First Mining’s Joint Venture Partner Fulfils Stage 1 Expenditure Requirements for the Pickle Crow Gold Project, Ontario, Canada
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NEWS RELEASE
First Mining’s Joint Venture Partner Fulfils Stage 1 Expenditure Requirements
for the Pickle Crow Gold Project, Ontario, Canada
Webcast on March 30, 2021
March 18, 2021 – Vancouver, Canada – First Mining Gold Corp. (“First Mining” or the “Company”) (TSX:
FF; OTCQX: FFMGF ; FRANKFURT: FMG) is pleased to report that it has received notice from Auteco
Minerals Ltd (“Auteco”) (ASX:AUT) that Auteco has fulfilled the Stage 1 $5 million expenditure
requirement as stipulated under the earn-in agreement with First Mining in respect of the Pickle Crow
Gold Project (“Pickle Crow”) located in northwestern Ontario, Canada. As a result, Auteco will now hold a
meeting of its shareholders to approve the issuance of 100,000,000 Auteco shares to First Mining, and it
will apply to the Australian Securities Exchange (the “ASX”) for listing approval for such shares. First
Mining expects to receive the 100,000,000 Auteco shares by the end of April, and upon receipt of such
shares, Auteco will earn a 51% interest in PC Gold Inc. (“PC G old”), the Company’s wholly -owned
subsidiary that owns Pickle Crow.
“First Mining is delighted that Auteco has completed its $5 million worth of Stage 1 expenditures on the
Pickle Crow project in just one year, even though Auteco had three years to complete these expenditures”
stated Dan Wilton, CEO of First Mining. “Our partnership with Auteco has surfaced significant value for
First Mining shareholders and continues to highlight the potential value for the Pickle Crow deposit. Our
team remains encouraged and eagerly awaits results from Auteco’s ongoing 45,000-metre drill program.”
“The successful completion of the Stage 1 expenditures requirement at Pickle Crow marks a significant
milestone in the development of thi s exciting project” commented Ray Shorrocks, Auteco’s Executive
Chairman. “The promising results from our initial drill program have truly motivated our team to continue
to establish Pickle Crow as a large, high-grade deposit in a Tier-1 location.”
Once the 100,000,000 Auteco shares have been issued to First Mining, Auteco will have earned a 51%
interest in PC Gold (and thereby, Pickle Crow) and the parties will execute a joint venture shareholders’
agreement (the “JV Agreement”) in respect of PC Gol d. Auteco will have a two -year follow-on period,
commencing as of the date of execution of the JV Agreement, within which to acquire an additional 19%
interest in PC Gold (the “Stage 2 Earn-In”) by: (i) incurring a further $5 million in exploration expenditures
(the “Additional Expenditures”); and (ii) paying $1,000,000 to First Mining within 90 days of completing
the Additional Expenditures. In addition, upon completing the Stage 2 Earn -In, Auteco will grant First
Mining a 2% net smelter returns (“NSR”) royalty on Pickle Crow, of which 1% can be bought back by Auteco
for US$2.5 million. Following completion of the Stage 2 Earn-In, Auteco has the right to acquire a further
10% of PC Gold by paying $3,000,000 (the “Buy -In”) to First Mining, and if Auteco mak es a decision to
mine prior to completing the Stage 2 Earn-In, Auteco must pay First Mining the Buy-In concurrently with
the completion of the Stage 2 Earn-In.
A 45,000-metre drill program with five diamond drill rigs is underway at Pickle Crow, with the objective of
updating the Project’s mineral resource estimate by the mid-year 2021. To date, Auteco has completed
84 diamond drill holes for 19,400 metres , focusing exclusively on near mine extensions and minerali zed
structures outside of the resource area. Once the current drill program has been completed, Auteco plans
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to transition their drill program to infill drilling and resource definition in order to provide sufficient data
density to update the current mineral resource estimate for Pickle Crow.
Auteco finished 2020 with A$29.6 million cash and is well -funded to execute the remaining earn-in
requirements to earn up to an 80% interest in PC Gold (and thereby, Pickle Crow ). Once Auteco has
fulfilled all requirements of the earn-in agreement, First Mining will hold a 20% interest in PC Gold (and
thereby, the Pickle Crow project) which will be free carried until the earlier of the termination of the earn-
in agreement or a decision to mine by Auteco.
