AUM.V · 2024-12-31 12:00:00

AuMEGA Metals: Quarterly Activities Report

Financials

for the 3 Months Ended 31 December 2024

Highlights

Exploration

Subsequent to the year end, announced plans for a major exploration in 2025 that includes total

drilling of approximately 20,000 metres including a 10,000 metre drill program at Bunker Hill in the

first quarter and drill programs planned for Cape Ray and Hermitage.

High-resolution airborne magnetic and Very Low Frequency ("VLF") Electromagnetic geophysical

survey completed over Bunker Hill, covering an area of approximately 170 km

consisting of 3,140

line-kilometres

. Preliminary magnetic data received with finalisation underway.

Limited till program at Bunker Hill West delivered significant gold-in-till anomalies including 148

ppb and 94 ppb gold, nearly 40 times the crustal abundance level

Results from limited reconnaissance diamond drilling at Malachite confirmed further gold and

copper mineralisation in bedrock

Inaugural reconnaissance till program over Intersection Project has yielded several priority follow-

up targets. A total of 914 samples were collected over a survey area of 15 kilometres by 7

kilometres

Till results have identified four large areas with significant gold anomalism for future targeting,

including the largest area of anomalism within the Windsor Point Group Sediments, the host rocks

of the Company's Central Zone deposits.

Corporate

During the quarter, the Company completed a private placement of approximately C$16 million

(before costs)

4,5,6

through an upsized financing to institutional, professional and accredited

investors.

The financing was supported by existing shareholders and included several new investors

including global resource funds.

Edmonton, Alberta--(Newsfile Corp. - January 31, 2025) -

AuMEGA Metals Ltd

(

ASX: AAM

) (

TSXV:

AUM

) (

OTCQB: AUMMF

) (

"AuMEGA"

the "Company"

) is pleased provide its Quarterly Activities

Report for the quarter ended 31 December 2024. All dollar amounts are Canadian dollars unless stated

otherwise.

AuMEGA is a mineral exploration company focused primarily on the discovery of precious and critical

metals in Newfoundland and Labrador ("Newfoundland"), Canada. AuMEGA employs a world-class,

systematic approach to exploration which is necessary for a terrain that has significant cover and a

complex glacial history such as in south-west Newfoundland.

The Company holds a district scale land package that spans 110 kilometres along the Cape Ray Shear

Zone ("CRSZ"), a significant under-explored geological feature recognised as Newfoundland's largest

identified gold structure. This structure currently hosts Calibre Mining's (TSX: CXB) Valentine Gold

Project, which is the region's largest gold deposit that is under construction and expected to produce in

the middle of 2025, along with AuMEGA's Mineral Resource.

AuMEGA's portfolio over the CRSZ hosts a few dozen high potential targets and its existing gold Mineral

Resource of 6.1 million tonnes of ore grading an average of 2.25 g/t, totalling 450,000 ounces of

Indicated Resources, and 3.4 million tonnes of ore grading an average of 1.44 g/t, totalling 160,000

ounces in Inferred Resources.

The Company is supported by a diverse shareholder registry of prominent global institutional investors,

and strategic investment from B2Gold Corp, a leading, multi-million-ounce a year gold producer.

Additionally, AuMEGA holds a 27-kilometre stretch of the highly prospective Hermitage Flexure and has

also secured an Option Agreement for the Blue Cove Copper Project in southeastern Newfoundland,

which exhibits strong potential for copper and other base metals.

Fourth Quarter 2024 Overview

During the December quarter, AuMEGA made significant steps in its exploration activities across its key

projects, including Bunker Hill and Intersection.

At Bunker Hill, the Company completed a till survey and airborne magnetic survey, which identified

multiple anomalies and highlighted the area's potential for future mineralisation. The till survey revealed

peak gold values of 148 ppb and 94 ppb, and the airborne survey further confirmed the structural

complexity of the region, making Bunker Hill a high-priority target for future drilling, set for 2025.

At the Intersection Project, a reconnaissance till survey highlighted the potential for a large, buried

mineralised systems and revealed highly anomalous gold, silver, and copper values.

The Company is integrating these findings into its broader exploration strategy, focusing particularly on

the Bunker Hill Project as a priority project for 2025.

FIGURE 1: AUMEGA PORTFOLIO OF PROJECTS

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_002full.jpg

Exploration Activities

Bunker Hill Project

The Bunker Hill West area is characterised by the east-west trending CRSZ, which displays significant

structural complexity with several major second order splays.

During the Canadian fall of 2024, the Company completed a limited till program over the Bunker Hill

West area

, located at the eastern edge of the Malachite Project and site of the Company's large 2021

geochemistry survey

. The Bunker Hill West till survey included grid lines 400 metres apart with stations

spaced at 100 metres and centred over a cluster of historical high-grade outcropping samples

that

graded 18.67 g/t gold and 12.25 g/t gold.

