Vancouver, British Columbia–(Newsfile Corp. – January 20, 2022) – ArcWest Exploration Inc. (TSXV: AWX) (“ArcWest”) is pleased to provide an update for partner funded exploration of its Todd Creek copper-gold (“Cu-Au”) project, situated in British Columbia’s renowned Golden Triangle (Fig. 1). Exploration conducted on the Todd Creek property in 2021 by partner P2 Gold Inc. included a large scale magnetotellurics (“MT”) geophysical survey and a geological mapping and sampling program. Following the release of final reports on the program, P2 has relinquished its option to earn an interest in the Todd Creek project. ArcWest is now considering new funding partners in order to advance the project. ArcWest’s recommended targets for porphyry Cu-Au, volcanogenic massive sulfide (“VMS”), and epithermal-like Cu-Au mineralization on the Todd Creek project remain to be drill tested.

ArcWest’s 100% owned Todd Creek project adjoins Pretium’s Brucejack mine property; Newcrest Mining recently announced the acquisition of Pretium in a transaction valued at CAD $3.5 billion (Fig. 1). Todd Creek is also situated approximately 40 km southeast of Seabridge Gold’s giant KSM-Iron Cap porphyry Cu-Au deposits and Tudor Gold’s Treaty Creek Au-Ag project. Collectively, the KSM-Iron Cap and Treaty Creek deposits represent one of the largest Au-Cu concentrations in North America. Contained metal within Proven plus Probable Reserves at KSM-Iron Cap total 38.8 million ounces (oz) Au, 183 million oz Ag and 10.2 billion pounds of copper (www.seabridgegold.com). Tudor recently released a measured plus indicated resource estimate of 17 million oz Au and 93 million oz Ag (www.tudor-gold.com).

Highlights

• The west side of Todd Creek valley on the 32,000 hectare Todd Creek property hosts a 12 km long highly gossanous north-south corridor which contains one of the largest underexplored porphyry Cu-Au systems in the Golden Triangle. A large scale magnetotelluric (“MT”) survey of the this highly prospective area has identified multiple undrilled conductive bodies with resistivity values similar to those at Seabridge Gold’s nearby high grade Deep Kerr porphyry Cu-Au deposit.

• Low elevations on the west side of Todd Creek valley host multiple Cu-Au bearing jasperoidal silica-hematite enriched epithermal-like systems at the South and Fall Creek zones that warrant additional exploration. Similar jasperoidal silica and hematite enriched systems are associated with gold bearing quartz-chalcopyrite veins and breccias at Sandstorm Gold Royalties’ Hod Maden project and K92 Mining’s Kora North project. Historical exploration of South and Fall Creek include grab samples with assays up to 37.7 grams per tonne (g/t) Au and 5.3% Cu (Fall Creek) and drill holes returning assays up to 3.47 g/t Au and 0.73% Cu over 31.85 m (NTC88-022, Fall Creek zone) and 3.61 g/t Au and 0.27% Cu over 29.75m (NTC88-019, South zone).

• Submarine volcanic and sedimentary rocks of interpreted Eskay Creek age are situated on the southeast side of Todd Creek valley and host volcanogenic massive sulfide (VMS) occurrences with significant copper, zinc, gold, silver and lead grades; these occurrences outcrop over an area greater than 1 km long and up to 800 metres wide. This prospective target area (VMS zone) remains virtually unexplored.

• Mapping and sampling at the Ice Creek target area discovered a new zone of Cu-Au mineralization. Multiple grab samples returned assays in excess of 1% Cu and up to 5.58 g/t Au. Shallow inclined historical drill holes situated several hundred metres downhill from this discovery contain significant Cu-Au mineralization and previously unrecognized porphyry Cu-Au like veins.

• Data from a 2020 hyperspectral survey outlined several large zones of sericite alteration and coincident colour anomalies which to date have yet to see even first pass prospecting. These zones include the southwestern extension of the Yellow Bowl zone, a 2+ km long alteration zone west of Orange Mountain, and a large zone two km southeast of the VMS zone.

