Frankfurt and Berlin Exchanges: EMLM EMGOLD PROVIDES EXPLORATION UPDATE FOR ITS NEVADA AND QUEBEC PROPERTIES
EMGOLD MINING CORPORATION
Suite 1015 – 789 West Pender Street
Vancouver, B.C. V6C 1H2
www.emgold.com
February 23, 2021 TSX Venture Exchange: EMR
OTC: EGMCF
Frankfurt and Berlin Exchanges: EMLM
EMGOLD PROVIDES EXPLORATION UPDATE
FOR ITS NEVADA AND QUEBEC PROPERTIES
Vancouver, British Columbia - Emgold Mining Corporation (TSX -V: EMR) ( “Emgold” or the
"Company") provides the following update of exploration activities for its properties in Nevada and
Quebec.
Golden Arrow Gold and Silver Property, NV
The Golden Arrow property is an advanced stage gold and silver exploration property located near
Tonopah. The property has a measured and indicated resource of 12.2 million tons at 0. 024 opt Au and
0.33 opt silver containing 296,500 oz Au and 4.0 million oz Ag and an inferred resource of 3.8 million tons
at 0.013 opt Au and 0.33 opt Ag containing 50,400 oz Au and 1.2 million oz Ag (as defined by the Canadian
Institute of Mining Metallurgy, and Petroleum Defin ition Standards on Mineral Resources and Reserves
and described in National Instrument 43 -101 document Amended 2018 Updated Technical Report on the
Golden Arrow Property, Nye County, Nevada U.S.A., report date September 24, 2018, effective date
August 28, 2018, available under the Company’s corporate filings at www.sedar.com). A silver to gold
ratio of 55 to 1 and variable cut off grades of 0.01 opt Au for oxide and 0.015 opt Au for unoxidized material
was used in this calculation.
Emgold recently staked 137 claims and expanded the property to 17 patented claims and 494 unpatented
claims totaling approximately 10,000 acres. The Company just completed an airborne magnetic and
radiometric geophysical survey. In addition, the Company in in the process of completing:
• An induced polarization and resistivity ground geophysical survey – field work ongoing.
• A soil sampling program over two prospective exploration areas – field work complete, soil
samples processed, and samples sent to a laboratory for analysis.
Results from the above work are expected near the end of the first quarter of 2021.
Emgold plans to analyze the combined results from this exploration activity to identify new exploration
targets on the property to the south of the existing Gold Coin and Hidden Hill resource areas . The goal is
to identify new areas for exploration (drilling) that have potential for resource generation. Note there is
currently an approved Plan of Operations and Environme ntal Assessment completed for Golden Arrow.
The Plan contemplate s approximately 240,000 feet of drilling in up to 240 -hole to explore for gold
mineralization in the 1,400-acre area surrounding the Gold Coin and Hidden Hill resources.
Emgold’s plan, subject to exploration success, financing, and other factors is to complete additional drilling
at Golden Arrow with the goal of ultimately doubling the size of the current resource.
New York Canyon Copper Property, NV
The New York Canyon property is an advanced stage copper exploration property near Hawthorne. It has
a historic indicated resource of 16.3 million tons of 0.43% Cu hosting 139.7 million pounds of Cu and an
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inferred resource of 2. 9 million tons of 0.31% Cu at a cut -off grade of 0.20% Cu hosting 18.2 million
pounds of Cu (see Technical Report on the New York Canyon Copper Project, Nevada USA dated April 6,
2010, available under Searchlight Resources Inc. corporate filings at www.sedar.com for details). Emgold
has not done sufficient work to classify this historical estimate as a current resource as defined by NI 43-
101 and the Company is not treating this historical estimate as a current res ource. The Technical Report
provides a useful guide for exploration.
The property consists of 21 patented claims and 417 unpatented claims totaling approximately 8,700 acres.
Kennecott Exploration Inc., (“KEX”), a subsidiary of Rio Tinto plc (“ NYSE:RIO”) has an Earn-In with
Option to Joint Venture Agreement with Emgold whereby KEX has a series of options to earn up to a 75%
interest in the property by making expenditures of US$22.5 million.
Since signing the agreement in 2020, KEX has been reviewing and analyzing historical information on the
property and has obtained a drilling permit. The Permit allows for drilling and other exploration activities
to be conducted on the Property under a Notice of Intent (the “NOI”). Any surface disturbance on Bureau
of Land Management (“ BLM”) lands, subject to the NOI, is limited to less than five acres. The Permit
allows drilling to occur after October 1, 2020 with an anticipated project duration of two years. KEX has
also completed reclamation bonding for the planned drilling program. Emgold expects KEX will start
drilling activities on the property in first quarter 2021.
