NuLegacy Gold Corporation's geological team of Dr. Roger Steininger (director, and co-founder) and Charles Weakly (Exploration Manager), together with recently enrolled key members of Barick's former Goldrush discovery team, Nancy Richter (joined NuLegacy's team as of Feb. 22, 2023), Michael Penick (Mar. 21, 2023), and Robert Leonardson (April 11, 2023), have completed their in-depth global review and analysis of the Carlin-style gold mineralizing systems at NuLegacy's Red Hill property and have agreed on the top 5 priority drill targets for the 2023 drill program.

The review of NuLegacy's 108 sq. km Red Hill property in the Cortez gold-trend approximately 7 km south of Nevada Gold Mines' multi-million-ounce Tier 1 Goldrush gold deposit concluded that the Cortez-Goldrush-Red Hill block is unique, with continuous deposition of favorable slope facies carbonate rocks from the Roberts Mountains through the Wenban formations. As well, the large displacement (>300m) north-northwest trending steep dipping faults with proximal gold mineralization can be traced from the Cortez mine area through NuLegacy's Red Hill property, providing an additional link between the two properties.

The gold mineralization found to date at Red Hill is similar to that of the high-grade Cortez Fourmile deposit area, localized at the intersections of high and low-angle faults with associated metamorphic alteration and local to moderate scale folding. The host rocks for the Carlin-type gold mineralization include the Devonian Wenban Unit 5, Devonian Horse Canyon, and Devonian-Silurian Roberts Mountains formations. Prior drilling has shown an approximate 3-kilometer-wide zone of Carlin-type alteration and local gold mineralization under the volcanic cover rocks of the Northern Nevada Rift.

The link between gold mineralization and metamorphic alteration is encouraging, as very-high grades can occur in this setting as at the Cortez Fourmile and the southern margins of the Goldstrike Betze-Post gold deposits.¹ At Red Hill, a Cretaceous diorite intrusive is associated with metamorphic alteration, with dike zones known to occur along the Iceberg Corridor, the Mid Rift target area, and are inferred from surface mapped metamorphic alteration to the east of the Iceberg fault. The larger bodies of these favorable Cretaceous diorites are interpreted at depth based on strong resistive zones in CSAMT geophysics, and coincident zones of stronger metamorphic alteration mapped at surface and intercepted in drilling. The major drill targets are focused proximally to or above these larger bodies where all other positive target elements intersect as illustrated in the cross-sections below.

Although both epithermal and Carlin style mineralization have been identified at Red Hill, NuLegacy's exploration focus has been on Carlin style mineralization which presents the opportunity for the larger prize. Gold mineralization occurs along both low and high-angle faults, most often at fault intersections, with the best grade closely associated with altered lamprophyre dikes. Some of the more robust intercepts drilled in the deposit areas include 41.2m @ 3.91 g/t including 12.2m @ 10.95 g/t and 4.6m @ 25.21 g/t and 35.1m @ 3.41 g/t including 21.3m @ 5.31 g/t in the North zone (RHB40 and RHB58) and 22.1m @ 6.59 g/t including 8.7m @ 16.92 g/t in the Serena zone (SR18-02C).

While there are numerous drill target areas at Red Hill, the 5 highest priority targets are in the Mid Rift, South Iceberg, and West Rift determined by geochemical vectoring from existing results and focused along sets of north-northwest trending, steep dipping faults associated with metamorphic and metasomatic alteration at intersections with low angle west dipping fault zones as areas likely to have thick potentially gold bearing host rock sequences and near-vertical bedding within the best host rock sequences. Pending financing the proposed five-hole Phase 1 2023 drill program (as illustrated in the following cross-sections in green) is approximately 3,000 meters (10,000 feet) of RC-holes with average depths of 600 meters (2,000 feet) focused on the Mid-Rift, South-West Rift and South Iceberg target areas.