P2 Gold Announces Remaining Drill Results from 2022 Drill Program including Drill Hole BAM-061 with 1.73 g/t gold over 46.5 meters

VANCOUVER, Dec. 06, 2022 - P2 Gold Inc. ("P2" or the "Company") (TSX-V:PGLD) (OTCQB:PGLDF), reports results from the remaining drill holes from the 2022 Drill Program at its gold-copper BAM Project located in the Golden Triangle in northwest British Columbia.

"We are pleased to report the remaining drill results from the BAM 2022 Drill Program, where significant near-surface gold mineralization has now been defined over a strike length of more than one kilometer at the Monarch Gold Zone, which remains open to the north and south," commented Joe Ovsenek, President and CEO of P2. "With these results in hand, we have started preparation of the maiden Mineral Resource estimate for the near-surface gold mineralization at the Monarch Gold Zone. We have also received the results from the NSMT and ZTEM geophysical surveys which are being compiled with the available geology and geochemistry data in order to develop the 2023 exploration program. The 2023 exploration program at BAM will focus on locating the porphyry source of the near-surface gold and copper mineralization, which we believe underlies the BAM Project claims, as well as the expansion of the near-surface gold mineralization."

BAM Project Select Drill Results

Select drill results (see Table 1 below for drill results) from holes BAM-038, 041 to 045, 048 and 050 to 101 drilled at the BAM Project include:

• Hole BAM-061 intersected 1.73 g/t gold over 46.5 meters, including 11.0 meters grading 3.70 g/t gold;
• Hole BAM-067 intersected 1.00 g/t gold over 43.0 meters, including 4.5 meters grading 1.85 g/t gold; and
• Hole BAM-076 intersected 0.64 g/t gold over 104.25 meters, including 7.6 meters grading 1.65 g/t gold.
  

Drill hole BAM-076 was drilled on the northern most section drilled in the 2022 BAM Drill Program. Drill hole BAM-061 was drilled approximately 550 meters south of drill hole BAM-076, and drill hole BAM-067 was drilled 750 meters south of drill hole BAM-076. These drill holes demonstrate the extent and grade potential of the Monarch Gold Zone.

2022 BAM Drill Program Recap

The focus of the 2022 BAM Drill Program was to find the limits of the epithermal surface mineralization at the Monarch Gold Zone and provide geologic information to aid in the interpretation of the airborne and ground geophysical surveys. This interpretation of the airborne and ground geophysical surveys is essential to discovering the higher-grade feeder systems for the near-surface epithermal gold mineralization and any associated porphyry mineralization.

The 2022 BAM Drill Program and geological mapping defined multiple structural trends which converge at the Monarch Gold Zone and were active either during and/or after the mineralization event. Gold grades intersected by the drilling generally increase towards these structures, suggesting they are potentially related to a feeder system. Drill holes in the latter half of the program also showed that the conglomerate along the eastern edge of the Monarch Gold Zone is well mineralized for over one kilometer. The conglomerate lies along the contact with the More Creek Granite suggesting that the contact may be part of the feeder system for the gold mineralization.

An updated geological model for the Monarch Gold Zone is being prepared based on drilling and mapping to date. The maiden Mineral Resource estimate for the Monarch Gold Zone is targeted for completion in the first quarter of 2023.

2022 BAM Drill Results

A plan map and sections for drill holes BAM-038, 041 to 045, 048 and 050 to 101 of the 2022 BAM Drill Program are available here.

Drill holes BAM-076, 079 and 081 were drilled on Section AA, the northern-most section drilled this season on the Monarch Gold Zone. The significant gold intersected in drill holes BAM-076 and 079 extends the Monarch Gold Zone to the north and indicates the excellent potential for further expansion of the zone to the northeast.

Drill holes BAM-038, 041, 044, 048, 050, 052, 053, 055, 060 and 085 were drilled on Section A, approximately 150 meters south of Section AA at the northern end of the Monarch Gold Zone. The gold mineralization on Section A was encountered in siltstone and conglomerate.

Drill holes BAM-071, 072, 073, 075, 077, 086, 088 and 089 were drilled on Section B, approximately 100 meters south of Section A. All holes were drilled in siltstone and intersected lower grade gold mineralization. This section is interpreted to be located in the mineralization "shadow" of a regional east-west structure which pooled the mineralization in the sections further to the south. The conglomerate along the contact with the More Creek Granite was not tested near surface on Section B and additional work is required to determine the controls on mineralization.

Drill holes BAM-042, 043, 045, 064, 066, 082 to 084 and 099 were drilled on Section C, approximately 100 meters south of Section B. Mapping and drilling indicate an east-west structure along the northern end of the mapped carbonate horst (see the attached plan map of the 2022 BAM Drill Program) is in part marked by a mafic dyke. The holes drilled from pads C-8.5 and C-10, BAM-042, 043, 045, 064, 066, 084 and 099 encountered higher-grade gold mineralization in siltstone immediately south of the mafic dyke.

