Alamos Gold Reports Best Surface Exploration Hole to Date at Island Gold with High-Grade Gold Mineralization Intersected across Significantly Greater Widths Down-Plunge from Existing Mineral Resources
ALAMOS GOLD INC.
Brookfield Place, 181 Bay Street, Suite 3910, P.O. Box #823
Toronto, Ontario, Canada M5J 2T3
Telephone: (416) 368-9932 or 1 (866) 788-8801
All amounts are in United States dollars, unless otherwise stated.
FOR IMMEDIATE RELEASE
WEBSITE: www.alamosgold.com TRADING SYMBOL: TSX:AGI NYSE:AGI
Alamos Gold Reports Best Surface Exploration Hole to Date at Island Gold with
High-Grade Gold Mineralization Intersected across Significantly Greater Widths
Down-Plunge from Existing Mineral Resources
TORONTO, Ontario (September 17 , 2020) – Alamos Gold Inc. (TSX:AGI; NYSE:AGI )
(“Alamos” or the “Company”) today reported new results from surface exploration drilling at the
Island Gold Mine, further extending high-grade gold mineralization down-plunge in Island East.
All reported drill widths are true width of the mineralized zones, unless otherwise stated.
• Island East: high-grade gold mineralization extended up to 100 metres (“m”)
down-plunge from the nearest Inferred Mineral Resource block over significantly
greater widths. The two new intersections indicate the zone has widened in this area
with true widths three to four times greater than the 5. 3 m average width of the large
Inferred Mineral Resource block up -plunge (719,800 ounces grading 18.74 grams per
tonne of gold (“ g/t Au”) (1.2 million tonnes) as of December 31, 2019) . New highlights
include:
• 28.97 g/t Au (26.89 g/t cut) over 21.76 m (MH25-04); and
• 15.38 g/t Au (14.19 g/t cut) over 15.02 m (MH25-03).
Note: Drillhole composite intervals reported as “cut” may include higher grade samples which have been cut to 160
g/t Au for Island East Area.
“These new high-grade results over much greater widths include the best surface exploration
hole ever drilled at Island Gold and further extend mineralization from one of the highest grade
portions of the ore body. They not only demonstrate the significant potential for additional growth
in Mineral Reserves and Resources but further validate our decision to install a shaft as part of
the Phase III Expansion,” said John A. McCluskey, President and Chief Executive Officer.
2020 Surface Exploration Drilling Program – Island Gold Mine
Exploration activities at Island Gold remain focused on continuing to define new near mine
Mineral Resources and building on the success of the 2019 drilling program . After being
temporarily suspended on March 25, 2020 , due to the COVID -19 pandemic , the surface
directional diamond drilling program resumed in early June with three drill rigs currently drilling.
A total of 16,660 m of surface directional diamond drilling has been completed as of September
15, 2020. New highlight intercepts can be found in Table 1 and in Figures 1 and 2, at the end
of this news release.
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Island East
Surface directional drilling continues to extend gold mineralization with drill hole spacing ranging
from 50 m to 100 m (Figures 1 and 2).
New highlights from the surface drilling program include (E1E-Zone) (Table 1):
• 28.97 g/t Au (26.89 g/t cut) over 21.76 m (MH25-04); and
• 15.38 g/t Au (14.19 g/t cut) over 15.02 m (MH25-03).
Drillholes MH25-03 and MH25- 04 intersected wide, high- grade gold mineralization 40 m and
100 m, respectively down-plunge from the high- grade Inferred Mineral Resource block which
contained 719,800 ounces, grading 18.74 g/t Au (1.2 million tonnes) as of December 31, 2019.
These intercepts have true widths approximately three to four times greater than the 5.3 m
average width of this Inferred Mineral Resour ce block indicating the zone has widened in the
area of these holes . Using the cut weighted gold grade for metal factor c alculation, drillhole
MH25-04 is the best surface directional hole drilled to date at Island Gold in terms of gold content
for a drill hole intersect.
As previously reported on July 13, 2020, drillholes 620-MH2-01 (29.05 g/t Au (26.67 g/t cut) over
4.86 m) and MH21-04 (44.30 g/t Au (44.30 g/t cut) over 2.25m) have also extended high-grade
mineralization up -plunge from this Inferred Mineral Resource block within the 120 m gap
between the middle and lower portion of Island East . Both areas will continue to be an
exploration focus for the remainder of the year with the deposit open laterally, up - and down-
plunge.
These results continue to confirm the E1E Zone extends vertically over 1.2 km, between a depth
of 300 m and 1,500 m in the eastern part of the deposit.
Qualified Persons
Chris Bostwick, FAusIMM, Alamos Gold’s Vice President, Technical Services, has reviewed
and approved the scientific and technical information contained in this news release. Chris
Bostwick is a Qualified Person within the meaning of Canadian Securities Administrator’s
National Instrument 43-101 (“NI 43-101”).
