ST. JAMES GOLD CORP. PURSUES EXPLORATION ON QUINN LAKE PROPERTY ADJACENT TO MARATHON GOLD DISCOVERIES BEING GEARED FOR PRODUCTION, NEWFOUNDLAND, CANADA

Vancouver, July 23, 2021 (GLOBE NEWSWIRE) -- St. James Gold Corp. (TSXV: LORD) (OTCQB: LRDJF) (FSE: BVU3), St. James Gold Corp. (“St. James” or the “Company”) is pleased to announce that it is pursuing prospecting and exploration on the Quinn Lake property in Newfoundland, Canada (the “Quinn Lake Property”), which is adjacent to Marathon Gold discoveries being geared for production. The Company has mobilized its geological and geophysical field team to pursue prospecting on its Quinn Lake Property.

The Quinn Lake Property lies immediately adjacent to Marathon’s property on the east and is flanked by the Canterra-Wilding property on its west, where multiple discovery holes have been drilled in recent campaigns (Figure 1, below).

Figure 1. From the technical report on the Quinn Lake Property dated February 1, 2021 and updated March 29, 2021, showing the Quinn Lake Property in pink between Marathon’s property in yellow to the west and the Canterra-Wilding property in blue to the east.

Marathon Gold Corp. announced on July 20, 2021 that it entered an exclusive non-binding indicative term sheet with Sprott Resource Lending Corp. for a senior secured project financing facility of US$185 million. Proceeds from the credit facility are to be used to finance the construction of the Valentine Gold Project, located in the central region of Newfoundland and Labrador.

Figure 2. Showing Quinn Lake Property in dark pink lying east of the Marathon property discoveries and west of the Canterra-Wilding block in blue.

The Valentine Gold Project is located in the central region of Newfoundland and Labrador and comprised of a series of five mineralized deposits. The Leprechaun, Sprite, Berry, Marathon, and Victory (Figure 2 above) along a 20-kilometre system. The April 2021 feasibility study outlined an open pit mining and conventional milling operation over a 13-year mine life with a 31.5-per-cent after-tax rate of return.

The Valentine Gold Project has estimated proven mineral reserves of 1.40 million ounces (29.68 million tonnes at 1.46 grams per tonne) and probable mineral reserves of 650,000 ounces (17.38 million tonnes at 1.17 g/t). Total measured mineral resources (inclusive of the mineral reserves) comprise 1.92 million ounces (32.59 million tonnes at 1.83 g/t) with indicated mineral resources (inclusive of the mineral reserves) of 1.22 million ounces (24.07 million tonnes at 1.57 g/t). Additional inferred mineral resources are 1.64 million ounces (29.59 million tonnes at 1.72 g/t Au). Readers should refer to the Marathon’s filings made with the Canadian securities regulatory authorities and available at www.sedar.com for further details and assumptions related to the Valentine Gold Project.