Drill holes BAM-051, 054, 056 to 059, 061, 095, 096 and 098 were drilled on Section E, approximately 200 meters south of Section C. Gold mineralization was intersected in the drill holes located to the east of the carbonate horst. Higher-grade gold was encountered in the conglomerate close to the contact with the More Creek Granite (drill holes BAM-058, 059 and 061).

Drill holes BAM-062, 063, 065, 087, 092, 094, 097, 100 and 101 were drilled on Section F, approximately 100 meters south of Section E. All drill holes were drilled to the east of the carbonate horst. Holes drilled off section encountered higher-grade gold mineralization than those drilled vertically or oriented east-west. Statistical analysis of the drill results will be completed to determine the optimum drill orientation for future programs. Drill holes BAM-087 and 097 were drilled to test a geophysical target at depth. Both drill holes intersected a sequence of bedded sediments and ended in the More Creek Granite in the case of hole 087, and an ultramafic intrusive for hole 097. Hole BAM-097 failed to reach the target depth to determine the source of the geophysical target.

Drill holes BAM-067, 068, 070, 090, 091 and 093 were drilled on Section G, approximately 100 meters south of Section F. As with Section F, all drill holes were drilled to the east of the carbonate horst. Drill holes BAM-067, 068 and 070, drilled from the eastern most drill pad, intersected higher-grade gold mineralization within the conglomerate. This drilling confirms the trend of higher-grade gold mineralization in the conglomerate along the contact with the More Creek Granite. From Section G, the conglomerate has been mapped approximately 100 meters further to the south before being cut off by one of the regional northeast-southwest structures. This extension of the conglomerate is expected to host similar or better grades than those encountered in holes BAM-067, 068 and 070.

Drill hole BAM-069 was drilled in the BAM 10 Gold Zone located approximately three kilometers south of the Monarch Gold Zone. This drill hole was drilled below high-grade gold mineralization encountered in surface trenching completed in the early 1980s and intersected 1.36 g/t gold over 8.8 meters, including 3.45 meters of 2.42 g/t gold, 26.0 meters downhole, and 2.39 g/t gold over 1.9 meters 52 meters downhole. Unlike the gold mineralization encountered in the Monarch Gold Zone, the gold mineralization in hole BAM-069 was hosted by quartz stockwork zones within the More Creek Granite. The mineralization is associated with an 800 meter-long gold soil anomaly and warrants additional drilling to understand the potential of this zone.

Drill hole BAM-074 was drilled in the Jan Copper Zone to test the copper mineralization down dip from drill hole BAM-004 (which was drilled in 2021 and intersected 1.1% copper over 39.25 meters) and encountered 0.36% copper of 22.0 meters, including 2.0 meters of 2.15% copper. Additional work is required to understand the source of the copper mineralization at the Jan Copper Zone.

BAM Project Geophysics

Results from the natural source magneto-telluric geophysics survey ("NSMT Survey") and the Z-Tipper Axis Electromagnetic airborne geophysical survey ("ZTEM Survey") have been received and are being compiled to provide a three-dimensional interpretation of the BAM Project at depth. A review of the preliminary ZTEM 3D model confirms the northeast structural trends that are associated with the near-surface gold mineralization of the Monarch Gold Zone, which sits within a northeast trending resistivity high separating resistivity lows.

As previously announced, a prominent feature has been identified by the NSMT Survey, which is believed to be the feeder zone of the near-surface epithermal gold mineralization. This feature is the contact between the older granitic intrusive to the east with the sediments to the west and aligns with the structures that appear to be controlling the near-surface mineralization that has been intersected by drilling. This contact is potentially part of the feeder system for the near-surface epithermal mineralization.

Once the three-dimensional geophysics interpretation is available, targets will be selected for next year's drill program focused on expanding the near-surface gold mineralization and discovering the feeder zones and porphyry source at depth.

A plan view from the ZTEM Survey with the Monarch Gold Zone drilling and a two-dimensional section from the NSMT Survey looking north, that corresponds with Section D-D' from the 2022 BAM Drill Program, is available here.

Table 1: Selected BAM Drill Results, December 2022 (BAM-038, 041 to 045, 048 and 050 to 101)^{(1, 2)}

(1) True thickness to be determined.

(2) All samples were submitted for preparation and analysis by ALS Global at its facilities in Terrace, BC. All samples were analyzed using multi-digestion with ICP finish and fire assay with AA finish for gold. Samples with over 10 ppm gold were fire assayed with a gravimetric finish. One in 20 samples was blank, one in 20 was a standard sample, and one in 20 samples had a sample cut from assay rejects assayed as a field duplicate at ALS Global in North Vancouver, BC.

(3) Drill hole BAM-087 also intersected 0.15% copper between 82.5 and 87.0 meters.

Quality Assurance

Ken McNaughton, M.A.Sc., P.Eng., Chief Exploration Officer, P2 Gold, is the Qualified Person, as defined by National Instrument 43-101, responsible for the BAM Project. Mr. McNaughton has reviewed, verified and approved the scientific and technical information in this news release.

About P2 Gold Inc.

P2 Gold is a mineral exploration and development company focused on advancing precious metals and copper discoveries and acquisitions in the western United States and British Columbia.

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Forward Looking Information

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