Recent Pickle Crow Drill Results
The current phase of drilling has successfully intersected extensions to known mineralized structures, in
addition to the discovery of previously undefined mineralization. Recent drill highlights include:
o 5.6 m @ 33.4 g/t gold from 20.3 m in hole AUDD0078 (Shaft 3 Veins) – New Structure
(includes 3.4 m @ 51.3 g/t gold from 20.3 m) with individual assay grades of up to 117 g/t gold
and 109 g/t gold (0.4 m @ 117 g/t gold from 21.3 m and 0.3 m @ 109 g/t gold from 22.8 m)
o 1.6 m @ 16.9 g/t gold from 12.7 m in hole AUDD0077 (Shaft 3 Veins) – New Structure
(includes 0.7 m @ 36.6 g/t gold from 13.6 m)
o 2 m @ 8.2 g/t gold from 396.5 m in hole AUDD0056 (Shaft 1 Veins) – Extension of Structure
o 4 m @ 5.9 g/t gold from 420 m in hole AUDD0056 (Shaft 1 Veins) – Extension of Structure
Notes:
• Assaying for the Auteco drill program was completed by AGAT laboratories in Thunder Bay, Ontario.
Prepared 30 g samples were analyzed for gold by lead fusion fire assay with an atomic absorption spectrometry finish. Samples
greater than 5 g/t Au were reassayed by 50 g fire assay with gravimetric finish.
• Reported widths are drilled core lengths; true widths are unknown at this time
• Cut-off grade of 1 g/t Au allowing for 1 m internal dilution
Drill Hole Locations
Hole ID Azimuth ⁰ Dip ⁰ Final Depth (m) UTM East UTM North
AUDD0056 170 -65 510 703910 5709647
AUDD0077 350 -70 57 704898 5710715
AUDD0078 160 -60 240 704871 5710794
Note: Collar coordinates in UTM NAD 83 z15
Drill results for all 2020 and 2021 holes completed to date will be reported in an upcoming news release.
Mineralization remains open in all directions on all target areas and work will now be focused on defining
high-grade gold shoots within the mineralized envelopes and bringing them into the Inferred Resource
category.
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A map showing the identified regional shear zones and walk-up drill targets within the property area:
About Pickle Crow
The Pickle Crow Gold Deposit is a high-grade, shear-hosted, mesothermal Archean lode gold deposit. The
deposit occurs primarily within mafic volcanics and banded iron formation (BIF) units in the Pickle Crow
assemblage of the Pickle Lake Greenstone belt located in the Uchi Lake Sub -province of the Superior
Craton of the Canadian Shield.
Mineralization is focused around steeply north-west dipping, regional scale shear zones. Multiple
mineralization styles have been identified on the property, including Quartz -Gold-Tungsten (+/ -
Tourmaline) Shear Veins which are the focus of the current exploration, and banded iron formation
mineralization (BIF-style), which comprises structurally controlled, sheeted vein arrays hosted within the
BIF.
Pickle Crow was one of Canada’s highest -grade historical gold mines. It operated from 1935 until 1966,
during which time it reportedly produced almost 1.5 million ounces of gold at an average grade of 16.14
g/t. The property consists of ~190 km2 (19,000 hectares) of tenure covering a major gold province. Auteco
recently increased its landholding near the Project by acquiring an additional 176 km2 (176,000 ha) of land
contiguous to Pickle Crow, which, together with the 130 km2 acquired by Auteco in 2020 (see news release
dated February 17, 2021) increases the combined property’s land package to over 496 km2 (496,000 ha)
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(see news release dated January 28, 2021). First Mining acquired Pickle Crow Project in November 2015
through its acquisition of PC Gold Inc.
Auteco’s development focus is on returning to first principles, completing a new geological review, and
applying modern exploration technologies in their advancement of Pickle Crow. Auteco has a strong focus
on discovering and developing new project scale, high-grade, near surface gold resources.
Webcast
Management of First Mining and Auteco will host a webcast on Tuesday, March 30th at 1pm Pacific Time
(March 31st, at 7am Australian Eastern Standard Time) to discuss the merits of the Pickle Crow Earn -in
agreement, Auteco’s ongoing drill program and to answer any questions from shareholders. Hosting the
call will be Mr. Dan Wilton, CEO of First Mining and Mr Ray Shorrocks, Executive Chairman of Auteco.
