K2 Commences Drilling at Mojave Project

10/13/2020

Vancouver, B.C. – October 13, 2020 – K2 Gold Corporation (“K2” or the “Company”) (TSX-V: KTO; OTCQB: KTGDF; FRANKFURT: 23K) is pleased to announce the commencement of the Company’s first drilling program at the Mojave project (“Mojave”) located in Inyo County, Southern California.

John Robins, Chairman of K2 commented, “This project represents one of the most exciting exploration opportunities I have ever worked on.  Our surface work over the last year has identified several large zones of oxide gold mineralization.  The commencement of drilling is a very positive step forward for the Mojave project.”

“We have now safely mobilized a drill rig and personnel to Mojave – a high grade oxide gold project which has not been drilled since BHP’s 10-hole programme in 1997,” stated Stephen Swatton, President and CEO of K2.  “With approximately $2.5 million in cash, K2 is fully financed to complete this initial drilling campaign comprising four sites on the Eastern side of the property.”

Current Drill Program

K2 is fully financed to complete this initial drill campaign, which is expected to comprise approximately 16 holes from four prospective sites on the Eastern side of the 5,830 ha (14,406 acres) property.  This drilling program will focus only on the Dragonfly and Newmont target areas, two gold rich zones with a 4.5km strike length of known mineralization outcropping at surface. It is expected to produce approximately 3,200m of drill chips to a maximum depth of 200m per hole. 

Please CLICK HERE to view a map of the Mojave drill sites.

All 35 historic holes drilled by Newmont and BHP within the Newmont and Dragonfly zones intersected alteration and anomalous gold mineralization.

Dragonfly
K2 is permitted to drill two sites at Dragonfly and each will be located at least 90m from previous BHP drilling.

Highlights for the historic BHP drilling at Dragonfly are in the table below:

Site DF-1 is located approximately 90m south of historic holes CM97-3 & 4 and will test beneath the historic BHP trench that returned 4.2 g/t Au over 42.7m.  The second site, DF-2, is located approximately 235m south of DF-1 along the same structure.

Mineralization at Dragonfly occurs along a series of closely spaced, NW trending, SW dipping, extensional zones.  These occur between NNW trending, west dipping, sinistral strike-slip faults and are the focus of higher-grade mineralization.  The mineralization is associated with an overlapping assemblage of silicification and sericite-clay alteration, multiple generations of stockwork quartz and quartz-carbonate veining, and strong iron-oxide development within a sequence of conglomerate, limestone, and siltstone.

Newmont
Two drill sites are permitted for Newmont and will follow up adjacent to historic drilling by Newmont (1991) and BHP (1997).  The closest historic hole to K2’s drilling is 67m (CGL-1) from NM-1.

Highlights of the historic drilling are shown in the table below:

Site NM-1 is at the southern end of the Newmont trend and will target near surface mineralization beneath the ‘Discovery’ outcrop which includes chip/trench results of 2.46 g/t Au over 34m and has not been previously drilled.  The second site, NM-2, is located approximately 400m to the north of NM-1 and will evaluate the continuity of the mineralized zone in a zone of widely spaced historic drilling.

Mineralization at the Newmont is focused along a NNE trending, shallowly west dipping, structural zone that forms the contact between calcareous siltstone and limestone.  The mineralization extends into both units where it is associated with strong sericite alteration, localised silicification and brecciation, carbonate +/- quartz veining, and strong iron-oxide development.

The drill program is expected to last approximately three weeks.  Rock chip samples will be shipped to MSALABS laboratory in Vancouver, Canada, with an anticipated turnaround time for analysis of rock samples between 3-4 weeks. The results from all four sites will contribute significant data towards a preliminary resource estimation.

K2 is committed to ensuring compliance with all environmental regulations and local, state, and federal laws.  This drill program was approved by the Bureau of Land Management following extensive environmental review, public input, and approval of a reclamation plan.  

Health and Safety Protocols
K2 has been closely monitoring developments of the novel coronavirus pandemic (“COVID-19”).  The Company has implemented a set of health and safety protocols, with guidance from the  California Department of Public Health and Inyo County Health and Human Services, including: daily screening procedures, temperature monitoring, guidelines for workers, self-assessment checklists, directives regarding the use of face coverings and social distancing, cleaning and disinfecting procedures, and contact tracing. 

Assay Methodology & QA/QC
The analytical work on the Mojave project will be performed by MSALABS an internationally recognized analytical services provider, at its laboratory in Langley, British Columbia.  All rock and drilling samples will be prepared using procedure PRP-910 (dry, crush to 70% passing 2mm, riffle split off 250g, pulverize split to better than 85% passing 75 microns) and analyzed by method FAS-111 (30g fire assay with AAS finish) and IMS-130 (0.5g, aqua regia digestion and ICP-AES/MS analysis).  Any samples containing >10g/t Au will be reanalyzed using method FAS-415 (30g Fire Assay with gravimetric finish).  Samples containing >100 ppm Ag and/or >1% Cu, Pb, & Zn will be reanalyzed using method ICF-6 (0.2g, 4-acid digest and ore grade ICP-AES analysis).

The reported work will be completed using industry standard procedures, including a quality assurance/quality control (“QA/QC”) program consisting of the insertion of certified standard, blanks and duplicates into the sample stream.

Qualified Person
Jodie Gibson, Vice President of Exploration and a Qualified Person under National Instrument 43-101, has reviewed and approved the technical information in this release.

About K2
K2 is a well-financed gold and silver exploration company with approximately $2.5M cash and projects in SW USA and theYukon .  In USA, the Company is represented by its 100% subsidiary, Mojave Precious Metals Inc.  The Company is focused on the Mojave property in California, a 5,830 hectare oxide gold project with base metal targets.  The location of Mojave enables the Company to have year-round news flow on multiple previously recognized surface gold targets that have been successfully drilled in the past by majors BHP and Newmont.  Besides affording immediate drill targets based on the Company’s soil data integrated with LiDAR and Worldview-3 data, the property also has undrilled locations with gold enriched historical trench results including one at the Dragonfly zone which recorded 4.2 g/t gold over 42.7m (BHP data).

On behalf of the Board of Directors,

“Stephen Swatton”

President and CEO

K2 Gold Corporation.

For further information about K2 Gold Corporation or this news release, please visit our website at k2gold.com or contact Investor Relations Offices in Canada 604-354-2491, or in the USA at Lone Pine, California +1 (760) 614-5605 or by email at info@k2gold.com.

K2 Gold Corporation is a member of the Discovery Group of Companies based in Vancouver, Canada. For more information please visit: discoverygroup.ca.

Cautionary Statement on Forward-Looking Statements

This news release contains forward-looking statements that are not historical facts.  Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including statements regarding the exploration program at Mojave, including results of drilling, and future exploration plans at Mojave.  Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company’s inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company’s inability to raise the necessary capital or to be fully able to implement its business strategies.  The reader is referred to the Company’s public disclosure record which is available on SEDAR (www.sedar.com).  Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all.  Except as required by securities laws and the policies of the TSX Venture Exchange, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

This news release does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States of America.  No securities of the Company have been or will, in the foreseeable future, be registered under the United States Securities Act of 1933 (the “1933 Act”) or any state securities laws and may not be offered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE