Mine Centre

MINE CENTRE AREA OVERVIEW

GEOLOGY

Archaean intrusions filled fissures with 100+ gold-bearing quartz veins
Establishes the complex as extensive classic Archaean high-grade, lode gold vein system.

MINE CENTRE AREA

10,000+ acres of contiguous mining claims, Crown leases and leasehold patents. Largely unexplored by present-day standards.
Previously produced 16,025 ounces of gold from the Foley and Golden Star Mines.

LOCATION

Northwestern Ontario
Immediate access to Highway 11
95 km in-between two major gold discoveries

Highlights

HISTORICAL WORK

Estimated CA$12 M mine development at the Foley Mine from 1890-1930.
5,916 m of compliant drilling completed on the Foley Gold Mine.
6,594 m of compliant drilling completed at the McKenzie Gray Gold/Silver deposit.

DRILL HIGHLIGHTS INCLUDE

Foley – Hole Q-05-08 – 53.47 g/t Au – Over 1.5 m
Foley – Hole Q-BV-10-1 – 106.7 g/t Au – Over 0.23 m
Foley – Hole Q-BV-12-06 – 33.38 g/t Au – Over 1.05 m
McKenzie – Hole QMG09-04 – 11.39 g/t Au – Over 5.5 m
McKenzie – Hole QMG09-05 – 16.69 g/t Au – Over 9.32 m

HISTORICAL REPORT

1980’s report indicated the Foley Mine contained 40K tons at 14 g/t Au proven and probable and 400K tons at 14 g/t Au speculative (not NI 43-101 compliant) (2010 Ontario Geological Survey – Open File Report 6244).

Exploration Program

2021 Exploration Campaign - Phase 1

Completed an extensive data compilation and 3D Leapfrog modeling of the high-grade gold-vein system that includes over 5,900 m of NI 43-101 compliant drilling.
Completed an airborne magnetic survey in Q1, 2021 that identified multiple features associated with many of the >100 historic occurrences as well as new, untested features, several of which extend away from the historic host into adjacent rock units.
Currently conducting a ~2,700 m of diamond drill program to infill the previous drilling at the Foley Gold Mine and better define mineralization down to the 200 m level.
Q1 2021 historical core review identified abundant unsampled vein and alteration zones within historic core that will be added to the current drill program sampling

2021 Exploration Campaign - Phase 2

Conduct +4,000 m of diamond drilling to infill the recent drilling at the Foley Gold Mine and better define mineralization down to the 260 m level.

STRATEGY:

Q-Gold intends to complete an updated NI 43-101 report on the Foley Gold Mine property with the aim of delineating a compliant resource.

Future programs will target the mineralization below the -260 m level, which is open in all directions. Success at the Foley Gold Mine complex will then be applied on other high priority vein arrays to continue to build the project’s mineral inventory.

Property Location

Favourable logistics: Immediate access to Highway 11; 250 km Northwest of Thunder Bay, 65 km Northeast of U.S. border.
Proximal to two major gold discoveries 95 km on either side of Mine Centre: Rainy River (New Gold) (4.5 M oz. Au & 11.4 M oz. Ag) & Hammond Reef (Agnico Eagle) (4.5 M oz.).

Geology & Interest Areas

GEOLOGY OVERVIEW:

Granitic-greenstone rocks with epigenetic mineral deposits (from near-surface metamorphism)
Sigmoidal block of Archaean granitic and metavolcanic rocks deformed by intersection of major regional faults (quetico & seine river)
Subsequent Archaean intrusions filled fissures with 100+ gold-bearing quartz veins on QGR properties
Lode gold deposits spatially associated with late major shear zones
Mine Centre and Foley mine complex established as an extensive classic archaean high-grade, lode gold vein system

AREAS OF INTEREST AT MINE CENTRE:

Foley Gold Mine System: A gold vein system with 5,916 m of drilling and significant historical development down to 850 ft. level.
McKenzie Gray Vein System: Gold-silver vein system with 6,594 m of drilling confirming existence of high-grade quartz vein down to 100 m.
Golden Star, Manhattan, and Fergus Vein Systems: High-potential gold vein prospects offering tremendous optionality at Mine Centre.

Mine Centre Gold Camp

Historical Workings & Drilling

FOLEY GOLD MINE HISTORICAL WORKINGS

Early History (1890’S)

North Shaft Sunk to 400’ Level
10,500 Tons Ore at 15 oz/t Produced from Stope @ 100’ Level
5,267 oz Gold Recovered 1898 – 1900

Development Work (1923-27)

$12 MM in 2012 Dollars (British Canadian Mine Ltd. – London)
Offset Shaft 400’ – 850’; Winze 400’ to 150’ (if Opened to Surface, will Provide “Production Shaft” at Considerable Savings
2.5+ km of Drifts on 7 Levels
Operations Terminated in 1927 by Onset of “Great Depression”
40K tonnes at 14 g/t Au proven/probable and 400K tonnes at 14 g/t Au speculative as per Ontario Geologic Survey (not NI 43-101 compliant).