Mindora Gold, Silver, and Base Metal Property, NV
The Mindora Property is a gold/silver and base metal property located 20 miles southeast of Hawthorne
and approximately 12 miles from Emgold’s New York Canyon Property. The gold -silver zone is in an
epithermal, carbonate-hosted, structurally controlled deposit in the Luning Limestone Formation. The gold-
silver zone overlies a porphyry system with molybdenum mineralization. There is also evidence of copper
skarn and copper porphyry mineralization on the property. The property was explored in the 1980’s and
1990’s with over 42,000 feet of drilling.
Emgold recently staked 117 unpatented claims at Mindora, expanding the property size to 147 unpatented
claims totaling about 2,940 acres. The Company just completed an airborne magnetic and radiometric
geophysics survey covering the property. In addition, the Company in in the process of completing a soil
sampling program over the eastern half of the claim block – field work complete, soil samples processed,
and samples sent to a laboratory for analysis.
Emgold plans to complete an induced polarization and resistivity ground geophysical survey in the future.
The Company is currently reviewing and creating a drill -hole, survey, and assay database from historic
drilling and plans to create a 3-D geologic and 3 -D drill model for the property. Once the model s are
complete and the results from the geophysics and soil sampling programs are analyzed, Emgold plans to
permit and conduct drilling on the property. The initial drill program will be used to confirm historic
drilling results and test the 3-D geologic model.
Koegel Rawhide Gold and Silver Property, NV
The Koegel Rawhide property is an early -stage gold-silver prospect in the Walker Lane gold belt near
Fallon. It is four miles south of the operating Rawhide Mine (aka Denton Rawhide Mine) which has
produced 1.8 million oz of Au and 14.9 million oz Ag from 1990 through 2019 (source: Nevada Bureau of
Mines annual publications) . Note that the proximity of Koegel Rawhide to Rawhide Mine does not
guarantee exploration success or that mineral resources or reserves will be delineated on the property.
Emgold recently completed an airborne magnetic and radiometric geophysics survey over the 36 unpatented
claims and results from the study are expected in first quarter 2021 . The property has an alteration zone
that is about 6,000 feet long and 500 feet wide that is a prospective exploration area. The goal of the survey
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is to identify gold and silver exploration targets in this area and to better define a known exploration target
called the T-10 Zone.
Based on the results of th e survey, Emgold’s next steps will be to conduct a soil sampling program and
potentially an IP and resistivity ground geophysics study on the property. Once these studies are complete
and analyzed, plans are to permit and test -drill the T -10 Zone and other targets that may be identified
through ongoing exploration.
Casa South Gold Property, QC
The Casa South Property is located south of an abutting Hecla Mining Corporation’s (“NYSE:HL”)
operating Casa Berardi Mine, The Casa South property is an early stage exploration property consisting of
204 mineral claims and is approximately 11,400 ha in size.
Casa Berardi Mine has produced over 2.5 million ounces of gold from 1988 to the end of 2018 (source:
Technical Report for the Casa Berardi Mine, Northwestern Quebec, Canada, Effective Date December 31,
2018, Filed April 1, 2019 available under Hecla’s corporate filings at www.sedar.com). In 2019, Casa
Berardi Mine produced 121,493 oz Au (source: Hecla press release dated January 13, 2021 available under
that company’s corporate filings at www.sedar.com). Note the proximity of Casa South to Casa Berardi
Mine does not guarantee exploration success or that mineral resources or reserves will be delineated at Casa
South.
Emgold has completed a drone magnetic geophysics survey over the entire 110 sq. km. property. Deposits
in the area are covered with glacial till and geophysics is a critical exploration tool to identify exploration
targets. The results of the field work from the drone magnetic survey are currently being analyzed and will
be used to define targeted areas for further geophysics work (induced polarization and resistivity ground
geophysics studies or other geophysics) and/or drill targets.
East-West Gold Property, QC
The East -West Property is located in the Val d’Or Mining Camp on strike, west of, and adjacent to
Wesdome Gold Mines Ltd.’s (TSX:WDO) Kiena Complex Property, which hosts the past producing Kiena
Mine. The Kiena Complex produced more than 1.8 million ounces of gold from 1981 to 2013 (source:
Westdome website) and has a permitted 2,000 tonne per day milling and refining complex currently on care
and maintenance. One June 25, 2020, Wesdome announced a positive Preliminary Economic Assessment,
prepared in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects
(“NI 43-101”) for its Kiena Mine Complex Project (see Wesdome’s press release dated June 25, 2020 under
that company’s corporate filings at www.sedar.com).
