THM.V · 2020-01-27 12:00:00

Drilling IN 2019 Significantly Extended the Down-Plunge, High-Grade Polymetallic Mineralization at the Company`s South Mountain Project

Drill Results

THUNDER MOUNTAIN

GOLD INC.

11770 W. President Dr., Ste. F

Boise, Idaho 83713

phone: (208) 658-1037

Website: www.thundermountaingold.com

Thunder Mountain Gold Inc. is traded on TSX-V: (THM) and OTCQB: (THMG)

TSX-V: THM

OTCQB: THMG

News Release

DRILLING IN 2019 SIGNIFICANTLY EXTENDED THE DOWN-PLUNGE,

HIGH-GRADE POLYMETALLIC MINERALIZATION

AT THE COMPANY`S SOUTH MOUNTAIN PROJECT

South Mountain 2019 Highlights:

• High-grade zinc-silver-gold-copper-lead mineralization was extended in the DMEA 1-2-3

sulfide zones by approximately 500 feet (150 meters) down-plunge of previous (2014)

mineralized intercepts.

• Initial estimates of high-grade mineralization extend from the Laxey Level to 900 feet down-

dip of the Sonneman Level for a total length of over 1,250 feet.

• The massive sulfide bodies are confirmed to be steeply plunging chimneys localized by the

intersection of northeast-striking fractures and a receptive pure marble unit that can be traced

on the surface for approximately two miles.

• Drill results in 2019 exceeded BeMetals Corporation’s expectations. BeMetals expert

consultant Dr. Richard Sillitoe believes South Mountain is a classic carbonate replacement

deposit (CRD), with possibly more upside than originally anticipated.

• The 2019 Phase 1 drilling program completed according to schedule and under budget.

• The Phase 2 drilling on is scheduled to commence in early 2020.

Boise, Id aho and Vancouver B.C. – January 27, 2020: Thunder Mountain Gold, Inc. (OTC QB: THMG;

TSX-V: THM), (the “Company” or “THMG”) today announced that all analytical results from BeMetals

Corporation have been r eceived from ALS Global from the 2019 Phase 1 underground drilling campaign. This

includes samples from the 20 core holes totalling in excess of 7,300 feet that were drilled at Company’s high-

grade South Mountain Base and Precious Metal Project (“South Mountain” or the “Project”) in southwestern

Idaho, U.S.A. Most importantly, drill hole s SM10-014 and SM19-016 have further increased the down plunge

mineralization of the DMEA zone by approximately 500 feet and the zone remains open at depth (See Figures 1

& 2).

The 2019 drilling campaign was designed to test the down-dip extensions of the zones, and co nfirm the grade

distribution of the mineral resourc e outlined in the May 2019 independent technical report titled, “ National

Instrument 43- 101 Technical Report Updated Mineral Resource Estimate for the South Mountai n Project,

Owyhee County, Idaho, USA .”, and to prepare for devel opment of a National Instrum ent 43-101 Preliminary

Economic Analysis. The South Mountain Project 43-101 Technical Report Updated Mineral Resource Estimate

is available on the Company’s website at www.Thundermountaingold.com and on SEDAR at www.sedar.com.

From these recent analytical results, hole SM19-016 has identified multiple zones of anomalous gold and silver

mineralization in the projected extension of the polymeta llic DMEA zone (See Figure 1 & Ta ble 2). The

geological logging and interpretation of SM19-016 suggests this drill hole intersected the margins of the DMEA

zone based on an increase in the observed ratio of skarn to massive sulfide styles of mineralization. The skarn

occurrences at South Mountain are defined as hedenbergite (CaFe Si2O6) as the primary constituent of the skarn

bodies with associated ilvaite, quartz and calcite, and locally with andraditic garnet occurrences. Future drilling

will test areas in close proximity to SM19 -016 where more massive sulfide mineralization is likely to be

discovered. Drill holes SM19 -017 and SM19- 018 intersected intervals of predominantly high-grade zinc and

silver mineralization associated with the MB4 target (See Figure 1 & Table 2) . These holes represent the first

drill testing at the MB4 target zone, generated from rib channel sampling results in the Sonneman level (See

BeMetals press release dated June 18, 2019) , and as such the orie ntation of this mineralization is not yet fully

understood.

