Abcourt releases a Positive Preliminary Economic Assessment for its Sleeping Giant Gold Project

For immediate release

TSX Venture: ABI.V

Abcourt releases a Positive Preliminary Economic Assessment for its Sleeping Giant

Gold Project

Rouyn-Noranda, Canada, June 07, 2023 - Abcourt Mines Inc. (“Abcourt” or the “Corporation”)

(TSX Venture: ABI) is pleased to announce the positive results of an independent Preliminary Economic

Assessment ("PEA") prepared in accordance with NI 43-101 for the Sleeping Giant Project, a wholly

owned high-grade gold deposit located in the greenstone belt of Abitibi, 80 km north of the town of Amos,

Quebec.

PEA Highlights*

Base Case Scenario : Gold Price : 1800 $ US/oz,

Exchange Rate : 1.00 USD = 1.30 CAD, Discount Rate : 5 %

 NPV 5% after taxes and mining duties (M CAD) 54.4

 IRR after taxes and mining duties (%) 33.3

 Initial Capital Costs (preproduction) (M CAD) 42.0

 Average Annual Production (oz) 30,100

 Mill Net Recovery (%) 96.7

 Average Diluted Gold Grade (g/t Au) 8.10

 Life of Mine (excluding preproduction) (years) 5.8

 Mineralized Material Extracted (t) 720,200

 Gold Produced (oz) 181,300

 All In Sustaining Cost (USD/oz) 1,120

 Total Unit Operating Cost (CAD/tonne milled) 321

 Gross Revenues (M CAD) 424

 Operating Cashflow (M CAD) 178

 Pre-Production Period (Years) 1.5

Pascal Hamelin, President and CEO, comments: “The PEA results released today are excellent with an

NPV5% of 54 M CAD and an IRR of 33%. The results of the PEA are based on a mineral resource

produced in accordance with current CIM standards and guidelines. The PEA envisions a rapid start-up

of operations with minimal initial investment. This project could quickly become the next gold producer in

Quebec. Targeted drilling towards areas with inferred mineral resources could potentially increase

resources and some project economics. The PEA is considering 50% utilization of our ore processing

plant. This new drilling could potentially increase feed capacity and operate the plant at full capacity.

This capacity could also allow us to accept material from other deposits such as Discovery and Flordin

in the medium term, and potentially increase the value of our assets. The next step is to now target

promising areas to convert inferred to indicated resources for incorporation into a more detailed economic

assessment. With the potential to add other deposits to the project, we anticipate strong economic

potential for the region around the Sleeping Giant plant in the future. »

*The reader is advised that the PEA summarized in this press release is intended only to provide a high-level initial

review of the project's potential and design options. The PEA's mine plan and economic model includes numerous

assumptions and the use of inferred mineral resources. Inferred Mineral Resources are considered too speculative

to be used in economic analysis, except as permitted by NI 43-101 in PEA studies. There is no guarantee that

Inferred Mineral Resources can be converted to Indicated or Measured Mineral Resources and, therefore, there is

no guarantee that the economics of the project described herein will be realized.

Table 1 : PEA Summary

Total Tonnes Extracted (t) 720,200

Average Extracted Grade (g/t) 8.10

Total Gold Contained (oz) 187,600

Total Gold Produced (oz) 181,300

Total Payable Gold (oz) 180,800

Net Mill Recovery (%) 96.7

Average Annual Production (oz/an) 30,100

Initial Capital (M CAD) 42.0

Sustaining Capital (M CAD) 31.8

Reclamation and Closure Cost1 (M CAD) 6.7

Total Unit Operating Cost (CAD/t milled) 320.67

Cash Cost per ounce (USD/oz) 1 008.82

1 : Including the closure bond held by the MRNF presently at 5.4 M$

Opportunities to increase Project Value

The Sleeping Giant Project has strong potential for mineral resource expansion based on more than 800

mineralized structures remaining open at depth, down plunge and to the east. Future modeling could

offer an increase in the potential of the project. In addition, with a utilization of nearly 50% of its capacity,

the current ore processing plant has excess capacity which could offer the opportunity to accept material

from deposits surrounding the Sleeping Giant Project. The contribution of other deposits could positively

influence the economics of the PEA. Moreover, Abcourt owns several deposits with mineral resources

within a radius of less than 200 km from the Sleeping Giant project, including the Discovery, Flordin and

Pershing-Manitou deposits.

