Overview

Orogenic Gold: Deep and epizonal systems (courtesy PDAC 2024 Technical Program)

The Reliance Gold Project (the "Project") is located 4 kilometres ("km") east of the village of Gold Bridge, and 10 km north of the historic Bralorne-Pioneer Gold Mining Camp which has produced over 4 million ounces of gold. The Project is a 4-hour summer drive north of Vancouver.

The Reliance Project hosts an “Epizonal” Orogenic gold system, within a compressional structural setting, that extends over at least 1,500 metres (“m”) of strike and 600 m vertically. The results from the exploration programs completed to date indicate very encouraging mineralized potential for about 2 km of trend associated with a major relatively unexplored shear zone complex that is subparallel to the structural trend that hosts the former producing Bralorne-Pioneer mine. The Project warrants continued systematic exploration through drilling to expand the gold system. The Project consists of three separate option deals, the original Reliance Option acquired in 2019 and the Olympic and Sanchez Options acquired in 2022 which collectively encompass about 3,250 hectares in mineral rights. The Olympic Option was originally explored with minor pre-World War II gold production of about 17,500 ounces averaging 6.9 gpt gold from the Minto Mine. In addition, numerous short gold exploration adits are documented on at least five other prospects on the Project.

The Project was explored with trenching and diamond drillings from 1985 through 2008. The majority of historic drilling was on the Reliance Option with about 80% of the historic drilling completed between 1986 and 1988 primarily focused on the Imperial Zone along about a 100 m trend. Gold mineralization is associated with sulphidization, silicification, multiphase breccias, quartz-stibnite veining and vein stockwork, hosted within wider envelopes of ankerite-sericite-clay alteration. The most explored complex structure is the Royal Shear which hosts the Imperial, Eagle and Eagle South Zones Diplomat, Senator, and Crown.

Prior to the 2019 acquisition by the Company, the Imperial Zone was drilled in 2008, and returned highlight drill intersection widths of 13.30 grams per tonne ("gpt") gold over 4.20 m (est 1.8 m true width), 7.05 gpt gold over 5.06 m (est 2.05 m true width), 5.70 gpt gold over 12.05 m (est 9.5 m true width), 5.43 gpt gold over 15.35 m (est 10 m true width) and 2.16 gpt gold over 12.13 m (est 6.5 m true width), in five (5) of an eight (8) hole drilling campaign.

During 2020 through 2023, the Company conducted a systematic exploration program that included airborne and ground magnetic surveys, an airborne LiDAR survey, a ground 3DIP survey, geological mapping, alteration mapping, talus fine/soil sampling, biogeochemical sampling, rock sampling, systematic channel sampling, RC drill programs totalling 84 RC drill holes, and diamond drilling programs that have completed 82 drill holes since 2021.

The RC drilling campaigns returned very encouraging gold assay results from the first drill testing at the Eagle Zone discovered in outcrop in 2020 by the Company, and also resulted in new drill discoveries at the Diplomat Zone and Treasure Prospect. The RC drilling also tested and returned further encouraging drill results at the up-dip projections of the Imperial Zone, never previously tested with drilling. Highlight results from the RC drill campaigns include 14.08 gpt gold over 15.4 m, 10.5 gpt gold over 6.1 m and 9.7 gpt gold over 12.2 m at the Eagle Zone, 16.49 gpt gold over 4.6 m at the Diplomat Zone, and 7.23 gpt gold over 4.6 m at the Imperial Zone. Highlight results from the RC drill campaign completed in 2022 include 6.64 gpt gold over 30.48 m, 8.57 gpt gold over 10.66 m, 6.11 gpt gold over 18.29 m and 3.89 gpt gold over 30.48 m from the Eagle Zone.

Twenty-two (22) diamond drill holes were completed in 2021 for a total of 4,332 m drilled. The Company focused this diamond drilling on the Imperial Zone, Eagle Zone, and Eagle South Target. The Eagle Area had never been previously tested with diamond drilling and returned a highlight discovery hole at Eagle South of 15.7 gpt gold over 24.8 m, including 26.96 gpt gold over 4.1 m. Also, the Eagle Zone was extended to the southeast with 8.62 gpt gold over 24.4 m including 17.02 gpt gold over 4.3 m.

Thirty eight (38) diamond drill holes have been completed in the 2022 drill program for a total of 8,274 m drilled. This diamond drilling has been largely focused on the Eagle Zone and Eagle South “Feeder” Zone with assay results from thirty six (36) holes reported to date which include 8.41 gpt gold over 12.0 m, 8.06 gpt gold over 13.5 m, 4.16 gpt gold over 30.0 m, 2.59 gpt gold over 31.6 m, 3.05 gpt gold over 139.9 m (including 12.85 gpt gold over 12.9 m and 6.21 gpt gold over 11.8 m).

