THM.V · 2021-05-06 12:00:00

Thunder Mountain Gold Reports on an Updated Mineral Resource Estimate that

Resource Estimates

THUNDER MOUNTAIN

GOLD INC.

11770 W. President Dr., Ste. F

Boise, Idaho 83713

phone: (208) 658-1037

Website: www.thundermountaingold.com OTCQB: THMG

TSX-V: THM

OTCQB: THMG

News Release

Thunder Mountain Gold Reports on an Updated Mineral Resource Estimate that

Substantially Increased the Mineral Resource at its South Mountain Project

Boise, Idaho and Vancouver B.C. – May 6, 2021: Thunder Mountain Gold, Inc. (OTC QB: THMG; TSX-V:

THM), (the “ Company” or “THMG”) is pleased to report an updated Mineral Resourc e Estimate (“MRE”)

incorporating results from BeMetals Corp. ( “BMET” or “BeMetals”) Phase 1 and 2 underground diamond

drilling programs at the South Mountain Project (“South Mountain” or “ South Mountain Project” or the

“Property”) in southwestern Idaho, U.S. A. The updated MRE includes a sub stantially increased resource for

the Project while maintaining the high-grade nature of the mineralization.

The updated Independent MRE, which has an effective date of April 20, 2021, was prepared in accordance with

National Instrument 43 -101 Standards of Disclosure for Mineral Projects (“NI -43-101”) by Hard Rock

Consulting, LLC, based in the U.S.A. More details are included in Tables 1 & 2 below a nd a technical report

for this MRE will be filed with SEDAR, and on the Company’s website, within 45 days from the date of this

news release.

HIGHLIGHTS OF UPDATED MINERAL RESOURCE

• Measured & Indicated (“M&I ”): 206,900 tons grading 9. 63% Zinc (“Zn”), 4.41 ounces per ton

(“opt”) Silver (“Ag”), 0.064 opt Gold (“Au”), 1.01% Lead (“Pb”) and 0.63% Copper (“Cu”).

• This represents a 21.8% increase to the M&I tonnage from the historical 2019 MRE with a

20.36% Zn equivalent grade (“ZnEq”).

• Inferred: 833,700 tons grading 7.63% Zn, 5.72 opt Ag, 0.041 opt Au, 0.97% Pb and 0.81% Cu.

• This represents a 129.5% increase in the Inferred tonnage from the historical 2019 MRE with an

18.10% ZnEq.

Note: See Table 1 and 2 footnotes section 4 for details of the Zn equivalent grade calculation

Eric T. Jones, President and CEO of Thunder Mountain Gold Inc. commented, “We are extremely pleased with

the wo rk completed by BeMetals and the Idaho project team over the l ast 2 y ears. We look forward to the

completion o f a robust PEA in the coming months as the independent engineering firm works through the

economic analysis”.

MINERAL RESOURCE ESTIMATE

In two phases of drilling completed during 2019 and 2020 a combined total of approximately 16,000 feet of

underground core drilling was completed at South Mo untain. During the se drilling campaign s, our site team

also widened and advanced the existing S onneman level eastwards by 170 feet to establish a new drill station

closer to the Texas Zone . All the results of this drilling have now been in incorporated int o the updated MRE

for the South Mountain deposit.

Tables 1 & 2 below provide the Mineral Resour ce Statement for the Project in U.S. and Metric units

respectively with details of the model ling methodolog y and cut -off grades applied to the mineral resource .

Figure 1 illustrates the principal areas where the South Mountain deposit has been expanded from the historical

MRE that was co mpleted in 2019 . The historical Technical Repo rt for the Mineral Resource Estimate for the

South Mountain Project Owyhee County, Idaho USA Report Date: Dated: April 1, 2019 is filed on SEDAR.