Exploration programs at the Island Gold Mine are directed by Raynald Vincent, P.Eng., M.G.P.,
Chief Geologist at the Island Gold Mine and a Qualified Person within the meaning of NI 43-
101.
Quality Control
Assays for the surface exploration drilling program were completed at LabExpert in Rouyn-
Noranda, Quebec. The Corporation inserts at regular intervals quality control (QC) samples
(blanks and reference materials) to monitor laboratory performance. Cross check assays are
done on a regular basis in a second accredited laboratory . The Quality Assurance / Quality
Control procedures are more completely described in the Technical Report filed on S EDAR
August 31, 2020.
About Alamos
Alamos is a Canadian- based intermediate gold producer with diversified production from three
operating mines in North America. This includes the Young- Davidson and Island Gold mines in
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northern Ontario, Canada and the Mulatos mine in Sonora State, Mexico. Additionally, the
Company has a significant portfolio of development stage projects in Canada, Mexico, Turkey,
and the United States. Alamos employs more than 1,700 people and is committed to the highest
standards of sustainable development. The Company’s shares are traded on the TSX and NYSE
under the symbol “AGI”.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Scott K. Parsons
Vice President, Investor Relations
(416) 368-9932 x 5439
The TSX and NYSE have not reviewed and do not accept responsibility for the adequacy or accuracy of this
release.
Cautionary Note
This news release includes certain statements that constitute forward-looking information within the meaning of applicable
Canadian and U.S. securities laws ("forward-looking statements"). All statements in this news release, other than statements
of historical fact, which address events, results, outcomes or developments that Alamos expects to occur are forward-
looking statements. Forward -looking statements are generally, but not always, identified by the use of forward- looking
terminology such as “continue”, “focus”, "estimate", or “potential” or variations of such words and phrases and similar
expressions or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur
or be achieved or the negative connotation of such terms . In particular, this news release contains forward -looking
statements including, without limitation, with respect to the 2020 surface exploration drilling p rogram at the Island Gold
mine, the estimation of Mineral Resources, exploration results, potential mineralization, changes in Mineral Resources and
Mineral Reserves, Island Gold’s Phase III expansion and other information that is based on forecasts and projections of
future operational, geological or financial results, estimates of amounts not yet dete rminable and assumptions of
management.
Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the
occurrence of a mineral deposit. Such results do not provide assurance that further work will est ablish sufficient grade,
continuity, metallurgical characteristics and economic potential to be classed as a category of Mineral Resource. A Mineral
Resource that is classified as "Inferred" or "Indicated" has a great amount of uncertainty as to its existe nce and economic
and legal feasibility. It cannot be assumed that any or part of an "Indicated Mineral Resource" or "Inferred Mineral Resource"
will ever be upgraded to a higher category of Mineral Resource. Investors are cautioned not to assume that all o r any part
of mineral deposits in these categories will ever be converted into Proven and Probable Mineral Reserves.
Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered
reasonable by management at the time of making such statements, are inherently subject to significant business, economic,
technical, legal, political and competitive uncertainties and contingencies. Known and unknown factors could cause actual
results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed
on such statements and information.
Such factors and assumptions underlying the forward-looking statements in this news release include: the actual results of
current exploration activities, conclusions of economic and geological evaluations, changes in project parameters as plans
continue to be refined, operations may be exposed to widespread pandemic; the impact of the COVID-19 pandemic on the
broader market; provincial and federal orders or mandates (including with respect to mining operations generally or auxiliary
businesses or services required for our operations) in Canada, Mexico, the United States and Turkey; the duration of
regulatory responses to the COVID -19 pandemic; changes in national and local government legislation, controls or
regulations, failure to comply with environmental and health and safety laws and regulations; labour and contractor
availability (and being able to secure the same on favourable terms); disruptions in the maintenance or provision of required
infrastructure and information technology systems; fluctuations in the price of gold or certain other commodities such as,
diesel fuel, natural gas, and electricity; operating or technical difficulties in connection with mining or development activities,
including geotechnical challenges and changes to production estimates (which assume accuracy of projected ore grade,
mining rates, recovery timing and recovery rate estimates and may be impacted by unscheduled maintenance; changes in
foreign exchange rates (particularly the Canadian dollar, U.S. dollar, Mexican peso and Turkish Lira); the impact of inflation;
employee and community relations; litigation and administr ative proceedings; disruptions affecting operations; availability
of and increased costs associated with mining inputs and labour; inherent risks and hazards associated with mining and
mineral processing including environmental hazards, industrial accidents, unusual or unexpected formations, pressures and
cave-ins; the risk that the Company’s mines may not perform as planned; uncertainty with the Company's ability to secure
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additional capital to execute its business plans; the speculative nature of mineral exploration and development, risks in
obtaining and maintaining necessary licenses, permits and authorizations, contests over title to properties; expropriation or
nationalization of property; political or economic developments in Canada, Mexico, the Unit ed States, Turkey and other
jurisdictions in which the Company may carry on business in the future; increased costs and risks related to the potential
impact of climate change; the costs and timing of construction and development of new deposits; risk of l oss due to
sabotage, protests and other civil disturbances; the impact of global liquidity and credit availability and the values of assets
and liabilities based on projected future cash flows; and business opportunities that may be pursued by the Company.
