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Reliance Gold Project, B.C.

Overview

Reliance Project Diamond Drill Core Presentation (Nov 2022)
Reliance Project Presentation (Nov 2022)

Exploration Summary

Links to gold assay results are below:

Year 2022 Year 2021 Year 2020
2022 Diamond Drilling to date inaugaral 2021 Diamond Drilling 2020 RC Drilling
2022 RC Drilling 2021 RC Drilling 2020 Bedrock Channel Sampling
2022 Bedrock Channel Sampling    

Introduction

The Reliance Gold Property (the "Property") 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 Property is a 4-hour summer drive north of Vancouver.

The Property 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 Property warrants continued systematic exploration through drilling to expand the gold system. The Property consists of two separate option deals, the original Reliance Option was acquired in 2019 and the Olympic Option acquired in 2022 which collectively encompass about 2,475 hectares in mineral rights. The Olympic Option was originally explored with minor pre-World War II gold production of about 17,500 ounces from the Minto Mine. In addition, numerous short gold exploration adits are documented on at least five other prospects on the Property.

The Property 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 in 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, Crown, Diplomat, Senator, Eagle and Eagle South Zones more recently identified by surface samplings and drillings.

Prior to the 2019 acquisition by the Company, the Imperial Zone was last 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 2022, 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, three RC drill programs with a total of 84 RC drill holes, a 2021 diamond drilling program that completed 22 drill holes, and an active 2022 diamond drilling program that is currently in progress.

The RC drilling campaigns returned very encouraging gold assay results from the Eagle Zone which has now been systematically intersected over 435 m of strike, a new discovery at the Diplomat Zone and another new discovery at the Treasure Prospect and further encouraging drill results at the Imperial Zone. Highlight results from the 2020 and 2021 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 May 2022 include 6.64 gpt gold over 30.48 m, 8.57 gpt gold over 10.66 m, and 6.11 gpt gold over 18.29 m at the Eagle Zone. In addition, the furthest southeast RC drill intersection on the Eagle South Zone reported in June returned 3.89 gpt gold over 30.48 m and remains open to expansion to the southeast.

Twenty-two (22) diamond drill holes were completed in late 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. As of August 15, 2022 twenty (20) diamond drill holes have been completed in the current drill program for a total of 4,113 m drilled for a budgeted 8,000 m program. This diamond drilling has been entirely focused to date on the Eagle Zone and Eagle South “Feeder Zone” Target with assay results from six (6) 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, and 2.59 gpt gold over 31.6 m.

To facilitate these drilling programs new drill trails were excavated along the southeast trend soil anomaly resulting in the discovery of new surface exposures of the Eagle Zone with channel sample results on road cuts such as 7.68 gpt gold over 12.0 mincluding 9.89 gpt gold over 8.0 m reported in July 2022.

The Olympic Property acquired in late April includes the Minto gold mine which produced about 17,500 ounces of gold prior to 1945 from narrow quartz-stibnite veins. During this pre-War period at least five other quartz-stibnite gold prospects were explored with short exploration adits. Subsequently, both 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. Gold mineralization 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, Crown, Diplomat, Senator, Eagle, and Eagle South Zones. The Imperial Zone was diamond core drilled in 2008 and this campaign, returned highlight drill intersection widths of 13.30 gpt gold over 4.20 m (est 3.3 m true width), 7.05 gpt gold over 5.06 m (est 4.3 m true width), 5.70 gpt gold over 12.05 m (est 10.8 m true width), 5.43 gpt gold over 15.35 m (est 12.9 m true width) and 2.16 gpt gold over 12.13 m (est 6.5 m true width).

Channel Sampling, Reverse Circulation & Diamond Drilling

Channel sampling and drilling activities in 2020 through 2022 to date has 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 545 m of new road cuts were channel sampled with six (6) new exposures of the Eagle and Eagle South identified. Results highlights were: 7.68 gpt gold over 12.0 m including 9.89 gpt gold over 8.0 m and 6.35 gpt gold over 8.0 m.

REVERSE CIRCULATION DRILLING

In 2020, 2021 and 2022, eighty-four (84) RC holes have now been completed in three track-mounted compressed-air assisted RC drill programs to test the encouraging surface channel sample results at the Eagle, Eagle South, Imperial and Imperial North Zones. 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 an additional 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 (020) 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 discovery hole at Eagle South (020) Zone 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. The Company initiated a 2022 diamond drilling program in June 2022 with a total of 4,113 m drilled as of August 15, 2022. Assay results from six (6) holes reported to date 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, and 2.59 gpt gold over 31.6 m.

Other Exploration Activities

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 is now 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.