Till survey results returned peak gold values of 148 ppb and 94 ppb. Importantly, the results revealed a

large, multi-station anomaly located 270 metres from historic high-grade outcrop and float samples,

proximal to a major fault cutting through the CRSZ and trending to the northeast.

Interpretation of the recent airborne magnetic survey announced in October

revealed a dominant north-

northwest striking structure, truncated by the CRSZ proximal to the intersection of the major second order

fault and the historic gold showing. This structure is coincident with till results of 148 ppb and 35 ppb gold

approximately 850 metres south of the CRSZ.

These tills samples are also anomalous in silver and lead, and are coincident with the high-grade gold in

outcrop, with peak silver at 35.3 g/t and lead at 4.2%

. The gold-silver-lead association in both outcrop

and tills as well as the area hosting the confluence of multiple structures represents a high-priority area

for future drilling expected in 2025.

FIGURE 2: OVERVIEW OF BUNKER HILL WEST TARGET & RESULTS

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_003full.jpg

In 2021, the Company completed a high-resolution, airborne magnetic survey over a 44 kilometre stretch

from the Cape Ray and Isle Aux Morts Projects to the boundary limit of the Malachite Project

. In 2024,

the Company continued the high-resolution airborne geophysical survey from Malachite over the Bunker

Hill area, collecting a dataset of magnetic, VLF-EM and radiometric data

The survey consisted of 3,142 line-kilometres over 25 kilometres of strike flown across Bunker Hill for a

total of approximately 170 km

of coverage. Data was acquired at 60-metre line spacing with a sensor

height of 30 metres.

FIGURE 3: BUNKER HILL PRELIMINARY HIGH-RESOLUTION MAGNETIC SURVEY (TOTAL

MAGNETIC INTENSITY (TMI)) WITH PROSPECTING RESULTS (PREVIOUSLY RELEASED)

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_004full.jpg

FIGURE 4: BUNKER HILL PRELIMINARY B/W HIGH-RESOLUTION AIRBORNE MAGNETIC

SURVEY (TOTAL MAGNETIC INTENSITY - FIRST VERTICAL DERIVATIVE)

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_005full.jpg

The preliminary data from the airborne geophysical survey revealed significant structural complexity and

further confirms Bunker Hill as a high-priority Greenfields target for the Company. The entire project area

is structurally unique in the CRSZ corridor anomaly, given its east-west orientation and the geophysical

data demonstrates that the Bunker Hill structural domain is favourable to host large dilation zones

permissive for the ingress of mineralising fluids.

This is observed through the preservation of the thickened Billiards Brook Formation (type equivalent of

the Windsor Point Group – host to Central Zone, Isle aux Morts and Big Pond Deposits

) and intrusive

units such as the Nitty Gritty Granite that have intruded within the sedimentary package and become

entrained within the CRSZ. Recent outcropping results grading up to 17% copper and 19.1 g/t silver from

the Nitty Gritty Granite area further demonstrates the prospectivity of the target. These intrusive units that

have become entrained within the shear zone act as a brittle host, breaking apart and allowing the influx

of mineralising fluids. The area has striking similarities to Calibre's Valentine Project deposits, which are

located on the same structure 80 kilometres away to the northeast.

Large zones of a complex fault mosaic are also observed. These zones consist of major second and

third order splays that are discordant to the regional geology and are observed cutting through

historically mapped units favourable for gold mineralisation such as the iron-rich Cape Ray Fault Gabbro

and the Nitty Gritty Granite. An example of this is the Bunker Hill West Target (see Figure 3) where

previous prospecting and mapping results have identified the presence of a mafic unit that is cut by a

major second order structure with the spatial correlation to gold mineralisation with samples upwards of

18.9 g/t gold

Furthermore, the Billiards Brook Formation, which appears similar to the Windsor Point Group (current

host of the Company's gold mineral resource), is observed to be upwards of two kilometres thick,

representing the thickest occurrence outside of the Company's Central Zone, nearly 50 kilometres away

to the southwest.

Malachite Diamond Drill Program Results

During the 2024 summer field season, the Company completed a small, reconnaissance-style diamond

drill program to test geochemical targets along three interpreted splays identified from the 2024 winter

Reverse Circulation ("RC") bottom-of-hole ("BOH") survey

. The diamond drill program included five

drillholes for approximately 1,100 metres combined

FIGURE 5: MALACHITE RECONNAISSANCE DRILL RESULTS

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_006full.jpg

CRD385 and CRD386 targeted the major east-west striking splay off the CRSZ, which was identified as

potentially being fertile for gold during the winter RC-BOT program. These two scissored holes were

designed to test for primary mineralisation below a BOH RC hole that returned values upwards of 0.63

g/t gold, 1.99% copper and 27.7 g/t silver over 0.9 metres

Diamond hole CRD385 returned peak values of 0.33 g/t gold, 3.93 g/t silver, 2,157 ppm lead and 873

ppm zinc over 0.91 metres. The mineralisation was associated with shearing near the contact of a

granodiorite and mafic intrusive unit, with chlorite alteration observed along the structure.