Table 1. South Mountain Mineral Resource Statement (U.S. Units)

Grades and Contained Metal

Ore Type Classification Mass Zinc Zinc Silver Silver Gold Gold Lead Lead Copper Copper ZnEq

thousand

sh. ton

thousand

t. oz/sh.

ton

thousand

t. oz

t. oz/sh.

ton

thousand

t. oz

thousand

Massive Sulfide

Measured 53.8 11.45 12,300 3.67 197 0.069 3.7 0.79 900 0.46 500 20.21

Indicated 118.9 11.36 27,000 4.77 568 0.077 9.1 1.36 3,200 0.53 1,300 22.14

Measured +

Indicated

172.8 11.39 39,300 4.43 765 0.074 12.9 1.18 4,100 0.51 1,800 21.54

Inferred 777.2 8.09 125,700 5.90 4,586 0.043 33.7 1.04 16,100 0.74 11,500 18.34

Skarn

Measured 10.6 1.25 300 5.46 58 0.023 0.2 0.30 100 1.26 300 18.23

Indicated 23.5 0.49 200 3.78 89 0.005 0.1 0.07 0 1.20 600 12.63

Measured +

Indicated

34.1 0.72 500 4.30 147 0.011 0.4 0.14 100 1.21 800 14.38

Inferred 56.5 1.34 1,500 3.19 181 0.006 0.3 0.04 100 1.66 1,900 14.92

Total

Measured 64.5 9.77 12,600 3.96 255 0.062 4.0 0.71 900 0.59 800 19.88

Indicated 142.4 9.57 27,200 4.61 656 0.065 9.2 1.15 3,300 0.64 1,800 20.57

Measured +

Indicated

206.9 9.63 39,800 4.41 912 0.064 13.2 1.01 4,200 0.63 2,600 20.36

Inferred 833.7 7.63 127,300 5.72 4,766 0.041 34.0 0.97 16,200 0.81 13,400 18.10

1.) The effective date of the mineral resource estimate is April 20th, 2021. The QP for the estimate is Mr. Richard A. Schwering, P.G., SME-RM, of Hard Rock Consulting,

LLC. and is independent of BeMetals Corp., Thunder Mountain Gold Inc., and South Mountain Mines Inc.

2.) Mineral resources are not mineral reserves and do not have demonstrated economic viability such as diluting materials and allowances for losses that may occur when

material is mined or extracted; or modifying factors including but not restricted to mining, processing, metallurgical, infrastructure, economic, marketing, legal,

environmental, social and governmental factors. Inferred mineral resources may not be converted to mineral reserves. It is reasonably expected, though not guaranteed,

that the majority of Inferred mineral resources could be upgraded to Indicated mineral resources with continued exploration.

3.) The mineral resource is reported at an underground mining cutoff of $102.5 U.S. Net S melter Return (“NSR”) within coherent wireframe models. The NS R calculation

and cut-off is based on the following assumptions: an Au price of $1,750/oz, Ag price of $23.00/oz, Pb price of $1.02/lb., Zn price of $1.20/lb. and Cu price of $3.40/lb.;

Massive Sulfide ore type metallurgical recoveries and payables of 52.25% for Au, 71.25% for Ag, 71.40% for Zn, 66.50% for Pb, and 49.00% for Cu and a total smelter

cost of $33.29; Skarn ore type metallurgical recoveries and payables of 71.25% for Au, 80.75% for Ag, 51.00% for Zn, 47.50% for Pb, and 87.70% for Cu and a smelter

cost of $7.24; assumed mining c ost of $70/ton, process costs of $25/ton, and general and administrative costs of $7.5/ton. Based on the st ated prices and recoveries

the NSR formula is calculated as follows; NSR = (Ag grade * Ag price * Ag Recovery and Payable) + (Au grade * Au price * Au Recovery and Payable) + (Pb grade * 20

* Pb Price * Pb Recovery and Payable) + (Cu grade * 20 * Cu Price * Cu Recovery and Payable) + (Zn grade * 20 * Zn Price * Zn Recovery and Payable) for each ore

type.