Foley Mine – Bonanza Vein

Longitudinal Section (Looking West)

FOLEY – DRILL RESULTS

Recent Activity by Q-Gold:

Early Delineation Drilling (1,532 m): Bonanza & Jumbo veins in 2005.
Phase I (2,224 m): Delineation diamond drill program completed 2010.
Phase II (2,160 m): Delineation drilling program completed June 2012.
5,916 m successful drilling Foley Gold Mine delineated gold veins/ore shoots to 122 m level

Foley Mine Vein Complex

Foley Mine 2005 Drill Program

Historical drilling between 2005-2012 drilling established the Foley Gold Mine as a large deposit of spaced-out gold-bearing veins with an excellent picture of the mine’s gold potential from surface to the 122 m level.

Foley Summary Drill Highlights

Hole	Year	From (m)	To (m)	Length (m)	AU (g/t)	Vein
Q-05-07	2005	90.70	92.00	1.3	3.38	Jumbo
Q-05-08	2005	147.3	148.8	1.5	53.47	Jumbo
Q-BV-10-1	2010	–	–	0.23	106.7	Bonanza
Q-BV-10-3	2010	–	–	1.38	4.44	Bonanza
QBV 12-06	2012	122.20	125.30	3.10	12.76	Bonanza
Inc. QBV 12-06	2012	124.25	125.30	1.05	33.38	Bonanza
QBV 12-07	2012	162.9	164.4	1.5	10.05	Bonanza
QVV 12-01	2012	10.6	10.85	0.25	12.43	Vowel

Foley Mine 2010 Drill Program

Additional Targets & Development

There are additional significant potential sources of future gold production in the area. The majority require further exploration and development, with some work completed on the wholly-owned McKenzie Gray Gold/Silver Deposit.

MCKENZIE GRAY GOLD/ SILVER DEPOSIT: Estimated 50,000+ oz. Au equivalent (undeveloped)
MANHATTAN MINE: 320’ Shaft, 10’ Wide Gold Vein at Shaft Bottom
GOLDEN STAR MINE: 10,758 oz. Au Production (1898-1900)
DECCA MINE: Shaft (no further development)
FERGUSON MINE: Shaft (no further development)

McKenzie Gray

Completed a total of 6,594 m of drilling. The most recent included 17 drill holes (2,751 m) in 2012. Highlights are shown in the table (right).

Estimated ~100,000 tonnes at 8.5 g/t Au as per Ontario Geologic Survey (not NI 43-101 compliant).

McKenzie Gray Summary Drill Highlights

Hole	Year	Length (m)	Au g/t	Ag g/t
QMG09-04	2009	5.5	11.39	43.69
QMG09-05	2009	9.32	16.69	20.8
QMG10-03	2010	9.25	0.44	179.79
Incl. QMG10-03	2010	5.4	0.47	263.92
QMG10-04	2010	2.9	0.31	152.72
Incl. QMG10-05	2010	3.95	0.24	123.93
QMG10-07	2010	0.15	82.82	14
Incl. QMG10-10	2010	1.1	1.36	295.69
QMG10-11	2010	0.45	0.2	168.6
QMG10-12	2010	0.85	10.41	156.14
QMG10-14	2010	1.1	36.63	60.76
Q-MG-11-19	2011	1.1	9.43	60.92
Q-MG-11-23	2011	0.73	14.32	16.4
Q-MG-11-28	2011	0.78	10.99	56

Workplan

EXPLORATION PROGRAM

Q-Gold’s goal at Mine Centre is to complete an updated 43-101 report on the Foley Gold Mine property with the aim of delineating a compliant resource. This work will leverage the 5,916 m of drill results from 2005-2012 along with the proposed campaign below.

2020/2021 EXPLORATION CAMPAIGN

Assess the historical data and evaluate the existing 3D geological model to identify drill targets.
Conduct ~3,150 m of diamond drilling to infill the recent drilling at the Foley Gold Mine and better define mineralization down to the 260 m level.

Estimated cost of the campaign is CA$1.5 million.

These results will guide subsequent exploration on the mineralization below the -260 m level, which is open in all directions. Success at the Foley Gold Mine complex will then be applied on other high priority vein arrays to continue to build the project’s mineral inventory.