News

Vancouver, Canada — Mawson Gold Limited (“Mawson” or the “Company”) (TSX:MAW) (Frankfurt:MXR) (PINKSHEETS: MWSNF) announces further high grades from drill hole SDDSC091 including 20.0 m @ 62.7 g/t Au from 430.0 m drilled in a 100 m up-dip extension of a previous drilled mineralized zone, at the Sunday Creek Project in Victoria, Australia, owned 100% by Southern Cross Gold Ltd. (“Southern Cross Gold” or “SXG”) (Figure 7).

SDDSC091, drilled at Rising Sun, is significant as it was drilled to target one vein set, RS50, in a NE to SW drill orientation (unlike recent west to east drill orientations that targeted multiple veins). The hole hit a continuous section of high grades (Table 1) with three intervals assaying >50 g/t Au including 0.4 m @ 950.0 g/t Au, 0.5 m @ 1,490.0 g/t Au and 0.6 m @ 65.4 g/t Au demonstrating the extremely high-grade tenor and scale of individual veins at the Sunday Creek Project.

Sunday Creek is 100% owned by Southern Cross Gold (“SXG”), which is an ASX listed company owned 51% by Mawson. Four rigs continue to drill in the main drill area at Sunday Creek where 18 holes (SDDSC079, 83, 85-86, 88-99, 101, 103) are currently being geologically processed and chemically analyzed, and four holes (SDDSC0100, 102, 104, 105) are in drill progress (Figures 1-3).

Noora Ahola, Mawson Interim CEO, states: “The last two months since the release of SDDSC077B have been a stand out period for Southern Cross Gold.  Today’s release is yet another exceptional 20.0 m @ 63.6 g/t AuEq (62.7 g/t Au, 0.5% Sb) from 430.0 m in SDDSC091, that includes 0.5 m @ 1,497.4 g/t AuEq (1,490.0 g/t Au, 4.7% Sb) from 438.8 m, the third >1,000g/t intercept to come out of the Sunday Creek project in the last three drill results.

The Sunday Creek discovery in Victoria, Australia is one of the most significant discoveries in the world today with a frequency of extremely high grades within multiple vein sets (up to 23 defined to date with more being found) at the property that is second to none.

SXG is well funded (A$11.8 m cash at the end of the August quarter) to deliver on its stated campaign to complete a further 19 km of drilling to April 2024 from four drill rigs on site delivering a continuous flow of news flow into the market with over 20 holes being processed and drilled.”

Results Discussion

SDDSC091 drilled at the Rising Sun Prospect intersected 20.0 m @ 63.6 g/t AuEq (62.7 g/t Au, 0.5% Sb) from 430.0 m (ETW 11.6 m) including:

• 1.0 m @ 6.2 g/t AuEq (5.6 g/t Au, 0.4% Sb) from 432.0 m
• 0.4 m @ 955.6 g/t AuEq (950.0 g/t Au, 3.6% Sb) from 438.4 m
• 0.5 m @ 1,497.4 g/t AuEq (1490.0 g/t Au, 4.7% Sb) from 438.8 m
• 0.6 m @ 66.5 g/t AuEq (65.4 g/t Au, 0.7% Sb) from 439.6 m
• 4.5 m @ 13.8 g/t AuEq (13.5 g/t Au, 0.2% Sb) from 441.4 m

SDDSC091 traversed across a single high-grade vein set and is a 100 m up-dip extension from an intersection in drill hole SDDSC077B (6.5 m @ 10.2 g/t AuEq), previously announced on September 5, 2023 (Figures 1-4). The individual vein set, RS50, intersected in SDDSC083 is 11.6 m wide (estimated true width), 60 m strike extent currently defined and extends over 500 m down dip and remains open (Figure 4). It is one of 23 vein sets defined to date at Sunday Creek with the system open in all directions (Figures 4 and 5).