Eric T. Jones, President and CEO of T hunder Mountain Gold said of the 2019 phase 1 drill pro gram, “We are

extremely pleased with the results of the drill program and anticipate continued success in testing the upside

potential of the mineralization in 2020.”

John Wilton, President, CEO and Director of BeMetals has previously announced that the results from the 2019

Phase 1 drilling exceeded their expectations and added that it reinforces BeMetal’s delivery of their goals for

phase 1 drilling at South Mountain. Specifically, they were s urprised and enc ouraged by drill hole SM19- 014,

demonstrating the potential to considerably expand the high-grade zinc and precious metal mineralization at this

underground project. The multiple zones (six in total) of predominantly zinc, silver and gold in this hole,

represent the deepest intersections of mineralization on the property. Importantly, this indicates that the DMEA

zone of mine ralization can be significantly extended at depth below the Sonneman underground leve l. Th is

drill hole was terminated because the drill rig reached its maximum depth limitation.

In addition, the Company was pleased that BeMetal`s advisor, Dr. Richard Sillitoe , a w ell-known economic

geologist from London U.K., spent several days on site examining underground exposures, drill core and

surface o utcrops. Dr. Sillitoe stron gly en dorsed the general exploration methodology being applied to the

deposit. Importantly i t was noted that the massive sulfide s have mainly replaced the Laxey marble unit,

implying that they may be considered as carbonate -replacement deposit (“CRD”) style of m ineralization. This

classification as a CRD by Dr. Sillitoe might well indicate that there is more upside to the ultimate scale of th is

deposit than was previously recognized."

Table 1 below summarizes the drill intersections retur ned from the phase 1 program , demonstrating the high-

grade nature of the base and precious metal mineralization. Figure 1 illustrates the compiled intersections which

indicate the potential to significantly expand the mineral resource base at the South Mountain deposit following

phase 2 drilling in 2020.

PHASE 1 DRILLING AT THE SOUTH MOUNTAIN PROJECT

The principal objectives of the Phase 1 work plan at South Mountain was to test for potential extensions of the

mineralized zones and confirm the grade dist ribution of the current polymetallic mineral resource estimate. The

Company has now successfully completed the phase 1 program comprised of 20 underground drill holes for a

total of approxima tely 2,250 meters. Geological logging and sampling of all drill h oles ha ve now been

completed with all analytical results re ceived. These results have been compiled into the P roject’s geological

database and will be used to design the phase 2 drilling program for 2020. Following a planned phase 2 drilling

program, all new results will be integrated into an updated mineral resource estimation for the Project, expected

to be completed towards the end of this year. Further expansion and definition of the DMEA, Texas, and MB4

zones, as well as other targets within r each of u nderground drill testing from the Sonneman level , provide

excellent exploration upside for the 2020 program.

Table 1. BeMetal’s Previously Reported Analytical and Assay Results for the Phase 1 Drilling Program

Drill Hole ID, Zone

& Interval

From

(m)

Core

Interval

(m)

Zn % Ag

g/t

DMEA Zone

SM19-002

Interval 1 46.88 57.39 10.51 17.81 226 2.41 1.59 0.16

Interval 2 67.85 71.63 3.78 5.45 145 8.39 0.58 0.15

Interval 3 85.83 96.39 10.56 11.42 123 4.43 0.36 0.52

SM19-003

Interval 1 51.18 75.35 24.17 11.12 267 3.44 3.75 0.29

Including 51.18 60.78 9.60 11.74 437 5.99 8.68 0.38

Including 62.09 75.35 13.26 11.77 169 1.88 0.54 0.25

Interval 2 77.60 81.24 3.64 9.74 331 1.94 1.11 0.34

SM19-005 75.13 86.37 11.23 7.97 128 1.20 0.91 0.24

SM19-006 28.01 43.71 15.70 21.27 147 8.04 0.77 0.30

SM19-007 26.97 39.17 12.20 18.16 122.6 4.41 1.55 0.16

SM19-014

Interval 1 105.31 120.40 15.09 9.59 127.1 1.50 0.69 0.28

Interval 2 138.07 143.88 5.81 4.88 76.9 2.55 0.21 0.12

Interval 3 155.17 158.95 3.78 14.49 145.5 0.37 0.25 0.48

Interval 4 184.40 189.56 5.15 0.28 79.9 2.08 0.15 0.06

Interval 5 250.65 258.94 8.29 8.11 178.7 0.48 0.57 1.73

Interval 6 266.33 268.16 1.83 1.32 158.9 2.56 0.56 0.11

Texas Zone

SM19-010

Interval 1 24.41 31.62 7.21 4.37 155.2 0.13 0.03 2.07

Interval 2 53.11 63.15 10.04 0.40 135.1 0.07 0.01 1.75

* Note: 1.00 meter (m) is equal to 3.28 feet (ft). One gram per tonne (g/t) is equal to 0.032 ounces per ton (oz/t, or o.p.t.)

