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Elsa Tailings

ELSA TAILINGS
Asset 1

Elsa Tailings Overview

Historical milling operations at Elsa started in the 1930s and continued until 1988. Over that period, the Elsa mill processed ore from ten major mines in the area, resulting in an estimated 3.67 Mt of tailings deposited at the Elsa tailings site. In 2009 sonic drilling was used to complete 283 drill holes in the Elsa tailings, with the objective of generating an estimate of Mineral Resources. The average thickness of tailings drilled was 2.3 m.

Based on the March 2018 PFS, Indicated Mineral Resources for the Elsa tailings have been estimated at 2.49 Mt at 119 g/t silver (9,526,000 total oz of silver), 0.99% lead and 0.70% zinc. The Elsa tailings Mineral Resource also includes an estimated 9,600 oz of gold.

Historical Mineral Resource Estimate – SRK Consulting (Canada) Inc., June 16, 2010

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