Formation Metals Extends A-Zone 200 Metres West of Historic Resource into Previously Undrilled Ground, Returning 1.05 g/t Au over 31 Metres at the Advanced N2 Gold Project
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Formation Metals Extends A-Zone 200 Metres West of Historic Resource into
Previously Undrilled Ground, Returning 1.05 g/t Au over 31 Metres at the
Advanced N2 Gold Project
Step-out confirms the A-Zone stays open and is laterally continuous toward the high-grade RJ
corridor, with up to 8 km of strike to expand to
Highlights:
• Formation’s first step-out drilling beyond the established western boundary of the A-Zone returned
the following key intercepts:
o N2-26-021: 1.05 g/t Au over 31 metres beginning at 243 metres downhole (203.8 metres
vertical), including 1.89 g/t Au over 12 metres.
The main interval correlates directly with the northern auriferous horizon in N2-25-004
(0.83 g/t Au over 40.4 metres), N2-25-009 (0.96 g/t Au over 21.7 metres) and N2-25-006
(0.67 g/t Au over 22.2 metres) confirming late ral continuity of the A-Zone, 200 metres to
the west.
o N2-26-022: 1.34 g/t Au over 12.5 metres beginning at 177.2 metres downhole (131.7
metres vertical), including 2.29 g/t Au over 6.9 metres.
• The Company is undertaking a fully funded 75,000 metre drill program at its flagship N2 Gold
Project in Quebec, host to a global historic resource of ~871,000 ounces comprised of 18 Mt
grading 1.4 g/t Au (~810,000 oz Au) across four zones (A, East, RJ-East, and Central) 2,3 and
243 Kt grading 7.82 g/t Au (~61,000 oz Au) across the RJ zone2,4.
• Across the A-Zone, 84% of historical drillholes intercepted gold, reflecting a highly continuous,
low-variability system that these step-outs are now extending 200 metres west.
• These holes sit in a near-surface corridor between the A-Zone and the high-grade RJ Zone
(historical intercepts up to 51 g/t Au) that has seen almost no drilling. Formation plans to continue
to continue to step out aggressively to the west and test above and below N2-26-021 to N2-26-022
as part of its follow-up drilling with a focus of confirming continuity at shallower depths where the
Company identified 0.91 g/t Au over 42.3 metres begi nning at 9.9 metres vertical and 1.75 g/t Au
over 30.4 metres beginning at 45.3 metres vertical.
• The Company has working capital of ~C$30.5M with zero debt.
Vancouver, British Columbia / June 18, 2026 – Formation Metals Inc. (“ Formation” or the “Company”)
(CSE:FOMO) (FSE:VF1) (OTCQB:FOMTF), a North American mineral acquisition and exploration
company, is pleased to announce results from step-out drillholes N2-26-021 and N2-26-022 at its flagship
N2 Gold Property (“N2” or the “Property”) have extended the strike of the A-Zone 200 metres to the west.
This is the Company’s most significant discovery beyond the established A-Zone footprint to date.
Located 25 km south of Matagami, Quebec, N2 is host to a global historic resource of ~871,000 ounces2,3,4.
The Property encompasses both broad, near-surface mi neralization across four primary zones and higher-
grade underground targets at the RJ zone, providing multiple avenues for resource expansion."
The intercepts in N2-26-021 and N2-26-022, located 200 metres beyond the established western boundary
of the A-Zone, were drilled as part of the on-going fully funded 75,000 metre drill program. They exhibit
the same mineralization style, alteration products, and structural controls as the core A-Zone domains.
Critically, the main auriferous interval in N2-26- 021 correlates with the same stratigraphic horizon that
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
returned 0.83 g/t Au over 40.4 metres in N2-25-004, one of the standout intersections from Formation’s
Phase 1 campaign. Continuous drilling between these two da ta points has the potential to materially add
ounces to Formation’s upcoming maiden Mineral Resource Estimate, targeted for Q3 2026.
The results from these step-out drillholes (Table 1), t ogether with the geologica l interpretation shown in
Figure 1, demonstrate that the main auriferous intervals project to vertical depths consistent with open-pit
development parameters, directly supporting the expansi on of the A-Zone to the west. Formation plans to
step out more aggressively in this direction, targeting the largely untested corridor above the high-grade RJ
Zone — a near-surface area between the A-Zone and the historic RJ underground resource that has seen
minimal historical drilling.