4.) The zinc equivalent grades were calculated as Zn Grade + (((Pb Price * Pb Recovery and Payable) / (Zn Price*Zn Recovery and Payable)) * Pb Grade) + (((Cu Price * Cu

Recovery and Payable) / (Zn Price * Zn Recovery and Payable)) * Cu Grade) + (((Ag Price * Ag Recovery and Payable) / (Zn Price * 20 * Zn Recovery and Payable)) *

Ag Grade) + (((Au Price * Au Recovery and Payable) / (Zn Price * 20 * Zn Recovery and Payable)) * Au Grade)

5.) Rounding may result in apparent differences when summing tons, grade and contained metal content. Tonnage and grade measurements are in U.S. units.

Table 2. South Mountain Mineral Resource Statement (Metric Units)

1) The effective date of the mineral resource estimate is April 20th, 2021. The QP for the estimate is Mr. Richard A. Schwering, P.G., SME-RM, of Hard Rock Consulting,

LLC. and is independent of BeMetals, Corp., Thunder Mountain Gold Inc., and South Mountain Mines Inc.

2) Mineral resources are not mineral reserves and do not have demonstrated economic viability such as diluting materials and allowances for losses that may occur when

material is mined or extracted; or modifying factors including but not restricted to mining, processing, metallurgical, infrastructure, economic, marketing, legal,

environmental, social and governmental factors. Inferred mineral resources may not be converted to mineral reserves. It is reasonably expected, though not guaranteed,

that the majority of Inferred mineral resources could be upgraded to Indicated mineral resources with continued exploration.

3) The mineral resource is reported at an underground mining cutoff of $102.5 U.S. Net Smelter Return (“NSR”) within coherent wireframe models. The NSR calculation

and cut-off is based on the following assumptions: an Au price of $1,750/oz, Ag price of $23.00/oz, Pb price of $1.02/lb., Zn price of $1.20/lb. and Cu price of $3.40/lb.;

Massive sulfide ore type metallurgical recoveries and payables of 52.25% for Au, 71.25% for Ag, 71.40% for Zn, 66.50% for Pb, and 49.00% for Cu and a total smelter

cost of $33.29; Skarn ore type metallurgical recoveries and payables of 71.25% for Au, 80.75% for Ag, 51.00% for Zn, 47.50% for Pb, and 87.70% for Cu and a smelter

cost of $7.24; assumed mining cost of $70/ton, process costs of $25/ton, and general and administrative costs of $7.5/ton. Based on the stated prices and recoveries

the NSR formula is calculated as follows; NSR = (Ag grade * Ag price * Ag Recovery and Payable) + (Au grade * Au price * Au Recovery and Payable) + (Pb grade * 20

* Pb Price * Pb Recovery and Payable) + (Cu grade * 20 * Cu Price * Cu Recovery and Payable) + (Zn grade * 20 * Zn Price * Zn Recovery and Payable) for each ore

type.

4) The zinc equivalent grades were calculated as Zn Grade + (((Pb Price * Pb Recovery and Payable) / (Zn Price*Zn Recovery and Payable)) * Pb Grade) + (((Cu Price * Cu

Recovery and Payable) / (Zn Price * Zn Recovery and Payable)) * Cu Grade) + (((Ag Price * Ag Recovery and Payable) / (Zn Price * 20 * Zn Recovery and Payable)) *

Ag Grade) + (((Au Price * Au Recovery and Payable) / (Zn Price * 20 * Zn Recovery and Payable)) * Au Grade)

5) Rounding may result in apparent differences when summing tons, grade and contained metal content. Tonnage and grade measurements are in U.S. units and

converted to metric.