Community Consultation & Permits

The Company is committed to a mutually beneficial relationship with local First Nations. Dialogue has been active throughout 2020, 2021 and continuing into 2022. First Nation contractors were engaged to assist in several aspects of the 2020 through 2022 exploration activities. As a result, through to July 2022, about 655 man-days of training and employment has been provided to community members from Tsal’alh, the closest First Nation community. In addition, during 2021 and 2022, additional supply and service activities have been provided by contractors and members of the Bridge River First Nation (Xwisten).

As part of consultation efforts, a preliminary archaeological study was completed in 2020 on the Reliance Gold Property. The field-oriented study did not identify any archaeological artifacts, or areas of concern. With the increase in size of the mineral rights and the Company’s expanding exploration activities further preliminary archealogical studies are under consideration.

The Company's Notice of Work drill permit application was submitted to the BC government early in 2020 and a five-year permit was granted in October. During 2021 and 2022, the Company requested amendments to the permit and bonding to facilitate some anticipated additional drill road disturbance required for the 2021 and anticipated 2022 diamond drilling programs. These amendments were approved, and additional bonding was posted during 2021.

In addition to the First Nation communities, the Company has contracted several residents of the Gold Bridge area to provide services since 2020.

The Company co-signed a Memorandum of Understanding (MOU) in 2021 to work together in the spirit of collaboration and partnership with the Bridge River Valley Community Association (BRVCA), Tsal’alh Development Corporation, Bralorne Gold Mines, Cobalt One Energy Corp, and the Squamish-Lillooet Regional District.

Option Deals

The Reliance Option Deal - Under the terms of the agreement with the Optionor, the Company can earn a 100% interest in the Reliance Gold Property, for cash consideration in the aggregate amount of $300,000 ($70,000 paid to date), the completion of defined exploration expenditures in the aggregate amount of $3,000,000 by December 31, 2024, and the issuance of up to 4,000,000 common shares in stages (1,000,000 common shares issued at a value of $187,000) by December 31, 2025. The Option is subject to a 2.5% Net Smelter Return (“NSR”) royalty, three-fifths of which (1.5% NSR) can be purchased by the Company at any time for $1,000,000. In addition, for this option the Company issued 200,000 common shares with a value of $19,000 to PI Financial Corp. for introducing the Optionors to the Company.

The Olympic Property Deal - Under the terms of the option agreement with Avino Silver & Gold Mines Ltd. (“Avino”), the Company can earn a 100% interest in the Olympic Property, for an aggregate cash consideration of $100,000 ($10,000 paid), the completion of defined exploration expenditures totaling $300,000 by December 31, 2024, and the issuance of 1,000,000 common shares (100,000 common shares issued at a value of $36,500) by December 31, 2024. The option is subject to a 2.0% NSR royalty, one-half of which (1.0% NSR) can be purchased by the Company for $750,000 and the remaining balance of the NSR royalty can be purchased for $1,000,000 at any time prior to the commencement of Commercial Production.

As part of the final requirement to earn its interest, the Company has agreed to grant Avino share purchase warrants (“Warrants”) by December 31, 2024 to purchase up to 750,000 Endurance shares for a period of three years from the date of issuance of the Warrants. The exercise price of the Warrants will be set at a 25% premium to the 20-day volume weighted average price (“VWAP”) of the Company’s shares at the issuance date. The issuance of the Warrants is subject to future Exchange acceptance. In addition, if the Company is successful in defining a National Instrument 43-101 compliant mineral resource of at least 500,000 gold-equivalent ounces on the Olympic Property by December 31, 2024, the Company will pay Avino a $1,000,000 discovery bonus.

Technical Reports

Reliance Project - Eagle Zone Detailed Channel Sampling Compilation. November 16, 2020
Diamond Drilling Assessment Report on the Reliance Property. Rpt. No. 30524A. by Lindinger, J.E.L., 2009.
Appendix Core Images - Diamond Drilling Assessment Report on the Reliance Property. Rpt. No. 30524B. by Lindinger, J.E.L., 2009.
Geoscience BC Rpt. 2017-08. Constraints on the Metallogeny and Geochronology of the Bridge River Gold District & Associated Intrusions, southwestern B.C. by Hart, C.R.J. and Goldfarb, R.J.
Why gold loves arsenic. Mining.com July 8, 2021.
Arsenic uptake by the Douglas-fir. Applied Organometallic Chemistry, vol. 18 pp. 626-630. 2004.

Qualified Person

The 2020 and 2021 work programs were supervised by Darren O'Brien, P.Geo., an independent consultant and qualified person as defined in National Instrument 43-101. Robert T. Boyd, P.Geo. is a qualified person as defined in National Instrument 43-101 and supervised the compilation of the historic information forming the basis for this summary.