Deepak Varshney, CEO of Formation Metals, stated: “This is a true discovery. We stepped out 200 metres
west of the A-Zone in an area with no historic drilling and hit gold on the same horizon that gave us one of
our strongest Phase 1 intercepts in N2-25-004. That tells us the system is laterally continuous in a direction
we have barely tested. If we can infill the gap be tween N2-25-004 and these new holes, the impact on our
maiden resource estimate could be material.”
Mr. Varshney continued: “What excites us most is where we go from here. These holes sit in the corridor
between the A-Zone and the area directly above the high-grade RJ Zone. The RJ Zone has historical
intercepts as high as 51 g/t Au, and we are already seeing gold in the space between them. This corridor has
seen almost no historical drilling, and we intend to be the first to systematically test it.”
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Figure 1 - Drillhole location map. N2-26-022 is the first step-out drilling beyond the established western boundary of the A-Zone
and extends the footprint westwards at least 200 metres.
The Company’s drilling campaign has exceeded expectations, confir ming geological continuity and
delivering robust and continuous gold intercepts including:
• N2-25-004: 0.83 g/t Au over 40.4 metres beginning at 180.0 metres downhole, 147.4 metres
vertical. Highlight interval includes 1.36 g/t Au over 9.0 metres with total metal index of 38.48.
• N2-25-005: 0.91 g/t Au over 42.3 metres beginning at 14.0 metres downhole, 9.9 metres vertical.
Highlight intervals include 2.04 g/t Au over 8.1 metres and 1.31 g/t Au over 11.4 metres with total
metal index of 38.36.
• N2-25-006: 1.8 g/t Au over 21.9 metres beginning at 154.4 metres downhole, 133.7 metres vertical.
Highlight interval includes 3.4 g/t Au over 4.8 metres with total metal index of 79.56.
• N2-25-007: 1.3 g/t Au over 22.2 metres beginning at 139.9 metres downhole, 121.2 metres vertical.
Highlight interval includes 2.36 g/t Au over 10.5 metres with total metal index of 51.07.
• N2-25-008: 0.95 g/t Au over 61.1 metres beginning at 109 metres downhole, 94.4 metres vertical.
Highlight interval includes 1.68 g/t Au over 26.5 metres with total metal index of 67.97.
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
• N2-25-009: 1.37 g/t Au over 24.0 metres beginning at 168.9 metres downhole, 146.3 metres
vertical. Highlight interval includes 2.05 g/t Au over 13.3 metres with total metal index of 81.89.
• N2-25-010: 1.43 g/t Au over 19.4 metres beginning at 117.5 metres downhole, 101.8 metres
vertical. Highlight interval includes 2.23 g/t Au over 7.0 metres with total metal index of 38.49.
• N2-25-012: 1.75 g/t Au over 30.4 metres beginning at 64.1 metres downhole, 45.3 metres vertical.
Highlight intervals include 3.51 g/t Au over 10.5 metres and 19.2 g/t Au over 0.51 metres with total
metal index of 62.43.
• N2-26-021: 1.05 g/t Au over 31.0 metres beginning at 243.0 metres downhole, 203.8 metres
vertical. Highlight interval includes 1.89 g/t Au over 12.0 metres with total metal index of 32.66.
Based on these results, the Company believes the A-Zone hosts a robust mineralized veining system
that fluctuates between 20 and 61 metres, is at leas t 100 metres wide, with a potential of up to 8 km
in strike. The A-Zone remains open in multiple directions , specifically along strike (E-W) and down-
plunge/depth (S).
Holes Summary
Situated within the “A” Zone, N2-26-021 and N2- 26-022 represent Formation’s most aggressive western
step-out to date. Both holes were drilled to test whether the system extends past the western boundary of
the A-Zone's historical resource. — and both returned gold.