Table 2 below shows the latest results received from holes SM19-016, SM19-017 and SM19-018.

Table 2. Drill Holes SM19-016, SM19-017 and SM19-018: Analytical and Assay Results

Drill Hole ID: Zone

& Interval

From

(m)

Core

Interval

(m)

Zn % Ag

g/t

DMEA Zone

SM19-016

Interval 1 112.33 132.05 19.72† 0.07 8.39 1.52 0.01 0.002

Interval 2 136.55 146.64 10.09 3.15 151.3 1.68 0.66 0.22

Interval 3 158.27 163.59 5.32† 0.59 46.8 1.81 0.11 0.04

Interval 4 184.18 188.64 4.47† 5.04 482.0 4.27 5.80 0.43

Interval 5 227.32 230.83 3.51 8.85 136.2 0.17 1.25 1.67

MB4 Target Zone

SM19-017

Interval 1 1.37 5.23 3.86* 12.90 314.1 0.26 0.88 1.08

Interval 2 16.32 24.08 7.76* 10.23 91.4 0.07 0.36 0.55

SM19-018

Interval 1 0.00 18.62 18.62* 5.15 73.2 0.11 0.02 0.41

Including 8.53 18.62 10.09* 8.06 97.0 0.15 0.02 0.68

Note: Reported widths in tables 1 & 2 are drilled core lengths as true widths are unknown at this t ime. It is estimated based upon current data that

true widths might range between 60-80% of the drilled interse ction. For drill holes SM19 -017* and SM19-018* true widths are unknown as the se

are the first drill intersections of the MD4 target. Intervals cut offs are based upon visual contacts of massive sul fide units with no more than 1.75

meters of internal skarn. For SM19-010 a nominal 0.5% copper c ut off has been appli ed to determine the boundaries of the intersections for this

skarn hosted mineralization with no more than 1.4m of internal dilution. For SM19 -016† (intervals 1, 3 and 4) a nominal 0.46 g/t gold cut off has

been applied to determine the b oundaries of the i ntersections with no internal dilution. For SM19-017 & 018 a nominal 2.4% zinc cut off has been

applied to determine the boundaries of the inte rsections for this skarn hosted mineralization with no more than 2m of internal dilution. (Note: See

details below in QA/QC section). 1.00 meter (m) is equal to 3.28 feet (ft). One gram per tonne (g/t) is equal to 0.032 ounces per ton (oz/t, or o.p.t.)

The above drill holes returned significant intersections of both massive sulfide and skarn styles of

mineralization. Impo rtant sulfide minerals are pyrrhotite, sphalerite, gale na, arsen opyrite and chal copyrite.

During the planned phase 2 campaign at South Mountain, the Compan y will carry out mineralogy and

metallurgical test work studies to confirm historical results.

From the recent batch of drilling, holes SM19-015, SM19-019, SM19-020 deviated from the target and did not

return the anticipated drill intercepts. However, this information is valuable in determining to the design and

target areas of mineralization in the 202 0 phase 2 pr ogram. Drill hole SM19 -021 had to be terminated at 10

meters with a significant drill rig break down near the planned conclusion of the phase 1 program.

