Golden Crown Mine

The Golden Crown Mine

The Company received permitting for a 10,000 meter drill program and started drilling on the Golden Crown with the goal of infilling and expanding upon the 2017 Mineral Resource Estimate.

  • Located 3 kilometer south of south of the Greenwood Process Plant
  • 1,070 meter long exploration drift developed to access the multi-vein system
  • 229 surface drill holes and 53 underground drill holes
  • 2017 Resource Estimate
  • 2017 Positive Preliminary Economic Assessment

The Golden Crown property is composed of a number of contiguous claims totaling approximately 1,017 hectares. The Golden Crown claims are located 4 kilometers east southeast of Greenwood, BC and 1 kilometer south of the historic Phoenix open pit. Golden Dawn owns 100% interest in the Golden Crown Property.

On the Golden Crown property, small scale historic underground gold-copper production took place in the early 1900’s. In 1985, a 1,070 metre long exploration drift was developed to access the multi-vein system. A total of 229 surface drill holes and 53 underground drill holes have been completed on this property in various programs that supports the current resource estimate presented in the table below.

Merrit Mining recommenced material extraction briefly in 2008 but shutdown operations in part due to the 2008 economic recession.

Golden Dawn plans to first increase the gold resource and apply for permitting to extract material from the mine and process it a its Greenwood processing facility.

2017  Resource Estimate

Table of Updated Resource Estimates for Golden Crown Property

(3.5 g/t AuEq cut-off)

Source: Updated Preliminary Economic Assessment on the Greenwood Precious Metals Project, P&E Mining Consultants Inc., Effective date: May 5, 2017.

Class Tonnes Au g/t Cu % AuEq g/t AuEq ozs
Indicated 163,000 11.09 0.56 11.93 62,500
Inferred 42,000 9.04 0.43 9.68 13,100

1) Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate
of mineral resources may be materially affected by environmental, permitting, legal, title, taxation,
sociopolitical, marketing, or other relevant issues. It is noted that no specific issues have been identified as
yet.

(2) The Inferred Mineral Resource in this estimate has a lower level of confidence that that applied to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.

(3) The mineral resources in this report were estimated using the Canadian Institute of Mining, Metallurgy and
Petroleum Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM
Standing Committee on Reserve Definitions and adopted by the CIM Council.

(4) The 3.5 g/t AuEq underground Mineral Resource cut-off grade for Lexington and Golden Crown were derived from the approximate Apr 30/17 two year trailing average Au price of US$1,200/oz and Cu price of US$2.50/lb, US$/C$ exchange rate of 0.80, 90% & 85% respective Au and Cu process recoveries, C$35/t process cost, C$75/t mining cost and C$30/t G&A cost. AuEq g/t = Au g/t + (Cu% x 1.5)