Table 2 : Summary of Economic Parameters (1,800 USD/ounce of gold)

After-tax NPV5% (M CAD) 54.4

After-tax IRR (%) 33.3

Payback Period after tax (years) 2.2

Operating Cashflow (M CAD) 177.9

Cashflow before tax (M CAD) 104.1

Yearly averaged Cashflow before tax (M CAD) 26.6

Income tax (M CAD) 29.0

Cashflow after tax (M CAD) 75.0

Discount Rate (%) 5.0

NPV5% before tax (M CAD) 77.5

IRR before tax (%) 41.1

Payback Period before tax (years) 2.1

Summary of the Capital and Operating Expenses

Table 3 : Summary of Capital Expenses

Capital Expenses1 (M CAD) Initial Capital Costs Sustaining Capital

Costs Total Capital Costs

Capitalized Net Revenue2 (18.65) 0.00 (18.65)

Capitalized Operating Expenses 27.12 0.00 27.12

Underground Development 10.48 18.22 28.71

Infrastructures 5.83 0.18 6.01

Equipments Upgrade 6.67 0.00 6.67

Electrical Circuit 6.40 0.00 6.40

Tailing Facilities 4.15 6.74 10.89

Closure and Reclamation 0.00 6.69 6.69

Total 42.00 31.83 73.83

Capital Cost per ounce (USD/oz) 111.60

Operating Cost per ounce (USD/oz) 1 008.82

All-In Sustaining Cost (Capital and Operating) (USD/oz) 1 120.43

1 : The total can vary due to rounding.

2 : The Corporation expects revenues during the preproduction period.

3 : Net amount including the closure bond currently deposited with the MRNF for 5.4 M$.

Table 4 : Summary of the Operating Expenses

Unit Operating Costs CAD/t milled

Mining Extraction 226.24

Technical Services 28.90

Milling 47.17

Environment 1.76

Administration and general Expenses 17.01

Total Unit Operating cost 320.67

A sensitivity analysis was performed to validate the impact on NPV5% and IRR, before and after tax by

varying the gold price and capital costs. The results of the analysis are shown in Tables 5 and 6 below;

the base case is in bold in the tables. Note that a sensitivity analysis was also carried out on revenues

and operating costs. The results of this evaluation can be found in the PEA.

Table 5 : Sensitivity to Gold Price

Before Taxes After Taxes

(US$/oz) NPV5% (M CAD) IRR (%) NPV5% (M CAD) IRR (%)

1 550 $30.1 21% $22.6 18%

1 600 $39.6 25% $30.4 21%

1 650 $49.1 29% $36.6 25%

1 700 $58.6 33% $42.5 28%

1 750 $68.1 37% $48.4 30%

1 800 $77.5 41% $54.4 33%

1 850 $87.0 45% $60.2 36%

1 900 $96.5 48% $66.1 39%

1 950 $106.0 52% $72.0 42%

2 000 $115.5 55% $77.9 44%

2 050 $124.9 59% $83.8 47%

Table 6 : Sensitivity to Capital Costs

Before Taxes After Taxes

(%) NPV5% (M CAD) IRR (%) NPV5% (M CAD) IRR (%)

-50% $107.4 72% $75.4 60%

-40% $101.4 64% $71.2 53%

-30% $95.4 57% $67.0 47%

-20% $89.5 51% $62.8 42%

-10% $83.5 46% $58.6 37%

0% $77.5 41% $54.4 33%

10% $71.6 37% $50.1 30%

20% $65.6 33% $45.9 27%

30% $59.6 30% $41.7 24%

40% $53.7 27% $37.5 21%

50% $47.7 24% $33.3 19%

Mineral Resources

Table 7 : Mineral Resources Estimate

Mining Method

(Cut-off Grade)

Indicated Resources

Inferred Resources

Metrique

Tonnes (t)

Grade

(g/t Au)

Troy

Ounces

(oz Au)

Metrique

Tonnes (t)

Grade

(g/t Au)

Troy

Ounces

(oz Au)

Potential Long Hole

(4.25 g/t Au)

677,000 7.03 153,000 677,000 8.13 177,000

Potential Room & Pillar

(5.0 g/t Au)

78,000 7.98 20,000 207,000 10.67 71,000

Total

755,000 7.14 173,300 884,000 8.74 248,300

Notes on Mineral Resource Estimates:

1. The independent and qualified persons, as defined by NI 43-101 are Olivier Vadnais-Leblanc, P. Geo. and Eric Lecomte, ing, all

from InnovExplo Inc. The effective date is December 12, 2022.