Shareholders, analysts, investors, and media are invited to join the live webcast by registering using the
link below.
Link: https://6ix.com/event/first-mining-gold-auteco-minerals-discuss-pickle-crow-drill-program/
After registering, you will receive a confirmation email containing details to access the webinar via
conference call or webcast.
A replay of the webcast will be available on First Mining’s website following the conclusion of the call.
About Auteco
Auteco Minerals Limited is a mineral exploration company currently focused on advancing high-grade gold
resources at the Pickle Crow Gold Project in the world class Uchi Sub-province of Ontario, Canada.
The Auteco Board of Directors and Technical Management team has a proven track record of discovering
gold and creating wealth for shareholders and all stakeholders in recent years.
Qualified Person
Hazel Mullin, P.Geo., Director, Data Management and Technical Services of First Mining, is a “Qualified
Person” for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI
43-101”), and she has reviewed and approved the scientific and technical disclosure contained in this
news release.
About First Mining Gold Corp.
First Mining is a Canadian gold developer focused on the development and permitting of the Springpole
Gold Project in northwestern Ontario. Springpole is one of the largest undeveloped gold projects in
Canada. The results of a positive Pre-Feasibility Study for the Springpole Gold Project were announced by
First Mining in January 2021, and permitting activities are on-going with submission of an Environmental
Impact Statement for the project targeted for 2021. The Company also holds a large equity position in
Treasury Metals Inc. who are advancing the Goliath -Goldlund gold projects towards construction. First
Mining’s portfolio of gold projects in eastern Canada also includes the Pickle Crow (being advanced in
partnership with Auteco Minerals Ltd.), Cameron, Hope Brook, Duparquet, Duquesne, and Pitt gold
projects.
First Mining was established in 2015 by Mr. Keith Neumeyer, founding President and CEO of First Majestic
Silver Corp.
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ON BEHALF OF FIRST MINING GOLD CORP.
Daniel W. Wilton
Chief Executive Officer and Director
For further information, please contact:
Spiros Cacos | Vice President, Investor Relations
Direct: +1 604 639 8825 | Toll Free: 1 844 306 8827 | Email: [email protected]
www.firstmininggold.com
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward -looking information” and "forward -looking statements” (collectively
"forward-looking statements”) within the meaning of applicable Canadian and United States securities le gislation
including the United States Private Securities Litigation Reform Act of 1995. These forward -looking statements are
made as of the date of this news release. Forward -looking statements are frequently, but not always, identified by
words such as "e xpects”, "anticipates”, "believes”, “plans”, “projects”, "intends”, "estimates”, “envisages”,
"potential”, "possible”, “strategy”, “goals”, “objectives”, or variations thereof or stating that certain actions, events
or results "may", "could", "would", "mig ht" or "will" be taken, occur or be achieved, or the negative of any of these
terms and similar expressions.
Forward-looking statements in this news release relate to future events or future performance and reflect current
estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements
with respect to: (i) timing for the meeting of Auteco shareholders to approve the issuance of 100 million shares of
Auteco to First Mining and the receipt by First Mining of such shares; (ii) timing for the completion of Stage 1 of the
earn-in and the execution of the JV Agreement; (iii) timing for Auteco to incur the Additional Expenditures on the
Pickle Crow Project; (iv) timing for Auteco to pay $ 1 million to First Mining in respect of the Stage 2 Earn -In; (v) the
grant by Auteco of a 2% NSR to First Mining over the Pickle Crow Gold Project and the timing for such grant; (vi)
timing for the exercise by Auteco of the Buy -In; (vii) timing of the release of assay results from the current 45,000 m
drill program at the Pickle Crow Gold Project ; (vii) Auteco’s plans to transition its drill program to infill drilling and
resource definition once the current 45,000 m drill program has been completed; (viii ) timing for updates to the
current mineral resource estimate for the Pickle Crow Gold Project ; and (xi) Auteco focusing on defining high-grade
gold shoots within the mineralized envelopes at the Pickle Crow Gold Project and any potential increase in the number
of Inferred Mineral Resources for the project as a result . All forward-looking statements are based on First Mining's
or its consultants' current beliefs as well as various assumptions made by them and information currently available
to them. There c an be no assurance that such statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such statements. Forward -looking statements reflect the
beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions
and estimates that, while considered reasonable by the respective parties, are inherently subject to significant
business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and
unknown, could cause actual results, performance or achievements to be materially different from the results,
performance or achievements that are or may be expressed or implied by such forward -looking statements and the
parties have made assumptions and estimates based on or related to many of these factors. Such factors include,
without limitation: regulatory approvals; shareholder approval from Auteco shareholders; receipt of necessary
financing by Auteco; the presence of and continuity of metals at the Pickle Crow Gold Project at estimated grades;
success in realizing proposed drilling programs; fluctuations in the spot and forward price of gold, silver, base metals
or certain other commodities; fluctuations in the currency markets (such as the Canadian dollar versus the U.S.