Tyler Ruks, President and CEO of ArcWest commented, “ArcWest thanks our partner P2 Gold for advancing our Todd Creek project. Our wholly owned Todd Creek property contains some of the most exciting porphyry Cu-Au and VMS exploration targets in BC’s Golden Triangle, all in close proximity to Newcrest Mining’s recently acquired Brucejack mine. We are resuming negotiations with potential partners who have previously evaluated Todd Creek, in addition to introducing the project to new potential partners. Our goal is to secure a partner for Todd Creek as soon as possible in order to aggressively explore the project in 2022 and beyond. ArcWest has a cash position of just over $2.5 million, in addition to significant share positions in partner companies worth nearly $600,000. The company has a low warrant overhang of 9.6 million shares and currently has a market capitalization of $7 million. This values our eight BC copper-gold projects, including our highly prospective Golden Triangle projects, at only $3.9 million. We are looking forward to an exciting 2022 exploration season, with partner funded drill programs planned for multiple ArcWest copper-gold projects.”

An updated technical presentation for ArcWest’s Todd Creek Cu-Au project is available for download here.

ArcWest’s 32,000 Ha Todd Creek property is host to highly underexplored porphyry Cu-Au, volcanogenic massive sulfide (“VMS”) and epithermal-like Cu-Au systems. A 12 km long N-S corridor along the west side of Todd Creek valley hosts highly gossanous, variably altered volcanic rocks, intrusive rocks and associated breccias of Early Jurassic age; similar aged volcanic and intrusive rocks host the nearby KSM-Iron Cap porphyry Cu-Au (Seabridge Gold) and Brucejack high grade Au-Ag (Newcrest Mining) deposits. Cu-Au occurrences are prevalent throughout this prospective corridor at Todd Creek, which contains one of the largest underexplored porphyry Cu-Au systems in BC’s Golden Triangle. Shallow inclined drill holes have tested only small parts of this very large target area, with multiple holes intercepting Cu-Au mineralization and previously unrecognized porphyry Cu-Au like veins (e.g., banded quartz-magnetite-chalcopyrite veins at the Orange Mountain zone). Also within the corridor, large gossanous areas with coincident satellite short wave infrared (“SWIR”) sericite anomalies have yet to undergo basic prospecting and sampling. Multiple geophysical anomalies throughout the corridor remain to be ground-truthed.

Low elevations on the west side of Todd Creek valley are also host to an epithermal-like Cu-Au system of uncertain origin. Here, abundant jasperoidal silica and hematite is associated with Au bearing quartz-chalcopyrite veins and associated breccias, a characteristic shared with Sandstorm Gold Royalties’ high grade Hod Maden project in Turkey and K92 Mining’s high grade Kora North project in Papua New Guinea. Epithermal-like Cu-Au mineralization at Todd Creek is present in several zones (South Zone and Fall Creek). A historical (non 43-101 compliant) resource at the South Zone authored by Hemlo Gold Mines in 1988 reports 207,000 t grading 5.48 g/t Au which includes drill intercepts returning up to 0.27% Cu and 3.61 g/t Au over 29.75m. Copper-gold mineralization at the South Zone is open along strike and down dip and is underlain by an untested strong chargeability geophysical anomaly. Grab samples of similar epithermal Cu-Au mineralization from the Fall Creek zone returned assays up to 37.7 g/t Au and 5.3% Cu. Multiple historical drill holes at Fall Creek intercepted significant Cu-Au mineralization including assays up to 0.73% Cu and 3.47 g/t Au over 31.85 m from drill hole NTC88-22. Epithermal Cu-Au mineralization at Todd Creek may be related to nearby porphyry Cu-Au systems as suggested by the presence of hydrothermal biotite documented in thin section petrography from Fall Creek.

Three kilometres to the southeast of South Zone, on the east side of Todd Creek valley, submarine volcanic and sedimentary rocks of interpreted Eskay Creek age host a nearly unexplored VMS system. Outcrops of massive sulfide with significant polymetallic grades, initially discovered in 2008 and more recently in 2019, are present over an area greater than 1 km long and up to 800 metres wide. A single shallow inclined drill hole tested the western part of the zone in 2020 and intercepted strongly altered submarine volcanic rocks with multiple massive sulfide clast bearing intervals. The presence of massive sulfide clasts suggests close proximity to an undiscovered massive sulfide lens.

