Key Structural Controls At Si2 Gold Project

VANCOUVER - K2 Gold Corporation reported on exploration work completed to date at its Si2 Gold Project, located 60 km northwest of Tonopah in Nevada. Si2 hosts a large (8 km2) alteration cell interpreted to represent the upper, steam-heated level of a buried gold-bearing epithermal system. To date, the Company has completed 69 line kilometers of ground magnetics, a drone based orthophotogrammetry survey, as well as rock sampling and preliminary geological mapping. 302 rock samples were collected from the property focusing on areas of advanced argillic alteration identified via WorldView-3 remote sensing imagery.

A 69 line kilometer ground magnetic geophysical survey has been completed, a 3D inversion has been generated and the data has been analyzed using proprietary 2 and 3D structure detection algorithms. Prominent northeast and north-northeast trending structures coincident with strong advanced argillic and silica alteration are observed throughout the project area. The structures where measured dip moderately to steeply to the northwest. A >1.3km long northeast-trending structure hosting residual and powdery silica at surface has been identified. Powdery silica is found at surface within the controlling fault at AngloGold Ashanti's Silicon project, which K2 considers to be an analogue to Si2.

302 rock samples have been collected at priority target areas to identify the strongest alteration and mercury anomalism on the property. The samples have been submitted for TerraSpec hyper-spectral analysis as well as gold and multi-element geochemical analysis. Results are pending. K2 is proceeding with additional geophysical surveys, including a ground based Extremely Low Frequency Electromagnetic ("ELF") survey and a preliminary Induced Polarization ("IP") survey over the strongest alteration and key structures observed at the project.

"K2 has been rapidly advancing our Si2 project through diligent geological and geophysical field work along with the application of cutting-edge technologies to our exploration program. Our team has identified prominent northeast-trending structures throughout the property coincident with strong advanced argillic alteration and silicification.

"Identifying a structure which hosts residual and powdery silica at a location adjacent to our strongest mercury results to date is incredibly encouraging, these important characteristics are also observed in the controlling fault structure at AngloGold Ashanti's Silicon project. We are accelerating the advancement of the Si2 Project with additional geological mapping, an ELF survey, and orientation IP survey to finalize drill targets for early 2023,“ said Anthony Margarit, President & CEO.