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Douay Gold Project

  • Located in one of the world’s best mining jurisdictions
  • Established gold resource – see RPA Resource Estimate below
  • Royalty free except for 1% NSR that covers small NW Zone
  • Excellent infrastructure with large operating mines within 150km
  • District-scale ~350km2 property package
  • 55 km of strike along the Casa Berardi Deformation Zone
  • Significant exploration potential

Recent Milestones & Upcoming Plans

  • 2019 winter drilling campaign (6,045 metres completed)
    • Drilled higher-than-deposit-average grade in every resource zone tested
  • New 3D geological and structural model to better constrain mineralisation
  • New resource estimate delivered with conservative adjustments and increased focus on economic parameters
  • Evaluating several alternative scenarios to develop most efficient path toward economic study stage for portion of the known resources
  • High-grade drill targets defined at 531 Zone – focused drill campaign designed (Q4)
  • De-risking and advancing the project with the aim of securing strategic investment
  • Defining highest-priority near-surface drill targets for winter 2020 drill season
  • Advancing greenfields new discovery targets located to the NE of known resource

Maple Gold Quebec Overview Map 002

The Douay Gold Project is located in Quebec, Canada. The Project is approximately 2.5 hours north of Val d’Or and 1.25 hours north of Amos via Highway 109. The pre-existing facilities are accessible via a gravel road less than 10 minutes from the main highway, while a new 75-person camp has been built just west of the highway.

Renowned for its mineral content, Quebec has a total area of 1.7 million km2, of which only 1% is mined and only 5% is covered by mining rights.

Quebec has a favourable business climate with over 200 mining companies working over 350 exploration & development projects (Investissement Quebec 2015); it is also the second most important province in Canada in terms of gold production.

Quebec offers a number of competitive tax incentives created specifically for mineral producers. Quebec's refundable tax credits, deductions and allowances make for a very friendly business climate with a combined tax rate for corporations of 26.8%, one of the lowest in North America.

location pic V2 S

The project benefits from existing infrastructure, which includes:

  • Hwy 109 leads to and cuts across the Project
  • Hydro-Powerline (Powerline 6) currently runs right through the Project
  • Full-service 75-person camp in place just west of highway 109
  • Core logging & storage facilities
  • Rail & Air within 55km (Matagami)

infrastructure 2

 
douay fig1 april20 2018S
Fig. 1: General Geology of the Douay Project. Casa Berardi Fault Zone widens in Douay area, with North and South strands merging to the east and the west. Note syenitic bodies several km to NE and NW of the Resource Area along the north strand of the Casa Berardi Fault Zone.

The Douay Gold Project covers an area of more than ~390km² along the Casa Berardi Deformation Zone (“CBDZ”) within the prolific Abitibi Greenstone Belt (“AGB”). Douay belongs to the alkaline-intrusive-associated gold class of mineral deposits, which includes Beatty (>5.6Moz Au), Holt-McDermott (>1.3Moz Au), and Canadian Malartic (>17Moz Au) in the AGB.  The area is also prospective for the more typical AGB orogenic style (structurally controlled gold-quartz veins and veinlets) of gold deposit as well as for volcanogenic massive sulphide (“VMS”) deposits.

The Douay project is underlain by a northern assemblage of mafic and felsic pyroclastic and sedimentary rocks (Taïbi Grp), a central assemblage consisting of basalts, co-genetic gabbros with lesser felsic volcanic rocks (Cartwright Hills Grp) intruded by the 6.5 x 2km Douay alkaline intrusive complex (syenite to monzonite, alkali gabbro and carbonatite) with its associated gold mineralization; and a southern assemblage consisting mostly of basalts (also Cartwright Hills Grp) with siliceous-chemical sediments and chlorite-sulphide alteration zones that may be associated with VMS style of mineralization. The volcanic stratigraphy strikes WNW to ESE whereas the major regional fault zones trend E-W or NW-SE. Existing drill data shows multiple higher-grade zones, including Douay West, within and near the Douay intrusive complex.  In addition, there are further poorly explored known and possible syenitic bodies elsewhere on the property.

Fe-carbonate-albite-pyrite alteration assemblages may be associated with higher gold values, generally above 5 g/t gold. Fractured syenite containing irregular fine pyrite veinlets in addition to disseminated pyrite, encompassing altered basalt fragments and magnetite-rich zones typically yields 0.1 to 1 g/t gold or more over intervals from tens of metres to over 150m.

