HighGold Mining Reports Results for Difficult Creek Prospect  and Appointment of Dr. Peter Megaw to the Technical Advisory Team

Rhea-AI Summary

HighGold Mining reports promising drill results from Difficult Creek Prospect (DC) near its JT Deposit in Alaska, revealing high-grade gold and silver mineralization. Key findings include 11.43 g/t Au and 25.3 g/t Ag over 2.30 meters in hole DC21-011. Drilling across various targets has intersected significant mineralization, reinforcing the prospect's potential. The company, with $26 million in working capital, is well-positioned for further exploration. Additionally, Dr. Peter Megaw joins the Technical Advisory Team, enhancing expertise for advancing the Johnson Tract project.

Positive

• Significant drill results at Difficult Creek with high-grade intersections including 11.43 g/t Au and 25.3 g/t Ag.
• Strong working capital of approximately $26 million enabling continued exploration efforts.
• Appointment of Dr. Peter Megaw to the Technical Advisory Team, bringing extensive experience and expertise.

Negative

• Limited follow-up drilling conducted; results are from initial scout drill program.
• Potential concerns regarding the scalability of mineralization across the unexplored corridor.

DC drilling returns 11.43 g/t Au, 25.3 g/t Ag and 1.46% Zn over 2.30 meters

VANCOUVER, B.C.--(BUSINESS WIRE)-- HighGold Mining Inc. (TSX-V:HIGH, OTCQX:HGGOF) (“HighGold” or the “Company”) is pleased to announce drill results for six (6) additional holes from the Difficult Creek Prospect (“DC”), located four (4) km northeast of the Company’s 0.75 Moz indicated 10.9 g/t gold equivalent (“AuEq”) JT Deposit mineral resource. Difficult Creek is one of several regional prospects being explored by HighGold on the district-scale Johnson Tract project (“Johnson Tract”, “JT” or the “Project”) in Southcentral Alaska, USA.

Johnson Tract Project – DC Prospect 2021 Drill Hole Plan Map (4km Northeast of JT Deposit) (Photo: Business Wire)

The Company recently released drill results from the Company’s first hole, DC21-010, at Difficult Creek which included 578 g/t Au and 2,023 g/t Ag over 6.4m (See Company press release dated October 6^th, 2021). Results reported today include five (5) holes completed at Middle DC and the first hole reported from the Upper DC target – note all holes completed at the DC Prospect in 2021 were part of an initial scout drill program and did not include any follow-up drilling.

DC Drill Highlights

• 11.43 g/t Au, 25.3 g/t Ag, 1.46% Zn, 0.54% Cu over 2.30m within 4.93 g/t Au, 15.5 g/t Ag, 0.24% Cu over 5.8m, in hole DC21-011 located down-dip of DC21-010 at Middle DC
• 12.92% Zn, 0.67 g/t Au over 2.10m within 4.23% Zn, 0.52 g/t Au over 9.8m, in hole DC21-013 within a northeast trending fault structure
• Broad zones of lower grade gold and base metal mineralization intersected in recconaissance drilling 140m to the northwest of DC21-010, consisting of 91.7m grading 0.17 g/t Au, 0.75% Zn in hole DC21-015, including 10.50m grading 0.46 g/t Au, 1.20% Zn; this mineralization is blind at surface beneath relatively unaltered cover rocks, highlighting the potential under cover elsewhere along trend
• 110 g/t Ag over 1.10m and 5.18 g/t Au, 4.04% Zn over 0.60m in seperate veins interesected in DC21-016, the first hole to test the Upper DC Vien Field

“The 17-hole drill program across the DC Prospect was designed as a first-pass test of multiple targets,” commented President and CEO Darwin Green. “With seven of 17 holes reported to date, the Middle DC area has emerged as a zone of significant mineralization with excellent potential to expand. Particularly encouraging is recognition that mineralization appears to be preferentially developed within dacite fragmental volcanic rocks – the same rocks that host the JT Deposit. Significantly, this horizon defines a 1.2km long prospective corridor between the Middle DC and Milkbone targets that is largely obscured beneath overlying (less mineralized) andesitic volcanic cap rocks. We are impressed with the overall scale of the 1.5 km x 3.0 km DC system, the similarities to the JT Deposit located 4km to the southwest, and our predictive exploration model that enhances our chances for ongoing exploration success. With approximately $26 million in working capital, the Company is fully funded to explore this exciting new target area while at the same time continuing the systematic expansion and advancement of the main JT Deposit situated 4km to the southwest.”

