Mammoth Resources Corp. provided an update on diamond drill exploration activities at its 100% owned Tenoriba gold-silver property located in the prolific Sierra Madre precious metal belt, Mexico. Following a break for the Christmas/New Year holiday period the drill contractors have returned to the project and earlier this week recommenced drilling.

As of mid December 2021, there are now two drill contractors drilling at Tenoriba. Mammoth contacted various drill contractors in late September 2021 to supplement the initial contractor which mobilized drill equipment and crews to Tenoriba in mid-August 2021. Following six weeks of drilling and despite the challenges of a heavy rainy season, Mammoth took the decision to approach other drill contractors to provide some additional support in the execution of the drill program as the initial selected contactor was unable to sustain either water supply, or mechanical availability of the two drill rigs initially mobilized to Tenoriba.

Of the various drill contractors contacted only one was able to commit to Tenoriba in a reasonable time. In early October this contractor performed a site visit to enable quoting on the program, terms were agreed soon thereafter however due to various Covid-19 related supply challenges in procuring certain materials and consumables, equipment and crew didn't mobilize to site until early December. A single drill hole was completed by this additional contactor prior to the holiday break.

It has been agreed with the initial drill contractor that no payment will be made on the mobilization nor demobilization of the second drill rig that failed to perform consistently while at Tenoriba. On December 2, 2021, Mammoth announced the granting of an additional drill permit to cover an additional 183 drill hole locations in portions of Tenoriba not covered in a prior drill permit application grant. Mammoth had been conducting recently announced drilling under this earlier permit.

This additional drill permit expands upon this initial permit both in size of the area to be drilled, plus brings the total number of permitted drill hole locations to 321 over the entire approximately 6-km trend of surface gold-silver mineralization sampled in thousands of soil, chip and channel samples at Tenoriba. Core samples for an additional 4 drill holes completed prior to the holiday break are at the assay laboratory with the last samples delivered to the laboratory just prior to the holiday. These additional 4 drill holes are targeting extensions to prior mineralization at the central - Masuparia area of the project where a number of prior drill holes intercepted tens of metres (m) of potentially economical gold equivalent (gold Eq), gold-silver mineralization - where silver is converted to gold at 75 grams per tonne (g/t) silver equals one g/t gold, over an approximate 200 m strike length at vertical depths of less than 100 m, including: TDH - 07 grading 2.17 g/t gold Eq over 47 m, TDH - 11 grading 0.92 g/t gold Eq over 41 m, TDH - 14 grading 0.69 g/t gold Eq over 40 m, TEN 17 - 04 grading 0.63 g/t gold Eq over 45 m, and TEN 17 - 05 grading 1.32 g/t gold Eq over 23 m. The 2021 - 2022 drill program is designed to test up to five target zones which measure from hundreds of metres to over one kilometre (km) in strike length along a 4 km, east-west trend of gold-silver mineralization identified in 3-dimensional (3D) modelling incorporating data from over 3,000 soil, chip and channel samples, 26 prior diamond drill holes, geological and structural mapping and the potential continuity at depth of surface mineralization as indicated by an Induced Polarization/Magnetometer (IP/Mag) geophysical survey.

Beyond this 4 km trend select data (surface soil and chip samples and Magnetometer geophysics) exists which provide information upon which additional targets may be developed.