For a more detailed discussion of such risks and other factors that may affect the Company's ability to achieve the
expectations set forth in the forward -looking statements contained in this news release, see the Company’s latest 40 -
F/Annual Information Form and Management’s Discussion and Analysis, each under the heading “Risk Factors” available
on the SEDAR website at www.sedar.com or on EDGAR at www.sec.gov. The foregoing should be reviewed in conjunction
with the information found in this news release.
The Company disclaims any intention or obligation to update or revise any forward -looking statement, whether written or
oral, or whether as a result of new information, future events or otherwise, except as required by applicable law.
Cautionary Note to U.S. Investors – Mineral Reserve and Resource Estimates
All Mineral Resource and Reserve estimates included in this news release or documents referenced in this news release
have been prepared in accordance with Canadian National Instrument 43-101 - Standards of Disclosure for Mineral Projects
("NI 43-101") and the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") - CIM Definition Standards on
Mineral Resources and Mineral Reserves, adopted by the CIM Council, as amended (the "CIM Standards"). NI 43-101 is a
rule developed by the Canadian Securities Administrators, which established standards for all public disclosure an issuer
makes of scientific and technical information concerning mineral projects. The terms "Mineral Reserve", "Prov en Mineral
Reserve" and "Probable Mineral Reserve" are Canadian mining terms as defined in accordance with NI 43-101 and the CIM
Standards. The United States Securities and Exchange Commission (the “SEC”) permits mining companies, in their filings
with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce.
Alamos may use certain terms, such as “Measured Mineral Resources”, “Indicated Mineral Resources”, “Inferred Mineral
Resources” and “Probable Mineral Reserves” which differ materially from the definitions in SEC Industry Guide 7 under the
United States Securities Exchange Act of 1934, as amended. Investors are cautioned not to assume that all or any part of
mineral deposits in these categories wi ll ever be converted into Mineral Reserves. “Inferred Mineral Resources” have a
great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It canno t
be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian
rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or pre-feasibility studies, except in very
limited circumstances. Disclosure of “contained ounces ” in a Mineral Resource is permitted disclosure under Canadian
regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute “Mineral
Reserves” by SEC standards as in place tonnage and grade without reference to unit measures.
The SEC has adopted final rules, effective February 25, 2019, to replace SEC Industry Guide 7 with new mining disclosure
rules under sub -part 1300 of Regulation S -K of the U.S. Securities Act (the “ SEC Modernization Rules ”). The SEC
Modernization Rules replace the historical property disclosure requirements included in SEC Industry Guide 7. As a result
of the adoption of the SEC Modernization Rules, the SEC now recognizes estimates of “Measured Mineral Resources”,
“Indicated Mineral Resources” and “Inferred Mineral Resources”. In addition, the SEC has amended its definitions of “Proven
Mineral Reserves” and “Probable Mineral Reserves” to be substantially similar to international standards. The SEC
Modernization Rules will become mandatory for U.S. reporting companies beginning with the first fiscal year commencing
on or after January 1, 2021.
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Table 1: Island Gold – Previously Unreleased Select Composite Intervals from Surface
Exploration Drilling
Composite intervals greater than 3 g/t Au weighted average, capping values @ 160 g/t Au.
Hole ID Zone Target Area From
(m) To (m)
Core
Length
(m)
True
Width
(m)
Au
Uncut
(g/t)
Au Cut
(g/t)
Vertical
Depth (m)
MH25-03 E1E Island East 1564.20 1580.45 16.25 15.02 15.38 14.19 1377
MH25-04 E1E Island East 1570.55 1593.73 23.18 21.76 28.97 26.89 1418
Table 2: Surface exploration drill holes; azimuth, dip, drilled length, and collar location at
surface (UTM NAD83)
Hole ID Azimuth
(°)
Dip
(°)
Drilled
Length
(m)
UTM
Easting
(m)
UTM
Northing
(m)
UTM
Elevation (m) Comments
MH23-04 333 -72 728 692006 5351562 395 Cut from MH23-03 at 628 m
MH25-02 335 -80 979 692314 5351074 398 Cut from MH25-01 at 715 m
MH25-03 335 -80 668 692314 5351074 398 Cut from MH25-02 at 1029 m
MH25-04 335 -80 854 692314 5351074 398 Cut from MH25-02 at 793 m
Note: UTM mine surface elevation 382 m
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Figure 1: Island Gold Mine Longitudinal
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Figure 2: Island Gold Mine East Area – Surface Directional Drilling Results