The 2019 representative chip and grab samples mentioned in this release were analyzed for gold only at SGS Canada by GE_FAA30V5. The single overlimit sample that exceeded 10,000 ppb gold was analyzed by SGS Canada by GO_FAG30V. Confirmation standards were inserted by SGS Canada with each of the two analytical techniques.

The 2020 rock samples and channel samples were submitted to ALS Global in North Vancouver, BC, an ISO/IEC 17025:2017 accredited laboratory, where they were crushed to 70% <2 mm then up to 250 gram pulverized to <75 microns. Samples were then submitted for four-acid digestion and analyzed for 48 element ICP-MS (ME-MS61) and gold 30g FA ICP-AES finish (AU-ICP21). Over limit samples returning greater than 10 ppm gold were re-analyzed by Au-GRA21 methodology and over limit antimony returning greater than 10,000 ppm Sb were re-analyzed by Sb-AA08 methodology. Grab samples are selective by nature and are unlikely to represent average grades on the property or within the target areas. Bedrock representative chip and grab samples mentioned in this summary are potentially selective by nature and are unlikely to represent average grades within the bedrock when drilled.

Except for the drilling completed in 2008, the historic exploration drilling activity cannot be relied upon due to poor quality georeferencing and lack of down-hole dip information. Despite estimates, the 2008 drill intersections mentioned in this release may not accurately represent the true width of the intersection. In 2008 all cut and/or split core samples were analyzed by ICP analyses at Ecotech Analytical Laboratory. Samples that exceeded 1,000 ppb gold were re-analyzed by lead collection fire assay at the same laboratory using a preferred 30 gram sub-sample size.

The 2020 and 2021 RC drill samples were collected under the supervision of a geologist at the drilling rig. Drilling was completed using a 3.5 inch hammer bit and rock chip samples were collected using a cyclone. Sample size were reduced to 1/8th size with a riffle splitter at the drilling rig. A second duplicate split and coarse chips were collected for reference material and stored at the property.

Diamond drill core was logged and evaluated on the Property and samples designated for collection under the supervision of a geologist at the property. Drilling was completed using a skid mounted Hydracore 2000 equipped with NQ size tools capable of collecting 4.76 cm diameter core. Diamond drill core was cut using a diamond drill saw with one half of the core sent for analysis and the remaining kept for future studies. Sample intervals were typically 2 metre core length and intervals were shortened for lithology or alteration changes.  For drilled and sampled intervals of poor average core recovery, the complete core was sampled and sent to the laboratory for assay analysis.

All RC and DDH samples were submitted to ALS Global in North Vancouver, BC, an ISO/IEC 17025:2017 accredited laboratory, where they are crushed to 70% <2 mm then up to 250 gram pulverized to <75 microns. Samples are then submitted for four-acid digestion and analyzed for 48 element ICP-MS (ME-MS61) and gold 30g FA ICP-AES finish (AU-ICP21). Over limit samples returning greater than 10 ppm gold will be re-analyzed by Au-GRA21 methodology and over limit antimony returning greater than 10,000 ppm Sb will be re-analyzed by Sb-AA08 methodology. pXRF analysis was conducted by a Company geotechnician at the project site on the RC coarse chips that were saved as reference material. An Olympus Vanta XRF Analyzer was used for the analysis which is capable of measuring elements from concentrations as low as single parts per million (ppm). Duplicate pXRF analysis was also conducted on a select set of the duplicate split samples to test for reproducibility.

2020 Soil samples were submitted to ALS Global in North Vancouver, BC, an ISO/IEC 17025:2017 accredited laboratory, where they were prepped and screened to -180 micron using method code SCR-41. Samples were then submitted for aqua regia digestion and analyzed for gold and other trace elements with an ICP-MS finish (method code AuME-TL43). Over limit samples returning greater than 1,000 ppb gold were re-analyzed by Au-AROR43 methodology.

For the 2020 biogeochemistry program, Douglas Fir clippings weighing approximately 350 grams per sample were submitted to ALS Global in North Vancouver, BC, an ISO/IEC 17025:2017 accredited laboratory, where the Douglas Fir clippings were prepped for analysis and then air dried. An average homogenized weight of 24 grams of the collected and dried sample was then ashed at 475 degrees centigrade for 24 hours (prep method code VEG-ASH01) for a resultant average weight of 0.6 grams. The ashed samples were then submitted for nitric/hydrochloric acid digestion and analyzed for trace elements and gold with an ICP-MS finish (method code AuME-VEG41a). Analytical results are reported to the Company based on the ashed weight.