The 2023 diamond drilling program has concluded for the season with 5,301 m completed in twenty two (22) drill holes.. Highlight results from the 2023 drill program include 5.8 gpt gold over 23 m, 8.98 gpt gold over 9.3 m, 7.93 gpt gold over 7.4 m, 7.87 gpt gold over 7.6 m, and 3.61 gpt gold over 16.0 m. The 2023 program was shortened by 2 months mid season due to wildfires. Many of the drill targets at the Eagle and Imperial Zones remain untested and the Company anticipates restarting the drilling program in 2024.

To facilitate these drilling programs new drill trails were excavated in 2021 through 2022 resulting in the discovery of new surface exposures of the Eagle Zone with channel sample results such as 7.68 gpt gold over 12.0 m including 9.89 gpt gold over 8.0 m, 6.35 gpt gold over 8.0 m, and 7.82 gpt gold over 6.0 m.

The Olympic Property includes the Minto gold mine which produced about 17,500 ounces of gold prior to 1945 from narrow quartz-stibnite veins at an average grade of 6.9 gpt gold. During this pre-War period at least five other quartz-stibnite gold prospects were explored with short exploration adits. The original Reliance option and the Olympic option were explored with trenching and diamond drilling from 1985 through 2008 with about 80% of the historic drilling completed between 1986 and 1988 primarily at the Imperial Zone. The Sanchez Property includes one prospect that returned up to 9.4 gpt gold in grab samples in 1988 sampling.

Gold mineralization on the Reliance Project is associated with breccias, silicification, sulphidation of altered host rock, quartz-stibnite veining, quartz-sulphide breccia veining and vein stockwork associated with wide zones of ankerite-sericite-clay alteration. The most explored structure is the Royal Shear which hosts the Imperial, Eagle, Eagle South, Diplomat, Senator, and Crown Zones.

Channel sampling and drilling activities in 2020 through 2023 have included:

CHANNEL SAMPLING

In 2020, systematic channel sampling was completed over 572 m of the altered outcrop exposures in road cuts. Excellent 2020 channel sample results were identified at the Eagle Zone including road cuts with 5.80 gpt gold over 31.5 m including 9.69 gpt gold over 9.1 m, 4.88 gpt gold over 23.5 m including 8.61 gpt gold over 9.1 m, and 3.83 gpt gold over 17.1 m including 7.19 gpt gold over 3.7 m. At the Eagle South Zone channel samples results included 8.9 gpt gold over 9.6 m within a wider mineralized zone of 6.92 gpt gold over 13.4 m. During 2021 additional channel sampling was completed on shear zone targets identified along the Treasure Structural trend. 2021 Channel sample results include 4.43 gpt gold over 8.5 m at the Bona Zone and 9.19 gpt gold over 4.7 m at the Grey Rock Prospect. In 2022 an additional new road cuts were channel sampled with ten (10) new exposures of the Eagle and Eagle South identified. Results highlights include: 7.68 gpt gold over 12.0 m including 9.89 gpt gold over 8.0 m, 6.35 gpt gold over 8.0 m, and 7.82 gpt gold over 6.0 m.

REVERSE CIRCULATION DRILLING

In 2020, through 2022, eighty-four (84) RC holes were completed in three track-mounted compressed-air assisted RC drill programs to test the encouraging surface channel sample results at the Eagle and Imperial Zones and theTreasure Shear prospects. In 2020, sixteen holes were completed. Nine (9) RC holes tested the Eagle Zone, five (5) RC holes tested the Imperial and Imperial North targets, and two (2) RC holes were completed on the Eagle South Target. In 2021 35 RC drill holes were completed, and in 2022 an additional 33 RC drill holes were completed. These 2021 and 2022 RC programs primarily focused on the Eagle and Eagle South, with several holes drilled along the Treasure Trend. The best 2021 RC results were reported from the Eagle Zone and a new high-grade discovery at the Diplomat Zone. Highlight results include 14.08 gpt gold over 15.4 m at the Eagle Zone and 16.49 gpt gold over 4.6 m at the Diplomat Zone. Also, a new structural trend opened up in 2021 with an encouraging first gold intersection at the Treasure Prospect of 1.6 gpt gold over 6.0 m. The best 2022 RC results were reported from the Eagle and Eagle South Feeder Zone. Highlight results include 6.64 gpt gold over 30.48 m, 8.57 gpt gold over 10.66 m, 6.11 gpt gold over 18.29 m, and 3.89 gpt gold over 30.48 m at the Eagle and Eagle South Zone.

