Hickey’s Pond Paradise Gold Project

Hickey’s Pond is a gold showing within the Burin Gold Project, a Neoproterozoic high-sulphidation gold system located on the Burin Peninsula, Newfoundland. It is host to a folded, zoned alteration system exposed over 250 m with newly demonstrated significant grades and widths. The zone is located within a large north-east trending >10 km alteration system that has received limited historical exploration. Hickey’s Pond is the only prospect to have been drill-tested in the district, and only with 8 holes (1983 & 1990) over a few hundred metres of strike length.

In April 2018, Bonavista Resources staked 356 km2 and optioned 20 km2 to become a controlling entity on the Burin Peninsula. The company owns a large landholding totaling 636 claims (15,900 ha), 70 claims of which are under option from a local prospector. Bonavista has an option to acquire 100% subject to NSR and cash payment of $100,000.

In follow up of historical grab sampling that returned up to 58 g/t Au. Bonavista sawed 52 linear metres of 1 m channel samples; large volume samples (~HQ core equivalent) and discovered high-grade mineralisation over significant widths (20.0 m at 9.34 g/t Au in channels).

A ‘proof-of-concept’ 75 m diamond drill hole was drilled in late February and early March 2020. 52 m of 0.68 g/t Au mineralisation was intersected from 16.00 to 68.00 m downhole, with best sub-intervals of 10.19 m at 1.63 g/t Au and 4.64 m of 1.5 g/t Au.

A 1,000 m program was started in early September 2020 to discover and delineate the mineralised alteration system from surface to over 250 m. This program is part of a larger ~5,000 m methodical grid-based drill pattern designed to test the bulk of the chargeability anomaly interpreted as representing alteration associated with mineralisation.

David Clark, MSc., P.Geo., President, Bonavista Resources, is the Company’s designated Qualified Person within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and has reviewed and validated that the information contained herein is accurate

• 52 linear metres of 1 m channel samples; large volume samples (~HQ core equivalent)
• All samples assayed by metallic screen fire assay for Au; four-acid ICP-MS for multi-element geochemistry
• HP-CH-02 intersected 7.0 m of Au-Cu breccia, grading 19.75 g/t Au and 3.68% Cu
• Au is correlated with Ag, Bi, Sb, Se & Te

• Objective: image the subsurface distribution of silica-alunite-pyrite alteration; show along-strike potential of system under the pond and beyond
• Common-pole 3D IP-resistivity grid configuration (~90 electrode readings for each current injection)
• Data deliverables include polepole, pole-dipole, and combined dataset inversions, self-potential maps, and a detailed inversion around Hickey’s Pond showing

Horizontal slice (~50 m depth)

• Strong chargeability features consistent with geological controls
• Complex resistivity distribution appears to map faults, shear zone, and low conductivity zone

Horizontal slice (~150 m depth)

• Chargeable volume continues to depth – strong feature
• Large low resistivity zone in shear zone and opening to NE

• High resolution detailed inversion in the vicinity of the Hickey’s Pond mineralised outcrop to test the immediate volume below the mineralised channel samples
• Down-plunge projection of Au-bearing vuggy silica and Au-Cu breccia using all available structural geology data corresponds well with a pronounced protrusion in the chargeability model
• Chargeability model is consistent with Bonavista’s structural geology model and mineralisation on surface
• High confidence that mineralisation on surface can be intersected at shallow depths

Survey completed July 2019

• At Hickey’s Pond, the EM and airborne-IP both mimic the results of Bonavista’s ground-based IP resistivity survey
• The airborne survey extends the potential zone of alteration/mineralisation by several km along strike
• Two new zones to investigate identified NE of Hickey’s Pond and west of Tower
• Airborne targets over > 10 km of strike length