dollar or Australian dollar); changes in national and local government, legislation, taxation, controls, regulations and
political or economic developments; risks and hazards associated with th e business of mineral exploration and
exploration drilling programs, development and mining (including environmental hazards, industrial accidents,
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unusual or unexpected formations, pressures, cave-ins and flooding); the presence of laws and regulations th at may
impose restrictions on mining; employee relations; relationships with and claims by local communities, indigenous
populations and other stakeholders; availability and increasing costs associated with mining inputs and labour; the
speculative nature of mineral exploration and development; title to properties.; and the additional risks described in
the Company’s Annual Information Form for the year ended December 31, 201 9 filed with the Canadian securities
regulatory authorities under the Company’s SED AR profile at www.sedar.com, and in the Company’s Annual Report
on Form 40-F filed with the SEC on EDGAR.
First Mining cautions that the foregoing list of factors that may affect future results is not exhaustive. When relying
on our forward -looking statem ents to make decisions with respect to First Mining, investors and others should
carefully consider the foregoing factors and other uncertainties and potential events. First Mining does not undertake
to update any forward -looking statement, whether written or oral, that may be made from time to time by the
Company or on our behalf, except as required by law.
Cautionary Note to United States Investors
This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada,
which differ from the requirements of U.S. securities laws. Unless otherwise indicated, all resource and reserve
estimates included in this news release have been prepared in accordance with NI 43-101 and the Canadian Institute
of Mining, Metallurgy, and Petroleum 2014 Definition Standards on Mineral Resources and Mineral Reserves. NI 43 -
101 is a rule developed by the Canadian Securities Administrators which establishes standards for all public disclosure
an issuer makes of scientific and techni cal information concerning mineral projects. Canadian standards, including
NI 43 -101, differ significantly from the requirements of the SEC, and mineral resource and reserve information
contained herein may not be comparable to similar information disclose d by U.S. companies. In particular, and
without limiting the generality of the foregoing, the term "resource” does not equate to the term "reserves”. Under
U.S. standards, mineralization may not be classified as a "reserve” unless the determination has been made that the
mineralization could be economically and legally produced or extracted at the time the reserve determination is
made. The SEC's disclosure standards normally do not permit the inclusion of information concerning "measured
mineral resources”, "indicated mineral resources” or "inferred mineral resources” or other descriptions of the amount
of mineralization in mineral deposits that do not constitute "reserves” by U.S. standards in documents filed with the
SEC. Investors are cautioned not to as sume that any part or all of mineral deposits in these categories will ever be
converted into reserves. U.S. investors should also understand that "inferred mineral resources” have a great amount
of uncertainty as to their existence and great uncertainty a s to their economic and legal feasibility. It cannot be
assumed that all or any part of an "inferred mineral resource” will ever be upgraded to a higher category. Under
Canadian rules, estimated "inferred mineral resources” may not form the basis of feasibility or pre-feasibility studies
except in rare cases. Investors are cautioned not to assume that all or any part of an "inferred mineral resource”
exists or is economically or legally mineable. Disclosure of "contained ounces” in a resource is permitted d isclosure
under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not
constitute "reserves” by SEC standards as in -place tonnage and grade without reference to unit measures. The
requirements of NI 43 -101 for identification of "reserves” are also not the same as those of the SEC, and reserves
reported by the Company in compliance with NI 43 -101 may not qualify as "reserves” under SEC standards.
Accordingly, information concerning mineral deposits set forth herein may not be comparable with information made
public by companies that report in accordance with U.S. standards.