Discussion of DC Prospect Area Drilling and Geology

A total of 16,198 meters (44 drill holes) were completed during the 2021 exploration program at the greater Johnson Tract project split between deposit expansion and regional prospect drilling. Of this total, 5,285 meters (17 holes) were completed at the DC prospect.

The program at the DC Prospect was designed as a first-pass test of multiple targets across the DC prospect area. Results reported today include six (6) additional holes at the Middle DC and Upper DC areas. The first 7 of 17 holes have now been reported with mineralization successfully intersected in all holes, consisting of high to very high-grade gold and silver intercepts as well as broad intervals of lower grade gold associated with significant base metal mineralization. Assay highlights are shown in Table 1 and the location of drill holes shown on a plan map and cross-section in Figures 1 and 2.

The DC Prospect is located four (4) kilometers northeast of the JT Deposit and is characterized by a series of large gossan alteration zones similar in style to the JT Deposit that collectively extend over a 1.5 km x 3.0 km area. Gold mineralization and pervasive clay +/- anhydrite alteration are preferentially developed within dacitic fragmental rocks that underly a shallowly dipping sequence of lesser altered andesite that is host to a silver and gold-rich vein field at higher elevations. The widespread extent of mineralization exposed in erosional windows through the andesite supports potential for a large and partially blind mineralized system linking the various DC Prospect zones together.

Drill hole DC21-010 was the first hole completed by HighGold at the DC Prospect and targeted the down-dip projection of a showing of mineralized silicified breccia at Middle DC where surface sampling retuned 22.1 g/t Au and 178 g/t Ag over a 1.5m chip sample. Limited drilling in 1983 by a previous operator yielded 3.57 g/t Au, 15.5 g/t Ag, 1.8% Zn over 36.3m in hole DC83-002, including 9.3 g/t Au, 57 g/t Ag and 4.5% Zn over 4.6 meters. Hole DC21-010 intersected the projected mineralized zone at a shallow depth and returned exceptional grades of 577.9 g/t Au and 2,023 g/t Ag over a 6.4m width.

Drill holes DC21-011, DC21-012 and DC21-014 reported today were drilled as steeper holes on the same cross-section as hole DC21-010 at Middle DC. Hole DC21-013 was designed to cross a northeast-trending fault structure, immediately west of the main Middle DC showing. Hole DC21-015 tested a reconnaissance target northwest of Middle DC.

Hole DC21-016 was the first test of the New Vein Field at the Upper DC target identified through geological mapping and sampling in 2020 which returned values up to 1,800 g/t Ag (See Company press release dated February 11, 2021).

Appointment of Dr. Peter Megaw to its Technical Advisory Team

HighGold is very pleased to welcome Dr. Peter Megaw to the Company’s Technical Advisory Team, joining Garfield MacVeigh, Dr. John Proffett and Jack DiMarchi. Each of these technical experts brings a wealth of ore-finding knowledge & skills along with years of successful experience that supplements the technical expertise of the HighGold management and field teams.

“Peter’s exceptional academic and exploration expertise is globally recognized in the mining industry and his track record of success speaks for itself,” commented HighGold CEO Darwin Green. “His ‘big-picture’ perspective on epithermal systems and the magmatic engines that drive them will be of tremendous value to help advance the Johnson Tract gold deposit and continue to make discoveries in this large and high-grade hybrid intermediate sulphidation epithermal/VMS gold-base metals district that in places has developed bonanza grade silver. Peter is well known for his association with high quality deposits where both grade and size contribute to the longevity of an operation. We believe we have this combination of attractive features at Johnson Tract and welcome Peter’s insights to help drive our continued expansion and discovery success here.”

Dr. Peter K.M. Megaw, a consulting exploration geologist, serves as President of IMDEX/Cascabel and is the co-founder of MAG Silver and Minaurum Gold. His Ph.D. work at the University of Arizona was an exploration-focused geological/geochemical study of the Santa Eulalia Ag-Pb-Zn District, Chihuahua and Carbonate Replacement Deposits (CRDs) of Mexico in general. He has published extensively on CRDs and Epithermal Vein deposits and is a frequent speaker at international academic and technical symposia. His primary exploration foci are CRDs and Epithermal Vein Deposits, which he has worked on throughout the Cordillera of North and South America, Ireland and Turkey. Peter was awarded the Society of Mining Engineers 2012 Robert M. Dreyer Award for excellence in Applied Economic Geology and the PDAC 2017 Thayer Lindsley Award for Outstanding Exploration Success for the significant discoveries made by his team at Juanicipio-Fresnillo, Zacatecas; Platosa, Durango; and Cinco de Mayo-Pozo Seco, Chihuahua.

