Corral Canyon

Volcanic-hosted Epithermal Gold

Northwestern Nevada Topography, County Lines, Productive Gold Deposits and Other Significant Gold Occurrences Labeled Deposits are Middle Miocene, Volcanic-Hosted Epithermal Deposits Similar to Corral Canyon

Corral Canyon: Geologic Setting and Mineralization

• Favorable system type
  • Volcanic-hosted, low-sulfidation epithermal gold of probable Middle Miocene age localized along margin of large McDermitt caldera complex
  • Bimodal (basalt, rhyolite) volcanic sequence
  • Analogues: Sleeper, Midas (Ken Snyder), Hog Ranch, Fire Creek, Mule Canyon, Rawhide, Round Mountain, Hollister
• On regional, north-trending “Western Nevada Rift” structural zone
  • Sleeper (bonanza-grades, Paramount Gold)
  • Sandman (high-grade, Newmont)
  • Goldbanks (disseminated and high-grade veins, Premier Gold Mines and Kinross Gold)
  • Lithium and uranium resources on trend from 3 to 30km to the south (Lithium Americas)
  • Known disseminated mineralization and high-grade veins
  • Historic drilling intersected low-grade (0.2-0.5 g/t Au) up to 40m drilled thickness
  • Local high-grade intersections (12.5 g/t over 1.5m, 14.6 g/t over 1.5m)
  • Mineralization is open on strike and at depth; mineral system is at least 2.5 km long

Corral Canyon: Selected Historic Drill Results

Composites calculated using nominal 0.200 g/t Au cutoff with internal high-grade intervals mostly using 1.000 g/t cutoff; composite intervals do not necessarily equate to true width.

Canarc considers these results to be historical, it has not completed sufficient work to independently verify these results.

Corral Canyon: Historic Drill Section

Canarc considers these results to be historical, it has not completed sufficient work to independently verify these results

Corral Canyon: Mineralization and Targets

• Extensive exposed chalcedonic silicification with local opaline silica indicates that the present surface represents the shallow parts of an epithermal system; low gold grades at surface with increasing grades with depth in drilling support the potential for concealed mineralization along the 2.5-km system strike
• Mineralization and geologic structural grain strike north-northwest, a favorable orientation characteristic of productive Middle Miocene gold deposits in the northwest Great Basin
• Quartz-adularia flooding, local amethystine quartz and finely-banded crustiform chalcedony veins accompany mineralized silicified zones, again typical of productive low-sulfidation systems of this type
• Canarc’s initial analysis of historic results indicates that mineralization defined to date may be localized in part along lithologic contacts (i.e., stratiform fluid flow); as such, potential exists to define high-grade “feeder” structures; high-grade (+ 10 gpt) mineralization has been intersected in drilling; potential also exists for enhanced mineralization along the volcanic-basement contact, as is the case in many such systems.

Phase 1 Drill Targets