All other drillholes intersected abundant brittle and ductile structural features throughout with hydrothermal

alteration assemblages and discrete poly-metallic veining observed. No economic mineralisation was

observed in these drillholes.

FIGURE 6: CROSS-SECTION OF CRD385 AND CRD386

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_007full.jpg

The Malachite area displays significant structural complexity and exploration work-to-date, including

limited diamond drilling, has confirmed the presence of gold and copper associated with clear evidence

of hydrothermal fluid activity and large geochemical signatures. While Malachite continues to

demonstrate discovery potential, it will require a larger drill program to test the dozens of structures

across the area. This advanced work will be deferred in favour of Bunker Hill that has returned

significantly higher gold and copper values in outcrop with several discrete areas of high interest.

Intersection Project

During the Canadian summer of 2024, the Company completed a first coarse reconnaissance till survey

over the Intersection Project, located in the far northeast corner of its CRSZ mineral licences, adjacent to

Calibre Mining's recently staked ground on the CRSZ and Eldorado Gold's recently announced joint

venture

The sampling of the glacial till is a proven technique used to make major mineral discoveries, particularly

in areas covered by overburden. A recent example of its effectiveness is by Rupert Resources (TSX:

RUP), where its coarse reconnaissance till surveys in Finland were followed up by RC bottom of hole

drilling, which led them to the Ikkari discovery (4+ million ounce deposit)

The Company's till survey at Intersection consisted of grid lines spaced 800 metres apart with stations

spaced at 100 metres. Results from the survey highlight the potential for large, buried mineralised

systems and the Company's hypothesis is supported by the coarsely spaced sampling grid returning

highly anomalous gold, silver, copper and other pathfinder elements across multiple stations and lines.

These sample points also overlay prospective lithological domains or structural trends.

FIGURE 7: INTERSECTION RECONNAISSANCE TILL RESULTS WITH SOLID GEOLOGY

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_008full.jpg

The largest zone (Target Area 1) of elevated gold is situated adjacent to several major second and third

order structures within the favorable Windsor Point Group, which is the host rock for the Company's high-

grade Central Zone Mineral Resource

. This area of structural complexity is two kilometres in strike and

one and a half kilometres wide and has the largest concentration of gold in till and elevated suite of

pathfinders at Intersection. Till anomalism from this area ranges from 35 to 173 ppb gold across strike

and includes a peak silver value of 5.82 g/t with coincident bismuth and copper anomalism in the 99th

percentile of the survey. Given the highly encouraging results, the Company staked additional licences

adjacent to the northern boundary of the property (Figure 7).

Target Area 2 is observed as having a similar structural position to Target Area 1. It contains a cluster of

gold in-till anomalism with a peak gold value of 31 ppb. These anomalous tills occur over an area that

appears to have several prospective splays off the CRSZ.

Propagating off the eastwards trending major fault named the Gunflap Hills Fault (Hermitage Flexure), is

a series of northeast to (Target Area 3) east-northeast (Target Area 4) trending second and third order

splays that have returned a coincident anomalous gold-in-till signature with values upwards of 49 ppb

gold and continues for over seven kilometres and four kilometres along strike respectively. The

Company is currently assessing the potential of this unit for gold mineralisation as all historic exploration

was focused on base metals.

Overall, the Company is seeing a gold association with silver-bismuth-copper. This association was

recognised from the previously released Bunker Hill prospecting program earlier this summer

. This

geochemical association is further compounding Intersection's position as a critical piece in the

Company's district-scale portfolio.

Hermitage Gold and Antimony Project

The Company's Hermitage property consists of 27 kilometres of continuous strike along the large crustal

scale suture zone between the Dunnage and Gander zones, known as the Hermitage Flexure.

Regionally, the Dunnage zone contains volcanic packages hosting turbidite sequences, which are

considered regionally prospective for hosting gold deposits throughout Newfoundland, and globally in

places such as the Bendigo Terrane in Victoria, Australia, including Agnico Eagle's prolific Fosterville

gold mine, also in Victoria.

FIGURE 8: OVERVIEW OF THE HERMITAGE PROJECT DISPLAYING THE PROJECT'S

TARGET BLOCKS AND KEY GOLD SHOWINGS

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/10713/239220_188a8a7d84dcaa0b_009full.jpg

2025 Exploration Program

Subsequent to the end of the quarter, the Company announced an expansive 2025 exploration, including

major drill program on highly prospective projects, mainly Bunker Hill.

Bunker Hill Project

The Bunker Hill Project is the primary focus of the Company's 2025 exploration program and will receive

← Back to feed