Kinross Gold 2025 Field Exploration Underway on Riley Gold's PWC Gold Project (Cortez District - Nevada)

Rhea-AI Summary

Kinross Gold has initiated its 2025 exploration program at Riley Gold's Pipeline West/Clipper Gold Project (PWC) in Nevada's Cortez mining district. Under a March 2024 agreement, Kinross can earn up to 75% interest by investing $20 million in the project.

Key developments include:

• New high-priority drill targets identified 2.5 kilometers north-northwest of previous drilling
• Drilling expected to begin in 4-6 weeks, targeting highest-grade gold-in-soil anomalies
• First deep drill hole (PW1-24) completed in Fall 2024, reaching 3,597 feet depth
• Successfully found 1,251-foot thick lower-plate carbonates, including 1,193 feet of Wenban Formation
• Additional soil sampling planned to expand on 2023 survey that showed gold anomalies extending over 3 kilometers

The project spans 24.7 km² in the Cortez District, with Kinross holding a strategic 9.9% equity interest in Riley Gold.

Positive

• Strategic partnership with major mining company Kinross Gold, providing up to USD$20M in exploration funding
• Zero-cost exploration program as Kinross funds all activities
• Strategic 9.9% equity investment from Kinross strengthening financial position
• First drill hole confirmed presence of favorable gold-bearing rock formations similar to nearby large gold deposits
• Project located in proven gold-producing Cortez District near major gold mines

Negative

• Early-stage exploration project with no guaranteed success
• Company must wait 4-6 weeks before drilling begins
• 75% ownership transfer to Kinross if exploration successful, reducing Riley's stake significantly

Vancouver, British Columbia--(Newsfile Corp. - April 29, 2025) - Riley Gold Corp. (TSXV: RLYG) (OTCQB: RLYGF) ("Riley Gold" or the "Company") is pleased to announce that the 2025 Exploration Program is well underway at the Company's Pipeline West/Clipper Gold Project ("PWC"), located in the Cortez mining district of the Battle Mountain - Eureka Trend. PWC is operated by Kinross Gold U.S.A., Inc. ("Kinross"), a wholly-owned subsidiary of Kinross Gold Corporation (TSX: K) (NYSE: KGC), under an exploration earn-in agreement executed in March 2024 whereby Kinross has the right to earn up to 75% of PWC by spending USD$20,000,000 (for full details of the Kinross agreement please see the March 14, 2024 news release).

Highlights

• Kinross has defined new high-priority framework drill target areas at PWC that have never been drill tested (see Figure 1 below);

• First set of 2025 framework drill holes are approximately 2.5 kilometers north-northwest of the previous (and first) Kinross drill hole (in late 2024). These holes are targeting the highest grade gold-in-soil anomalies location on the property;

• Compiled geologic mapping, geophysical surveys, historical drill results, and gold-in-soil survey results uploaded in Leapfrog software support the new 2025 drill hole locations;

• Recent geologic modeling and interpretation by Kinross also provides a supporting structural foundation and information for the 2025 Exploration and Drill Program.

• Drill contracts have been awarded, drill permitting is in process and drilling is expected to begin in approximately 4-6 weeks;

• Additional soil sampling is planned by Kinross for the 2025 field season to increase surface geochemical coverage adjacent to the 2023 soil survey completed by Riley Gold. The previous soil survey returned significant anomalous gold-in-soil values that extended more than 3 kilometres ("km"). Several pathfinder elements, associated with both Carlin-type and intrusive-related gold deposits, were also elevated in the first soil survey;

Kinross's first PWC deep framework drill hole (PW1-24) was completed successfully in the Fall of 2024 and was designed to test for favourable lower plate carbonate Carlin-type host rocks and was drilled to 3,597 feet (1,096 m). The drill hole was designed to identify local stratigraphy in a large area within the 25 km² PWC land package with no previous deep drilling. PW24-01 successfully intercepted a 1,251 foot (380 m) thick structurally complex section of lower-plate carbonates starting at a depth of 2,346 feet (715 m) including 1,193 feet (364 m) of structurally thickened Devonian Wenban Formation. PW24-01 demonstrates that known Cortez District host lithologies exist at explorable drill depths over a contiguously large, untested area proximal to the Pipeline complex area.

"We are happy to start the year aggressively with the 2025 Exploration Program well underway. Kinross has been amazing to work with and we have full faith that their strong technical team, along with Riley Gold's PWC technical lead, Mr. Paul Dobak, have detailed a plan for success. Kinross has successfully identified stratigraphy and lithology at explorable depths, within the PWC Project, similar to that of local large gold deposits like the Fourmile discovery and the Cortez Complex owned and operated by Nevada Gold Mines LLC ("NGM")," commented Todd Hilditch, CEO of Riley Gold.