Grades and Contained Metal

Ore

Type Classification Mass Zinc Zinc Silver Silver Gold Gold Lead Lead Copper Copper ZnEq

kt % t ppm kg ppm g % t % T %

Massive

Sulfide

Measured 48.85 11.45 5,600 126 6,100 2.38 116,200 0.79 400.00 0.46 200 20.21

Indicated 107.90 11.36 12,300.0 164 17,700 2.63 283,500 1.36 1,500 0.53 600 22.14

Measured + Indicated 156.75 11.39 17,800.0 152 23,800 2.55 399,700 1.18 1,900 0.51 800 21.54

Inferred 705.03 8.09 57,000.0 202 142,600 1.49 1,049,000 1.04 7,300 0.74 5,200 18.34

Skarn

Measured 9.62 1.25 100.0 187 1,800 0.78 7,500 0.30 0 1.26 100 18.23

Indicated 21.28 0.49 100.0 130 2,800 0.17 3,700 0.07 0 1.20 300 12.63

Measured + Indicated 30.90 0.72 200.0 148 4,600 0.36 11,200 0.14 0 1.21 400 14.38

Inferred 51.26 1.34 700.0 110 5,600 0.19 9,900 0.04 0 1.66 900 14.92

Total

Measured 58.47 9.77 5,700.0 136 7,900 2.12 123,700 0.71 400 0.59 300 19.88

Indicated 129.18 9.57 12,400.0 158 20,400 2.22 287,300 1.15 1,500 0.64 800 20.57

Measured + Indicated 187.65 9.63 18,100.0 151 28,400 2.19 411,000 1.01 1,900 0.63 1,200 20.36

Inferred 756.30 7.63 57,700.0 196 148,200 1.40 1,058,900 0.97 7,300 0.81 6,100 18.10

Figure 1: 3D Perspective view inclined 20 0 looking north-north-east, indicating the areas of the expanded

mineral resource compared to the 2019 MRE.

Qualified Person Statement for the Mineral Resource Estimate

Mr. Richard A. Schwering , P.G., SME -RM, a Resource G eologist wit h Hard Rock Consulting, LLC, is

responsible for the South Mountain Project Mineral Resource Estimate with an effective date of April 20, 2021.

Mr. Schwering is a Qualified Person as defined by NI43 -101 and is indepen dent of BeMetals Corp., Thun der

Mountain Gold Inc., and South Mountain Mines, Inc. Mr. Schwering estimated the mineral resources based on

drill hole and channel sample data constrai ned by geologic b oundaries using an Ordinary Krige algorithm. The

Geologic Model and Mineral Resource E stimate were completed using Leapfrog Geo® Software ve rsion 6.0.5.

Hard Rock Consulting also completed the previous resource estimate.

ADDITIONAL RECENT DRILLING RESULTS INCLUDED WITHIN THE UPDATED MRE

The Company also reports further BMET drilling results from both the Texas East and Texas West Zones. This

new data supports previously reported results (See THMG news release dated, February 22, 2021), illustrating

the high-grade zinc-silver-gold nature of the Texas East mi neralization, and ge nerally copper-silver dominant

Texas West Zone.

Figure 2 shows the location of drill holes; SM20-032, SM20-034, SM20-037, SM20-039, SM20-044, SM20-

047 in the Texas East and West Zones. Table 3 below indicates the details of these drilling results. All drilling

results from the Phase 1 & 2 programs have now been incorporated into the MRE.

Figure 2: 3D Perspective view inclined 20 0 looking north-north-east, with hole locations for SM20 -032,

SM20-034, SM20-037, SM20-039 - SM20-044, SM20-047

Table 3 below indicates the drilling results received from both the Texas East and Texas West Zones.

Table 3. Analytical and Assay Results from Texas East Zone (Metric)

Drill Hole ID, Zone

& Interval

From

(m)

Core

Interval

(m)

g/t

TEXAS ZONE

Texas East

SM20-039 65.76 72.09 6.33 6.96 157.80 3.42 2.08 0.23

Including 65.76 69.75 3.99 10.91 183.81 5.29 3.14 0.21

Note: Reported widths are drilled core lengths as true widths are unknown at this time. It is estimated based upon current data that true widths might range

between 60-80% of the drilled intersection. Intervals cut offs are based upon visual contacts of massive sulfide units with no more than 1.68 meters of internal

skarn. Table 5 below documents; Drill Hole Azimuth, Dip, end of hole length, and Collar Co-ordinates (Note: See details below in QA/QC section).