2. These mineral resources are not mineral reserves because they do not have demonstrated economic viability. The results are

presented undiluted and are considered to have reasonable prospects of economic viability. The 2022 MRE follows the CIM

Standards.

3. The estimate encompasses 846 mineralized lenses that were modelled using a minimal geological width of 0.5m using Genesis

software.

4. A density value of 2.85 g/cm3 (based on measurements and mine et mill reconciliation) was assigned to all mineralized zones.

5. High-grade capping supported by statistical analysis was done on composites data and established at 95 g/t Au for all mineralized

zones. Composites (0.5 m) were calculated within the zones using the grade of the adjacent material when assayed or a value of

zero when not assayed.

6. The exigence of a Reasonable Prospect of Eventual Economical Extraction is fulfilled by the use of cut-off grades based on

reasonable mining parameters and locally constrained within Deswik Stope Optimizer shapes using a minimal mining width of 1.7

m for both potential methods. It is reported at a rounded cut-off grade of 4.25 g/t Au using the long-holes (LH) method, and 5.0 g/t

Au, using the Room and Pillars (R&P) method. The cut-off grades were calculated using the following parameters: mining cost =

C$213.96/t (LH) to C$261.56/t (R&P); processing cost = C$35.10/t; G&A = C$22.09/t; gold price = US$1,650.00/oz and USD:CAD

exchange rate = 1.30. The cut-off grades should be re-evaluated in light of future prevailing market conditions (metal prices,

exchange rates, mining costs etc.).

7. The estimate was completed using a sub-block model in Surpac 2022. A 4m x 4m x 4m parent block size was used (1m x 1m x 1m

sub-blocked). Grade interpolation was obtained by Inverse Distance Squared (ID2) using hard boundaries.

8. The mineral resource estimate is classified as Indicated and Inferred. The Inferred category is defined with a minimum of three (3)

drill holes within the areas where the drill spacing is less than 75 m and shows reasonable geological and grade continuity. The

Indicated mineral resource category is defined with a minimum of four (4) drill holes within the areas where the drill spacing is less

than 30 m and shows reasonable geological and grade continuity.

9. The number of metric tonnes was rounded to the nearest hundred, following the recommendations in NI 43-101 and any

discrepancies in the totals are due to rounding effects. The metal contents are presented in troy ounces (tonnes x grade / 31.10348)

rounded to the nearest hundred.

10. The independent and qualified persons for the 2022 MRE are not aware of any known environmental, permitting, legal, political,

title-related, taxation, socio-political, or marketing issues that could materially affect the Mineral Resource Estimate.

PEA Detail

Mining Extraction

The Sleeping Giant project is an underground mine that was operated until 2014. The operation

extended from the N-55 level to the N-1060 level. The mineralization consists of numerous veins of

gold. The mining plan consists of extracting 720,000 tonnes of ore, including new stopes that can be

accessed almost exclusively from existing levels. Production is split between levels N-145 and N-1110

and will require rehabilitation of the drifts, escapeway, shaft service compartment and existing

infrastructure. The stopes will be mined by the longhole, Shrinkage, and room-and-pillar methods with

a tonnage distribution of 27%, 30% and 43%, respectively.

At full production, daily production will reach 350 tpd on 10-hour shifts on a continuous 7-day rotation.

The preproduction period will span a period of one and a half years. The mining methods were

established according to the geometry, in particular the dip, of the various stopes. For the long hole

method, the sub-levels are distributed at an interval of 15 vertical meters. For the rooms and pillars

method, the pillars left in place have an area of 3 m x 3 m, while the rooms have a maximum width of

6.0 m.

Abcourt currently owns the fleet of production equipment needed to carry out the production plan (cavo,

rail loaders, various drills, etc.). A complete reconditioning of the equipment was considered to ensure

optimal operation at the start of the work. Surface infrastructure remains unchanged; the ore being

processed on site with the existing plant.

Mineral Processing

The Sleeping Giant concentrator processed ore from the Sleeping Giant mine from 1988 until 2014 and

subsequently processed ore from adjacent mines from 2016 until 2022.

