Metallic Minerals Reports High-Grade Silver, Lead, Zinc, and Copper Results from 2018 Exploration Program at the McKay Hill Project in Yukon Territory

VANCOUVER, Jan. 28, 2019 - Metallic Minerals Corp. (TSX-V: MMG; US OTC: MMNGF) (“Metallic” or the “Company”) announces additional high-grade results from the 2018 exploration programs conducted at its 100% owned McKay Hill Project, located 50 kilometers north of the historic Keno Hill Silver District in the Yukon Territory, and adjacent to ATAC’s Rackla property. Although earlier stage than the Company’s Keno Silver Project to the south, Metallic see’s similar potential for a district scale high-grade silver-lead-zinc-copper system at McKay Hill based on results to date including:

• Total of 37 vein structures identified on the property to date, with the discovery of 18 new silver-lead-zinc-rich structures in 2018, with 61 samples ranging 1,000 to 4,326 g/t silver equivalent;
• The outline of six kilometer-scale areas of highly elevated silver, lead, zinc, copper and gold in soils and rock sampling; and
• Advancement of the Central Zone targets to drill-ready stage along with demonstration of the potential to host bulk-tonnage mineralization.

The McKay Hill Project occurs within a belt of silver-lead-zinc related deposits that stretches from the Alaska border to the southern part of the Yukon and includes the famous Keno Hill Silver District. McKay Hill was discovered in the 1920s and had production in the 1940s of high-grade material from the No. 6 Vein Corridor grading 390.8 g/t Ag and 74.1% Pb.¹ With at least 37 vein structures (including the 18 new structures discovered in 2018) which have only seen limited exploration, the area shows potential to host a significant district-scale vein system similar to Keno Hill.

Metallic CEO and Chairman, Greg Johnson, stated, "We are very pleased to report these additional rock and trenching results from our 2018 exploration program at the McKay Hill Project, which significantly advanced the project with 18 newly defined vein structures, including some spectacular bonanza grades. To date, a total of 61 rock samples have exceeded 1,000 g/t silver equivalent values with values up to 4,326 g/t silver equivalent in rock samples and up to 2,126 g/t silver equivalent over 2 meters in channel sampling. Work in 2018 has identified 6 separate kilometric-scale target areas with high-grade silver values along with associated lead, zinc and copper mineralization covering an area approximately 3 kilometers by 1.5 kilometers wide in soil and rock sampling (See news release December 4^th, 2018, Metallic Minerals Identifies Multiple Kilometer-long Anomalies at McKay Hill, Yukon Territory). These results have significantly expanded the areas of known mineralization but cover only a small portion of the 44 square kilometer property, supporting the potential for the discovery of additional mineralized targets in future programs. This year’s program successfully achieved the key objectives of expansion of the main Central Zone target through trench, rock and soil sampling and identifying and refining six additional kilometric-scale target zones, including the West McKay, Bella, Red, Falls and Snowdrift and Independence Zones (see Figure 1). A comprehensive exploration program is being planned for 2019 at McKay Hill in coordination with the Company’s Keno Silver Project exploration activities. We look forward to providing additional updates on Metallic’s portfolio of projects in coming weeks.”

Central Zone Target Area

The Central Zone was the focus of historic exploration, and production occurred from a small area of the No. 6 Vein within the Central Zone. Exploration work in 2018 has substantially expanded the number of the Central Zone vein exposures, and understanding thereof, resulting in the identification of high-quality targets for drill testing. Importantly, this year’s program has demonstrated that the historically productive No. 6 Vein is part of a much larger system of vein structures than had been previously recognized, now termed the No. 6 Vein Corridor. At least 20 major north-northeast-trending vein structures have been identified in the Central Zone along with northeast-trending stockwork zones in what is now interpreted to be a >1 kilometer-long by 250-metre-wide mineralized corridor that remains open to expansion at both ends (see Figure 1 inset).

The northeast-trending No. 6 Vein Corridor consists of widespread, near-vertical, high-grade silver-bearing massive sulfide veins. Very high combined silver and gold grades occur where these veins intersect with the numerous NNE trending gold and copper enriched veins. To date, 35 samples in the Central Zone have exceeded 1,000 g/t silver equivalent (“Ag Eq”) values, demonstrating the potential for high-grade mineralization in these vein systems (see Table 2 values from 2018 sampling). In addition, as part of the exploration program in 2018, a portable excavator was used to trench across key vein intersections to allow for detailed mapping of the structures, including their orientations and true thickness, and to better understand their relationships with the underlying geology (see Figure 2). Sample results from the trenches that indicate these features, returned composite mineralized widths of up to 16 m of 321 g/t Ag Eq and 7.3 m at 542 g/t Ag Eq with both trenches internal to the mineralized boundary, suggesting the potential for significantly broader packages of bulk tonnage mineralization. The small size of the equipment and topographic limitations did not allow for longer trenches to test across the entire 250 m wide mineralized zone in 2018, but such sampling will be a priority in future programs.

Bella and other Surrounding Target Areas

In addition to the work on the Central Zone, exploration on the surrounding areas included the West McKay, Bella, Falls, Red, Independence, Snowdrift, Nash and White Hill targets. Work in these target areas focused on systematic soil grid sampling, along with rock sampling within the identified zones of interest. Results of the 2018 field program have revealed more than a dozen newly discovered vein structures in new areas for follow with seven rock samples returning greater than 500 g/t Ag equivalent values.

Analytical metal values from the 2018 assays provide encouraging results and select assays from all surface related sampling activities at the McKay Hill Project are presented in Table 2. Select sample results from these veins, highlighted in grey, show elevated silver, gold, copper, lead and zinc numbers. These veins returned promising results for initial sampling efforts on new discoveries.

