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Callinex Discovers Silver, Zinc and Lead at the Nash Creek Project in the Bathurst Mining District, New Brunswick

Exploration Programs

Callinex Discovers Silver, Zinc and Lead at the Nash Creek Project in the

Bathurst Mining District, New Brunswick

Highlights:

Drill hole NC19-306 intersected

19m

of 36.53 g/t Ag, 0.52% Pb and 0.38% Zn at a starting depth of

34.0m

including

3m

of 130 g/t Ag, 0.98% Pb and

0.16% Zn;

This new silver zone was discovered 9.6 kms along strike from

Nash Creek

deposit - the only hole to test the mineralized trend; and

Drill holes NC19-309, NC19-310 and NC19-311 intersected near surface zinc and lead mineralization over a 1.1km trend across the Central Zone

area.

VANCOUVER, BC

,

June 4, 2020

/CNW/ -

Callinex Mines Inc.

(the "Company" or "Callinex") (TSXV: CNX) (OTC: CLLXF) is pleased to announce results from

eight of 18 drill holes completed during the 2019/2020 drilling campaign (the "Campaign") at its 100% owned Nash Creek Project (the "Project") located within the

Bathurst Mining District of

New Brunswick

(

See Figure 1

and

Figure 2

). The Campaign totalled

3,347m

of drilling to test 18 targets at the Nash Creek Project and

an additional 733m of drilling to test two targets at the Superjack Project.

The drilling campaign was highlighted by the discovery of a new silver zone 9.6 kms along strike from the

Nash Creek

deposit. Drill hole NC19-306 intersected

19m

of 36.53 g/t Ag, 0.52% Pb and 0.38% Zn at a starting depth of

34.0m

including

3m

of 130 g/t Ag, 0.98% Pb and 0.16% Zn (

See Figure 2

and Table 1).

Additionally, drill holes NC19-309, NC19-310 and NC19-311 intersected near surface zinc and lead mineralization across a 1.1 km trend in the Central Zone area

(

See News Release dated

December 13, 2018

).

Max Porterfield

, President and CEO, stated, "We are excited by the initial results from the recently completed drilling campaign in

New Brunswick

. The near

surface silver discovery highlights the prospectivity of the Nash Creek Project and requires immediate follow-up to drill test the extent of the mineralization." Mr.

Porterfield continued, "The Central Zone area warrants further drilling due to the results from three widely spaced holes over a 1.1km trend. Each of these drill

holes intersected zinc and lead mineralization within

100m

of surface and above the cut-off grade outlined in the Preliminary Economic Assessment (PEA)

published in 2018."

Drill hole NC19-306 tested an Induced Polarization ("IP") resistivity low anomaly in the southern portion of the Project and collared into a mineralized rhyolite

flow/breccia (

See Figure 3

). The silver zone discovered in NC19-306 occurs with pyrite, galena and sphalerite sulphides that are found in fractures and within the

matrix of the brecciated sections. Lithologies intersected below the mineralized zone were made up of felsic to mafic volcanic rocks commonly recognized in the

Hayes and Hickey mineralized zones that make up the

Nash Creek

deposit, located 9.6 kms to the north and immediately east of the same associated fault. Of

particular interest, is a resistivity and magnetic low trend which extends from the

Nash Creek

deposit southerly for 11 kms and further highlights the location of the

controlling fault zone. The Company recognizes the gap in 2018 IP survey and 2009 airborne Versatile Time Domain Electromagnetic ("VTEM") mag data (4.7

kms) may be needed surveyed to further correlate the strong resistivity low trend from the north to the resistivity low tested by NC19-306 (

See Figure 3

and

Figure 4

).

Three drill holes, NC19-309, NC19-310 and NC19-311, all intersected zinc and lead mineralization east of the

Nash Creek

deposit associated with an IP

chargeability and resistivity anomaly described as the Central Zone (

See Figure 5

and Table 1). These three widely spaced drill holes, which span 1.1 km,

intersected geology and alteration that mimics a mineralized sequence that makes up the

Nash Creek

deposit, which is located 1.3km to the west. Results from

these three holes, along with the extent of the chargeability and resistivity anomalies, suggests the Central Zone may host a significant mineralized lense(s) and

follow-up drilling to further delineate this zone is required. Based on these results, a subsequent review of the 2009 airborne VTEM survey has highlighted a linear

conductive anomaly (channel 15) along trend 4 km to the south of the Central Zone that warrants follow-up work (

See Figure 6

).

Additionally, the Company drill tested a number of targets in the southern portion of the Project, which intersected favourable geology of felsic and mafic volcanic

sequences with associated sediments. Of interest is drill hole NC19-307 which intersected chloritic altered felsic volcanics with anomalous copper values that

have not previously been encountered to date (

See Figure 3

and Table 1). Callinex will re-evaluate this area to determine whether further work is required.

Drilling Campaign Overview

The drilling campaign was designed to test regional exploration targets at the Nash Creek Project, which produced a PEA on Callinex's

New Brunswick

assets in

2018 (

See News Release dated

May 14, 2018

). The drill targets tested were generated from an IP survey completed in 2018 (

See News Release dated

October 1, 2018

) and a 2009 airborne VTEM survey at the Nash Creek Project.

