TOWER GOLD PROJECT

Moneta recently completed the acquisition of O3 Mining’s Garrison project assets which makes Moneta’s gold project one of the largest undeveloped gold projects in Canada and includes the highly prospective Tower Gold Project comprised of the Golden Highway Project and the newly acquired Garrison Project which covers 17 kilometres of volcanic/sedimentary Archean units and up to four branches of the Destor.

The Company’s flagship project, The Tower Gold Project, covering the Golden Highway and Garrison Gold Projects is located 100 km east of Timmins and hosts a total indicated resource of 3,967,000 ounces gold contained and a total of 4,399,000 ounces gold inferred at a 2.60 g/t Au at South West, 3.00 g/t Au cut-off for the other underground deposits and 0.30 g/t Au for the open pit deposits. The project includes a total of 3,335,000 ounces of open pit indicated resources contained within 116.7 Mt @ 0.89 g/t Au and 2,270,000 ounces of open pit inferred resources contained within 79.4 Mt @ 0.89 g/t Au. The project also includes 632,000 ounces of indicated underground resources contained within 4.9 Mt @ 4.05 g/t Au and 2,129,000 ounces of inferred underground resources within 15.7 Mt @ 4.21 g/t Au.

Preliminary economic assessment (“PEA”) studies were completed on the Garrison open pit resources and the South West underground bulk mining resource in 2020. The Garrison PEA highlighted an open pit mining operation consisting of a 12-year mine life with an after-tax NPV5% of C$321MM, IRR of 33% and a 2.3-year payback. The project envisaged open pit mining producing 121,000 oz/pa in years 1 to 8 (94,000 oz/pa LOM), at a strip ratio of 2.7:1 at a cash cost of US$721/oz using a gold price of US$1,450/oz and an exchange rate of US$0.75/C$. The PEA on the South West gold deposit, one of 6 deposits located on the Golden Highway project, highlighted an underground bulk mining operation consisting of an 11-year mine life with an after-tax NPV5% of C$236MM, IRR of 30% and a 3.4-year payback, generating C$371MM LOM after-tax free cash flow. The project envisaged producing 76,000 oz/pa at a cash cost of US$590/oz at a gold price of US$1,500/oz and an exchange rate of US$0.77/C$. The open pit resources and new underground discoveries have not yet been subjected to a preliminary economic assessment study at Golden Highway.

The Tower Gold project will be large enough to support milling infrastructure and a combined Preliminary Economic Assessment study will be produced on the entire combined project upon completion of a resource update. The South West deposit and the Garrison project have both demonstrated robust economics with excellent cash flow potential and low cash costs. Please see recent press releases or Moneta’s Corporate Presentation for the PEA results at www.monetaporcupine.com/News and https://www.monetaporcupine.com/corporate-presentation/.

There are no royalties or encumbrances on most of the resource areas held by Moneta other than an average 1.5% royalty on the Garrison project recently acquired from O3 Mining.

Projects

On February 24, 2021, Moneta announced that it had completed the acquisition of all of the issued and outstanding shares of Northern Gold Mining Inc., a wholly-owned subsidiary of O3 Mining Inc. ("O3 Mining"), which owns 100% of the Golden Bear assets, including the Garrison Gold project located adjacent to and contiguous with Moneta’s Golden Highway project in the Timmins Gold Camp (the “Transaction”).