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Azimut drills 3.15 g/t Au over 102.0 m including 10.1 g/t Au over 20.5 m at the Patwon Prospect, Elmer Gold Property, James Bay

Drill Results

Azimut drills 3.15 g/t Au over 102.0 m including

10.1 g/t Au over 20.5 m at the Patwon

Prospect, Elmer Gold Property, James Bay

Region, Quebec

Symbol: AZM.TSX Venture

LONGUEUIL, QC

,

Jan. 14, 2020

/CNW Telbec/ -

Azimut Exploration Inc.

("Azimut" or the

"Company") (

TSXV: AZM

) is pleased to report the

discovery of substantial gold mineralization in

multiple drill hole intersections, including frequent high-grade intervals, in all seven (7) holes

of its maiden diamond drilling program on the

100% owned Elmer Property

(the "Property") in the

James Bay

region of

Quebec

. Significant additional drilling will be required to define the true width

and extent of this discovery. The Patwon Prospect is part of a larger 7-kilometre-long high-potential

target zone on the Property (

see Figures 1 to 3

). A ground geophysics survey (induced polarization)

is currently underway over the discovery area and its vicinity to prepare for a more comprehensive

upcoming drilling program.

The results from this initial phase of drilling indicates that gold-bearing mineralization occurs in three

different orientations: 1) along an extensive set of veins

oblique

to the schistosity; 2) parallel to the

schistosity; and 3) as flat-lying veins. Drill holes were oriented to intersect the three types of veins.

Azimut's management considers these results to be among the most significant gold exploration

results in the

James Bay

region since the 2004 discovery of the Éléonore deposit by

Virginia Gold

Mines

. The Éléonore mine is currently owned and operated by Newmont.

HIGHLIGHTS

(

see Tables 1 and 2, Figures 1 to 8

)

Hole ELM19-001

0.62 g/t Au over 101.3 m

(from 13.5 m to 114.8 m) including:

0.78 g/t Au over 32.0 m

(from 27.4 m to 59.4 m)

2.45 g/t Au over 8.0 m

(from 85.0 m to 93.0 m)

Hole ELM19-002

3.15 g/t Au over 102.0 m

(from 34.0 m to 136.0 m) including:

5.15 g/t Au over 9.0 m

(from 33.5 m to 42.5 m)

1.10 g/t Au over 28.5 m

(from 58.7 m to 87.2 m)

10.1 g/t Au over 20.5 m

(from 96.5 m to 117.0 m)

including

12.43 g/t Au over 6.0 m

(from 99.5 m to 105.5 m)

and

107.0 g/t Au over 1.0 m

(from 116.0 m to 117.0 m)

3.22 g/t Au over 11.0 m

(from 125.0 to 136.0 m)

Hole ELM19-003

2.84 g/t Au over 108.2 m

(from 34.3 m to 142.5 m) including:

27.36 g/t Au over 4.7 m

(from 34.3 m to 39.0 m)

including

254.0 g/t Au over 0.5 m

(from 34.3 to 34.8 m)

4.65 g/t Au over 29.0 m

(from 65.5 m to 94.5 m)

including

16.0 g/t Au over 6.5 m

(from 78.0 m to 84.5 m)

2.2 g/t Au over 7.6 m

(from 109.3 m to 116.9 m)

1.66 g/t Au over 6.0 m

(from 121.0 m to 127.0 m)

1.08 g/t Au over 11.0 m

(from to 131.5 m to 142.5 m)

Hole ELM19-004

1.68 g/t Au over 97.0 m

(from 5.0 m to 102.0 m) including:

4.16 g/t Au over 15.5 m

(from 5.0 m to 20.5 m)

7.85 g/t Au over 5.5 m

(from 25.5 m to 31.0 m)

including

80.0 g/t Au over 0.5 m

(from 25.5 m to 26.0 m)

