Commencement of 12,000 Meter Phase Three Drill Program At Santa Ana

VANCOUVER – Outcrop Gold Corp. reported the third phase of 12,000 meters of drilling has commenced at Santa Ana. The objective is to delineate along strike and at depth five discovered shoots (La Ivana, Megapozo, Roberto Tovar, El Dorado and San Juan) and to drill test numerous greenfield targets with the goal to discover five to seven new high-grade shoots. Phase two drilling has been completed with assays pending.

The 12,000 meter diamond drill program has commenced and will focus on both delineation of high-grade shoots and drill testing a pipeline of greenfield targets which are being advanced systematically. Discovery holes to date include: La Ivana – 1.00 meter of 21.3 g Au/t and 4,608 g Ag/t; Megapozo – 0.95 meters of 69.6 g Au/t and 1,495 g Ag/t; Roberto Tovar – 3.04 meters of 3.7 g Au/t and 636 g Ag/t; El Dorado – 1.20 meters of 4.7 g Au/t and 1,127 g Ag/t; and San Juan – 1.79 meters of 0.6 g Au/t and 1,274 g Ag/t.

“Outcrop is proud of our dedicated team advancing the Santa Ana project in Colombia,” said, Joe Hebert, Chief Executive Officer. “The team is working tirelessly to build on the knowledge gained from the five high-grade shoots discovered to build better system and exploration models. Target ranking through the compilation of multiple datasets brings clarity to the company’s strategic plan to establish Santa Ana as a world-class silver district.”

Outcrop continues working with the community and municipality of Falan, Tolima to strengthen Environmental, Social and Corporate Governance (ESG) programs. Several socio-economic programs have been defined and initiated by Outcrop in 2020 and 2021 with the cooperation and participation of communities and local authorities. These programs are aligned with the “Sustainable Development Goals of Falan” as well as “Falan’s Local Development Plan.” These programs include primary and secondary education programs for adults, improvement of local infrastructure through a municipal volunteer program, and facilitating micro-cap income generation programs starting with a beekeeping and apiary school in Falan. Outcrop is also considering facilitating an initiative to identify methods to increase productivity from farms in the project area.

Drilling is underway at the San Antonio target which is a possible continuation of the Roberto Tovar shoot or an adjacent shoot to the south and at the Palomos East target where sampling returned 2.5 g Au/t and 713 g Ag/t from an underground stope developing a plunging mineralized shoot. Near term targets after San Antonio and Palomos East are Culebra and El Gordo. Culebra has visibly mineralized high-sulfide rock samples and float (assays pending) and indications of historic mining.  El Gordo may be a shoot within the Miraflores vein system which is 200 meters west of and parallel to the main Santa Ana vein system that contains the Roberto Tovar and San Juan shoots. El Gordo is comprised of a strong soils anomaly and surface rock chip samples with a high of 94 g Au/t and 94 g Ag/t.

Outcrop has prioritized its targets from less advanced to those with good drill definition. All shoots discovered to date are open in one or more directions and at depth. Three shoots: Megapozo, La Ivana and Roberto Tovar have first-pass drill definition. El Dorado and San Juan have discovery holes but are not yet defined, though El Dorado can be traced at surface for 400 or more meters to the north and at depth to 200 meters. Seven targets have no drilling but are considered “high probability” to deliver a high-grade shoot. These targets in order of priority are Culebra, Palomos East, San Antonio, El Gordo, Morales West, Prias, and Delhuyar. There are fifteen other targets that are of preliminary interest but need to be advanced to either the drill stage or reach a negative determination based on focused exploration work.

Outcrop has ranked targets based on prospectivity and potential to provide high-grade shoots by carrying out a systematic review and compilation of the different datasets collected at Santa Ana. These datasets include detailed mapping and sampling of historic workings, rock and vein float sampling, surface soil sampling, trench mapping and sampling, and ground geophysical surveys (magnetic, chargeability and resistivity). This detailed and systematic analysis has helped to better design the drill program.

Outcrop and vein float in the project area is of low density although historic workings provide some direct support of targets. There are numerous multi-element soil anomalies coincident with geophysical lineaments and historic workings. Gradient-array resistivity and chargeability lineaments indicate several inferred structural trends that may host new blind and undiscovered vein zones. The predominant vein zone trends are north-northeast and northwest, but the newly recognized Culebra target indicates a northeast trending vein zone which may broaden the structural model for Santa Ana exploration.