CARLYLE COMMODITIES

Summary

NEWTON GOLD PROJECT

LOCATION:
Approximately 100 km west of the city of Williams Lake in central British Columbia. Characterized by plateau lands with gently rolling hills and other characteristics favourable to project development.

INFRASTRUCTURE:
The district is well served by existing transportation, power, infrastructure and a skilled workforce which supports numerous operating mines as well as late-stage mineral development and exploration projects. Conditions are excellent for year-round exploration and development activities.

​RESOURCE:
June 2022 NI 43-101 resource containing 861,400 oz Au with an average grade of 0.63 g/t and 4,678,000 oz Ag with an average grade of 3.43 g/t.

MINES CLOSE BY:
Artemis’ Blackwater Project (permitted and in development) is the closest analogue and just 180 km northwest; Taseko Mines’ Prosperity Deposit; Huckleberry and Equity Silver.

Stage

Resource Expansion

Ownership

100% ownership by Carlyle.

METALS

Gold & Silver

Size

100% controlled tenure package totalling approximately 24,000 hectares.

Mineralization

Gold-Silver mineralization associated with pyrite-marcasite ± chalcopyrite ± sphalerite ± galena ± arsenopyrite.

Location

PRECIOUS METALS
DEVELOPMENT DISTRICT

The Newton property is located approximately 100 km west of the city of Williams Lake in central BC within a region characterized by plateau lands with gently rolling hills and other characteristics favourable to project development. The district is well served by existing transportation, power, infrastructure and a skilled workforce which support numerous operating mines as well as late-stage mineral development and exploration projects. Conditions are excellent for year-round exploration and development activities.
 
  • ~180 km south of Artemis’ Blackwater Project (11.9M oz Au and 128M oz Ag)
  • Blackwater was acquired from Newgold for $120M IN 2020
  • Blackwater is permitted and in development to produce in 2024
  • 50 km northeast of Taseko Mines Prosperity Deposit
    (13.3M oz of Au & 5.3B lbs Cu)

Location

PRECIOUS METALS
DEVELOPMENT DISTRICT

The Newton property is located approximately 100 km west of the city of Williams Lake in central BC within a region characterized by plateau lands with gently rolling hills and other characteristics favourable to project development. The district is well served by existing transportation, power, infrastructure and a skilled workforce which support numerous operating mines as well as late-stage mineral development and exploration projects. Conditions are excellent for year-round exploration and development activities.
 
  • ~180 km south of Artemis’ Blackwater Project (11.9M oz Au and 128M oz Ag)
  • Blackwater was acquired from Newgold for $120M IN 2020
  • Blackwater is permitted and in development to produce in 2024
  • 50 km northeast of Taseko Mines Prosperity Deposit
    (13.3M oz of Au & 5.3B lbs Cu)

PROJECT OVERVIEW

UNRIVALLED PRECIOUS METALS PROJECT UPSIDE

34,000+ m & 128 total drill holes

Drilled by previous owner, Amarc Resources Ltd. Explored and developed the resource during 2009-2012

24,000+ Ha

Newton Gold Project encompasses more than 24,000 Ha, the deposit contains 861,400 oz Au & 4,678,000 oz Ag (Table 1-1)

Resource occupies 0.5 sq/km (7%)

The IP anomaly measures 4 km x 2 km, covers an area greater than 7 sq/km – yet the current resource occupies slightly over 0.5 sq/km or just 7% of the anomaly
Resource in Optimized Pit (inferred) Grade Metal Content
Cut Off
Au
Mass
t
Au
(g/t)
Ag
(g/t)
AuEQ³
(g/t)
Au
(t.oz)
Ag
(t.oz)
0.25 42,396,600 0.63 3.43 0.68 861,400 4,678,000

Notes
1. CIM Definition Standards for Mineral Resources and Mineral Reserves (May 2014) and CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines (November 2019) were used for mineral resource estimation.
2. Recovery factors used are 92% for Au and 45% for Ag.
3. metal prices used are US$1900/oz for Gold and US$25/oz for Silver 
4. O’Brien, M.F., (2022) Technical Report on the Updated Mineral Resource Estimate for the Newton Project, central British Columbia

Alteration Types

The alteration types and metal associations at Newton are nearly identical to those epithermal gold deposits in British Columbia – including the large Blackwater, Prosperity, Brucejack and Snowfields deposits

Epithermal Gold

The Newton Gold Project is a large, low - to intermediate-sulphidation, epithermal gold deposit that formed at about 72 Ma (Re-Os date by McClenaghan, 2012), contemporaneous with felsic volcanic and intrusive rocks emplaced into a rifted, structurally-active graben

