Sail Pond

Project Summary

High-grade, silver, copper, lead and zinc associated with quartz-carbonate veining
Discovered in 2016, no prior drilling and ~$1,500,000 spent to date
12km linear soil anomaly with grades in soil of up to 657g/t silver and 0.68% copper
Rock sample analysis from trenching of up to 4526 g/t silver, 14.9% copper, 7.5% lead, 9.6% zinc and 0.9 g/t gold
Two defined target zones – combined strike-length of 9 km open in all directions
Large geophysical anomalies run directly beneath trend lines
Large project area (13,500 Ha), road accessible and with nearby services and airport
Sterling Metals has the option to earn 100% of this project via $500,000 in spending by October 2, 2021 and $1,500,000 in spending by October 2, 2023.

SAIL POND PROJECT AREA VIEWING NORTH FROM THE SOUTH MINERALIZED ZONE

Location and Ownership

13,500 Ha project located on Newfoundland’s Great Northern Peninsula, eastern Canada
Easily accessible by a series of paved highways, forest access roads and trails
Adjacent to many regional services and within 32 km of the St. Anthony regional airport
Option to own 100% interest subject to a 2% NSR

SAIL POND PROJECT LOCATION

Coordinates: 578000mE, 5657000mN (NAD27, UTM Zone 20N)

Geological Setting

High-grade Ag plus Cu, Pb, and Zn mineralization found at Sail Pond unique for eastern Canada
Laurentian Margin – Humber Tectonostratigraphic Zone
Geology records a prolonged geological history as part of the Appalachian Orogenic cycle
Active to passive margin environments represented by Early Cambrian to Middle Ordovician rift-related siliciclastics to platformal carbonates
Parautochthonous and allochthonous displacement resulting in westward verging folds and NE orientated thrust faults and shear zones
Dominantly carbonate-hosted Zn ± Pb, Ag occurrences in the region; e.g. Daniel’s Harbour – 7 Mt @ 7.8% Zn (mined between 1975-1990); minor Cu occurrences

GEOLOGICAL MAP OF NEWFOUNDLAND

Mineralization

High-grade Ag plus Cu, Pb, Zn (± Au) mineralization within two zones exposed at surface
Main sulphide species; tetrahedrite, sphalerite, galena, boulangerite, chalcocite
Combined strike-length of 9 km; up to 200 m wide; remains open to the north and south, and a depth
Quartz-carbonate vein hosted – orogenic, multi- stage; cm to meter-scale widths
Lower to Mid-Ordovician dolostone (or dolomitized limestone) is the primary trap rock; stratabound and
brittle fracturing
Silica, dolomite ± calcite ± sericite alteration
Quartz veins related to D2 (transtensional) & D4 (compressional) deformation events
Adjacent to the west margin of the White Arm Window doubly-plunging anticline; bounded and adjacent to major thrust/shear zones

Multi-element Soil Geochem Highlights Zones

Strong correlation of Ag, As, Cu, Pb, Sb, Zn (+ Cd, not shown) over a combine strike length of 12km

IP + Gravity (105 line-km)

Strong gravity anomaly underlies the distinct trendline providing potential galena or sulfide rich zones of mineralization

Potential Project Analog

“While it is still early, the quartz-(carbonate)-like nature of mineralization, and the Ag-Sb-rich nature of the primary Zn-Pb mineralization could suggest this is similar to the structurally hosted Zn-Pb-Ag-(Sb) veins found in metasedimentary belts around the world such as Coeur d’Alene in Idaho or Keno Hill in Yukon. “ – Dr. Stephen Piercey, NI 43-101 on the Sail Pond Project

NI-43101

Click here for the September, 2020 NI-43101 Technical Report for the Sail Pond Project

Qualified Person’s Statement

Roderick Smith, M.Sc., P.Geo., Chief Geologist for Altius, is the Qualified Person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects. Mr. Smith is responsible for the scientific and technical data presented herein and has reviewed and approved this project summary.