HighGold Mining Reports 1,800 g/t Silver from New Vein Field at DC Prospect, Johnson Tract Project, Alaska, USA - Seite 2

2020 Surface Exploration Program

Concurrent with the 2020 drill program in the JT Deposit area, HighGold completed a field program designed to evaluate regional targets on the surrounding district-scale 21,000-acre property. Work at the DC Prospect consisted of reconnaissance level geological mapping, prospecting and geochemical sampling to evaluate historic showings and to explore for new zones of mineralization. Rock sampling and contour soil sample lines were collected in addition to the completion of an Induced Polarization geophysical survey, with inversion and modeling of the geophysical data currently ongoing. Results of the surface sampling program are presented in Figure 1. Results from other regional prospects will be presented at a later date pending receipt of additional assay data.

Discussion of DC Prospect Results

The DC Prospect is located four kilometers northeast of the JT Deposit and is characterized by a series of large gossan alteration zones similar in style to the JT Deposit that collectively extend over a 1.5 km x 3 km area. Gold mineralization and pervasive clay/anhydrite alteration appear to be preferentially developed within dacitic to rhyolitic tuffaceous rocks that underly a shallowly-dipping, capping sequence of lesser altered andesite. The widespread extent of mineralization exposed in erosional ‘windows’ through the andesite supports potential for a large and partially blind mineralized system linking the various DC Prospect zones together.

The new Ag-rich vein field was discovered through follow-up of positive results generated during a short reconnaissance program in late 2019. The new discovery consists of multiple sets of low-sulphidation epithermal crustiform quartz veins, vein swarms, and siliceous breccias. The vein field has been sampled across an area measuring 250m x 700m (Figure 1) that is centered approximately 1 km south of the main DC Prospect showing area and 200-300m higher in elevation. Individual quartz veins typically range from 20 cm to 1.0 m in width, are steeply dipping, and have been traced on surface for up to 250 m along strike with several vein structures interpreted to project beyond their current mapped extent beneath talus and scree cover. Dominant vein orientations are north-northwest, east-west, and north-south.