3.78 g/t Au over 11.0 m

(from 44.5 m to 55.5 m)

including

59.5 g/t Au over 0.5 m

(from 51.2 m to 51.7 m)

Hole ELM19-005

1.54 g/t Au over 54.1 m

(from 28.4 m to 82.5 m) including:

29.8 g/t Au over 0.5 m

(from 28.4 m to 28.9 m)

2.53 g/t Au over 13.5 m

(from 50.0 m to 63.5 m)

3.91 g/t Au over 5.6 m

(from 74.8 m to 80.4 m)

including

37.0 g/t Au over 0.5 m

(79.9m to 80.4 m)

Hole ELM19-006

1.15 g/t Au over 129.0 m

(from 5.0 m to 134.0 m) including:

3.38 g/t Au over 25.3 m

(from 69.2 m to 94.5 m)

including

121.0 g/t Au over 0.5 m

(from 70.2 m to 70.7 m)

1.49 g/t Au over 33.5 m

(from 100.5 m to 134.0 m)

including

64.9 g/t Au over 0.5 m

(from 104.6 m to 105.1 m)

Hole ELM19-007

1.93 g/t Au over 82.0 m

(from 21.0 m to 103.0 m) including:

3.46 g/t Au over 44.1 m

(from 30.0 m to 74.1 m)

including

13.09 g/t Au over 6.6 m

(from 34.4 m to 41.0 m)

and

25.35 g/t Au over 1.9 m

(from 45.4 m to 47.3 m)

_________________________

Based on previously reported surface information (see press releases of

July 16

,

September 19

,

October 22

and

November 28, 2019

), the objectives of the 996-metre core-oriented drill program

were to:

Cut perpendicularly the

main vein system striking NW-SE

, with six holes totalling 849

metres (holes ELM19-001 to 006) in two parallel 40-metre-spaced drill sections of three drill

holes each; and

Cut perpendicularly

shear veins striking NE-SW subparallel to the schistosity

with one

hole (ELM19-007,

147 m

); schistosity is roughly parallel to the fabric of the magnetic gradient

and to lithological contacts (

see Figure 4

).

The drilling program provided the following critical preliminary information:

Gold mineralization is related to different sets of quartz veins and veinlets and their wall rocks,

and more locally to metre-scale hydrothermal breccias. Quartz veining seems to be principally

related to a felsic intrusion, either at or close to the lithological contacts between the intrusion

and the surrounding mafic volcanics and gabbros.

Three sets of quartz veins contain gold, two of which corroborate surface observations:

Subvertical veins striking NW-SE (main system);

Veins striking NE-SW, subparallel to the schistosity and dipping 65

o

to 80

o

to the north; and

Subhorizontal veins so far observed in drill core only.

Variable amounts of pyrite (1% to 30%) are present as coarse-grained disseminations or

centimetric stringers, both forms associated with quartz veining and their wall rocks.

Native gold grains are frequent, generally associated with quartz veins, or as isolated grains in

pyrite stringers (

see Table 2

).

Gold-bearing facies are accompanied by pervasive silica, chlorite, sericite and carbonate

alteration, and occasionally by tourmaline seams in quartz veins.

The following interpretation at this early discovery stage is based on the results of 7 drill holes

and detailed surface sampling:

Mineralization has been recognized over a

200 metres length

(open laterally to the NE and

SW) with an apparent width at surface ranging from

50 to 70 metres

;

Mineralization is known down to

100 metres

, open at depth;

The principal control on mineralization appears to be a dextral NE-SW shear zone

generating two main vein sets: NE-SW shear veins and NW-SE extensional veins (Riedel

type);

Both vein types commonly display sulphide-rich wall rocks; and

The intensity of quartz veining in the felsic intrusion may be partly controlled by the

rheologic contrast with the surrounding mafic host rocks.

The detailed geometric relationships between drill hole intercepts will be better defined with

further data analysis and additional drilling.