Gold Mineralization

Gold mineralization is predominately hosted by Late Cretaceous felsic volcanic and intrusive rocks but also occurs in mafic volcanic and clastic sedimentary rocks and along fault and fracture zones

Strong quartz-sericite

Gold and associated base metal mineralization precipitated in extensive zones of strong quartz-sericite alteration

CROSS SECTION OF THE NEWTON DEPOSIT

CONSISTENT MINERALIZATION FROM TOP TO BOTTOM

RESOURCE UPSIDE OF EXISTING DEPOSIT

Northern portion of resource has multiple gold grades in excess of 1 gpt
Hole spacing prevents intersections from being incorporated into current resource
Room to expand outside of current resource pit shell
High grade intervals marked as waste in resource
Multiple high-grade intersections exist outside of the current resource
Strong continuity of high grade within main zone
Felsic volcanic host rock was encountered nearly the entire 1,001 meters to depth which historically hosted all the gold and silver credits
1- Phase 1 drilling tested unchartered open at depth 500+ meters below the current deposit with a 1,001 meter drill hole
Open in almost every direction and at depth

RESOURCE UPSIDE OF EXISTING DEPOSIT

Northern portion of resource has multiple gold grades in excess of 1 gpt
Hole spacing prevents intersections from being incorporated into current resource
Room to expand outside of current resource pit shell
High grade intervals marked as waste in resource
Multiple high-grade intersections exist outside of the current resource
Strong continuity of high grade within main zone
Felsic volcanic host rock was encountered nearly the entire 1,001 meters to depth which historically hosted all the gold and silver credits
1- Phase 1 drilling tested unchartered open at depth 500+ meters below the current deposit with a 1,001 meter drill hole
Open in almost every direction and at depth
Drill Hole ID From (m) To (m) Int. (m) Au (g/t) Ag (g/t)
9001 228.0 297.0 69.0 1.41 10.9
9003 3.0 224.5 221.5 0.60 5.6
9004 6.0 195.0 189.0 1.56 7.9
9014 72.0 210.0 138.0 0.74 4.2
11040 15.4 171.0 155.6 0.58 2.9
11045 79.0 157.0 78.0 1.71 5.1
11049 23.5 144.0 120.5 0.86 2.2
11052 48.0 456.0 408.0 0.60 2.6
11054 43.0 442.0 399.0 0.50 2.4
12060 11.6 333.0 321.3 0.55 3.0

Select Drill Intercepts

FOOTBALL FIELDS OF CONTIGUOUS PRECIOUS METALS ZONES

Main Zone – Vein Stockworks

  • Typically, around 2 gpt Au
  • Up to 8 gpt Au
  • Ag can reach up to 200 gpt
  • Pb, Zn, Mo are present as well
  • The IP anomaly measures 4 km x 2 km and covers an area greater than 7 sq/km
  • Yet, the current resource occupies slightly over 0.5 sq/km or just 7%​ of the anomaly

Main Zone – Vein Stockworks

  • Typically, around 2 gpt Au
  • Up to 8 gpt Au
  • Ag can reach up to 200 gpt
  • Pb, Zn, Mo are present as well
  • The IP anomaly measures 4 km x 2 km and covers an area greater than 7 sq/km
  • Yet, the current resource occupies slightly over 0.5 sq/km or just 7%​ of the anomaly

NEWTON 2023 EXPLORATION GOALS & STRATEGIES

INCREASE DRILL DENSITY IN TARGETED AREAS LEADING TO INCREASES MINERAL RESOURCE

Drilling areas of high probability to host mineralization along periphery or existing drilling, near surface to deep drilling

Drilling specific gaps, coordinates, zones recommended by RPA for where the model is forced to decrease grade due to inadequate drill spacing. Note only in known mineralized areas (low hanging fruit/infill drilling)

EVALUATE THE FOOTPRINT OF THE MINERALIZATION

Explore near surface felsic volcanics with anomalous geochemical signatures coupled with moderate resistivity and chargeability

Exploration of deeper open mineralized felsic volcanics (ie. below 9004 and 9005)

Assess structural connection between two blocks separated by Newton Hill Fault

Understand the trending direction and morphology of the system

EVALUATE TARGETS DEFINED FROM SCIENTIFIC ANALYSIS

Evaluate additional domains of exploration potential in mafic volcanics, expanding discovery beyond felsic volcanic

Find further evidence of untested mineralization, geochemical and geophysics anomalies