2025 Kinross Drill Planning & Map (Figure 1)

A comprehensive geologic model was built for comparison with the many Cortez Districts >5.0-million-ounce gold discoveries. The new step-out wide spaced framework drill holes are being spotted approximately 2.5 km (up to 8,200 feet) northwest of the first Kinross drill hole (see Figure 1 below) and will include northwest vectoring to the highest-grade surface geochemical gold anomalies from the soil survey near the intersection of two major structures. The primary target is a large, disseminated gold deposit peripheral to the Gold Acres stock, which is the geologic setting for NGM's Pipeline gold deposit.

Figure 1 - 2025 Drill Target Area

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/10015/250049_61043dd9f4faeb3e_002full.jpg

Kinross Agreement Overview

Riley Gold entered into an exploration and venture option agreement (the "Agreement") with Kinross on March 13, 2024. The Agreement grants Kinross the right to earn up to a 75% interest in Riley Gold's PWC by spending a minimum of US$20 million (see news release dated March 14, 2024 for details). PWC is in Lander County, Nevada and consists of approximately 24.7 km² in the heart of the significant gold producing Cortez District (Battle Mountain - Eureka Trend). Kinross is funding and operating PWC and has a strategic 9.9% (on a partially diluted basis) equity interest in the Company acquired through a private placement.

About PWC:

PWC constitutes a very prospective exploration property for Carlin-type, disseminated and replacement gold deposits. PWC consists of a land package totaling approximately 24.7 km² of unpatented mining claims and patented fee lands adjoining NGM. PWC is situated along the Cortez Structural Zone of the exceptionally productive Cortez Trend within the Battle Mountain - Eureka Trend in north central Nevada (Figure 2). The Cortez and Pipeline complexes (adjoining Riley Gold's PWC boundary) are top producers within Nevada, a State that consistently produced between 4-5 million ounces of gold a year.

Figure 2: PWC Location (project boundary approximate)

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/10015/250049_61043dd9f4faeb3e_003full.jpg

Qualified Person

This news release has been reviewed and approved by Richard DeLong, P.Geo., Director of Riley Gold and a 'qualified person', as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects.

About Riley Gold Corp.

Riley Gold is an exploration and development company focused in Nevada, USA, with assets that include the Pipeline West/Clipper Gold Project located in the Battle Mountain Eureka Trend (within the Cortez District) and the Tokop Gold Project located within the Walker Lane Trend. Riley Gold's founders and leadership team have a proven track record of maximizing shareholder value during each phase of the mining life cycle: exploration, development, and production.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Todd Hilditch
Chief Executive Officer
Tel: (604) 443-3831

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.

Cautionary statement regarding forward-looking information.

This press release contains statements which constitute "forward looking information" under applicable Canadian securities laws, including statements regarding plans, intentions, beliefs and current expectations of the Company. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking information. Although Riley Gold believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because Riley Gold can give no assurance that they will prove to be correct. Since forward looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties and the Company's future business activities may differ materially from those in the forward-looking information as a result of various factors, including, but not limited to, fluctuations in market prices, successes of the operations of the Company, continued availability of capital and financing and general economic, market or business conditions and the ability to obtain the requisite approvals of the TSX Venture Exchange when necessary. Investors are cautioned that any such forward-looking information is not a guarantee of future business activities and involves risks and uncertainties. Additional information on these and other factors that could affect Riley Gold operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR+ website (www.sedarplus.ca).There can be no assurances that such information will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. The Company does not assume any obligation to update any forward-looking information except as required under the applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250049

FAQ

What is the Kinross Gold exploration deal with Riley Gold (RLYGF) in Nevada worth?

Kinross Gold can earn up to 75% interest in Riley Gold's PWC project by spending US$20 million, per the March 2024 agreement. Kinross also acquired a 9.9% strategic equity stake in Riley Gold through a private placement.

Where are the new 2025 Kinross drill targets located at Riley Gold's PWC project?

The new drill targets are located 2.5 kilometers north-northwest of Kinross's first 2024 drill hole, targeting the highest-grade gold-in-soil anomalies at the intersection of two major structures in Nevada's Cortez District.

What did Kinross's first PWC drill hole in 2024 discover?

The first drill hole (PW1-24) discovered a 1,251-foot thick section of lower-plate carbonates, including 1,193 feet of Wenban Formation, confirming the presence of Cortez District host lithologies at explorable depths.

When will Kinross begin drilling at Riley Gold's PWC project in 2025?

Drilling is expected to begin in approximately 4-6 weeks from April 29, 2025, with drill contracts awarded and permitting in process.

What are the gold deposit targets for Kinross at Riley Gold's PWC project?

The primary target is a large, disseminated gold deposit peripheral to the Gold Acres stock, similar to Nevada Gold Mines' Pipeline gold deposit in the Cortez District.