P2 Gold Reports High-Grade Surface Sampling and Geophysical Results at Silver Reef

VANCOUVER, Dec. 09, 2020 - P2 Gold Inc. (“P2” or the “Company”) (TSX-V:PGLD) reports on the results of the surface sampling program and airborne geophysical survey at its Silver Reef Property located in northwest British Columbia. Surface sampling has returned numerous high-grade samples, which range in value up to 3.21 g/t gold and 3,885 g/t silver. The airborne geophysical survey shows that the zones are located along the margins of pronounced magnetic lineaments which extend beyond the current limits of the zones by up to 10 kilometers.

Surface Sampling Results

Mapping and prospecting at Silver Reef as part of the 2020 exploration program has expanded the footprint of mineralization. At the time the Silver Reef property was optioned in June of this year, the Main Zone and Northwest Zone were originally thought to be extensions of the same zone, which was defined over 1.5 kilometers. The Main Zone and Northwest Zone have now been determined to be separate trends and part of a stacked system of multiple mineral horizons, which have now been defined over five kilometers. All zones encountered to date are hosted within moderately metamorphosed sediments located along the margins of felsic dykes. The Northwest Zone has been surface sampled for over 800 meters of strike length and is open for expansion. The felsic dyke associated with this zone has been mapped for over 2.5 kilometers and remains open. Likewise, the Main Zone has been extended almost two kilometers to the south where it remains open.

Surface grab sampling has shown that the Northwest Zone and southern extension of the Main Zone, known as Main Zone South, appear to be higher grade than the Main Zone, with grab sample values ranging in value up to 3.21 g/t gold and 3,885 g/t silver. Both zones remain open for expansion. The Northwest Zone was targeted as part of the 2020 exploration program Phase 1 and Phase 2 drill programs, while the Main Zone South has yet to be drilled.

Airborne Geophysical Survey

The airborne geophysical survey completed as part of the 2020 exploration program identified numerous magnetic features, which are interpreted to be magnetite skarn developed within the sediments along the margins of dykes and intrusions. At the southern end of the property, two circular intrusions which host historical copper and molybdenum showings are clearly defined. These intrusions are thought to be part of the heat source for the epithermal mineralization seen elsewhere on the property.

The Main Zone follows the edge of a moderate magnetic lineament. This lineament projects to the south through Main Zone South, terminating against an east-west feature some two kilometers to the south. The Northwest Zone is located along the margin of a very strong magnetic lineament that extends over 10 kilometers to the south and at least two kilometers to the north. The association of mineralization with these linear geophysical features suggests the Silver Reef Project has extremely good exploration potential for extending the existing zones and finding new ones. Prospecting and mapping followed by drilling is being planned as part of the 2021 field season.

Plan maps showing the results of the 2020 exploration program surface sampling and airborne geophysical survey are available at www.p2gold.com.

The Phase Two exploration drill program at Silver Reef was completed in September and consisted of four holes totaling 374 meters. Two of the drill holes targeted the Main Zone, with the other two holes targeting the Northwest Zone. Assays will be reported on receipt.

Quality Assurance

Amanda Tuck, P.Geo is the qualified person responsible for the Silver Reef 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 the Silver Reef Property, 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 annual information form dated October 21, 2020 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.

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