Four of the five best intersections on the project have been drilled over the last 2 months as follows. The intersection within SDDSC091, based on a 2 m @ 1 g/t Au lower cut off is the second-best intersection on the project to date. The top ten intersections at Sunday Creek are as follows:

1. SDDSC077B: 3.6 m @ 393.2 g/t AuEq (391.9 g/t Au, 0.8% Sb) from 737.1 m
2. SDDSC091: 20.0 m @ 63.6 g/t AuEq (62.7 g/t Au, 0.5% Sb) from 430.0 m
3. SDDSC082: 1.6 m @ 500.5 g/t AuEq (500.3 g/t Au, 0.1% Sb) from 417.4 m
4. SDDSC082: 1.7 m @ 246.2 g/t AuEq (230.6 g/t Au, 9.9% Sb) from 413.6 m
5. SDDSC046: 14.3 m @ 24.6 g/t AuEq (20.5 g/t Au, 2.6% Sb) from 187.5 m
6. SDDSC082: 4.3 m @ 72.2 g/t AuEq (71.5 g/t Au, 0.4% Sb) from 588.0 m
7. SDDSC066: 1.7 m @ 168.7 g/t AuEq (147.1 g/t Au, 13.7% Sb) from 543.5 m
8. SDDSC082: 9.0 m @ 27.4 g/t AuEq (25.8 g/t Au, 1.0% Sb) from 565.8 m
9. SDDSC033: 16.8 m @ 14.3 g/t AuEq (10.7 g/t Au, 2.3% Sb) from 180.6 m
10. SDDSC025: 11.2 m @ 20.4 g/t AuEq (14.4 g/t Au, 3.9% Sb) from 362.5 m

SDDSC091 hit a continuous section of high grades with three intervals assaying >50 g/t Au including 0.4 m @ 950.0 g/t Au, 0.5 m @ 1,490.0 g/t Au and 0.6 m @ 65.4 g/t Au demonstrating the extremely high-grade tenor and scale of individual vein sets at the Sunday Creek Project. The ETW of 11.6 m was calculated from oriented core measurements. Individual assays are show in table 1 below:

Table 1: Individual assays from SDDSC091 drilled at the Rising Sun Prospect which intersected 20.0 m @ 63.6 g/t AuEq (62.7 g/t Au, 0.5% Sb) from 430.0 m (ETW 11.6 m) using a 2m @ 1.0 g/t Au lower cut.

Additionally, a further 2 holes (SDDSC079, SDDSC085) are reported from deeper drilling at Apollo. These were drilled in a NE to SW orientation, to individually test the lower extensions at Apollo (Figure 3). These holes are important as they demonstrate the mineralized system extends 500 m below high-grade drilling at Apollo, located 500 m east of Rising Sun. Highlights include:

• SDDSC079, a 100 m down dip extension from previous drilling intersected:
  • 1.5 m @ 1.8 g/t AuEq (1.3 g/t Au, 0.3% Sb) from 555.5 m
  • 6.3 m @ 4.2 g/t AuEq (3.0 g/t Au, 0.8% Sb) from 567.1 m, including:
    • 1.5 m @ 10.7 g/t AuEq (9.2 g/t Au, 1.0% Sb) from 567.1 m

SDDSC085, a 180 m down dip extension from SDDSC066 (10.4 m @ 28.7 g/t AuEq (24.8 g/t Au, 2.5% Sb) from 302.8 m) and MDDSC026 (5.6 m @ 11.5 g/t AuEq (10.4 g/t Au, 0.7% Sb) from 469.7 m) intersected a very broad low grade “near miss” from 634 m to 811 m (177 m down hole length). The hole intersected visible gold at 727.9 m and 738.0 m. Better intersections included:

• 0.3 m @ 8.2 g/t AuEq (6.8 g/t Au, 0.9% Sb) from 634.6 m

Pending Results and Update

With four diamond drill rigs operating at site, and A$11.8M cash (as of August 31, 2023) Southern Cross Gold has stated that it anticipates drilling an additional 19,000 m by April 2024.

Seventeen holes (SDDSC83, 86, 89-90, 92-99, 101-105) are currently being processed and analyzed, with four holes (SDDSC100, 106, 107, 108) currently in progress (Figures 1-3).

Further discussion and analysis of the Sunday Creek project by Southern Cross Gold is available on the SXG website at www.southerncrossgold.com.au.