The Patwon Prospect, located in a central position on the Property, has

potential kilometre-

scale strike extensions that have seen very little exploration

. Two high-grade occurrences

(

25.2 g/t Au over

1.0 m

,

12.65 g/t Au

), respectively 270 metres and 840 metres SW of

Patwon, underscore the potential of this area, which is part of a larger

7-kilometre-long high-

potential target zone

(

see Figures 2 and 3

).

A detailed induced polarization survey is currently underway over all three prospects on a 2.1

kilometre by 0.7 kilometre grid (

see Figure 3

). It is expected that this survey will be an efficient

method to generate quality drill targets.

The Elmer Property and the adjacent wholly owned Duxbury Property provide Azimut with a

controlling position over a 35-kilometre-long segment of a prospective greenstone belt. Both

properties were staked following the Company's predictive modelling for gold in the

James Bay

region using its proprietary

AZtechMine

TM

expert system.

Elmer comprises 276 claims covering 145.4 km

2

over a 22-kilometre strike length. Duxbury, located

to the east, covers a further 13 km along strike. The projects are located 285 kilometres north of

Matagami

, 60 kilometres east of the municipality of

Eastmain

, and 20 kilometres west of the paved

James Bay Road. The region benefits from quality infrastructure that includes major access roads, a

hydro-power grid and airports.

Drilling contract and analytical protocol

The drilling contract was awarded to Chibougamau Drilling Ltd based in

Chibougamau, Quebec

. The

hole diameter is BTW. Drilling took place from

November 19 to November 30, 2019

.

Drill core samples were sent to ALS Minerals in

Val-d'Or, Quebec

. Gold was analyzed by fire assay

with atomic absorption and gravimetric finish for grades above 3.0 g/t Au. Samples were also

analyzed for a 48-element suite using ICP. Azimut applied industry-standard QA/QC procedures to

the program. Certified reference materials, blanks and field duplicates were inserted in all drill core

shipments to the laboratory.

This program has been made possible thanks to the financing completed in fall 2019 which involved

the following six

Quebec

institutional funds:

Capital régional et coopératif Desjardins, CDPQ

Sodemex Inc., Fonds de solidarité FTQ, Fonds régionaux de solidarité FTQ Nord-du-Québec,

SIDEX s.e.c.

and

Société de développement de la

Baie James

.

This press release was prepared by Dr.

Jean-Marc Lulin

, P.Geo., acting as Azimut's qualified

person under National Instrument 43-101. The field program is under the direction of François

Bissonnette, P.Geo., Operations Manager, and Dr.

Martin Tuchscherer

, P.Geo., Chief Geologist.

About Azimut

Azimut is a mineral exploration company whose core business is target generation and partnership

development. The Company uses a pioneering approach to big data analytics (the proprietary

AZtechMine

TM

expert system) enhanced by extensive exploration know-how. Azimut maintains

rigorous financial discipline and has 58.5 million shares outstanding.

Azimut holds the largest mineral exploration portfolio in

Quebec

. The Company's edge against

exploration risk is founded on systematic regional-scale data analysis and multiple concurrently

active projects. This includes two regional strategic alliances with SOQUEM for six (6) gold

properties in the

James Bay

region and three (3) major gold-copper properties in the Nunavik region.

Azimut's other high-potential properties in the

James Bay

region comprise:

4 gold properties in the Eleonore camp (Eleonore South JV, Opinaca A, Opinaca B, Opinaca

D);

6 copper and copper-gold properties with strong regional-scale footprints (Kukamas, Masta,

Corvet, Kaanaayaa, Corne, Mercator).

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

SOURCE

Azimut Exploration Inc.

View original content:

http://www.newswire.ca/en/releases/archive/January2020/14/c7055.html

%SEDAR: 00003284E

For further information:

Jean-Marc Lulin, President and CEO, Tel.: (450) 646-3015 - Fax: (450)

646-3045, [email protected], www.azimut-exploration.com

CO: Azimut Exploration Inc.

CNW 09:30e 14-JAN-20