New Claims Staked And Confirmation Of Structural Interpretation With ELF Survey At Si2 Project

VANCOUVER - K2 Gold Corporation reported the results of its 2022 Extremely Low Frequency Electromagnetic (ELF) geophysical survey at its Si2 Gold Project, located 60 km northwest of Tonopah Nevada. Additionally, K2 has staked 53 new claims surrounding the project area, adding 443 hectares of prospective ground and bringing the total project size to 986 hectares.

The ELF survey validates and extends structures observed in the 2022 IP survey. Also, the ELF survey provides detailed resistivity data over the eastern half of the Si2 Project. An additional 53 contiguous unpatented claims on Bureau of Land Management ("BLM") land have been staked, with all claims contiguous to the Si2 Property. This increases the total land position to 118 claims covering 986 hectares.

"Since acquiring the Si2 project in early 2022 our goal has been to rapidly evaluate its potential to host a significant gold deposit. With the completion of the ELF survey, we have three independent methods of geophysical survey that identified anomalies in the same locations and orientations (Magnetics, IP, and ELF). These geophysical anomalies integrated with the previously identified geological and geochemical evidence we have mapped and sampled have combined to produce numerous targets; the project is now drill ready. Based on the information we have collected over the year; we took the opportunity to increase our land position by staking additional claims at Si2 to protect our areas of interest," said Anthony Margarit, President and CEO of K2 Gold.

Si2 hosts a large, 8 km2 steam heated alteration cell interpreted to represent the upper levels of a buried gold-bearing epithermal system. Extensive exploration work completed by the Company since acquiring the property has identified a network of predominately northeast-trending and northwest dipping faults observable at surface coincident with strong advanced argillic steam-heated alteration, highly anomalous mercury, and residual silica. These faults are now confirmed to project under cover through interpretation of the Company's ground magnetic, IP, and ELF surveys, which demonstrate that several key alteration zones at surface appear to be linked beneath shallow alluvial cover over more than a kilometer of strike length.

At Si2, northeast trending structures observed at surface and in multiple geophysical surveys are coincident with prominent areas of advanced argillic alteration and mercury anomalism in rock where exposed. Exploration work completed to date supports the concept that these northeast trending fault structures acted as the conduits for a hydrothermal fluid that created an extensive zone of steam-heated alteration at present day surface. At depth, these structures may have controlled the emplacement of precious metal mineralization beneath the water table within the boiling zone.

The ELF survey collected data between the two previously announced high resolution IP lines, to infill the lines and allow for broader interpretation of structure and lithology in the subsurface, especially where obscured by shallow alluvial cover in the central portion of the property. The survey provides resistivity and conductivity data, which can be compared to the adjacent higher resolution resistivity data collected by the IP survey.

Through the collection of multiple ground based geophysical surveys K2 has now determined the overriding structural architecture of the project. All priority AOI's which host strong mercury in rock anomalies coincident with strong advanced argillic alteration appear to be structurally connected and represent high-priority targets which will be tested by the company in early 2023.

The Company is also pleased to announce that a total of 53 new claims have been staked at the project, adding 443 hectares of prospective ground to the Si2 project. The claims were staked contiguously with the existing land position under option to K2 from Orogen Royalties Inc. and were selected to cover the potential extension of structures identified during the 2022 season. The total land position at Si2 now consists of 118 claims, covering 986 hectares.