Other Company Activities

An updated mineral resource estimate is planned for the JT Deposit in the first half of 2022 following the completion and receipt of all assays from the 2021 drill program. The new mineral resource estimate will incorporate 30,000 meters of new drilling completed in 2020 and 2021 since the last estimate. Metallurgical test work is underway on material collected from the JT Deposit with results expected Q1 2022.

A minimum 3,000m Phase 1 drill program is currently underway at the Company’s Munro-Croesus property located in the Timmins gold camp, Ontario.

About the Johnson Tract Gold Project

Johnson Tract is a poly-metallic (gold, copper, zinc, silver, lead) project located near tidewater, 125 miles (200 kilometers) southwest of Anchorage, Alaska, USA. The 21,000-acre district scale property includes the high-grade Johnson Tract Deposit (“JT Deposit”) and at least nine (9) other mineral prospects over a 12-kilometer strike length. HighGold acquired the Project through a lease agreement with Cook Inlet Region, Inc. (“CIRI”), one of 12 land-based Alaska Native regional corporations created by the Alaska Native Claims Settlement Act of 1971. CIRI is owned by more than 9,100 shareholders who are primarily of Alaska Native descent.

The JT Deposit hosts an Indicated Resource of 2.14 Mt grading 10.93 g/t gold equivalent (“AuEq”) comprised of 6.07 g/t Au, 5.8 g/t Ag, 0.57% Cu, 0.80% Pb and 5.85% Zn. The Inferred Resource of 0.58 Mt grading 7.16 g/t AuEq is comprised of 2.05 g/t Au, 8.7 g/t Ag, 0.54% Cu, 0.33% Pb, and 6.67% Zn. For additional details see NI 43-101 Technical Report titled “Updated Technical Report for the Johnson Tract Project, Alaska” is dated August 9, authored by Ray C. Brown, CPG, and James N. Gray, P.Geo. Gold Equivalent is based on assumed metal prices and 90% recovery for Au, Ag, Cu, Pb, and Zn. Assumed metal prices for the Resource are US$1350/oz for gold (Au), US$16/oz for silver (Ag), US$2.80/lb for copper (Cu), US$1.00/lb for lead (Pb), and US$1.20/lb for zinc (Zn) and are based on nominal 3-year trailing averages as of April 1, 2020. Historical metallurgical testing on drill core samples has indicated that good gold and base metal recoveries and marketable concentrates can be expected.

Table 1. Johnson Tract Project – DC Prospect Significant New Drill Intersections

Drill Hole	From	To	Length	Au	Ag	Cu	Zn	Pb	AuEq
	(meters)	(meters)	(meters)	(g/t)	(g/t)	%	%	%	(g/t)
DC21-011	54.2	99.0	44.8	0.85	6.95	0.05	0.46	0.15	1.36
Including	54.2	60.0	5.8	4.93	15.45	0.24	0.93	0.09	6.06
Including	54.2	56.5	2.3	11.43	25.30	0.54	1.46	0.03	13.41
DC21-012	61.8	97.3	35.5	0.21	5.78	0.04	0.94	0.47	1.15
Including	61.8	75.0	13.2	0.22	9.96	0.08	1.90	1.14	2.20
Including	69.3	75.0	5.7	0.47	15.06	0.09	1.79	1.03	2.38
DC21-013	77.1	89.3	12.2	0.02	4.72	0.12	1.51	0.50	1.42
Including	83.1	88.2	5.1	0.03	6.31	0.18	2.12	0.70	2.00
And	102.5	112.3	9.8	0.52	2.74	0.22	4.23	0.30	3.60
Including	106.5	108.6	2.1	0.67	4.18	0.57	12.92	0.53	9.67
DC21-014	150.9	158.4	7.5	0.20	4.64	0.03	0.53	0.07	0.65
And	208.8	213.3	4.5	0.01	0.33	0.02	1.21	0.00	0.78
DC21-015	135.4	227.1	91.7	0.17	0.59	0.05	0.75	0.09	0.75
Including	145.0	196.2	51.2	0.21	0.74	0.06	0.83	0.12	0.86
Including	145.0	155.5	10.5	0.46	1.30	0.10	1.20	0.34	1.52
And	270.8	300.9	30.1	0.02	0.35	0.09	1.03	0.03	0.80
Including	293.4	300.9	7.5	0.01	1.18	0.10	1.68	0.04	1.22
DC21-016	9.8	10.9	1.1	0.11	110	0.01	0.02	0.02	1.45
And	377.4	382.0	4.6	0.46	0.95	0.02	0.32	0.08	0.73
And	441.1	441.7	0.6	5.18	6.70	0.22	4.04	0.12	8.10
And	469.3	471.9	2.6	0.34	4.65	0.06	0.78	0.07	0.98