 

The new resource estimate (RPA 2019 - see press release October 24, 2019) integrates the Company’s new 3D geological and structural model to better constrain Douay’s nine mineralised zones. This work also includes several conservative adjustments with the aim of delivering a new mineral resource estimate that will focus infill and step-out drilling to optimize existing resources and advance the deposit toward the economic study stage. These adjustments and changes include (but not limited to):

  • Adjustments to the conceptual pit shell slope assumptions (less steep) with pit shells now also extending to shallower depths
  • Adjusted search ellipses with reduced projections between holes and from the last hole on the edge of any given mineralised zone
  • Updated capping methodology, levels and spatial restriction to control the influence of higher-grade samples
  • Improved bulk density modelling of individual geological domains

At a cut-off grade of 0.45 g/t Au for pit-constrained resources and 1 g/t Au for underground resources, the Douay deposit is estimated to contain Indicated Mineral Resources of 8.6 million tonnes at an average grade of 1.52 g/t Au, and Inferred Mineral Resources of 71.2 million tonnes at an average grade of 1.03 g/t Au (open pit + underground). See tables and figures below for more details:

Table 1 – Mineral Resource Statement as at October 23, 2019

  Category Tonnage (Mt) Grade Contained Metal
  (Au g/t) (000 oz Au)
 
  Pit Constrained Mineral Resources  
  Indicated 8.6 1.52 422
  Inferred 65.8 0.97 2.045
  Underground Mineral Resources  
  Inferred 5.4 1.75 307
  Total Mineral Resources  
  Indicated 8.6 1.52 422
  Inferred 71.2 1.03 2,352
Notes:
1.      CIM (2014) definitions were followed for Mineral Resources.
2.      Mineral Resources are reported at an elevated cut-off grade of 0.45 g/t Au for open-pit Mineral Resources and a cut-off grade of 1.0 g/t Au for underground Mineral Resources.
3.      The Whittle pit shell used to estimate Mineral Resources used a long-term gold price of US$1,500 per ounce, however the implied gold price for the Mineral Resources reported at the elevated cut-off grade would be significantly lower.
4.      A US$/C$ exchange rate of 0.7, and a gold recovery of 90% were used.
5.      A minimum mining width of 3 m was used.
6.      Open pit resources are reported within a preliminary pit shell.
7.      Bulk density is 2.71 t/m3 or 2.82 t/m3 depending on the zone.
8.      Numbers may not add due to rounding.
9.      Mineral Resources for Douay have been updated using data available to October 23, 2019.

In addition to the reported resource, RPA has reported additional exploration potential (500,000 – 1,500,000 ounces) for the areas with known mineralisation below base of pit that were not included as inferred ounces (see Exploration Potential section below).

Table 2: Douay Gold Project Pit-Constrained Indicated & Inferred Resource Summary (Various cut-off grades ranging from 0.25 – 0.65 g/t Au)

Pit Indicated    
       
Cut-off Tonnes Grade Metal Content
g/t Mt Au (g/t) Au (koz)
0.25 11.6 1.22 454
0.35 9.9 1.38 438
0.45 8.6 1.52 422
0.55 7.5 1.67 405
0.65 6.6 1.83 386
       
Pit Inferred    
       
Cut-off Tonnes Grade Metal Content
g/t Mt Au (g/t) Au (koz)
0.25 116.5 0.69 2596
0.35 86.6 0.83 2311
0.45 65.8 0.97 2045
0.55 50.6 1.11 1803
0.65 39.6 1.25 1591

Notes:

  1. See footnotes from Table 1.
  2. Mineral Resources are estimated at a cut-off grade of 0.45 g/t Au for open-pit Mineral Resources.

image001.png

Figure 1: Plan view of RPA 2019 resource zones showing conceptual 3D pits with black ellipses highlighting higher-grade (>2 g/t Au) blocks on edges of mineralised zones (priority follow up exploration targets). Note new Nika pit, merging with pre-existing NW Zone pit

Underground Exploration Potential*

RPA has stated that the potential tonnage and grade of additional underground mineralisation below the new pit shells could be 10 to 30 million tonnes, grading between 1.5 g/t Au and 2.5 g/t Au for approximately 0.5 to 1.5 million ounces gold. Figure 2 shows the RPA reporting shapes in green (307,000 Inferred ounces averaging 1.75 g/t Au), as well as the mineralised blocks at various grades below the pit shells that were not included in the reporting shapes, therefore, not reported in the current Mineral Resource statement, due to insufficient drilling. The Company’s recent results from the single 531 Zone drill-hole during 2019 (included intercepts of 16m @ 4.58 g/t Au, 9m @ 4.92 g/t Au and 9m @ 4.71 g/t Au – see press releases June 5, 2019) demonstrate the exploration potential for further higher-grade mineralisation. The black ellipses in Figure 2 below highlight further exploration potential at depth.

image002.png

Figure 2: NW-SE longitudinal vertical section view (all zones) showing distribution of below-pit shell underground blocks above 1 g/t Au cut-off. Only blocks within reporting shapes (green shaded area) form part of inferred underground Mineral Resource. Black ellipses point to undrilled exploration potential at depth, which is in addition to potential contributions from infill drilling in areas with current blocks

*The potential quantity and grade are conceptual in nature as there has been insufficient exploration to define a Mineral Resource along strike from the resource area, and it is uncertain if further exploration will result in the target being delineated as a Mineral Resource. The underground exploration potential estimated outside of the resource reporting pit shell is based on areas of mineralisation intersected by drilling, but not necessarily supported by two drill holes, which was required for Inferred Mineral Resources, plus the immediate down-plunge extension of known zones of mineralisation.