Table. 1 - Significant Intercepts from A-Zone, N2-26-021and N2-26-022
Hole ID Au (g/t) From To Length (m) Au (g*m/t)
N2-26-021
0.42 22 23 1 0.42
5.12 159 160 1 5.12
0.45 165 166 1 0.45
0.67 240 241 1 0.45
1.05 243 274 31 32.66
Including 1.28 249 274 25
and 1.89 256 268 12
0.22 278 282 4 0.88
N2-26-022
0.5 123.9 124.6 0.7 0.35
1.69 161.5 162.7 1.2 1.94
1.34 177.2 189.7 12.5 16.68
Including 2.29 178.3 185.2 6.9
and 4.72 178.3 180.6 2.3
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Hole ID Au (g/t) From To Length (m) Au (g*m/t)
1.75 212.5 213.5 1 1.75
0.28 70.5 71.8 1.3 0.37
0.5 123.9 124.6 0.7 0.35
Note 1: Illustrated mineralization intercepts are not directly representative of true width. Based on interpreting the angle of
intersection, the estimated true width of the mineralized lens generally corresponds to 87% of the intercepted core length.
Note 2: Reported intervals are composited using a minimum cut-off grade of 0.2 g/t Au for higher-grade intervals.
Table 2 – Drillhole Information
Drill Hole
Coordinate
Length (m) Survey
Easting Northing Zone Dip Azimuth
N2-26-021 304335 5490116 18 306 -57 N336
N2-26-022 304335 5490116 18 233 -48 N8
Table 3 – Mineralization Summary
Drill Hole
Mineralized Section (m) Main Auriferous Interval
Total #1 #2 #3 Length
(m) Interval Vertical
Depth Mineralization Au
(ppm)
N2-26-021 161.5 142.6 m
to 180 m
195.7 m
to 232 m
247 m to
275 m 31
243 m
to 274
m
203.8 m
to 229.8
m
Pyrite & Pyrrhotite 1.05
N2-26-022 118.9 18 m to
37.3 m
117.8 m
to 141 m
161.5 m
to 185.3
m
12.5 177.2 m
to 189.7
131.7 m
to 141 m
Pyrite &
Arsenopyrite 1.34
The NQ diamond drill holes drilled by Forage DCB Dr illing and the collected drill core have been
transferred to the logging facility in Val d’Or, Quebec, where they completed core logging and split the core
in half utilizing a water-c ooled diamond core saw. Samples were sy stematically collected in 0.5 metre to
1.5 metre intervals down the holes where geological features identify special intervals of interest and sample
length. The collected core samples along with standards and blanks were securely marked up and stored in
the logging facility until being dispatched to the AGAT Laboratories Ltd in Val d’Or, Quebec, Canada.
Project Summary
Comprising 87 claims totaling ~4,400 ha within the Abitibi sub province of Northwestern Quebec,
Formation’s flagship N2 Gold Project is an advan ced gold project with a global historic resource of
~871,000 ounces comprised of 18 Mt grading 1.4 g/t Au (~810,000 oz Au)2,3 and 243 Kt grading 7.82
g/t Au (~61,000 oz Au)2.
There are six primary auriferous mineralized zones in total, each open for expansion along strike and at
depth. Compilation and geophysical work by Balmoral Resources Ltd. (now Wallbridge Mining) from 2010
to 2018 generated numerous targets that are being investigated for the first time by Formation with diamond
drilling.
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Historical highlights from the top two priority zones include:
• A Zone: a shallow, highly continuous, low-variability historic gold deposit with ~522,900 ounces
identified at a grade of 1.52 g/t Au. ~15,000 metr es have been drilled historically across 1.65 km
of strike, with 84% of historical drillholes intersected auriferous intervals including up to 1.7 g/t
over 35 metres.
• RJ Zone: a high-grade historic gold depo sit with ~61,100 ounces identified at a grade of 7.82 g/t
Au, with high-grade intercepts from historical drill holes as high as 51 g/t Au over 0.8 metres and
16.5 g/t Au over 3.5 metres2. This zone was the target of the most recently drilling at the Property
by Agnico-Eagle Mines in 2008, when the price of gold was ~US$800/oz. Only ~900 metres of
strike has been drilled, with 4.75+ km of strike remaining to be tested.
The Company's internal view is that the N2 Project has the potential to host a potential open pit resource.
This optimism is driven by several key factors:
• Significant Undrilled Strike Length: The "A" Zone alone has >3.1 km of strike open (only ~35%
drilled historically), while the RJ Zone has >4 .75 km remaining untested — offering substantial
room for lateral expansion of known mineralization.
• Open at Depth and Along Strike: All zones remain open, with historical drilling limited to shallow
depths (~350 m), leaving considerable vertical upside in a proven gold camp.
• Wide, Continuous Near-Surface Intercepts : Recent drilling has confirmed thick zones (100-
200+ m) of target mineralization starting near surface, ideal for bulk-tonnage open-pit scenarios
with low strip ratios and high tonnage potential.
• Regional Analogy and Pedigree: Located in the Casa Berardi tr end, which hosts multiple multi-
million-ounce deposits (e.g., Casa Berardi >2 Moz produced and 14.3 Mt @ 2.75 g/t Au P&P in
reserve, Douay >3 Moz in resources (10 Mt @ 1.59 g/t Au indicated, and 76.7 Mt @ 1.02 g/t Au
inferred), N2 shares similar geology and structur al controls. Nearby Vezza produced from higher-
grade underground mining, but N2's shallower, wider zones suggest superior open-pit economics.
• Untested Targets: Compilation work identified numerous geophysical anomalies (IP, EM, VTEM)
that remain undrilled, providing discovery potential beyond known zones.
• Rising Gold Prices and Economic Viability : At current gold prices, lower-grade bulk-tonnage
deposits become highly attractive, enhancing the project's upside.
Strategically located 25 km south of the mining town of Matagami, Quebec, this prime location provides
year-round access via provincial highways and loggi ng roads, proximity to skilled labor, power
infrastructure, and established mining services in a jurisdiction known for its gold production exceeding
200 million ounces historically. The project lies along th e Casa Berardi mine trend, which hosts multiple
million-ounce gold deposits, and is situated approximately 1.5 km east of the former-producing Vezza gold
mine operated by Nottaway Resources from 2013 to 20 19 producing over 100,000 ounces of gold via
underground methods.
The region's robust infrastructure supports toll m illing opportunities, with potential access to nearby
processing facilities such as those at Casa Berardi or other Abitibi mills, enabling cost-effective
development without the need for on-site mill construction.
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Figure 2 - Historic drillhole locations; Formation believes that there is over 15 kilometres of strike to explore at the N2 property.
Suite #400 – 1681 Chestnut Street, Vancouver, BC V6J 4M6
Figure 3 - Property overview summarizing historical work completed at each of the six mineralized zones and their respective
historical resource.
The Company also believes that N2 has significant base metal potential, where it recently completed a
revaluation process which revealed significant copper and zinc intercepts within historic drillholes known
to have significant gold grades (>1 g/t Au). Assay results range from 200 to 4,750 ppm and 203 ppm to
6,700 ppm, for copper and zinc, respectively, indicati ng strong potential for elevated base metal (Cu-Zn)
concentrations across the property, specifically at the A and RJ zones. Property wide geology at N2 features
volcanic and sedimentary rocks for med in regional anticlinal and synclinal flexures. Three principal
deformation structures, oriented along the known NW- SE to WNW-ESE structural trends typical of VMS
deposits in the Matagami region, function as critical geologic controls for mineralization on the property.
Qualified person
The technical content of this news release has been reviewed and approved by Mr. Babak V . Azar, P.Geo.,
géo (OGQ#10876) an independent contractor and a qualified person as defined by National Instrument 43-
101. Historical reports provided by the optionor were reviewed by the qualified person.
Quality Assurance and Quality Control
The quality assurance and quality control protocols include insertion of blank or standard samples every 10
samples on average during the analytical process. The gold analyses were completed by fire assay (FA)
method with an ICP finish on 50 grams of materials at the AGAT Laboratories Ltd in Val d’Or, Quebec,
Canada. The repeats were carried out by FA followed by gravimetric testing on each sample containing 10.0
g/t gold or more. Total gold analyses (metallic siev e) were carried out on the samples which presented a
great variation of their gold contents or the presence of visible gold.