South Arturo

Operators : Nevada Gold Mines LLC (60%) & i-80 Gold Corp (40%)

Sustainability : 2020 Community Impact Report

Acquisition Date : May 27, 2020 (Effective date: January 1, 2020)

Terms

• 100% silver stream on existing mineralized areas with no reduction
• 50% Silver stream on new discoveries
• Subject to an ongoing payment of 20% of the prevailing silver price

OVERVIEW

LOCATED ALONG THE NORTHERN SECTION OF THE PRODUCTIVE CARLIN TREND, THE SOUTH ARTURO PROPERTY IN PARTNERSHIP WITH NEVADA GOLD MINES AND I-80 GOLD.

THE SOUTH ARTURO PROPERTY INCLUDES BOTH OPEN-PIT AND UNDERGROUND MINERAL RESERVES AND RESOURCES THAT REMAIN OPEN FOR EXPANSION. SOUTH ARTURO IS ADJACENT TO THE PAST PRODUCING DEE OPEN PIT (GLAMIS-BARRICK), STORM, TARA AND BOOTSTRAP MINES, AND IS 5 KM NORTHWEST OF BARRICK’S GOLDSTRIKE MINE. SOUTH ARTURO BEGAN COMMERCIAL PRODUCTION IN AUGUST 2016, WITH 167,000 OUNCES OF ATTRIBUTABLE GOLD PRODUCED BETWEEN 2016 AND 2018. THE EL NIÑO UNDERGROUND MINE AT SOUTH ARTURO ACHIEVED COMMERCIAL PRODUCTION IN THE THIRD QUARTER OF 2019, WITH MINERALIZED MATERIAL BEING PROCESSED PRIMARILY AT NEVADA GOLD MINES’ GOLDSTRIKE MINE PROCESSING FACILITY LOCATED APPROXIMATELY 8KM SOUTH.

FOLLOWING DEPLETION OF THE PHASE 2 OPEN PIT IN 2018, MINING AT SOUTH ARTURO HAS FOCUSED ON DEVELOPMENT (PRE-STRIPPING) OF AN ADDITIONAL OPEN PIT (PHASE 1) AND THE DEVELOPMENT OF EL NINO UNDERGROUND MINE (EXTENSION OF MINERALIZATION BENEATH THE PHASE 2 OPEN PIT). RENEWED COMMERCIAL PRODUCTION BEGAN IN OCTOBER 2019.

THE PARTNERSHIP IS CURRENTLY ADVANCING SEVERAL ADDITIONAL POTENTIAL DEVELOPMENT OPPORTUNITIES INCLUDING THE PHASE 1, PHASE 3 AND POTENTIAL HEAP LEACH PROJECTS. AN UPDATED MINERAL RESERVE AND MINERAL RESOURCE ESTIMATE IS EXPECTED TO BE COMPLETED IN 2021.

GEOLOGY

THE SOUTH ARTURO MINE IS LOCATED ON THE NORTHERN END OF THE CARLIN TREND, APPROXIMATELY 54 KM NORTHWEST OF CARLIN, NV. THE SITE SITS APPROXIMATELY 8 KM NORTHWEST OF NEVADA GOLD MINES’ GOLDSTRIKE MINE WHERE THE MAJORITY OF ORE FROM SOUTH ARTURO IS PROCESSED.

MINERALIZATION AT THE SOUTH ARTURO MINE IS SIMILAR TO OTHER GOLD-BEARING CARBONATE REPLACEMENT DEPOSITS OF THE NORTHERN CARLIN TREND, MOST NOTABLY, BRECCIA-HOSTED MINERALIZATION AT THE NEARBY MEIKLE DEPOSIT. THE ORIGINAL DISCOVERIES IN THE SOUTH ARTURO AREA INCLUDED THE DEE AND STORM DEPOSITS, WHERE A WINDOW THROUGH THE DEVONIAN-MISSISSIPPIAN ROBERTS MOUNTAINS THRUST EXPOSED LOWER PLATE SHELF AND SLOPE FACIES CARBONATES, WHICH ARE RECEPTIVE HOST ROCKS FOR TYPICAL CARLIN-STYLE DEPOSITS. THE SOUTH ARTURO PROJECT INCLUDES THE COMPLETED EAST LOBE PHASE 2 (BUTTON HILL) OPEN PIT AND THE ACTIVE EL NIÑO UNDERGROUND MINE THAT IS ACCESSED FROM THE BOTTOM OF THE PHASE 2 PIT.  SOUTH ARTURO MINERALIZATION IS PREDOMINANTLY HOSTED IN SILICIFIED TO DOLOMITIZED DISSOLUTION-COLLAPSE BRECCIAS NEAR THE TOP OF THE SILURIAN-DEVONIAN BOOTSTRAP LIMESTONE AND IN SILICEOUS ARGILLITES AND MUDSTONES OF THE OVERLYING DEVONIAN RODEO CREEK FORMATION. AS WITH OTHER CARLIN-STYLE DEPOSITS, SLIGHTLY ACIDIC GOLD- AND SULFUR-BEARING HYDROTHERMAL FLUIDS CAUSED DISSOLUTION OF SILTY CARBONATE HOST ROCKS, WHICH PROMOTED ALTERATION IN THE FORM OF DECARBONATIZATION, SILICIFICATION, AND DOLOMITIZATION. SULFIDATION OF THE HOST ROCKS BY THE HYDROTHERMAL FLUIDS FACILITATED GOLD DEPOSITION WITHIN ARSENIC-RICH PYRITE RIMS ON PRE-ORE PYRITE IN SILICIFIED HETEROLITHIC BRECCIAS, SILICA-SULFIDE BRECCIAS, DOLOMITE BRECCIAS, AND CAVITY FILL BRECCIAS. A MIOCENE EPITHERMAL SYSTEM OVERPRINTS CARLIN-STYLE MINERALIZATION IN PLACES AND IS RESPONSIBLE FOR HIGHER SILVER VALUES RELATIVE TO OTHER DEPOSITS ON THE CARLIN TREND.