Updated Mineral Resource Estimate For PureGold Mine

VANCOUVER – Pure Gold Mining Inc. reported on updated Mineral Resource Estimate (MRE) for its PureGold Mine near Red Lake, Ontario. The Updated MRE includes 1.65 million ounces of gold at 7.4 grams per tonne (“g/t”) within 6.9 million tonnes in the Indicated Mineral Resource category, and 0.37 million ounces of gold at 6.3 g/t within 1.8 million tonnes in the Inferred Mineral Resource category.

Mark O’Dea, President & CEO, said, “The thorough independent review and update shows that the PureGold Mine remains underpinned by a multi-million-ounce high grade gold resource. The Updated MRE is based on a combination of deep geological understanding, closely spaced drilling, and first-hand observations of stope scale shapes and continuity. The team is confident that the forthcoming updated Pre-Feasibility Study and Life of Mine plan will demonstrate the near-term potential of the PureGold Mine and lay the foundation for future growth.”

Key Highlights of the Updated MRE: 77 new sub-domain wireframes were constructed with the specific aim of capturing new deeper understanding of the mineralized lenses; Capping levels were carefully determined for each of the sub-domains independently to maintain tight control over extreme high-grade values, which are not uncommon in this deposit, but had their range of influence substantially restricted; and A multi-pass estimation strategy was employed requiring multiple assay composites from multiple drillholes to estimate block grades. A key level of confidence was introduced by restricting reported resources to only those tonnes captured within a mineable stope optimization (MSO) process. This type of tool is becoming more commonly applied to underground resources to meet the Reasonable Prospects for Eventual Economic Extraction (“RPEEE”) requirement in the CIM guidelines.

The Updated MRE incorporates several updates to the methodology and input assumptions which collectively result in an estimate that the Company believes is more robust overall and aligns more closely with actual mining to date. The understanding of this deposit has been an iterative process over the past several years and has been informed by a vast geological dataset which includes over 1,700 new diamond drill holes and 40,000 new underground chip sample and test hole results and is supported by 18 months of continuous mining operations and underground development.

The Company remains on track to release a new Pre-Feasibility Study and updated Life of Mine plan (PFS) by Q4 2022. The Updated PFS will incorporate several ongoing trade-off studies and will identify the best value-maximining path forward. Pure Gold is nearing the completion of mining in the McVeigh Zone and is currently transitioning operations into the Austin and South Austin Zones. Austin and South Austin together account for 89% of the PureGold Mine’s contained gold ounces in the Indicated Resource category and are characterized by simpler geometries and higher grades than McVeigh. The Company expects operational performance to improve during this transition into higher grades, greater continuity and simpler stope geometries.