BVA.V · 2022-12-08 12:00:00

Bravada Reports 38% IRR and US$46.1 Million

Economic Studies

After-Tax NPV@5% for Phase I PEA at Wind

Mountain Au/Ag Project, Nevada; Additional

Leach-Pad Site Being Evaluated for Phase II

Highlights

The

Phase I PEA

includes a 30.3million ton capacity leach pad, roughly 62% of the updated, Pit-

constrained Resource tons, taking advantage of a leach-pad site adjacent to the modeled open

pit.

A potential

Phase II pad site

directly north of Phase I is being evaluated to include additional Pit-

constrained Resource as well as adjacent, under-drilled outcropping mineralization at North Hill.

The PEA and Pit-constrained Resource were modeled with 3-year, trailing average prices of

$1,750 for gold

and

$21 for silver.

The

Pit-constrained Resource

consists of:

46million tons at 0.010 oz Au per ton and 0.26 oz Ag per ton containing

474,000ounces of

and

11,807,000ounces of Ag

in the

Indicated Category

; and

2.6million tons at 0.008 oz per ton Au and 0.19 oz Ag per ton containing

21,900ounces of

and

497,000ounces of Ag

in the

Inferred Category

The Phase I PEA consists of

96% of the gold ounces in the

Indicated Resource

Category

acceptable for Pre-feasibility study.

Compared to the Company's independent 2012 Resource/PEA study

, the Phase I PEA

considers only a portion of the pit-constrained Resource that will fit onto a restricted area available

as a close-in heap-leach pad site; 30.3million tons (31% less than the 2012 model, which utilized a

pad space located much farther from the mine) and produces 227,000 ounces of Au-eq (29% less

than the 2012 model pit).

Even with fewer tons being mined,

Initial Capital

increased by 3% to

$46MM

, with most of the

Sustaining Capital in year 3.

The

strip ratio

was reduced by 23% to

0.55:1

waste to ore and the

payback period

was reduced

15% to

1.9 years

in the current Phase I study.

Higher grades predicted and then verified by

2021 drilling

resulted in better grades in early years

and conversion of certain Inferred blocks into Indicated blocks, improving economics.

The strip ratio may be reduced further with additional test work as 1.1million tons of historic "waste

rock" that must be removed in Phase I can be removed and stored on a

low-grade stockpile

. The

material is currently not considered part of the Resource but limited sampling and drilling suggest it

may contain recoverable gold, which may be processed on the Phase I heap pad.

The

economics

of the Phase I PEA have

improved significantly

compared to the 2012 PEA

despite higher costs for capital and many operating costs. The

AFTER-TAX IRR is 38%

(an 81%

improvement over the 2012 IRR of 21%) and the

AFTER-TAX NPV @5% discount is

$46.1million

(a 74% improvement over the earlier NPV @5% of $26.5MM).

Vancouver, British Columbia--(Newsfile Corp. - December 8, 2022) -

Bravada Gold

Corporation

(TSXV: BVA) (the "Company" or "Bravada")

reports the results of an updated,

independent Resource and Phase I Preliminary Economic Assessment (PEA) for its

Wind Mountain

Gold/Silver Property

in Washoe County, Nevada.

Economics have

improved significantly

compared to the Company's 2012 study due to utilizing a

near-mine, heap-leach pad site for a portion of the Pit-constrained resource and higher grades for early

mining, which were predicted and then verified by drilling during 2021. To add additional mine life, a

Phase II pad site has been identified due north of the Phase I site, and although somewhat farther from

the currently identified Pit-constrained resource, it is located very close to outcropping mineralization at

the North End target area, which has only been tested with minor drilling. Other potential additions to

mine life that the Phase I PEA did not consider include mineralization at the South End deposit and

historic "waste rock piles" where the Company has identified potentially recoverable gold and silver.

Total Pit-constrained Resource

After verifying and slightly modifying the Wind Mountain 2012 Global Resource based on subsequent

drilling, which was confirmed to within <1%, a total Pit-constrained Resource was calculated by

RESPEC Company, LLC ("RESPEC", formerly Mine Development Associates) utilizing the 3-year

trailing-average, base-case price of US$1,750 per ounce of gold and $21 per ounce of silver. Results

are tabulated below.

