Highgold drills 6.4 m of 577 g/t Au, 2,203 g/t Ag at JT

“Without a doubt, this is a game changing drill hole that firmly establishes the DC Prospect as a second center of high-grade mineralization and validates our conviction in the multi-deposit potential at Johnson Tract,” commented President and CEO Darwin Green. “The bonanza grade intersection in hole DC21-010 represents the highest grade drilled to date on the JT Project, which is a significant achievement given the number of outstanding drill intersections generated previously in the main JT deposit area. We look forward to the pending assay results from additional step-out drill holes and the ongoing exploration of this exciting early-stage prospect.” Please CLICK HERE for additional commentary from CEO Darwin Green.

Discussion of DC Prospect Area and Drill Results

The DC Prospect is located four 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 to rhyolitic tuffaceous rocks that underly a shallowly-dipping sequence of lesser altered andesite that is host to a gold- and silver-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.

Hole DC21-010 is the first hole completed by HighGold at the DC Prospect and targeted down-dip of a showing of mineralized silicified breccia at Middle DC where surface sampling retuned 22.1 g/t gold and 178 g/t silver over a 1.5m chip sample. Limited drilling in 1983 by a previous operator yielded 36.6 meters grading 3.57 g/t Au, 1.8% Zn, 0.2% Cu 0.4% Pb and 15.5 g/t Ag in hole DC83-002, including 4.6 meters grading 9.3 g/t Au, 57 g/t Ag and 4.5% Zn. Hole DC21-010 intersected the mineralized zone at a shallow depth, confirming continuity of the mineralized zone and demonstrating the presence of bonanza gold and silver grades, including 2,860 g/t Au and 9,990 g/t Ag over 1.26m within a broader mineralized interval from 46.30m to 52.70m grading577.9 g/t Au and 2,023 g/t Ag over a 6.4m width. Mineralization consists of an anastomosing network of narrow quartz-sulphide veins within a variably silicified zone of quartz-sericite-pyrite alteration. Assay results for the individual samples that make up the 6.4m intersection in hole DC21-010 are shown in Table 1 and the location of the drill hole is shown on a plan map and cross-section in Figures 1 and 2.

Note: True width of the 6.4m mineralized interval is estimated to be 90% of drilled width. High-grade gold and silver analyses were performed by the ALS Global – Geochemistry Analytical Lab in Reno, Nevada USA using their Au_Au-GRAV21_ppm analytical method after >10 g/t Au overlimits were returned using their Au_Au-AA24 method and using their Ag_Ag-GRAV21_ppm analytical method after >1,500 g/t Ag overlimits were returned using their Ag_Ag-OG62 method.

Follow-up Drilling at DC Prospect

A total of seven (7) holes have been completed by HighGold at the Middle DC Zone, including step-outs down-dip and along strike of hole DC21-010 (See Figures 1 and 2). These holes were completed as part of the Company’s first pass drill test of the multiple target areas defined across the 1.5 x 3.0 km DC Prospect area, totaling 17 holes completed this year (assay results pending).

The importance of the DC Prospect has been elevated significantly by the initial, very high-grade results returned in hole DC21-010. The mineralized zone at Middle DC is open to expansion at depth and along strike and will be a major area of focus for the Company. We look forward to receiving the large volume of pending assay results from Middle DC and elsewhere throughout the greater DC Prospect.

Current Exploration Activities

Three (3) diamond drill rigs are currently operating on the Project in concert with a regional geological mapping and geochemical sampling program, air and ground-based geophysical surveying, and a Phase I metallurgical sampling program. Drilling is divided between the JT Deposit area and regional targets, including the DC Prospect. To September 30, a total of 13,200 meters have been completed in 34 holes (17 in the JT Deposit area and 17 on regional targets). Assays results will be released on an ongoing basis pending review and meeting Company quality assurance-quality control protocols. An updated mineral resource estimate is planned for the JT Deposit in early 2022, following the completion and receipt of all assays from the 2021 drill program. The new resource estimate will incorporate new drilling completed in 2020 and 2021.

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.

Mineralization at Johnson Tract occurs in Jurassic-age intermediate volcaniclastic rocks and is characterized as epithermal-type with submarine volcanogenic attributes. The JT Deposit is a thick, steeply dipping silicified body (20m to 50m average true thickness) that contains a stockwork of quartz-sulphide veinlets and brecciation, cutting through and surrounded by a widespread zone of anhydrite alteration. The Footwall Copper Zone is located structurally and stratigraphically below JT Deposit and is characterized by copper-silver rich mineralization. The Au-Cu-Zn-Ag-Pb mineralization associated with the JT Deposit has now been defined over a total strike length of 600 meters and to a depth of 350 meters and remains open along strike to the northeast and southwest, and at depth.

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.

Prior to HighGold, the Project was last explored in the mid-1990s by a mid-tier mining company that evaluated direct shipping material from Johnson to the Premier Mill near Stewart, British Columbia.

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

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

Additional notes:

The starting azimuth and dip (Azimuth/-Dip) for drillhole DC21-010 is 220/-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.

Samples from the high grade DC21-010 drill intersection have been resubmitted for metallic screen gold analysis (ME_SCR24) at ALS Global – Geochemistry Analytical Lab in North Vancouver, BC, Canada. Metallic screen utilizes a larger (1 kg) sample size that can help determine the presence of coarse gold.

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/20211006005364/en/

Contacts:

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: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.highgoldmining.com
Twitter: @HighgoldMining