It is also on strike, east of, and adjacent to O 3 Mining Inc. ’s ( TSXV:OIII) Malarctic Property, which
contains three past producing Mines (Marban, Norlartic, and Kierrans). These mines collectively produced
585,000 ounces of gold between 1959 and 1992 . O3 Mining recently announced a positive Preliminary
Economic Assessment, prepared in accordance with NI 43-101 for is Marban Project, which is part of the
Malarctic Property (see O3 Mining’s press release dated September 8, 2020 under that company’s corporate
filings at www.sedar.com). The Marban Project and associated Marban resource is located just to the
northwest of the East-West Property boundary. O3 Mining is currently conducting a drill ing program at
the Marban Property with results available through their press releases (see November 3, 2020, November
24, 2020, and February 4, 2021 press releases under that company’s corporate filings at www.sedar.com).
Note that the location of the Property adjacent to the Kiena Complex or Malarctic Properties does not
guarantee exploration success or that mineral resources and mineral reserves will be delineated on the East-
West Property.
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Emgold is currently re viewing and analyzing historic data obtained on the East -West property obtained
from the previous operator and other sources.
Qualified Person
Robert Pease, C.P.G., a qualified person under the NI 43-101 instrument, has reviewed and approved the
content of this press release.
About Emgold
Emgold is a gold and base metal exploration company focused on Nevada and Quebec. The Company’s
strategy is to look for quality acquisitions, add value to these assets through exploration, and monetize them
through sale, joint ventures, option, royalty, and other transactions to create value for our shareholders
(acquisition and divestiture (A&D) business model).
In Nevada, Emgold’s Golden Arrow Property, the core asset of the Company, is an advanced stage gold
and silver property with a well-defined measured and indicated resource. New York Canyon is a base metal
property subject to an Earn -in with Option to Joint Venture Agreement with Kennecott Exploration, a
subsidiary of Rio Tinto Plc (NYSE:RIO). The Mindora Property is a gold and base metal property located
12 miles from New York Canyon. Buckskin Rawhide East is a gold and silver property leased to Rawhide
Mining LLC, who operate the adjacent Rawhide Mine and represents a royalty opportunity for the
Company. Koegel Rawhide is a property four miles south of Rawhide Mine.
In Quebec, the Casa South Property, is an early-stage gold property adjacent to Hecla Mining Corporation’s
(NYSE:HL) operating Casa Berardi Mine. The East -West Property is a gold property adjacent to and on
strike with Wesdome Gold Mine Ltd.’s ( TSX:WDO) Kiena Complex and O3 Mining Corporation’s
(TSX:OIII) Ma larctic Property (Marban Project) . Emgold also has a 1% NSR in the Troilus North
Property, part of the Troilus Mine Property being explored by Troilus Gold Corporation (TSX:TLG).
Note that the location of Emgold’s properties adjacent to producing or past producing mines does not
guarantee exploration success at Emgold’s properties or that mineral resources or reserves wi ll be
delineated. For more information on the Company, investors should review the Company’s website
at www.emgold.com or view the Company’s filings available at www.sedar.com.
On behalf of the Board of Directors
David G. Watkinson, P.Eng.
President & CEO
For further information, please contact:
David G. Watkinson, P.Eng.
Tel: 530-271-0679 Ext 101
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Cautionary Note on Forward-Looking Statements
Certain statements made and information contained herein may constitute “forward looking information” and “forward looking
statements” within the meaning of applicable Canadian and United States securities legislation. These statements and informat ion
are based on facts currently available to the Company and there is no assurance that actual results will meet management’s
expectations. Forward-looking statements and information may be identified by such terms as “anticipates”, “believes”, “targets”,
“estimates”, “plans”, “expects”, “may”, “will”, “could” or “would”. Forward-looking statements and information contained herein
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are based on certain factors and assumptions regarding, among other things, the estimation of mineral resources and reserves, the
realization of resource and reserve estimates, metal prices, taxation, the estimation, timing and amount of future exploration and
development, capital and operating costs, the availability of financing, the receipt of regulatory approvals, environmental risks, title
disputes and other matters. While the Company considers its assumptions to be reasonable as of the date hereof, forward -looking
statements and information are not guarantees of future performance and readers should not place undue importance on such
statements as actual events and results may differ materially from those described herein. The Company does not undertake to
update any forward-looking statements or information except as may be required by applicable securities laws. The Company's
Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including
any technical reports filed with respect to the Company's mineral properties.