2022 - Constrained in $1750 Gold Price Optimized Pit

Indicated

Cutoff

Au/ton

Tons

Au/T

Ag/T

oz Au

oz Ag

variable

45,583,000

0.010

0.26

474,000

11,807,000

Inferred

Cutoff

Au/ton

Tons

Au/T

Ag/T

oz Au

oz Ag

variable

2,604,000

0.008

0.19

21,900

497,000

Notes:

The Effective Date of the Wind Mountain mineral resources is October 4, 2022.

The estimate of mineral resources was done by RESPEC in Imperial tons.

Mineral Resources comprised all model blocks at a 0.006oz Au/ton cut-off for Oxide within an

optimized pit and 0.014oz Au/ton for Mixed and Unoxidized within an optimized pit.

The project mineral resources are block-diluted Mineral Resources potentially amenable to open

pit mining methods and reported within optimized pits using a gold price of US$1,750/oz, a silver

price of US$21/oz and a throughput rate of 20,000 tonnes/day. Assumed metallurgical recoveries

for gold are 62% for oxide, 20% for mixed and 15% for unoxidized. Assumed metallurgical

recoveries for silver are 15% for oxide and 0% for mixed and unoxidized., Mining costs of

US$2.75/tonne mined, heap leach processing costs of US$3.17/tonne processed, general and

administrative costs of $0.57/tonne processed.

Gold and silver commodity prices were selected

based on analysis of the three-year running average.

Material in waste dumps and heap leach pads are NOT included in the current model and

resource.

Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.

The estimate of mineral resources may be materially affected by geology, environmental,

permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.

Rounding may result in apparent discrepancies between tonnes, grade, and contained metal

content.

Phase I PEA for a Close-in Heap-leach Site

The Phase I PEA assumes open-pit, contract mining with conventional trucks and shovels and run-of-

mine leaching. The base-case economic model(1) is summarized below in US dollars and Imperial units

(some values rounded):

Resource inside the pits for Phase I PEA =

29.2 million tons of Indicated Resource @ 0.011 oz Au/t

& 0.267 oz Ag/t and 1.08 million tons of Inferred Resource at 0.009 oz Au/t and 0.173 oz Ag/t, both at a

cut-off grade of 0.008 oz Au/t. Oxide mineralization = 30.2 million tons and Mixed oxide/sulfide = 0.01

million tons.

Gold & Silver Ounces mined

= 344,000 oz Au and 7,975,000 oz Ag.

Gold & Silver Ounces produced =

213,000 oz Au (recovery 61.9%) & 1,194,000 oz Ag (recovery

15%) or 227,000 oz Au-eq

(2)

Waste: Ore Strip ratio =

0.55:1

Capital =

Initial capital of $46.6 million with $19.8 million sustaining capital

Mine Life =

approximately 4.2 years of mining

After-tax Payback Period =

1.8 years

Life-of-mine cash cost

(

$1,045 per ounce Au

All-in Sustaining Costs =

$1,175 per ounce Au

After-tax IRR = 38

After-tax NVP@5% =

$46.1 million

(1)

Canadian NI 43-101 guidelines define a PEA as follows:

"A preliminary economic assessment is preliminary in nature and it includes inferred

mineral resources that are considered too speculative geologically to have the economic considerations applied that would enable them to be

classified as mineral reserves, and there is no certainty that the preliminary assessment will be realized. Mineral resources that are not mineral

reserves do not have demonstrated economic viability."

(

Expected recoveries were incorporated to convert silver to gold equivalent (Au-eq) at 345 Ag:1 Au ($1,750 x 61.9% divided by ($21 x 15%))

(

Costs include estimated Nevada Net Proceeds taxes, property taxes, estimated corporate income tax, and treats silver as a by-product credit.

Sensitivity studies by RESPEC are presented in the table below. RESPEC notes that additional studies

such as further metallurgical studies to evaluate crushing higher-grade portions of the deposit and grid

drilling to delineate economic portions of the previously mined "waste rock", which are given no value in

the current model, could further enhance the economics. For example, RESPEC notes that 1.1million

tons of historic mine waste is currently classified as "waste" and must be removed during Phase I

mining; however, results of limited drilling, surface sampling, and trenching by Bravada suggest the

material contains potentially recoverable gold. RESPEC and Woods recommends that the material be

placed in a stockpile for additional study or utilized as over liner on the leach pads; the material

potentially would be added to the currently designed Phase I pad to further reduce the strip ratio and

increase positive economics.