Table 4. Analytical and Assay Results from Texas West Zone (Metric)

Drill Hole ID, Zone

& Interval

From

(m)

Core

Interval

(m)

g/t

TEXAS ZONE

Texas West

SM20-032 19.23 24.46 5.23 0.87 85.09 0.04 0.02 0.03

Including 22.46 24.46 2.00 1.16 107.88 0.04 0.03 0.03

SM20-034

Interval 1: 31.85 45.48 13.63 1.07 108.65 0.07 0.04 0.58

Including 34.96 36.94 1.98 1.37 119.00 0.09 0.04 3.61

Including 39.56 42.06 2.50 2.01 163.00 0.14 0.03 0.04

Interval 2: 57.96 60.66 2.70* 0.06 93.95 1.14 0.66 2.19

SM20-037

Interval 1: 33.76 41.30 7.54 1.04 110.30 0.25 0.02 0.08

Interval 2: 42.50 43.37 0.87† 0.10 169.00 6.10 1.19 1.75

Interval 3: 49.53 51.07 1.54 0.91 348.00 0.29 0.29 0.07

SM20-044 17.37 24.78 7.41 1.43 108.80 0.08 0.02 0.09

SM20-047 16.76 20.73 3.97 1.19 72.72 0.05 0.00 0.03

Note: Reported widths are drilled core lengths as true widths are unknown at this time. It is estimated based upon current data that true widths migh t range

between 60-80% of the drilled intersection . A nominal cut-off grade of 0.5% Cu has been appl ied to deter mine the boundaries o f the intersec tions for this

skarn-hosted mineralization with no more than 4.46 meters of internal dilution. *A nominal cu t-off grade of 1 % Zn has been applied to this inte rsection. †

Denotes single sample. Table 5 below documents; Drill Hole Azimuth, Dip , end of hole length, and Collar Co -ordinates (Note: See details below in QA/QC

section).

Table 5: Drill Hole Azimuth, Dip, End of hole length and Collar Co-ordinates

Hole ID Azimuth

Degree

Dip

Degree

End of hole

Length (m) East (ft.) North (ft.) Elevation

(ft.)

SM20-032 104.79 -64.33 43.89 2311763.6 393645.3 6866.77

SM20-034 79.33 15.06 66.14 2311763.6 393645.3 6866.77

SM20-037 99.99 -14.09 68.64 2311763.6 393645.3 6866.77

SM20-039 122.39 -7.95 106.68 2311763.6 393645.3 6866.77

SM20-044 74.01 -44.98 46.94 2311763.6 393645.3 6866.77

SM20-047 60.14 -79.87 52.88 2311763.6 393645.3 6866.77

QUALITY ASSURANCE AND QUALITY CONTROL PROCEDURES

The project employs a rigorous QC/QA program that includes blanks, duplicates and appropriate certified

standard reference m aterial. All samples are introduced into the sample stream prior to sample

handling/crushing to monitor anal ytical accuracy and pre cision. The i nsertion rate for the combined QA/QC

samples is 10 percent or more depending upon batch sizes . ALS Global completed the analytical work with the

core samples processed at their preparation facility in Reno, Nevada, U.S.A . All analytical and assay

procedures are conducted i n the ALS facility in North Vancouver, BC. The samples are processed by the

following methods as appropriate to determine the grades; Au -AA23-Au 30g fire assay with AA finish, ME -

ICP61-33 element four acid digest with ICP -AES finish, ME -OG62-ore grade ele ments, four acid with ICP -

AES finish, Pb-OG62-ore grade Pb, four acid with IC P-AES finish, Zn-OG62-ore grade Zn, four acid digestion

with ICP-AES finish, Ag-GRA21-Ag 30g fire assay with gravimetric finish.

The technical information in this news release h as been reviewed and approved by John Wilton, CG eol FGS,

CEO and President of BeMe tals, and a “Q ualified Person” as defined under National Instrument 43 -101, and

approved by Larry D. Kornze, Retired, P. Eng., Qualified Person, and Director of Thunder Mount ain Gold Inc.,

and a “Qualified Person” as defined by National Instrument 43-101 standards.

The South Mountain Project

The South Mountain Mine is a polymetallic development project focused on high -grade zinc and silver along

with associated copper, gold and lead. , and is located approximately 70 miles southwest of Boise, Idaho ( See

Figure 3). The P roject was intermittently mined from the late 1 800s to the late 1960s and its existing

underground workings remain intact and well maintained. Historic production at the Pr oject has largely come

from high -grade massiv e sulfide bodies that rem ain ope n at de pth and along strike. According to historical

smelter records, approximately 53,642 tons of mineralized material has been mined to date. These records also

indicate average grades; 14.5% Zn, 363.42 g/t Ag , 1.98 g/t Au , 2.4% Pb, and 1.4% Cu we re realised (See NI

43-101 Technical Report: U pdated Mineral Resource Estimate for the South Mountain Project, dated May 6,

2019, Section 6.4 – Table 6.4 for more details. Available on t he BeMetals website and at www.sedar.c om).

Thunder Mountain Gold Inc. purchased and advanced the project from 2007 through 2019, w ith expenditures

into the project of approximately US$12million.

In 2019, BeMetals Corp. purchased an option on the Project, and has formed a Boise, Idaho-based project team

that is focused on advancing South Mountain. This team includes key management o f Thunder Mountain Gold

Inc., Optionee of the Property. The project team has completed re-establishment of the Project site and have

conducted two phases of drilling. The team continues to build and maintain s trong relations with local

communities relevan t to the South Mounta in Project . The Project is largely on and surrounded by private

surface land, and as such, the permittin g and environmental aspects of the Project are expected to be

straightforward. Permits are in place for underground exploration act ivities and BeMetals does not anticipate

significant barriers to any future development at the Project.

Figure 3. Location of South Mountain Project

Other Thunder Mountain Gold Corporate News:

On March 29, 2021 the Company’s Board of Directors approved the sale of 2,000,000 of the 10,000,000

common shares held in BeMetals, which were originally received in connection with the 2019 BeMetals Option

Agreement. BeMetals then identified a prospective buyer for these shares . The Board determined that it was

important for the company to have a sufficient funds to sustain the company into the future amid these uncertain

times.

On May 04, 2021, the Company sold 2,000,000 of the 10,000,000 common shares held in BeMetals Corp., for a

total of CAD$800,000 ( US $556,820), less brokerage fees. The shares of common s tock were sold in an

arranged transaction through the Toronto Stock Exchange – Venture Exchange at a price of CAD$0.40

(US$0.278). This sale meets all the requirements under the ter ms of the BeMetals Option Agreement. The sale

was made on the Toronto Stock Exchange-Venture Exchange pursuant to the exemption provided in rule 904.

Regarding Thunder Mountain Gold, Inc.

Thunder Mountain Gold Inc. , a ju nior exploration company founded in 1935, owns interests in base and

precious metals projects in the western U.S. The Company’s principal asset is The South Moun tain Mine, an

historic former producer of zinc, sil ver, gold, lead, and copper , located o n private land in Owyhee County

Idaho. In February 2019, The Company entered into an option agreement with BeMetals Corp .

(www.Bemetalscorp.com) based in Vancouver, British Columbia, Canada. Thunder Mountain Gold also owns

100% of the Trout Creek Pro ject – a gold exploration project located al ong the western flank of the Shoshone

Mountain Range in the Reese River Valley, ad jacent to and surrounded by Nevada Gold Mines, a jo int

operating agreement between Barrick and Newmont Gold, Inc. private mineral lands. For more information on

Thunder Mountain Gold, please visit the Company’s website at www.Thundermountaingold.com.

About BeMetals Corp.

BeMetals is a precious and base metals exploration and devel opment company focused on becoming a leading

metal producer through the acquisition of quality exploration, development and pote ntially production stag e

projects. The Company has recently established itsel f in the gold sector with the acquisition of certai n wholly

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