Exploration on the Todd Creek property in 2021 by partner P2 Gold included a large scale magnetotellurics (“MT”) survey and a limited geological mapping and sampling program. The MT survey identified multiple highly conductive bodies within the 12 km long, highly gossanous and variably Cu-Au mineralized corridor on the west side of Todd Creek valley which is prospective for porphyry Cu-Au mineralization. At Seabridge’s nearby KSM-Iron Cap project, drill testing of conductors with similar resistivity values led to the discovery of the high grade Deep Kerr porphyry Cu-Au deposit in 2013.

P2 field crews collected 104 rock samples in various unworked zones across the property during 2021. The most notable results were returned from a previously unsampled and undrilled portion of the Ice Creek zone. Here, five grab samples collected over a 330 m strike length returned assays in excess of 1% Cu and up to 5.58 g/t Au. These samples augment historic results and significantly expand the Cu-Au mineralized footprint of the Ice Creek zone. Ice Creek sample results are summarized in Table 1. Historic shallow inclined drill holes from the Ice Creek zone returned assays up to 0.59% Cu and 2.73 g/t Au over 13 m (NTC88-047); previously unrecognized porphyry Cu-Au like veins are associated with Cu-Au mineralization.

Table 1: Ice Creek Rock Sample Results

Methods and QAQC

Rock samples collected by P2 are of a reconnaissance nature, including chip, grab and select samples and may not be representative of a larger volume of rock. The samples were analyzed by ALS Geochemistry of North Vancouver, British Columbia. They were prepared for analysis according to ALS method Prep-31A: each sample was crushed to 70% passing -2mm and a 250g split was pulverized to better than 85% passing 75 micron mesh. Gold was tested by fire assay with ICP-AES finish on a 30g nominal sample (method Au-AA23). An additional 48 elements were tested by ICP-AES using four acid digestion (method ME-MS61). Quality assurance and control (QAQC) is maintained at the lab through rigorous use of internal standards, blanks and duplicates.

About ArcWest Exploration Inc.

ArcWest Exploration is a project generator focused on porphyry copper-gold exploration opportunities throughout western North America. The company is in possession of eight 100% owned copper-gold projects throughout BC’s premier porphyry copper-gold districts. These include ArcWest’s Todd Creek and Oweegee Dome projects, which are two of the largest and most prospective land positions for copper-gold exploration in BC’s prolific Golden Triangle. Oweegee Dome neighbours Seabridge Gold’s supergiant KSM-Iron Cap-Snowfield porphyry copper-gold deposit and Todd Creek neighbours Pretium’s Brucejack mine property. Newcrest Mining recently announced the acquisition of Pretium and its high grade Brucejack gold-silver mine in a transaction valued at $3.5 billion. Three ArcWest projects are currently being advanced by partners through earn-in and joint venture agreements; multiple ArcWest copper-gold projects are scheduled to undergo partner funded drill testing in 2022. By conducting partner funded exploration on multiple exploration projects simultaneously, ArcWest’s chances of discovery are enhanced while exposing shareholders to minimal dilution. The company is managed by an experienced technical team with a track record of discovery and a reputation for attracting well-funded senior partners, including Freeport McMoRan, Robert Friedland group companies, ITOCHU, Antofagasta and Teck.

Qualified Person

ArcWest’s disclosure of a technical or scientific nature in this news release has been reviewed and approved by Jeff Kyba, PGeo, VP Exploration, who serves as a Qualified Person under the definition of National Instrument 43-101.

For further information please contact: Tyler Ruks, President and CEO at +1 (604) 638 3695.

Investors are cautioned that ArcWest Exploration Inc. has not verified the data from the KSM-Iron Cap, Treaty Creek, Brucejack, Eskay Creek, Hod Maden and Kora North deposits. Further, the presence and style of mineralization on these properties is not necessarily indicative of similar mineralization on the ArcWest Exploration Inc. property. Historical assays from exploration programs on its properties have not been verified by ArcWest but have been cited from sources believed to be reliable.

This news release contains statements about ArcWest’s expectations and are forward-looking in nature. As a result, they are subject to certain risks and uncertainties. Although ArcWest believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them as actual results may differ materially from the forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof, and ArcWest undertakes no obligation to update publicly or revise any forward-looking statements or information, except as required by law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/110927