zones within the main Wire Lake Gold Zone. The Candlestick-North Hill Zone is co-incident with a 1,200 metre long I.P. chargeability anomaly defined in the recently completed I.P. survey. Historic work on the Wire Lake Property suggests that the I.P. anomaly could continue for another 600 metres to the northwest. Highlights from the 2017 results include: 2.6 gpt Au over 18.7 metres (2.0 gpt Au cut to 31.1 gpt) including a 0.5 metre section containing several small specks of visible gold which assayed 57.1 gpt Au in WL-2017-001; 1.4 gpt Au over 13 metres and 0.8 gpt Au over 28 metres (including 1.6 gpt Au over 10.6 metres) in WL-2017-002; 1.4 gpt Au over 32.4 metres including 4.2 gpt Au over 5.0 metres in WL-2017-011; 1.4 gpt Au over 18.8 metres, including 5.3 gpt Au over 3.1 metres in WL-2017-013; 1.4 gpt Au over 18.0 metres in WL-2017-020; and 1.1 gpt Au over 31.7 metres in WL-2017-021.

*True widths can not be estimated at this time

**Dyked out

A plan map of the drill hole locations is available at:

https://canadianorebodies.com/site/assets/files/2011/wire_lake_drill_plan2017.pdf

Long section of the Candlestick-North Hill Zone:

Long section of the Lucky Seven Zone:

2017 Drill Hole Collar Locations

*Hole WL-2017-009 had to be abandoned and was re-drilled as WL-2017-009A

2017 Drill Hole Descriptions

Drill hole WL-2017-001 was drilled at -45 degrees and was a twinned hole of historic hole 89-15, which returned 18.3 metres of 1.2 gpt Au¹. Hole WL-2017-001 encountered an interval of alteration typical of the Wire Lake Gold Zone, that is characterized by silicification, including quartz veining, biotitization, and sulphide mineralization (pyrite, pyrrhotite). Between 8.3 and 27.0 metres the hole encountered a heavily quartz veined zone with a variable weak to strong silicification, marbled silica flooding with veins up to 35cm accompanied by weak to strong foliation patchy brown biotite alteration and scattered pyrite and pyrrhotite mineralization up to 2-3% which assayed 18.7 metres of 2.6 gpt Au uncut (2.0 gpt Au cut to 31.1 gpt) including a 0.5 metre section between 21.8 and 22.3 metres containing several small specks of visible gold which assayed 57.1 gpt Au.

Hole WL-2017-002 was collared from the same setup and was drilled vertically. It intersected the Wire Lake Gold Zone between 14.4 to 61.4 metres. Between 14.4 to 27.4 metres a heavily quartz veined zone was encountered containing mineralized wallrock inclusions, and displaying breccia textures and shearing within and in surrounding biotite altered wallrock. The section contained 1% very fine grained pyrite and lesser pyrrhotite throughout. From 27.4 to 63.6 metres the hole intersected mainly silicified mafic volcanics with very minor quartz stringers and 1% to locally 5% disseminated pyrite and pyrrhotite. Assay results included 1.4 gpt Au over 13 metres (14.4 to 27.4 metres) and 0.8 gpt Au over 28 metres (33.4 to 61.4 metres) including 1.6 gpt Au over 10.6 metres (36.4 to 47.0 metres).

Holes WL-2017-003 (-45 degrees) and 04 (-90 degrees) were drilled from the same collar location approximately 200 metres northwest and along strike of holes WL-2017-001 and 002. Both holes encountered narrow, 2 to 5 metre wide zones of biotitic alteration, and silicification locally containing up to 5% pyrite-pyrrhotite however while the holes contained anomalous gold (>250ppb) neither returned any significant assay results.

Holes WL-2017-005 (-45 degrees) and 06 (-90 degrees) were again drilled from the same collar setup approximately 100 metres southeast of holes WL-2017-001 and 002 and midway between the historic North Hill and Candlestick Zones. Between 21.5 and 39.9 metres hole WL-2017-005 encountered moderate to intensely banded, biotite altered, mafic volcanics with sections up to 0.5 metres wide of quartz veining and associated silification. Pyrite-pyrrhotite (1-3%) was mostly associated with the biotite alteration. Assay results included 1.1 gpt over 18.4 metres (21.5 to 39.9 metres).

Hole WL-2017-006 intersected the Wire Lake Gold Zone between 30.6 to 48.1 metres. However in this hole the gold zone was cut by several intermediate to mafic dykes. Gold values included: 1.5 gpt Au over 1.0 metre (31.6 to 32.6 metres), 0.9 gpt Au over 1.8 meters (35.0 to 36.8 metres) and 1.3 gpt Au over 7.1 metres (41.0 to 48.1 metres).

Diamond drill hole WL-2017-007 was drilled at an oblique angle to the Wire Lake Gold Zone at a dip of -45 degrees due to local topography. The hole intersected the gold bearing zone between 60 to 80 metres northwest of holes WL-2017-001 and 002. WL-2017-007 encountered several zones of alteration and mineralization between 96.2 and 177.5 metres. From 96.2 to 102.6 metres lithologies observed were moderately to strongly biotitic altered with fragmented quartz veins and 1-2% pyrite-pyrrhotite. This section returned 6.4 metres of 0.9 gpt Au. From 105.25 to 177.5 metres varying intensities of biotite and quartz +/- carbonate veining were observed. Like the previous interval the quartz veining was predominantly fragmented/brecciated. Pyrite and pyrrhotite (1-2%) occurred as fine disseminations and very local blebs. Additional assay results included 0.9 gpt Au over 12 metres (117.0 to 129.0 metres) and 0.6 gpt Au over 5 metres (139.0 to 144.0 metres).

Drill hole WL-2017-008 was drilled vertically to intersect the Wire Lake Gold Zone at a depth of 160-180 metres and approximately 130 metres down dip of hole WL-2017-002 which returned 1.4 gpt Au over 13.0 metres and 0.9 gpt Au over 27.0 metres (see press release dated August 21, 2017). At the expected depth the hole intersected a post mineral diabase dyke. After exiting the diabase dyke the hole encountered a narrow zone of altered mafic volcanics between 187.4 to 194.2 metres containing anomalous gold values including 1.6 gpt Au over 1.0 metre (190.0-191.0 metres).

Hole WL-2017-009 had to be abandoned and was re-drilled as WL-2017-009A. It was drilled at an angle of -75 degrees and an azimuth of 250 degrees. The hole was collared to test the down dip extension of the Candlestick Zone with a corresponding I.P. chargeability anomaly. Between 155.05 and 215.1 metres a broad interval of variably altered volcanics was encountered containing locally up to 10% pyrite-pyrrhotite. Alteration observed was predominantly carbonate +/- quartz and not the usual silica-biotite alteration observed in the other holes. Only anomalous gold values were returned.

Hole WL-2017-010 was drilled at an azimuth of 70 degrees at -45 degrees. It was drilled to test a gap in the historic drilling between the Lucky Seven and Candlestick Zones and to test the Wire Lake Gold Zone at the same elevation as WL-2017-011 (see below). Assay results included: 0.7 gpt Au over 5.3 metres (161.2-166.5 metres) and 2.7 gpt Au over 4.7 metres (187.3-192.0 metres). Both gold bearing zones were hosted by altered mafic volcanics displaying moderate to strong silicification with associated biotite/chlorite alteration which hosted quartz flooded patches and stringers containing minor pyrite-pyrrhotite.

Diamond drill hole WL-2017-011 was drilled proximal to historic hole 89-07 into the Lucky Seven Zone at an azimuth of 72 degrees and an angle of -46 degrees. Hole 89-07 encountered two gold bearing zones between 122.83-130.76 metres (2.5 gpt Au over 7.9 metres, including 5.6 gpt Au over 3.1 metres¹) as well as between 165.2-178.31 metres (13.1 metres of 1.5 gpt Au including 2.3 metres of 4.3 gpt¹) suggesting that the Wire Lake Gold Zone may be bifurcating or there is potentially a second gold zone in the Candlestick Area. Hole WL-2017-11 confirmed the presence of two gold bearing zones. Between 127.0 and 133.0 metres (6.0 metres), an interval of strong biotite and silica alteration containing 5% pyrrhotite and 5-20% quartz stringers which assayed 1.7 gpt Au was encountered. The hole intersected a second zone of moderate biotite/chlorite alteration with trace to 1% pyrite-pyrrhotite and local silicification, which returned 1.4 gpt Au over 32.4 metres (155.0 to 187.4 metres) including 4.2 gpt Au over 5.0 metres (180.4-185.4 metres).

Hole WL-2017-012 was drilled on the West Zone where a single historic hole 89-18 intersected two narrow intervals running 5.0 gpt Au over 0.9 metres and 2.3 gpt Au over 0.9 metres near the bottom of the hole¹. The hole intersected a 4.3 metre wide zone of anomalous gold values (>100ppb Au) approximately 70 metres down dip from the above mentioned intervals including a 0.7 gpt Au over 2.2 metre section (123.4 to 125.6 metres). The gold values are hosted within a zone that is very similar in appearance to the Wire Lake Gold Zone (moderate biotite alteration, up to 50% quartz veining and 1-2% disseminated pyrrhotite-pyrite). While the assay results are not economic, they do support the presence of a second gold bearing structure approximately 500 metres west of the Wire Lake Gold Zone. The Company is currently mobilizing linecutting and I.P. crews into the area.

WL-2017-013 was collared to test a 250 metre gap in the historic drilling north of the South Lake Zone. Between 9.8 and 69.8 metres it intercepted a post mineralization diabase dyke. Immediately after getting out of the diabase the hole entered the Wire Lake Gold Zone. Assay results included 1.4 gpt Au over 18.8 metres (69.8-88.6 metres) including 5.3 gpt Au over 3.1 metres (69.8-72.9 metres). Host rocks were moderately silicified, locally strongly foliated, mafic volcanics containing quartz stringers and frequent sections of 2-5% disseminated pyrrhotite +/- pyrite.

Hole WL-2017-014 was collared to test a recently discovered showing where surface grab samples returned values up to 6.96 gpt Au that was coincident with an I.P. chargeability anomaly (see press release dated July 10, 2017). The hole encountered several narrow bands of interflow sediments (chert-argillite) hosted by mafic volcanics that contain up to 10% disseminated and fracture related pyrite, pyrrhotite +/- chalcopyrite. No significant gold values were returned.

Drill hole WL-2017-015 was drilled on the South Lake Zone and was collared near hole 88-02 which encountered a broad zone of gold mineralization between 5.5 and 66.6 metres. Within this interval historic assay results included 1.2 gpt Au over 4.75 metres, 0.7 gpt Au over 23.9 metres, as well as 1.4 gpt Au over 14.2 metres¹. WL-2017-15 intersected the gold zone between 3.9 and 38.7 metres. Host rocks consisted predominantly of moderate to biotite altered and silicified mafic volcanics, containing centimetre to decametre scale quartz stringers and veinlets (~20% of unit) and having 3-5% pyrite-pyrrhotite (locally up to 10%) as disseminations and blebs. Assay results included: 1.1 gpt Au over 12.7 metres (3.9 to 16.6 metres) and 0.8 gpt Au over 10.9 metres (27.8 to 38.7 metres).

Hole WL-2017-016 was drilled from the same setup at WL-2017-015 at -85 degrees and at an azimuth of 284 degrees. Altered, gold bearing lithologies were observed intermittently between 6.0 and 64.7 metres. Host lithologies primarily consisted of altered mafic volcanics with minor felsic and mafic dykes. The mafic volcanics were fine to medium grained, massive to well foliated, having patchy intervals of moderate biotite and silica alteration. Sparse quartz stingers were noted usually associated with 1-2% fine-coarse grained pyrrhotite-pyrite. Results included: 1.3 gpt Au over 4.5 metres (10.5 to 15.0 metres), 1.1 gpt Au over 14.0 metres (22.0 to 36.0 metres), as well as 0.8 gpt Au over 7.3 metres (48.7 to 56.0 metres) and 0.8 gpt Au over 2.8 metres (61.9 to 64.7 metres).

WL-2017-017 was collared at the south end of the South Lake Zone where the gold zone was interpreted to have been cut off or displaced by a fault. The hole was collared at -45 degrees and drilled due east until it intersected a significant north-south trending felsic dyke. The hole encountered two zones of low grade gold mineralization: the first was between 150 to 172.9 metres while the second was encountered between 243.3 to 270.5 metres. The upper gold zone was hosted within moderately sheared mafic volcanics with local fault gouge. Rare quartz carbonate veinlets were noted. Up to 3% pyrite occurs as disseminations or within fractures and stringers. While anomalous gold values were returned throughout the zone, the best assay result was 0.8 gpt Au over 4.3 metres (168.6 to 172.9 metres). The lower gold zone was more similar in appearance to that observed in the other holes. Host lithologies displayed the typical moderate to strong biotite alteration with local quartz veinlets and related silicification. Two low-grade intercepts of 0.5 gpt Au over 9.2 metres between (243.3 and 252.5 metres) and 0.6 gpt Au over 4.0 metres between (266.5 and 270.5 metres). The felsic dyke was encountered at 274.8 metres.

Diamond drill holes WL-2017-018 and 019 were drilled from the same setup at dips of -45 and -85 respectively and at an azimuth of 250 degrees. They were drilled to fill a gap between the recent drilling on the North Hill Zone and historic drilling on the Candlestick Zone. Hole WL-2017-018 encountered a narrow zone of silicified and sulphide (3-5% pyrite-pyrrhotite) bearing mafic volcanics which assayed 1.2 gpt Au over 6.4 metres between (15.1 and 21.5 metres). The zone contained abundant quartz stringers and was strongly sheared. In hole WL 2017-019 the zone of mineralization/alteration was considerably more extensive being observed between 22.1 and 59.9 metres. Within this broader zone several post mineralized mafic dykes were intersected most notably between 29.9 and 35.2 metres, 47.3 and 50.3 metres, as well as between 52.0 54.9 metres. The altered mafic volcanics exhibited moderate to strong biotite +/- chlorite alteration, with local sections of quartz-carbonate stringers/veins. Sulphide content (pyrite-pyrrhotite) averaged 1% but locally up to 5% around quartz veins. Assay results returned 1.5 gpt Au over 5.4 metres (22.1 to 27.5 metres), 1.3 gpt Au over 12.8 metres (33.5 to 46.2 metres and 1.8 gpt Au over 3.0 metres (56.9 to 59.0 metres).

Diamond drill holes WL-2017-020 and 021 were also drilled from the same setup at dips of -45 and -85 respectively and at an azimuth of 250 degrees. They were collared to further test the North Hill Zone, in particular in an area around previously reported holes WL-2017-001 to 004 which returned results including: 2.6 gpt Au over 18.7 metres (2.0 gpt Au cut to 31.1 gpt) including a 0.5 metre section containing several small specks of visible gold which assayed 57.1 gpt Au in WL-2017-001; and 1.4 gpt Au over 13.0 metres and 0.8 gpt Au over 28.0 metres (including 1.6 gpt Au over 10.6 metres) in WL-2017-002 (see press release August 21, 2017). From 51.0 metres to 69.0 metres (18.0 metres) hole WL-2017-020 returned 1.4 gpt Au. Host rocks consisted predominantly silicified mafic volcanics exhibiting moderate to strong biotite alteration within more foliated sections and weak to moderate biotite alteration in more massive sections. Abundant centimetre to decameter scale quartz veins and veinlets were noted. Sulphide content ranged from trace to locally 3% pyrite-pyrrhotite. In hole WL-2017-021 the altered gold bearing unit was observed between 67.3 and 99.0 metres (31.7 metres) which graded 1.1 gpt Au. Biotite +/- chlorite alteration was commonly observed, associated with sparse centimetre to decameter quartz veinlets and veins. Sulphide content was generally less than 2% as fine disseminations of pyrite and pyrrhotite. Between 73.7 and 79.45 a post mineral biotitic intrusive was encountered.

2017 Black Raven Exploration Program

Initial prospecting and sampling carried out on the Black Raven Project uncovered new gold bearing veins either in outcrop or sub-cropping that are spatially associated with a N110E trending structural corridor bounded by two regional shear zones: the Beggs Lake and Fallen Lake Faults.

Highlights from the 2017 exploration program on the Black Raven Property include:

ABC Occurrence

Discovery of high grade quartz sub-cropping float over a 50 square metre area near Roccian Lake containing 2-3% pyrite, +/- galena and locally fine specks of visible gold which assayed up to 109.0 gpt Au.  Host rocks were highly silicified tonalite, of the Beggs Lake Stock, that typically displayed weak to moderate quartz-carbonate alteration.

Gold Shore

A series of flat lying, en-echelon quartz veins also hosted by the Beggs Lake Stock, located 300 metres southwest of the above high grade samples. Assays returned results of up to 11.6 gpt Au. This occurrence consists of narrow, stacked ~30 degree dipping quartz veins containing 1-4% pyrite within hematized tonalite of the Beggs Lake Stock. To date the vein system has been traced over a 60 metre strike length.

Northeast Beggs Zone

Numerous, low grade (maximum 1.3 gpt Au), north to northeast trending quartz tourmaline vein/vein systems near the northern contact of the Beggs Lake Stock were discovered. Tourmaline occurs as disseminations, blebs to semi-massive to massive aggregates within the vein systems and wallrock.

Tibia (Lucky Lake) Occurrence

The Tibia (Lucky Lake) Occurrence where quartz veins, containing 1-2% pyrite, +/- chalcopyrite, galena assayed up to 14.7 gpt Au.  The Lucky Lake Occurrence is located approximately 1,800 metres east southeast along the mineralized corridor from the ABC and Gold Shore discoveries near Roccian Lake.

Contact Lake Prospect

The Contact Lake Prospect is located approximately 8 kilometres east southeast of Roccian Lake along trend near the contact zone between supracrustal rocks of the Hemlo greenstone belt and the Black Pic Batholith. The occurrence is poorly understood as only one day of reconnaissance prospecting was carried out in the area. North to northeast trending veins were noted along a creek bed within a mafic body in the batholith that contained trace to 1% pyrite/chalcopyrite and galena. Grab sampling results included assayed up to 11.9 gpt Au.

2018 Fall Drilling Program

This first phase of the drill program comprised thirteen holes totalling 2098.3 metres. The drill program tested three areas on the Black Raven property including Super G, North Ridge, and Contact Lake, as well as three separate areas on the Wire Lake property: Kakeeway Zone, Lucky Seven and the West Zone.

Highlights:

• Confirmation that the Super G vein is part of a much larger mineralized system, named the Smoke Lake Gold System (“SLGS”), which is composed of multiple mineralized stacked horizons with potential for high-grade gold in every structure (plan map + cross-section).
• Hole BR-2018-002 contains 133.2 g/t Au over 2.0 metres, including 443.0 g/t Au over 0.6 metre in the Super G vein of the Smoke Lake Gold System, which represents the highest-grade drill result on the property to date. 
• Hole BR-2018-001 intersected 19.1 g/t Au over 2.0 metres in the Markes structure of the Smoke Lake Gold System.
• 2018 drilling in the Super G structure suggests a 170m down plunge continuity of high-grade mineralization that remains open at depth. 

Table 1 – Significant intersections in the Smoke Lake Gold System

*Assay results reported over intersection length. Additional drilling is required to estimate the true width of the mineralized structures forming the Smoke Lake Gold System. Significant intervals reported over core lengths of at least 2.0 metres.

“We are very excited to see the results from the Super G drilling. We likely identified a significant mineralized system in the Smoke Lake area composed of multiple gold-bearing structures in which each structure has potential to host high-grade gold mineralization. Our 2018 drilling also supports the down plunge continuity of the high-grade mineralization identified in the Super G structure with a significant improvement in grade from the historic Entourage Metals Ltd. holes located up and down-plunge,” said Gordon McKinnon, President and CEO of Canadian Orebodies. “Our intersection from hole BR-2018-002 has produced one of the highest grade gold intercepts in the Hemlo Greenstone Belt outside of the Hemlo Mines complex, which was discovered in 1981. Looking into 2019, the combination of this season’s results, with the historic drilling results, will greatly improve our exploration model to expand the high-grade gold zones known in the system and to discover new ones.”

Smoke Lake Gold System

Five diamond drill holes totalling 785.3 metres were drilled in the Smoke Lake area to target the Super G vein. The results of the 2018 drilling suggested that the Super G vein is part of the much larger mineralized system referred to as the SLGS. From the integration of the historic and the 2018 drilling results, the SLGS is interpreted as an anastomosed network of mineralized structures in which gold mineralization is associated with mm-wide to cm-wide quartz stringers and veins with haloes of disseminated sulfides. Additional drilling is however necessary to confirm the interpreted geometry of the SLGS.

Narrow higher-grade zones enveloped by lower grade mineralization are observed in the main mineralized structures composing the SLGS. The SLGS has been so far defined by drilling over a strike length of >400 metres and to a vertical depth of 130 metres. The vein system remains open in both directions along strike and to depth. Surface mapping of gold mineralization in the area also suggests that additional mineralized structures are likely present in the hanging wall and footwall of the of the SLGS.

The SLGS was targeted based on the previous work of Freewest Resources Canada Ltd. in 2003 and diamond drilling by Entourage Metals Ltd. in 2011-12. Both exploration programs encountered multiple zones of mineralization in the area and the best diamond drilling intersections were obtained in the Super G vein, which returned assay results of 44.5 g/t Au (uncut) over a drilled width of 2.4 metres (BR-11-04¹) and 19.2 g/t Au over 2.0 metres (BR-11-01¹). From the 2018 drilling, the high-grade intersection in BR-2018-002 suggests an up-plunge continuity of the zone of high-grade mineralization between BR-11-01 and BR-11-04, whereas BR-2018-003 shows that the zone of mineralization remains open down-plunge.

The drilling program of 2018, combined with the metallic screen re-assaying of some of the mineralized zones in the Entourage drill holes (see CORE news release of September 19, 2018), confirmed that high-grade mineralization exists in many of the mineralized events/horizons composing the SLGS . For example, hole BR-2018-001 intersected significant mineralization in the Markes vein which contained 19.1 g/t Au over 2.0 metres. Metallic screen re-assaying also suggested that the grade of the zones could have been underestimated due to nugget effects in the previous exploration programs (CORE news release of September 19, 2018). 

Drill hole BR-2018-001 targeted the Super G Vein approximately 25 metres south of and at the same elevation (180ASL) as hole BR-11-04. The hole deviated more than expected and eventually encountered the Super G Vein further to the south than planned. The vein consisted of several narrow 1-2-centimetre-wide veinlets containing 1% fine pyrite within sheared (chloritic-biotitic) mafic volcanics. Three hangingwall quartz veined zones very similar in appearance to the Super G Vein and part of the SLGS were encountered between 33.8 to 34.2 metres, between 46.8 to 47.8 metres and between 146.9 to 148.00 metres. In the vein between 46.8 to 47.8 metres, mineralization is hosted within sheared/brecciated, cherty interflow sediments containing up to 5% pyrite.

Hole BR-2018-002 targeted the Super G vein approximately 20-25 metres up-plunge of hole BR-11-04 and was encountered between 142.1 to 142.7 metres. Mineralization consisted of ~40% pyritic quartz seams and stringers containing numerous fine-grained specks of visible gold. A hangingwall quartz veined zone was observed between 137.1 to 138.3 metres. It was comprised of several narrow 1-2 centimetre quartz stringers which along with the surrounding wall rocks contained 1-2% pyrite.

BR-2018-003 was drilled from the same setup than BR-2018-002 to test the Super G vein down-dip of BR-11-004. The hole intersected three quartz veined zones of the SLGS. From 108.0 to 108.5 metres a weakly sheared zone of mafic volcanics containing several 1-5 cm quartz veinlets ran 7.0 g/t Au over 0.5 metres. A second vein between 120.1 to 120.6 metres was comprised of two main 5-15 centimetre wide quartz veins within intensely sheared and quartz flooded mafic volcanics. Both the vein material and wallrock contained up to 10-15% pyrite. Three fine specks of visible gold were observed. The Super G vein was observed between 130.5 and 131.5 metres and consisted of 30-40% quartz veins within sheared mafic volcanics. 1-2% pyrite along with trace amounts of galena and chalcopyrite were noted along with two small specks of visible gold.

Drill holes BR-2018-004 and BR-2018-005 were drilled on a setup representing a 50 metre step out from historic hole SL-04-03. Hole BR-2018-004 encountered the Super G Vein between 55.6 and 56.0 metres. Between 38.3 and 38.7 metres a zone of quartz veins was also noted including two clusters of very fined grained visible gold. In hole BR-2018-005 the Super G Vein was only weakly developed between 46.8 and 47.8 metres.

Wire Lake Gold System

Three diamond drill holes totaling 657.0 metres and targeting the Kakeeway and Lucky Seven zones were completed in the Wire Lake Gold System (“WLGS”).

Highlights

• Drilling in the Kakeeway Zone suggest an additional 525 metres strike-length extension to the Wire Lake Gold System;
• Drilling in the Lucky Seven Zone confirmed the extension of the WLGS to depth to at least ~300.0 metres down down-dip and that the mineralized system remains open to depth;
• Subsidiary zones of mineralization discovered in the footwall and hanging wall of the main zone of mineralization forming the Wire Lake Gold System.

Table 2 – Drilling in the Wire Lake Gold System

*Assay results reported over intersection length.

Kakeeway Zone

The Kakeeway Zone is interpreted to represent the southern extension of the WLGS and was targeted with two holes, WL-2018-22 and WL-2018-23, spotted over an area where gold grades up 10.4 g/t were detected in grab samples. Gold mineralization observed in the samples was similar to gold mineralization in the main zone of the WLGS.

Although the grade of the drilling intersections were below the Company expectations, drilling validated that gold mineralization extends at depth and that it is similar in terms of alteration and mineralization to what is expected in the WLGS, supporting the strike length extension of the WLGS an additional 525 metres to the south. A better understanding on the geological controls over zones of higher-grade mineralization in the WLGS could help to find the vertical extension of the zones of higher-grade mineralization detected at surface in the Kakeeway area.

Lucky Seven Zone

A 390 metre hole (WL-2018-026) was drilled to test the Lucky Seven Zone, part of the WLGS approximately 100-150 metres down plunge of previous encouraging drill results. Drill intercepts within the Lucky Seven Zone include:  5.6 g/t Au over 3.1 metres and 4.3 g/t Au over 2.3 metres in historic hole 89-07 as well as drill hole WL-2017-011 completed by the Company in 2017 which contains 4.2 g/t Au over 5.0 metres (180.4-185.4 metres).

Hole BR-2018-026 was collared at an azimuth of 260 degrees. However, during drilling, the azimuth deviated more than expected with the hole ending up at an azimuth of 300 degrees and as a result, the hole missed its targeted intercept. The hole did intersect the Lucky Seven Zone between 261.3 and 280.7 metres and also intersected gold mineralization above and below the Lucky Seven Zone. The hole BR-2018-026 was successful in confirming that the WLGS continues to a depth of at least ~300 metres down down-dip and remains open at depth. This hole also suggests that additional zones of mineralization may exist in the WLGS in the hanging wall and footwall of the main zone of mineralization targeted by all the previous drilling programs in the WLGS.

North Ridge, Contact Lake and West Zone

Conceptual targets were tested on the property where the 2017 and 2018 mapping and sampling programs, and the re-interpretation of historic data, suggested that significant sub-surface gold mineralization could be present. These targets were outside the footprints of the Smoke Lake and Wire Lake Gold systems.

Highlights

• BR-2018-007 identified a wide gold anomaly in bedrock in the North Ridge gold system; and
• WL-2018-025 identified the possible extension of the West Zone 200 metres north of its intersection in the historic hole D89-18.

Table 3 - Drilling in the North Ridge, Contact Lake and West Zone

*Assay results reported over intersection length.

North Ridge

The North Ridge target consists of a network of quartz-tourmaline vein system hosted within the Beggs Lake Tonalite. Anomalous gold values (grabs include values up to 5.1 g/t Au) +/- chalcopyrite and molybdenum have been observed over a strike length of 200 plus metres and 28 metres in width.  Two diamond drill holes BR-2018-006 and 007 (216 metres) were drilled to further evaluate the area. Hole BR-2018-007 revealed a broad gold anomaly in bedrock that corresponds to the vertical projection of the vein system discovered at surface. In hole BR-2018-007, intermittent anomalous gold values (in excess of 100ppb gold) detected between 19.0 to 103.0 metres correspond to an intersection of 80 ppb gold over 84 metres.

Contact Lake

The Contact Lake Prospect is in the northeast portion of the project area approximately 8 kilometres northeast of the Wire Lake Gold Zone and 7 kilometres east of the Super G Vein. The mineralized zone observed in outcrop consists of several ~E-W parallel quartz veins over an apparent 2 to 3 metre width in which selective grab samples contained up to 11.9 g/t Au. One hole, CL-2018-001 was drilled to test the vertical extension of the mineralized zone, but no significant results were obtained in the hole.

West Zone

Two holes WL-2018-024 and 025 (321.0 metres) were drilled from the same setup to test a strong I.P. Chargeability Anomaly along trend of the West Zone. The West Zone, located approximately 500 metres west of the WLGS, was first discovered in 1989 when a single historic drill hole, 89-18, encountered two narrow intervals running 5.0 g/t Au over 0.9 metres and 2.3 g/t Au over 0.9 metres near the bottom of the hole. 

Both holes encountered zones of low grade (WL-2018-025) to anomalous gold (WL-2018-024) mineralization in the projected extension of the West Zone. However the highlight of drilling in the West Zone was the intersection of disseminated to semi-massive sulfides containing up to 40% pyrrhotite, pyrite +/- chalcopyrite while averaging 5-10% sulfide. Base metal assays remain pending for these holes.

¹ Readers are cautioned that these assay results are historical in nature and have not been verified by a qualified person on behalf of the Company.