No upper gold grade cut is applied in the averaging and intervals are reported as drill thickness otherwise where estimated true width “ETW” is stated. During future Mineral Resource studies the requirement for assay top cutting will be assessed.

Figures 1-7 show project location, plan, longitudinal and cross-sectional views of drill results reported here and Tables 1–4 provide collar and assay data. The true thickness of the mineralized intervals reported are interpreted to be approximately 58% for SDDSC091 and 60% to 70% of the sampled thickness for other reported holes. Lower grades were cut at 1.0 g/t Au lower cutoff over a maximum width of 2 m with higher grades cut at 5.0 g/t Au lower cutoff over a maximum of 1 m width, unless otherwise stated.

Technical Background and Qualified Person

The Qualified Person, Michael Hudson, Executive Chairman and a director of Mawson Gold, and a Fellow of the Australasian Institute of Mining and Metallurgy, has reviewed, verified and approved the technical contents of this release.

Analytical samples are transported to the Bendigo facility of On Site Laboratory Services (“On Site”) which operates under both an ISO 9001 and NATA quality systems. Samples were prepared and analyzed for gold using the fire assay technique (PE01S method; 25 gram charge), followed by measuring the gold in solution with flame AAS equipment. Samples for multi-element analysis (BM011 and over-range methods as required) use aqua regia digestion and ICP-MS analysis. The QA/QC program of Southern Cross Gold consists of the systematic insertion of certified standards of known gold content, blanks within interpreted mineralized rock and quarter core duplicates. In addition, On Site inserts blanks and standards into the analytical process.

MAW considers that both gold and antimony that are included in the gold equivalent calculation (“AuEq") have reasonable potential to be recovered at Sunday Creek, given current geochemical understanding, historic production statistics and geologically analogous mining operations. Historically, ore from Sunday Creek was treated onsite or shipped to the Costerfield mine, located 54 km to the northwest of the project, for processing during WW1. The Costerfield mine corridor, now owned by Mandalay Resources Ltd contains two million ounces of equivalent gold (Mandalay Q3 2021 Results), and in 2020 was the sixth highest-grade global underground mine and a top 5 global producer of antimony.

SXG considers that it is appropriate to adopt the same gold equivalent variables as Mandalay Resources Ltd in its Mandalay Technical Report, 2022 dated March 25, 2022. The gold equivalence formula used by Mandalay Resources was calculated using recoveries achieved at the Costerfield Property Brunswick Processing Plant during 2020, using a gold price of US$1,700 per ounce, an antimony price of US$8,500 per tonne and 2021 total year metal recoveries of 93% for gold and 95% for antimony, and is as follows: 𝐴𝑢𝐸𝑞 = 𝐴𝑢 (𝑔/𝑡) + 1.58 × ð‘†ð‘ (%).

Based on the latest Costerfield calculation and given the similar geological styles and historic toll treatment of Sunday Creek mineralization at Costerfield, SXG considers that a 𝐴𝑢𝐸𝑞 = 𝐴𝑢 (𝑔/𝑡) + 1.58 × ð‘†ð‘ (%) is appropriate to use for the initial exploration targeting of gold-antimony mineralization at Sunday Creek.

About Mawson Gold Limited (TSX:MAW, FRANKFURT:MXR, OTCPINK:MWSNF)

Mawson Gold Limited is an exploration and development company. Mawson has distinguished itself as a leading Nordic exploration company with its 100% owned flagship Rajapalot gold-cobalt project in Finland, and right to earn into the Skellefteå North gold project in Sweden. Mawson also currently owns 51% of Southern Cross Gold Ltd (ASX:SXG) which in turn owns or controls three high-grade, historic epizonal goldfields covering 470 km2 in Victoria, Australia.

About Southern Cross Gold Ltd (ASX:SXG)

Southern Cross Gold holds the 100%-owned Sunday Creek project in Victoria and Mt Isa project in Queensland, the Redcastle and Whroo joint ventures in Victoria, Australia, and a strategic 10% holding in ASX-listed Nagambie Resources Limited (ASX:NAG) which grants SXG a Right of First Refusal over a 3,300 square kilometer tenement package held by NAG in Victoria.