QUALITY ASSURANCE AND QUALITY CONTROL PROCEDURES

The Project employs a rigorous QC/QA pro gram that in cludes; blanks, duplicates and appropriate certified

standard r eference material. Al l samples are introduced into the sample stream prior to sample

handling/crushing to monitor analytical accuracy and precision . The i nsertion rate for the combined QA/QC

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

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

are conducted in the ALS facili ty in North Vancouver, BC. The samples are processed by the follow ing

methods as appropria te to det ermine the grades; Au -AA23-Au 30g fire assay with AA finish, M E-ICP61-33

element four acid digest with ICP -AES finish, ME -OG62-ore grade elements, four acid with ICP-AES finish,

Pb-OG62-ore grade Pb, four acid with ICP -AES finish, Zn-OG62-ore grade Zn, four acid digest with ICP -AES

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

Figure 1: 3D Perspective View inclined at 20 degrees looking north-north-east, showing locations of rib-

sampling, priority target zones, and the phase 1 drill holes and highlighted the recent SM19-016, SM19-017 and

SM19-018

Figure 2: Plan View of the Sonneman & Laxey Levels, South Mountain Deposit , showing locations of rib -

sampling, priority target zones, and drill holes SM19-016, SM19-017 and SM19-018

Figure 3: Plan View of Sonneman & Laxey Levels, showing locations of previously reported rib sampling

Highlights from 2013-2014 Rib-Sampling Program

• DMEA Zones 1/2/3; 130 ft. (39.62m) @ 16.76% Zinc (“Zn”), 4.11 ounces per ton (“o.p.t.”) (140.91

grams per ton ne (“g/t”)) Silver (“Ag”), 0.089 o.p.t. (3.08 g/t Gold ) (“Au”), 0.78% Copper (“Cu”)

and 0.38% Lead (“Pb”)

• Muck Bay #4 Z one; 23 ft. (7.01m) @ 14.69% Zn, 7.18 o.p.t. (246.17 g/t) Ag, 0.34% Cu and 0.65%

• Laxey Zone; 40 ft. (12.19m) @ 16.44% Zn, 13.97 o.p.t. (478.97 g/t) Ag, 0.020 o.p.t. ( 0.68 g/t) Au,

0.70% Cu and 0.86% Pb

(Results pre viously reported in the Company`s annual / quarterly report s; new s rele ases; and the May 2019

independent technical report titled, “Natio nal Instrument 43-101 Technical Report Updated Mineral Resource

Estimate for the South Mountain Project Owyhee County, Idaho, USA.” 1.00 meter (m) is equal to 3.28 feet (ft).

One gram per tonne (g/t) is equal to 0.032 ounces per ton (oz/t, or o.p.t.))

The Technical information in this news release has been reviewed and approved by Larry D. Kornze, P. Eng.,

Qualified Person, and Director of Thunder Mountain Gold Inc., and a “Qualified Person” as defined by National

Instrument 43-101 standards.

The South Mountain Project

South Mountain is a polymetallic development project focused on high-grade zinc and is located approxim ately

70 miles southwest of Boise, Idaho ( see Figure 3). The Project was in termittently mined from the late 1800s to

the late 1960s and its exis ting underground workings remain intact and we ll maintained. Historic production at

the Project has largely come from high- grade massive sulphide bodies that remain open at depth and along

strike. According t o his torical 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 were realised . Thunder Mount ain Gold Inc. purchas ed an d ad vanced the P roject from 2007

through 2019 investing approximately US$12M during that period. The current mineral resource estimate of the

deposit is detailed in Table 3 below and the C ompany expects to provide a revised minera l resource update

following a phase 2 drilling program in 2020.

The Project is largely on and surrounded by privat e surface land, and as such, the permitting and environmental

aspects of the Project are expected to be straightforward. Permits are in place for underground expl oration

activities and BeMetals does not anticipate significant barriers to any future development at the Project.

Regarding Thunder Mountain Gold, Inc. (TSX.V: THM)

Thunder Mountain Gold Inc., a publicly traded junior exploration company founded in 1935, owns interests in

base and precio us metals proje cts in the western U.S. The C ompany’s principal asset is Th e South M ountain

Mine, an historic former producer of zinc, silver, gold, lead, and copper , located on private land in Owyhe e

County Idaho. In 2019, t he Company entered into an option agreemen t wi th BeMetals Corp .

(www.Bemetalscorp.com) based in Vancouver, British Columbia, Canada , and T hunder Mountain Gold is

currently one of the la rgest shareholders of BeMetals Corp. Thunder Mountain Gold also owns 100% of the

Trout Creek Project – a gold expl oration project located along the western flan k of the Shoshone Mountain

Range in the Reese Riv er Valley, adjacen t to and surrounded by Nevada Gold Mines, a Nevada- specific joint

operating agreement b etween Barrick and Newmont Goldcorp. For more info rmation on Thunder Mountain

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