Metal Price

(Cash Flow and Net Present Value in US$000)

Au Price

Ag Price

Undiscounted CF

NPV @ 5%

NPV @ 8%

NPV @ 10%

IRR

$ 1,600

$ 19.20

$ 35,490

$ 23,426

$ 17,656

$ 14,302

22%

$ 1,650

$ 19.80

$ 44,419

$ 30,968

$ 24,509

$ 20,744

28%

$ 1,700

$ 20.40

$ 53,433

$ 38,576

$ 31,417

$ 27,237

33%

$ 1,750

$ 21.00

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

$ 1,800

$ 21.60

$ 70,801

$ 53,239

$ 44,736

$ 39,755

43%

$ 1,850

$ 22.20

$ 79,280

$ 60,399

$ 51,242

$ 45,871

48%

$ 1,900

$ 22.80

$ 87,855

$ 67,641

$ 57,822

$ 52,057

53%

Revenue

Undiscounted CF

NPV @ 5%

NPV @ 8%

NPV @ 10%

IRR

70%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

80%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

90%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

100%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

110%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

120%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

130%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

Operating Cost

Undiscounted CF

NPV @ 5%

NPV @ 8%

NPV @ 10%

IRR

70%

$ 123,722

$ 98,006

$ 85,454

$ 78,061

74%

80%

$ 103,996

$ 81,368

$ 70,348

$ 63,866

63%

90%

$ 83,401

$ 63,942

$ 54,496

$ 48,952

51%

100%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

110%

$ 40,221

$ 27,371

$ 21,211

$ 17,626

25%

120%

$ 17,990

$ 8,559

$ 4,098

$ 1,525

11%

130%

$ (4,240)

$ (10,254)

$ (13,015)

$ (14,575)

-3%

Capital Cost

Undiscounted CF

NPV @ 5%

NPV @ 8%

NPV @ 10%

IRR

70%

$ 81,761

$ 64,349

$ 55,849

$ 50,842

67%

80%

$ 75,281

$ 58,258

$ 49,976

$ 45,107

55%

90%

$ 68,801

$ 52,168

$ 44,102

$ 39,373

46%

100%

$ 62,322

$ 46,077

$ 38,229

$ 33,638

38%

110%

$ 55,593

$ 39,782

$ 32,173

$ 27,733

31%

120%

$ 48,736

$ 33,380

$ 26,022

$ 21,741

26%

130%

$ 41,878

$ 26,979

$ 19,872

$ 15,748

21%

President Joe Kizis commented,

"We have taken a phased approach to development at Wind

Mountain. Phase I takes advantage of a pad space adjacent to the modelled mining operation. The

increased grade verified in the Breeze pit area by drilling during 2021 provides increased cash flow

during the early years of production, providing the benefit that cash flow should fund sustaining capital

required in year 3. The 2022 Pit-constrained resource would be depleted by about 62% during Phase I

and a probable Phase II pad site has been identified north of the Phase I pad. Capital costs to activate

Phase II should be reasonable and potentially funded by cash flow. There are several fault blocks of

outcropping mineralization based on surface sampling uphill from the Phase II pad that have not been

tested by drilling except for results from several encouraging shallow drill holes at North Hill. Although

the North Hill targets are not expected to contain a large number of ounces, they would be very

inexpensive to mine due to being at or near surface and to transport to an adjacent Phase II pad.

We focused on the Phase I area first because it contains better-than-average grades in the early years

of the mine plan and has been drill tested to mostly oxidized Indicated categories, so it could be

potentially quickly upgraded to Reserve Category with a Pre-feasibility study. Operational advantages

for development of Wind Mountain include its location in a sparsely populated region of northwestern

Nevada (less than a 2-hour drive from Reno), county-maintained roads, power lines to the property,

location six miles from a geothermal power station, and no known environmental or archaeological

impediments."