Forward-Looking Statement

This news release contains forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). All statements herein, other than statements of historical fact, are forward-looking statements. Although Mawson believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate, and similar expressions, or are those, which, by their nature, refer to future events. Mawson cautions investors that any forward-looking statements are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, Mawson’s expectations regarding its ownership interest in Southern Cross Gold, capital and other costs varying significantly from estimates, changes in world metal markets, changes in equity markets, the potential impact of epidemics, pandemics or other public health crises, including COVID-19, on the Company’s business, risks related to negative publicity with respect to the Company or the mining industry in general; exploration potential being conceptual in nature, there being insufficient exploration to define a mineral resource on the Australian-projects owned by SXG, and uncertainty if further exploration will result in the determination of a mineral resource; planned drill programs and results varying from expectations, delays in obtaining results, equipment failure, unexpected geological conditions, local community relations, dealings with non-governmental organizations, delays in operations due to permit grants, environmental and safety risks, and other risks and uncertainties disclosed under the heading "Risk Factors" in Mawson's most recent Annual Information Form filed on SEDAR. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Mawson disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

Photo 1: SDDSC091 from 439 m (within assayed interval 0.5 m @ 1,497.4 g/t AuEq (1490.0 g/t Au, 4.7% Sb) from 438.8 m to 439.3 m (Table 3)) showing cut core with brecciated dioritic dyke, stibnite and quartz-carbonate veining with fine, disseminated frequent visible gold (red circles). mm scale.

Photo 2: Zoomed in SDDSC091 from 439 m (within assayed interval 0.5 m @ 1,497.4 g/t AuEq (1490.0 g/t Au, 4.7% Sb) from 438.8 m to 439.3 m (Table 3)) showing cut core with brecciated dioritic dyke, with stibnite and quartz-carbonate veining with fine, disseminated frequent visible gold. mm scale.

Photo 3: SDDSC091 annotated mineralized drill core from 435.8 m to 444.0 m.

Figure 1: Sunday Creek plan view showing SDDSC091 reported here (red box), selected prior reported drill holes, pending holes and mineralized veins, host dyke-breccia and major faults. For location see Figure 5.

Figure 2: Sunday Creek level plan view at -110 m RL with influence of 100 metres showing SDDSC091 reported here (red box), mineralized veins, host dyke-breccia and major faults.

Figure 3: Sunday Creek longitudinal section across A-B within the plane of the dyke breccia/altered sediment host (see Figure 1) looking towards the north (striking 327 degrees) showing mineralized veins sets (cyan). Holes reported here (yellow), holes in the laboratory (blue) and prior reported drill holes (black) shown.

Figure 4: Sunday Creek longitudinal section G-H (20 m influence) (see Figure 1) in the plane of the RS50 vein set at the Rising Sun area looking towards 330 showing extent over 520 m. Coloured by true thickness x AuEq g/t. Vein set averages 4-10 m width into the page and 60 m strike length.

Figure 5: Sunday Creek longitudinal section I-J (20 m influence) (see Figure 1) in the plane of the RS10 vein set at the Rising Sun area looking towards 330 showing continuity from surface to 550m depth. Coloured by true thickness x AuEq g/t. Vein averages 10-15 m width into the page and 40-50 m strike length.

Figure 6: Sunday Creek regional plan view showing LiDAR, soil sampling, structural framework, regional historic epizonal gold mining areas and broad regional areas (Tonstal, Consols and Leviathan) tested by 12 holes for 2,383 m drill program. The regional drill areas are at Tonstal, Consols and Leviathan located 4,000-7,500 m along strike from the main drill area at Golden Dyke- Apollo.

Figure 7: Location of the Sunday Creek project, along with SXG’s other Victoria projects and simplified geology.

Table 2: Drill collar summary table for recent drill holes in progress.

Table 3: Tables of mineralized drill hole intersections reported from SDDSC079, 85, 82 and 91 using two cut-off criteria. Lower grades cut at 1 g/t Au lower cutoff over a maximum of 2 m with higher grades cut at 5.0 g/t Au cutoff over a maximum of 1 m.

Table 4: All individual assays reported from SDDSC079, 85 and 91 reported here >0.1g/t AuEq.