Loyalist Announces Exploration Thesis at the Tully Gold Project – Expansion East, West and at Depth
Loyalist Announces Exploration Thesis at the Tully Gold Project –
Expansion East, West and at Depth
Toronto, Ontario – TheNewswire – June 2, 2026 – Loyalist Exploration Limited (CSE:PNGC)
(“Loyalist” or the “Company”) is pleased to announce its updated exploration thesis and a
proposed conceptual diamond drill program totalling approximately 21,674 metres in 70 drill
holes designed to test this thesis at its Tully Gold Project (“Tully” or the “Project”), located
approximately 25 kilometres northeast of Timmins, Ontario. The proposed program has been
designed to test the along-strike and down-dip extensions of known gold mineralization and to
evaluate the potential to significantly expand the area currently encompassed by the Project’s
historical mineral resource estimate (see below). The program will also assess the broader
exploration potential of the Tully Project.
Program Highlights:
• Completion of a 3D magnetic inversion to refine the interpretation of key lithological
contacts at depth
• Step-out drilling to test east and west extensions of known mineralized zones
• Down dip drilling to test depth extension and plunge of identified mineralized zones
• Strategic infill drilling to increase geological confidence and data density in key target
areas.
• Targeting of mafic tuff units, which have demonstrated a strong association with gold
mineralization.
• Evaluation of structural controls and geophysical anomalies interpreted to be associated
with gold mineralization.
The proposed exploration program is conceptual in nature and remains subject to financing,
regulatory approvals, and the receipt of all required exploration permits. The program is
expected to commence with a 3D inversion of existing high-resolution airborne magnetic survey
data to further refine the interpretation of the contact between the weakly magnetic to non-
magnetic hanging-wall sedimentary rocks and the strongly magnetic footwall ultramafic units.
Building on the Company’s updated geological interpretation, a conceptual multi-phase diamond
drilling program comprising approximately 21,674 metres in 70 drill holes has been designed to
systematically test the exploration thesis and assess the potential to significantly expand the
known gold mineralized footprint at the Tully Project.
Phase 1 (the “West Extension”) consists of 24 holes totalling approximately 7,913 metres
designed to test the along-strike extension of gold mineralization to the west of the main
mineralized zone. Phase 2 (the “East Extension”) consists of 22 holes totalling approximately
7,161 metres designed to test the along-strike extension to the east. Phase 3 (the “Deep”
targets) consists of 24 holes totalling approximately 6,600 metres designed to test the down-dip
and plunge extension of mineralization beneath the historical resource area. Hole lengths range
from approximately 125 to 700 metres, with collar dips ranging from approximately -47° to -80°
and azimuths oriented to test interpreted mineralized structures.
This initiative follows the Company’s recent engagement of P&E Mining Consultants Inc. to
advance an updated Mineral Resource Estimate (“MRE”) for the Tully Project, prepared in
accordance with the CIM Definition Standards on Mineral Resources and Mineral Reserves (the
“CIM Standards”) and disclosed in accordance with NI 43-101. Subject to the successful
completion of an updated MRE, the Company also intends to advance a Preliminary Economic
Assessment (“PEA”) on the Tully Project. Data generated from the proposed drill program
(subject to timing) is expected to support these studies and to test for opportunities to expand
the known mineralized footprint.
Table 1: Summary of Proposed Conceptual Drill Program
Target Area No. of
Holes
Total Metres
(approx.)
Hole Length
Range (m)
Exploration Objective
Phase 1 – West
Extension
24 7,913 250 – 451 Te s t a l o n g-strike
extension of
mineralization to the west
Phase 2 – East
Extension
22 7,161 250 – 401 Te s t a l o n g-strike
extension of
mineralization to the east
Phase 3 – Deep
Ta r g e t s
24 6,600 125 – 700 Te s t d o w n-dip and plunge
extension beneath the
historical resource area
Total 70 21,674 125 – 700 —
Note: Drill hole locations, lengths, azimuths, and dips are conceptual planned values only. Final hole locations and
parameters are subject to change based on field conditions, geological observations during drilling, regulatory and
access considerations, and Company priorities. Coordinates of planned collars are referenced to NAD83 UTM Zone
17N.
Figure 1: Plan map illustrating the proposed drilling at Tully, including historical drill holes with intercepts over 1.5 g/t
Au, bedrock geology, key structural features, and the trace of a prominent magnetic boundary.
Figure 2: Long section (looking north-northwest) showing the proposed drill holes at Tully, including historical drilling
with intercepts greater than 1.5 g/t Au and the interpreted outline of the mafic tuff unit.