RESPEC, Woods Process Services, and Debra Struhsacker, Bravada's Environmental Permitting and

Government Relations Consultant, compiled the technical report. Thomas Dyer, P.E. is a Principal

Engineer for RESPEC and is responsible for sections of the technical report involving mine designs and

the economic evaluation; Michael Lindholm, C.P.G., is a Principal Geologist for RESPEC, and is

responsible for the sections involving the Mineral Resource estimate; Jeffery Woods, SME MMSA QP,

is an independent Principal Consulting Metallurgist with Woods Process Services and is responsible for

the sections on process 13, 17 and 21. The PEA relies on Debra Struhsacker as an expert in permitting.

Thomas Dyer, Michael Lindholm and Jeffery Woods are the Qualified Persons of the technical report for

the purpose of Canadian NI 43-101, Standards of Disclosure for Economic Analyses of Mineral

Projects.

A Technical Report covering both the Phase I PEA and the updated Pit-constrained Resource will be

filed with SEDAR within 45 days, as per NI-43-101 regulations.

About Wind Mountain

The past-producing Wind Mountain gold/silver project is located approximately 160km northeast of

Reno, Nevada in a sparsely populated region with excellent logistics, including county-maintained road

access and a power line to the property. AMAX Gold/Kinross Gold recovered nearly 300,000 ounces of

gold and over 1,700,000 ounces of silver between 1989 and 1999 from two small open pits and a heap-

leach operation (reported data based on Kinross Gold files). Rio Fortuna Exploration (U.S.) Inc., a wholly

owned US subsidiary of Bravada Gold Corporation, acquired 100% of the property through an earn-in

agreement with Agnico-Eagle (USA) Limited, a subsidiary of Agnico-Eagle Mines Limited, which retains

a 2% NSR royalty interest, of which 1% may be purchased for $1,000,000 at any time prior to

commencement of production (purchase to reduce royalty is assumed in PEA calculations). The

resource and PEA for Wind Mountain were updated in April 2012 and further updated in November

2022.

About Bravada

Bravada is an exploration company with a portfolio of high-quality properties in Nevada, one of the best

mining jurisdictions in the World. Bravada has successfully identified and advanced properties with the

potential to host high-margin deposits while successfully attracting partners to fund later stages of project

development. Bravada's value is underpinned by a substantial gold and silver resource with a positive

PEA at Wind Mountain, and the Company has significant upside potential from possible new

discoveries at its exploration properties.

Since 2005, the Company entered into 32 earn-in joint-venture agreements for its properties with 19

publicly traded companies, as well as a similar number of property-acquisition agreements with private

individuals. Bravada currently has 10 projects in its portfolio, consisting of 810 claims for approximately

6,500 ha in the Battle Mountain/Eureka and Walker Lane Trends, two of Nevada's most prolific gold

trends. Most of the projects host encouraging drill intercepts of gold and already have drill targets

developed. Several videos are available on the Company's website that describe Bravada's major

properties, responding to investor's commonly asked questions. Simply click on this link

https://bravadagold.com/projects/project-videos/

Joseph Anthony Kizis, Jr. (AIPG CPG-11513) is the qualified person for the Company and is

responsible for reviewing and preparing the technical data presented in this release and has approved

its disclosure.

-30-

On behalf of the Board of Directors of Bravada Gold Corporation

"Joseph A. Kizis, Jr."

Joseph A. Kizis, Jr., Director, President, Bravada Gold Corporation

For further information, please visit Bravada Gold Corporation's website at

bravadagold.com

or contact

the Company at 604.684.9384 or 775.746.3780.

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.

This news release may contain forward-looking statements including but not limited to comments

regarding the timing and content of upcoming work programs, geological interpretations, receipt of

property titles, potential mineral recovery processes, etc. Forward-looking statements address future

events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ

materially from those currently anticipated in such statements. These statements are based on a

number of assumptions, including, but not limited to, assumptions regarding general economic

conditions, interest rates, commodity markets, regulatory and governmental approvals for the

company's projects, and the availability of financing for the company's development projects on

reasonable terms. Factors that could cause actual results to differ materially from those in forward

looking statements include market prices, exploitation and exploration successes, the timing and

receipt of government and regulatory approvals, and continued availability of capital and financing

and general economic, market or business conditions.

Bravada Gold Corporation does not assume

any obligation to update or revise its forward-looking statements, whether as a result of new

information, future events or otherwise, except to the extent required by applicable law.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/147331

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