About RPA

RPA Inc. is a group of technical professionals who have provided advice to the mining industry for more than 30 years. During this time, RPA has grown into a highly respected organization regarded as the specialty firm of choice for resource and reserve work. RPA provides services to the mining industry at all stages of project development from exploration and resource evaluation through scoping, prefeasibility and feasibility studies, financing, permitting, construction, operation, closure, and rehabilitation. Our portfolio of customers includes clients in banking (both debt and equity) institutional investors, government, major mining companies, exploration and development firms, law firms, individual investors, and private equity ventures.

Qualified Persons

The Mineral Resources information disclosed on this page have been estimated by Ms. Dorota El Rassi, P.Eng., an employee of RPA who is independent of Maple Gold. By virtue of her education and relevant experience, Ms. El Rassi is a "Qualified Person" for the purpose of National Instrument 43-101. The Mineral Resources have been classified in accordance with CIM Definition Standards for Mineral Resources and Mineral Reserves (May, 2014). Ms. El Rassi, P.Eng. has read and approved the contents of this material as it pertains to the disclosed Mineral Resource estimates.

Further information about key assumptions, parameters and methods used to estimate the mineral resources, as well as legal, political, environmental or other risks that may affect the mineral resource estimate will be included in a NI 43-101 Technical Report to be filed on Sedar within 45 days following the date of the news release filed on October 24, 2019.

The scientific and technical data contained on this webpage was reviewed and prepared under the supervision of Fred Speidel, M. Sc, P. Geo., Vice-President Exploration, of Maple Gold. Mr. Speidel is a Qualified Person under National Instrument 43-101 Standards of Disclosure for Mineral Projects. Mr. Speidel has verified the data related to the exploration information disclosed in this news release through his direct participation in the work.

exploration history S
 

The first gold discovery at the Douay Gold Project was made by Inco Ltd. in 1976. Drilling prior to 2004 was focused primarily on smaller higher-grade zones with more recent campaigns defining a larger intrusive related gold system.


Company Year Drill Holes Total Metres Cumulative Drill Holes Cumulative Metres
Inco, SOQUEM and Aurizon 1976 to 1999 468 122,906 468 122,906
Vior 2004 to 2010 107 32,785 575 155691
Maple Gold 2011 to 2019 249 99,309 757 221,833
 TOTAL 1976 to 2019 824 249,000    

The Douay Gold Project hosts numerous high-grade gold occurrences within larger low-grade envelopes of mineralization. Visible gold occasionally occurs in quartz veinlets and the table below highlights some of the high-grade results reported from previous drill campaigns:

Drill Highlights from Previous Campaigns

DDH# (Year drilled) Location Gold Grade (g/t) Intercept Accumulation
D-107 (2005) Douay West 2.99 46.5 143.2
DO-95-13 (1995) 9.27 21.4 198.4
84637 (1990) 21.18 10.5 222.0
84662 (1990) 4.23 33.9 143.4
DO-95-03 (1995) 3.51 59.0 207.2
40688 (1981) Main 14.41 16.9 243.2
70-531-2 (1992) 531 2.63 55.7 146.5
DO-12-97 (2012) Porphyry 1.08 183.0 195.8
including 2.13 60.0 127.6
70-597-0 (1992) 1.13 97.3 110.1

*Drill results in the above table are core lengths. Please refer to the 43-101 technical report for further information on drilling at the Douay Gold Project

 

Exploration Upside Figure for website
Figure: Exploration target areas outlined across the 55km of controlled strike length along the Casa Berardi Deformation Zone. Maple Gold plans to complete IP lines in advance of new discovery drilling to define highest-priority greenfields drill targets

 

The Douay Gold Project not only hosts intrusive-related gold mineralization, but potentially also copper-zinc mineralization potentially of the volcanogenic massive sulphide (“VMS”) type, as well as orogenic gold vein systems. Gold mineralization hosted by altered mafic volcanic host rocks of the causative alkaline intrusive complex is generally of higher grade, occurring in zones such as Douay West , whereas gold hosted by altered, often porphyritic syenitic rocks forms larger lower-grade areas such as the Porphyry Zone.  The Douay Resources are open along strike and down-plunge, such that brownfields exploration potential for resource expansion is considered excellent.

The greenfields portion of the Project (about 75% of the total area) remains relatively unexplored, despite its location along a major regional structure (Casa Berardi Fault Zone). This greenfields area is also considered to have potential for all three styles of mineralization mentioned above.

A thorough review and analysis of all existing geological, geochemical and geophysical data continues, which combined with new data generated from the current winter drill program as well as ongoing re-logging and sampling, will be used to refine the company’s comprehensive exploration strategy going forward. There are numerous high-priority target areas within the known resource area (e.g. recently discovered Nika Zones), but the Company remains very committed to testing brand new discovery targets throughout its large property package as well.

For further information on the Company’s ongoing exploration and drilling plans, please refer to recent press releases.

 

Unless otherwise stated, the scientific and technical data contained within this website was reviewed and approved by Fred Speidel, M.Sc., P.Geo., Vice-President, Exploration, who is responsible for ensuring that the geologic information provided on this website is accurate and acts as a “qualified person” under National Instrument 43-101 Standards of Disclosure for Mineral Projects.