The Nash Creek Deposit consists of three shallow near-horizontal sulphide-rich lenses, which have been defined over 2.1km of strike and are hosted in an altered

felsic-mafic volcanic sequence. The Company's exploration success, to date, has utilized a 2011 IP survey completed over the three

Nash Creek

mineralized

lenses. Recognizing the regional felsic-mafic sequence, which hosts the three deposits and extends an additional 20km south, Callinex undertook an extensive IP

survey in 2018 to cover the area of interest. From this survey, Callinex prioritized the target areas using the

Nash Creek

deposit's IP signature of higher

chargeability coincident with lower resistivity.

J.J. O'Donnell, P.Geo, a qualified person under National Instrument 43-101 and a Consulting Geologist for Callinex, has reviewed and approved the technical

information in this news release.

Figure 1: Bathurst Regional Overview

Figure 2: Nash Creek Project 2019-2020 Drilling with Regional Geology

Figure 3: Nash Creek Project 2019-2020 Drilling with IP Resistivity Slice at

150m

Below Surface

Figure 4: Nash Creek Project 2019-2020 Drilling with Airborne Magnetic Survey

Figure 5: Nash Creek Project 2019-2020 Central Zone Drilling with IP Chargeability-Resistivity Isoshells

Figure 6: Nash Creek Project 2019-2020 Drilling with Airborne VTEM Survey

Table 1: Drill Results from the Nash Creek Project

Nash Creek Drill Results

Drill Hole

From

(m)

To

(m)

Interval

(m)

Ag

(g/t)

Zn

(%)

Pb

(%)

Cu

(%)

NC19-306

34.0

53.0

19.00

36.53

0.38

0.52

-

Including

42.0

45.0

3.0

130.00

0.16

0.98

-

NC19-307

37.03

37.22

0.19

5.00

0.64

0.06

3.15

Also

235.58

235.84

0.26

1.00

0.01

0.00

1.15

NC19-309

82.00

83.00

1.00

1.00

2.50

0.15

-

Also

127.00

128.00

1.00

5.00

3.55

0.35

-

Also

160.00

172.00

12.00

20.41

1.59

0.24

-

NC19-310

19.00

25.00

6.00

17.83

2.23

0.36

-

Also

34.00

36.00

2.00

17.00

1.37

1.43

-

Also

38.00

41.00

3.00

25.33

1.76

0.66

-

NC19-311

23.00

24.00

1.00

1.00

2.67

0.28

-

Also

80.00

90.00

10.00

1.10

1.71

0.15

-

Including

81.00

88.00

7.00

1.14

2.06

0.20

-

Note: True widths of intersections will be determined with further drilling. Drill holes NC19-304, NC19-305 and NC19-308 did not intersect significant base or

precious metal mineralization. Results of the remaining 12 holes (NC19-312 to NC20-321, SJ20-94 and SJ20-95) are still pending.

QA / QC Protocols

Individual samples were labeled, placed in plastic sample bags, and sealed. Groups of samples were then placed in security sealed bags and shipped directly to

SGS Canada Inc in

Garson, Ontario

for prepping and then on to SGS's lab in

Vancouver, BC

for analysis. Samples were weighed then crushed to 75% passing

2mm and pulverized to 85% passing 75 microns in order to produce a 250g split. 35 elements including lead, zinc and silver assays were determined by Aqua

Regia digestion with a combination of ICP-MS and ICP-AES finish, with overlimits (>100 ppm Ag, >10,000 ppm Zn, and >10,000 ppm Pb) completed by fire

assay with gravimetric finish (Ag) or Aqua Regia digestion with ICP-AES finish (lead and zinc). If gold was analyzed a Fire Assay of a 30 gram charge by AAS, or

if over 10.0 g/t were re-assayed and completed with a gravimetric finish. QA/QC included the insertion and continual monitoring of numerous standards, blanks,

and duplicates.

About Callinex Mines Inc.

Callinex Mines Inc. (TSXV: CNX) (OTC: CLLXF) is advancing its portfolio of zinc rich deposits located in established Canadian mining jurisdictions. The

portfolio is highlighted by its

Nash Creek

and Superjack deposits in the Bathurst Mining District of

New Brunswick

. A 2018 PEA outlined a mine plan that

generates a strong economic return with a pre-tax IRR of 34.1% (25.2% post-tax) and NPV8% of

$230 million

(

$128 million

post-tax). The projects have

significant exploration upside over a district-scale land package that encompasses several high-grade mineral occurrences along a 20km trend.

Click here

to

view a video overview of the Nash Creek Project.

Callinex has a project portfolio that also includes projects within the Flin Flon Mining District of

Manitoba

that are located 25km to an operating processing

facility that requires additional ore.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts

responsibility for the adequacy or accuracy of this release.

Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future

expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which

may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or

implied by the statements. Such factors include, among others, the ability to complete the proposed drill program and the timing and amount of expenditures.

Except as required under applicable securities laws, Callinex does not assume the obligation to update any forward-looking statement

.

View original content:

http://www.prnewswire.com/news-releases/callinex-discovers-silver-zinc-and-lead-at-the-nash-creek-project-in-the-bathurst-mining-district-new-brunswick-301070358.html

SOURCE

Callinex Mines Inc.

View original content:

http://www.newswire.ca/en/releases/archive/June2020/04/c5223.html

%SEDAR: 00031889E

For further information:

Callinex Mines Inc., Max Porterfield, President and Chief Executive Officer, Phone: (604) 605-0885, E-mail: [email protected]

CO: Callinex Mines Inc.

CNW 08:30e 04-JUN-20