The concentrator process consists of ore crushing by a jaw crusher and two cone crushers in a closed

circuit with a screen, primary grinding by a rod mill followed by secondary grinding by two ball mills in a

closed circuit with cyclones. Cyclone overflow feeds a thickener and subsequently a pre-aeration tank,

two leach tanks and four carbon-in-leach (CIL) tanks for a leach time of 46 hours. Lead nitrate is added

to the grinding circuit to improve leaching. Once loaded with gold, the carbon is pumped from the CIL

to be screened and eluted. The stock solution is directed to the gold room for electrolysis, sludge drying

and ingot casting.

The concentrator has a capacity between 700 and 750 tpd. It will be operated 12 hours a day for a

daily production of 350 t/d.

Surface Infrastructures and Tailing Facility

A site visit was carried out in order to validate the condition of the various surface and underground

equipment as well as the surface infrastructures. This made it possible to estimate all the repair needed

for a return to production of the site. Overall, the process plant, headframe, hoist buildings and other

surface infrastructure were found to be in good condition. However, at the processing plant, an upgrade

will be necessary for conveyors, crushing units, tanks and silos. Existing buildings and access roads

are well maintained and capable of supporting activities related to a resumption of mining operations.

To facilitate an effective workforce management system, on-site accommodation and catering facilities

have been provided for workers on rotation. These will constitute the main infrastructure investment

required for the project. In total, an investment of $4.6 million is planned for the repair and construction

of surface infrastructure, including drinking water and wastewater services.

An amount of $6.4 million is planned for the project for the reconditioning of the entire electrical network,

including the modification of the arrival of the 25 kV electrical line from Hydro-Québec in order to include

the various modules associated with the accommodation.

Underground, the mine dewatering system is currently in operation and all levels are accessible.

Investments in piping will have to be made over time to ensure the continuity of operations. The

emergency generator, which is mainly used for dewatering, must be upgraded. Communication systems

are functional. In total, the reconditioning of surface and underground equipment is estimated at $6,7

million, including an amount of $4.3 million for process plant equipment.

For the mine tailing facility, certain work will have to be carried out in order to be able to store the mine

tailings generated by the 720,000 t of ore milled in the concentrator. It is expected that cells 1 and 2A

currently in place will be able to accommodate the tailings generated by the concentrator following dike

raising and dredging work during the project. Cell 2 will continue to serve as a water recirculation basin

towards the processing plant, while Cell 3 will serve as a polishing basin. The treatment of the tailing's

mine waters before their discharge into the environment will be carried out in a manner similar to that

of the last years of operation of the site. In total, an amount of $10.9 million is planned for the

development of the tailing facility.

Environment and Restoration Plan

The project is located in the southern part of the territory of the Regional Government of Eeyou Istchee

James Bay. The regional government is responsible for the management of these lands, which are

public lands in the domain of the State.

The current project is considered an existing mine, and not subject to the environmental and social

impact assessment and review procedure. The activities that will be carried out fall within the framework

of the Environment Quality Act and the Regulation respecting the regulatory scheme applying to

activities on the basis of their environmental impact.

Abcourt currently has most of the certificates of authorization allowing it to mine and process the ore.

However, a request for modification of certain existing authorizations will have to be presented

concerning work related to drinking water, wastewater treatment and the tailing facility.

Restoration costs for the Sleeping Giant Mine have been estimated at $12.1 million, taking into account

the dismantling of surface facilities, including new accommodation facilities, water management

infrastructure and the restoration of the tailing facility. The restoration work is planned to take place

over 2 years.

Royalties

A 2.0% royalty was applied to the Sleeping Giant project on all ounces of gold produced.

Qualified Persons

This PEA was prepared for Abcourt Mines Inc. by InnovExplo Inc. and other industry consultants, all

Qualified Persons (QPs) under NI 43-101. The QPs have reviewed and approved the contents of this

press release. The affiliation and areas of responsibility of each qualified person involved in the

preparation of the Sleeping Giant PEA are listed below.

Mr. Olivier Vadnais-Leblanc, géo (InnovExplo Inc.)

Mr. Eric Lecomte, ing. (InnovExplo Inc.)

Mr. Guy Comeau, ing. (Soutex)

Mr. Luc Boutin, ing. (WSP)

Mr. Marc L’Écuyer, ing. (Englobe)

Mr. Jacques Blanchet, ing., M.Sc. (Englobe)

InnovExplo Inc.

 Mineral Resource estimate

 Mine planning and design

 Operating and capital costs estimate

 G&A costs estimate

 Financial analysis

Soutex

 Validation of the treatment process

 Estimation of metallurgical performance

 Estimation of the operating costs of the mineral treatment plant