DIAMOND DRILLING

The Company completed its maiden 22-hole diamond drilling program in November 2021 with a total of 4,332 m drilled. The program explored and extended the new zones identified at the Eagle Zone, and Eagle South Target area and also drilled the Imperial Zone. The Eagle Area had never previously been tested with diamond drilling and has returned a highlight hole at Eagle South of 15.7 gpt gold over 24.8 m, including 26.96 gpt gold over 4.1 m. Also, the Eagle Zone was extended to the southeast with 8.62 gpt gold over 24.4 m including 17.02 gpt gold over 4.3 m. A follow-up 2022 diamond drilling program of thirty eight (38) holes was completed  for a total of 8,274 m drilled.. Results include 8.41 gpt gold over 12.0 m, 8.06 gpt gold over 13.5 m, 4.16 gpt gold over 30.0 m, 2.59 gpt gold over 31.6 m and 3.05 gpt gold over 139.9 m (including 12.85 gpt gold over 12.9 m and 6.21 gpt gold over 11.8 m).

The 2023 diamond drilling program entailed 5,301 m completed in 22 drill holes. Highlight results from the 2023 drill program include 5.8 gpt gold over 23 m, 8.98 gpt gold over 9.3 m, 7.93 gpt gold over 7.4 m, 7.87 gpt gold over 7.6 m, and 3.61 gpt gold over 16.0 m, The Company anticipates restarting the drilling program in 2024.

AIRBORNE GEOPHYSICS

The 2020 airborne magnetics survey identified a magnetic anomaly associated with the best gold occurrences on the Royal Shear which has a contiguous strike length of about 2.5 km on the Property. This airborne magnetics survey data combined with observations from the initial field work has also identified four (4) other subparallel lineaments on the Property named Steep, Treasure, Camp and Nemo. Gold mineralization has been reported and confirmed by the Company on the Treasure lineament and historically reported on the Camp lineament. Antimony mineralization has been reported along the Nemo lineament.

SOIL & VEGETATION SAMPLING

The Talus fines/C-horizon soil survey demonstrates a robust and continuous northwest-southeast trending gold, silver, arsenic ("As") and antimony ("Sb") anomaly that exceeds 100 parts per billion ("ppb") gold along a strike length of at least 1,500 m and width of between 100 and 300 m associated with the Royal Shear. The multi-element soil geochemical anomaly remains open to expansion along strike in both directions. Of the 330 samples collected and analyzed in 2020 and 2021, 87 samples exceeded 100 ppb gold (26.4% of total) and 16 samples exceeded 1,000 ppb gold (4.8% of total). The over-limit soil samples were re-analyzed and returned peak values of 27 parts per million ("ppm"), 11 ppm, 8.42 ppm, 5.55 ppm, 3.77 ppm and 3.66 ppm gold. There is a strong positive geochemical correlation in the soil samples between gold and associated elements silver (+0.69), As (+0.86) and Sb (+0.84). A 2020 orientation and test biogeochemical sampling program of Douglas Fir tree branch cuttings identified an anomaly coincident with the greater than 100 ppb gold-in-soil anomaly. As a result, the Company completed an extensive 240-hectare biogeochemical sampling program consisting of 1,207 samples which successfully extended the biogeochemical anomaly associated with the Royal Shear Zone to 2 km of strike. Additional soil and vegetation surveys have been completed during 2022 on the Olympic Property.

GEOLOGICAL MAPPING

In 2020, the Company completed an initial geological structural mapping program over a 1.0 km trend of the Royal Shear in the area of the known gold prospects. The Royal Shear is a multi-strand brittle ductile northwest trending and steeply southwest dipping reverse fault that separates a dominantly mafic volcanic footwall sequence on the northeast from a dominantly ribbon chert argillite hanging wall sequence on the southeast. The most significant gold occurrences identified to date are located in the mafic volcanic that are sheared and iron-carbonate altered resulting in wide zones of modest to intense alteration with the most intense alteration associated with silicification spatially associated with altered feldspar porphyry. Two types of “Epizonal” orogenic-type gold mineralization have been observed on surface within the area of the most intense iron-carbonate alteration and shearing. One form is associated with silicification, quartz veins, quartz vein breccia, and often significant stibnite (up to 11% antimony in grab samples) and second type which is hosted within sericite altered brittle-ductile shearing with less silicification but iron oxide oxidation suggesting elevated sulfide contents. A complete geological map was completed in 2020 which encompassed the balance of the Royal Shear and three of the Company’s claims.

LIDAR & ORTHOPHOTOGRAPHY

A LiDAR and orthophotography survey was completed in 2021 and providing very useful three-dimensional topographic controls for integration of geophysical, RC drilling and diamond drilling data and also proved useful at identifying areas of historic prospecting activity of the property.

3D IP GEOPHYSICS & GROUND MAGNETICS

A 3DIP geophysical survey was completed in 2021. The survey encompassed about 2 km of the Royal-Treasure shear structural trend. Results have provided useful three-dimensional targeting information along the geophysical trends associated with the known gold mineralized areas. Geological observations have identified a magnetite-destructive alteration of the mineralized host volcanic rocks. As a result, in 2021 a ground magnetics survey was completed along existing trails on the property within the mineralized corridor. These results have confirmed a lower magnetic response associated with the known mineralized areas and identified additional lower magnetic trends that will need to be further evaluated.