True thickness for the reported intersections not known. Gold Equivalent (AuEq) is based on assumed metal prices and 90% recovery for Au, Ag, Cu, Pb, and Zn. Assumed metal prices are same as for the resource at $1350/oz for Au, $16/oz for Ag, $2.80/lb for Cu, $1.00/lb for Pb, and $1.20/lb for Zn

About HighGold

HighGold is a mineral exploration company focused on high-grade gold projects located in North America. HighGold’s flagship asset is the high-grade Johnson Tract Gold (Zn-Cu) Project located in accessible Southcentral Alaska, USA. The Company also controls a portfolio of quality gold projects in the greater Timmins gold camp, Ontario, Canada that includes the Munro-Croesus Gold property, which is renowned for its high-grade mineralization, and the large Golden Mile and Golden Perimeter properties. HighGold’s experienced Board and senior management team, are committed to creating shareholder value through the discovery process, careful allocation of capital, and environmentally/socially responsible mineral exploration.

Ian Cunningham-Dunlop, P.Eng., VP Exploration for HighGold Mining Inc. and a qualified person ("QP") as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this release.

On Behalf of HighGold Mining Inc.

“Darwin Green”

President & CEO

Additional notes:

Starting azimuth and dip (Azimuth/-Dip) for drill holes reported today are noted as follows: DC21-011 (220/-57), DC21-012 (220/-75), DC21-013 (260/-50), DC21-014 (220/-74), DC21-015 (280/656), and DC21-016 (340/-45). Samples of drill core were cut by a diamond blade rock saw, with half of the cut core placed in individual sealed polyurethane bags and half placed back in the original core box for permanent storage. Sample lengths typically vary from a minimum 0.5 meter interval to a maximum 2.0 meter interval, with an average 1.0 to 1.5 meter sample length. Drill core samples are shipped by air and transport truck in sealed woven plastic bags to the ALS Global – Geochemistry Analytical Lab in Reno, Nevada, USA for sample preparation and analysis. ALS Global operate according to the guidelines set out in ISO/IEC Guide 25. Gold is determined by fire-assay fusion of a 50 g sub-sample with atomic absorption spectroscopy (AAS). Samples that return values >10 ppm gold from fire assay and AAS are determined by using fire assay and a gravimetric finish. Various metals including silver, gold, copper, lead and zinc are analyzed by inductively-coupled plasma (ICP) atomic emission spectroscopy, following multi-acid digestion. The elements copper, lead and zinc are determined by ore grade assay for samples that return values >10,000 ppm by ICP analysis. Silver is determined by ore grade assay for samples that return >100 ppm.

The Company has a robust QAQC program that includes the insertion of blanks, standards and duplicates.

Neither 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.

Forward looking statements: This news release includes certain “forward-looking information” within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively “forward looking statements”). Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “forecast”, “expect”, “potential”, “project”, “target”, “schedule”, “budget” and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the Company’s currently ongoing drill program and pending assays are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company’s expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211202005481/en/

For further information, please visit the HighGold Mining Inc. website at www.highgoldmining.com, or contact:

Darwin Green, President & CEO or Naomi Nemeth, VP Investor Relations

Phone: 1-604-629-1165 or North American toll-free 1-855-629-1165

Email: information@highgoldmining.com.

Website: www.highgoldmining.com

Twitter: @HighgoldMining

Source: HighGold Mining Inc.

FAQ

What are the recent drill results from HighGold Mining's Difficult Creek Prospect (HGGOF)?

HighGold Mining's recent drill results from the Difficult Creek Prospect revealed 11.43 g/t Au and 25.3 g/t Ag over 2.30 meters in hole DC21-011.

What is the significance of Dr. Peter Megaw's appointment for HighGold Mining (HGGOF)?

Dr. Peter Megaw's appointment to the Technical Advisory Team brings a wealth of geological expertise, particularly in epithermal systems, which is expected to enhance the advancement of the Johnson Tract project.

How is HighGold Mining (HGGOF) funding its exploration efforts?

HighGold Mining has approximately $26 million in working capital, which fully funds its exploration initiatives at the Difficult Creek Prospect and beyond.

What future plans does HighGold Mining (HGGOF) have following the recent drilling results?

Following the recent drilling results, HighGold Mining plans to continue exploration at Difficult Creek and update the mineral resource estimate for the JT Deposit in the first half of 2022.

What potential risks are associated with HighGold Mining's (HGGOF) exploration at Difficult Creek?

A potential risk is the limited follow-up drilling, as current results are primarily from an initial scout drill program, which may not fully assess the mineralization's scalability.