P2 Gold Exploration and Corporate Update

VANCOUVER, Aug. 31, 2020 - P2 Gold Inc. (“P2” or the “Company”) (TSX-V:PGLD) reports that its 2020 exploration programs on its properties in northwest British Columbia and southeast Oregon have commenced, and it will commence trading this morning on the TSX Venture Exchange under the name P2 Gold Inc. and symbol “PGLD”.

Since early June, P2 has optioned three properties in northwest British Columbia and leased one property in southeast Oregon: Silver Reef, option to acquire up to a 100% interest (see news release June 11, 2020); Todd Creek, option to acquire up to a 70% interest (see news release July 9, 2020), BAM, option to acquire up to a 100% interest (see news release July 2, 2020) and Stockade, lease of a 100% interest (see news release July 10, 2020). Following the optioning and leasing of the properties, the Company completed a C$3.5 million financing in late July.

Silver Reef

The Phase One exploration drill program has been completed at Silver Reef consisting of 10 holes totaling 1,315 meters. Assays will be reported on receipt.

The Silver Reef Property covers an area of over 23,000 hectares approximately 85 kilometers north of Hazelton, BC and to the east of the Golden Triangle. The exploration target at Silver Reef is similar to the Coeur d’Alene district in Idaho, and more locally the historic and high-grade Silver Standard Mine located approximately 80 kilometers to the south. At Silver Reef, sulphide mineralization with quartz/carbonate veins and stockwork are associated with a regional shear zone that cuts through the alteration halo of a large granitic intrusive.

Eight of the Phase One drill holes targeted the Main Zone of the structure, with the remaining two Phase One holes targeting the Northwest Zone. Recent mapping has extended the Main Zone structure by over one kilometer to the northwest. As a result, the Main Zone structure now extends two kilometers along strike and remains open to the northwest. Field mapping has also determined that the previously identified Northwest Zone is a parallel zone of mineralization, which more than doubles the exploration potential of the property. A Phase Two drill program is expected to commence in early September, pending receipt of assays from the Phase One drill program.

Todd Creek

The 2020 exploration program at Todd Creek has commenced and includes a minimum of 1,000 meters of drilling planned for three holes. Drilling is focused on targets at the Yellow Bowl Zone, a lenticular sericite-rich gossan measuring one kilometer by three kilometers which hosts numerous structurally- controlled copper and gold showings. Drilling will also test a series of closely-spaced copper/gold showings in a zone located five kilometers southeast of Yellow Bowl. The program includes completion of a satellite hyperspectral, as well as airborne magnetic and radiometric surveys over the northwest portion of the property. Drilling is expected to be completed by early September with assays to follow.

The Todd Creek Property covers an area of over 32,000 hectares and is located within the Golden Triangle, approximately 35 kilometers northeast of Stewart, BC and bordering the east side of Pretium Resources Inc.’s Bowser Claims. The western side of the Todd Creek Property covers a 12-kilometer by 3-kilometer corridor of altered lower Jurassic volcanic rocks which host at least four zones of gold-copper mineralization, known as Fall Creek, Ice Creek, Yellow Bowl and South zones. These zones are found in the same stratigraphy that hosts the nearby Brucejack, Snowfield, and Goldstorm deposits.

BAM

A systematic exploration program of the BAM property is underway. An airborne geophysical program has been completed. A soil geochemical sampling, geologic mapping and prospecting program is in its final stages, with ground geophysical work expected to commence shortly.

The BAM Property covers an area of over 8,100 hectares located in the heart of the Golden Triangle, approximately 150 kilometers northwest of Stewart, BC. On the BAM Property, drilling in 1967 identified a sizeable area of copper mineralization with minor silver in a replacement zone hosted by brecciated Lower Permian limestone and dolomite. More recently, exploration efforts on the BAM Property have focused on gold. This work started in the mid-1980s when Radcliffe Resources discovered quartz veins that assayed up to 212 grams per tonne gold in grab samples, and when Chevron Canada Resources Limited collected channel samples from trenches that returned up to 7.4 grams per tonne gold over 19.3 meters. The BAM property has not been systematically explored for large porphyry-related copper-gold or a bulk tonnage gold-silver system.

Stockade

A National Instrument 43-101 technical report compiling the historical field work and drill results at Stockade is underway. In addition, a field program has been initiated as part of a systematic exploration program that is expected to consist of ground geophysical studies, along with further prospecting, geochemical sampling, geologic mapping and drilling.

The Stockade property covers an area of over 6,790 acres located in Malheur County, Oregon, approximately 85 kilometers southeast of Burns, Oregon, or 150 kilometers southwest of Boise, Idaho. The property was explored by BHP, Phelps Dodge and Placer Dome with only shallow drill holes targeting bulk tonnage potential in the 1980s and 1990s.

Timmins Claims

With the exploration focus now on the Pacific Northwest of North America, P2 has determined that its Timmins claims are non-core and has decided to divest the Timmins claims.

Quality Assurance

Amanda Tuck, P.Geo is the qualified person responsible for the Silver Reef and Todd Creek properties and has reviewed, verified and approved the scientific and technical information in this news release relating thereto. Graeme Evans, P.Geo is the qualified person responsible for the BAM property and has reviewed, verified and approved the scientific and technical information in this news release relating thereto.

About P2 Gold Inc.

P2 is a mineral exploration and development company focused on advancing precious metals discoveries and acquisitions in the Pacific Northwest.

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Forward Looking Information

This press release contains "forward-looking information” within the meaning of applicable securities laws that is intended to be covered by the safe harbours created by those laws. “Forward-looking information” includes statements that use forward-looking terminology such as “may”, “will”, “expect”, “anticipate”, “believe”, “continue”, “potential” or the negative thereof or other variations thereof or comparable terminology. Such forward-looking information includes, without limitation, the Company’s expectations, strategies and plans for Silver Reef, Todd Creek, BAM, Stockade and Timmins properties, including the Company’s planned expenditures and exploration activities.

Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made. Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of the Company to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking information. See “Risk Factors” in the Company’s final prospectus dated October 4, 2018 filed on SEDAR at www.sedar.com for a discussion of these risks.

The Company cautions that there can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, investors should not place undue reliance on forward-looking information.

Except as required by law, the Company does not assume any obligation to release publicly any revisions to forward-looking information contained in this press release to reflect events or circumstances after the date hereof.

Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.