“We are excited to initiate this program of exploration at Tully,” said Errol Farr, President and
CEO of Loyalist. “It is designed not only to significantly expand the known mineralization but
also to unlock the broader potential of the project. With strong geological indicators and a clear
exploration model, we believe Tully has significant upside.”
About the Tully Gold Project
The Tully Gold Project comprises a 458-hectare mining lease located in a well-established
mining district with excellent infrastructure. It hosts a historical mineral resource estimate (not
treated as current by Loyalist) of 107,000 ounces of gold (capped), comprising 358,000 tonnes
grading 6.56 g/t Au (indicated) for 76,000 oz Au and 184,000 tonnes grading 5.17 g/t Au
(inferred) for 31,000 oz Au, as estimated by Francis Minerals Ltd. and dated December 15,
2013. The estimate is not NI 43-101 compliant and has not been verified by a Qualified Person.
The project features numerous high-grade gold drill intersections and is advancing toward
permitting, with additional exploration planned for 2026.
*Statement Regarding Historical Mineral Resource Estimates The Tully deposit historical
Mineral Resource Estimate (“MRE”) is unclassified and does not comply with CIM Definition
Standards on Mineral Resources and Mineral Reserves as required by NI 43-101. The MRE
was taken from a report titled “Tully Deposit Mineral Resource Estimate” authored by Francis
Minerals Ltd. and dated December 15, 2013. Investors are cautioned not to treat the estimate
as current or rely on the estimate in making an investment decision. The MRE is included herein
to provide shareholders with background on the rationale for advancing the asset. A qualified
person has not done sufficient work to classify this historical MRE as current mineral resources,
and the Company is not treating this historical MRE as a current estimate. It is uncertain
whether following evaluation and/or further exploration, the historical MRE will be able to be
reported in accordance with NI 43-101.
*Notes to Historical Mineral Resource Estimate
1. CIM Definitions were followed for classification of Mineral Resources.
2. Mineral Resources are estimated at a cut-off grade of 2.5 g/t Au.
3. Mineral Resources are estimated at a gold price of $1,510/oz and a metallurgical recovery of
92%.
4. High-grade assays are capped at 70 g/t Au.
5. Bulk density of 2.71 t/m³ was used.
6. Numbers may not add due to rounding.
Qualified Person
Curtis Ferron, P.Geo. (ON), principal geology consultant for Loyalist and a “Qualified Person” as defined
by NI 43-101, has reviewed and approved the technical content of this press release.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the
policies of the Canadian Securities Exchange) have reviewed or accept responsibility for the
adequacy or accuracy of this release.
About Loyalist Exploration Limited
Loyalist Exploration Limited is a mineral exploration company concentrating on acquiring, exploring, and
developing quality mineral properties in Canada. The Company is currently focused on its “Buy Timmins”
strategy, with the recent acquisitions of the Tully gold property, the Loveland nickel/copper/gold property,
the Gold Rush gold/silver property, and the DeSantis gold property, all located in the Timmins, Ontario
mining district.
For further information please visit the Company’s website at www.loyalistexploration.com or contact:
Loyalist Exploration Limited
Errol Farr, President and CEO
Email: [email protected]
Tel: 647-296-1270
This news release includes certain “forward-looking statements” which are not comprised of historical facts. Forward-
looking statements include estimates and statements that describe the Company’s future plans, objectives or goals,
including words to the effect that the Company or management expects a stated condition or result to occur. Forward-
looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”,
“would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and
conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on
information currently available to the Company, the Company provides no assurance that actual results will meet
management’s expectations. Risks, uncertainties, and other factors involved with forward-looking information could
cause actual events, results, performance, prospects, and opportunities to differ materially from those expressed or
implied by such forward-looking information. Forward looking information in this news release includes, but is not limited
to, the Company’s objectives, goals or future plans, statements, exploration results, potential mineralization, the
estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations
and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking
information include, but are not limited to, failure to identify mineral resources, failure to convert estimated mineral
resources to reserves, delays in obtaining or failures to obtain required governmental, environmental or other project
approvals, political risks, inability to fulfill the duty to accommodate First Nations and other indigenous peoples,
uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation,
changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and
operating costs varying significantly from estimates and the other risks involved in the mineral exploration and
development industry, capital market conditions, restriction on labour and international travel and supply chains, and
those risks set out in the Company’s public documents filed on SEDAR+. Although the Company believes that the
assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue
reliance should not be placed on such information, which only applies as of the date of this news release, and no
assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any
intention or obligation to update or revise any forward-looking information, whether as a result of new information, future
events or otherwise, other than as required by law.