Mineral Resource

Subject of an October 2020 NI 43-101 mineral resource estimate of 33.5 million Ag-equivalent ounces.

The mineral resource estimate used 300 g/t Ag and 2.5 g/t Au top cuts and metal prices of US$21.09/oz for silver and US$1,657/oz for gold.

NI 43-101 Inferred Resource Estimate

Mosher & Smith (Oct 2020)

1. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.
2. Mineral resources are stated in terms of silver equivalency, Ag Eq, which combines capped silver and gold composite grades. USD21.09/ounce was used for silver and USD1,657/ounce for gold. Recoveries of 77% silver and 45% gold estimated from test work commissioned by Centennial Mining and undertaken by Hazen Research, Inc in 1985.
3. Grade cutoff for pit constrained Inferred Resources is 20g/t Ag Eq and for Underground Inferred Resources is 100g/t Ag Eq.
4. Mineral Resource tonnage and grades are reported as undiluted.
5. Mineral Resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate and numbers may not add due to rounding.
6. This Mineral Resource was estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
7. This Mineral Resource Estimate was prepared under the requirements of National Instrument 43-101 “Standards of Disclosure for Mineral Projects” of the Canadian Securities Administrators by Mr. Gregory Z. Mosher, P.Geo., M.Sc. and Mr. David S. Smith, P.Geo., M.S. and has an effective date of October 12, 2020.

Prospectivity

Excellent expansion potential with high grade targets analogous to nearby world-class deposits including Kinross (TSX:K) Round Mountain Gold-Silver Mine.