Figure 1: Mineralized Zones, Rock Chip Samples and Soil Sample Locations from the 2018 Field Program

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/52f6c596-5692-4b5c-a70e-97fe84bef249

Table 1: Central Zone Target Area Highlight Rock Sample Assays from 2018 Field Program.
Most significant values are identified by *.

Silver Equivalent values assume Ag $16/oz, Pb $1.10/lb, Zn $1.25/lb, Au $1,250/oz, Cu $3.00/lb and 100% recovery

Table 2: 2018 Surface Sample Results from McKay Hill Project on Surrounding Target Areas.
Results of new vein discoveries are shaded in gray. Most significant values are identified by *.

Silver Equivalent values assume Ag $16/oz, Pb $1.10/lb, Zn $1.25/lb, Au $1,250/oz, Cu $3.00/lb and 100% recovery

Figure 2: Trench Assay Locations and Results from the Central Zone Target Area

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/6b65d3f0-08fa-44fc-8b41-e81eb01d0c0a

Table 3: Sample Results from 2018 Reconnaissance Survey of Outlying Target Areas.
Most significant values are identified by *.

Silver Equivalent (Ag Eq g/t) values assume Ag $16/oz, Pb $1.10/lb, Zn $1.25/lb, Au $1,250/oz, Cu $3.00/lb and 100% recovery.

Next Steps

While compilation and analysis of the new results is ongoing, the Company envisions the following next steps for the McKay Hill Project:

1. Continued reconnaissance and prospecting of the broader project area including the 42 new claims staked in 2018;
2. Continued mapping, soil sampling and trenching activities to extend the six identified target areas as well as to expand covered with new soil grids over additional targets and extensions of current open anomalies; and
3. Refinement of targets on the Central Zone mineralization for initial drill testing focused on the No. 6 Vein Corridor to assess the composite grades over the length and width of the kilometric scale corridor.

Upcoming News and Events, Including Sample Display at AMEBC Roundup

Metallic will be participating in the 2019 AMEBC Mineral Roundup Event in Vancouver. Investors are invited to view samples from the Keno Silver and McKay Hill projects at booth #1009 in the Exhibit Hall for the duration of the show, and will be at the PDAC convention in March in Toronto, among other upcoming shows.

The Company looks forward to releasing additional results from the Keno Silver Project in coming weeks.

About the McKay Hill Project

The 100% owned McKay Hill Project covers 44 km² within a belt of silver-lead-zinc related deposits that stretch from the Alaska border to the southern part of the Yukon and includes the famous Keno Hill Silver District, approximately 50 kilometers to the south. McKay Hill is a historic high-grade producer that shows potential to host a significant district scale vein system like Keno Hill, with at least 37 identified mineralized vein structures that have seen very limited modern exploration. Recent field work conducted by Metallic Minerals has confirmed high grades of silver, lead and zinc as well as significant associated gold and copper values. Targets include both high-grade structurally controlled mineralization as well as potential bulk tonnage mineralization.

All 2018 rock and soil samples collected on the property were processed at Bureau Veritas Mineral Laboratories in Vancouver British Columbia.

1 - Geological and Geochemical Evaluation Report on the McKay Hill Project, Jean Pautler, P.Geo. JP Exploration Services Inc., 2009

About Metallic Minerals Corp.

Metallic Minerals Corp. is a growth-stage exploration company focused on the acquisition and development of high-grade silver and gold in the Yukon within under-explored districts with potential to produce top-tier assets. Our objective is to create value through a disciplined, systematic approach to exploration, reducing investment risk and maximizing probability of long-term success. Our core Keno Silver Project is located in the historic Keno Hill Silver District of Canada's Yukon Territory, a region which has produced over 200 million ounces of silver and currently hosts one of the world’s highest-grade silver resources. The Company’s McKay Hill Project, northeast of Keno Hill, is a high-grade historic silver-gold producer. Metallic Minerals is also building a portfolio of gold royalties in the Klondike Gold District. Metallic Minerals is led by a team with a track record of discovery and exploration success, including large scale development, permitting and project financing.

About the Metallic Group of Companies

The Metallic Group is a collaboration of leading precious and base metals exploration companies, with a portfolio of large, brownfields assets in established mining districts adjacent to some of the industry’s highest-grade silver, platinum and palladium, and copper producers. Member companies include Metallic Minerals (TSX-V: MMG) in the Yukon’s Keno Hill Silver District, Group Ten Metals (TSX-V: PGE) in the Stillwater PGM-Ni-Cu district of Montana, and Granite Creek Copper (TSX-V: GCX.H) in the Yukon’s Carmacks copper district. Highly experienced management and technical teams at the Metallic Group have expertise across the spectrum of resource exploration and project development from initial discoveries to advanced development, including strong project finance and capital markets experience and have demonstrated a commitment to community engagement and environmental best practices. The founders and team members of the Metallic Group include highly successful explorationists formerly with some of the industry’s leading explorer/developers and major producers and are undertaking a systematic approach to exploration using new models and technologies to facilitate discoveries in these proven historic mining districts.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Website: www.metallic-minerals.com

Email: chris.ackerman@metallic-minerals.com
Phone: 604-629-7800

Toll Free: 1-888-570-4420

Quality Assurance / Quality Control

Analytical work in 2017 was done by Bureau Veritas Commodities Canada Ltd. with sample preparation in Whitehorse, Yukon and geochemical analysis in Vancouver, British Columbia. Each rock (grab) sample was analyzed for 36 elements using an Aqua Regia digestion with inductively coupled plasma-atomic emission spectroscopy (ICP-AES) and inductively coupled Plasma-mass spectrometry (ICP-MS) (AQ202). Samples with over limit silver and gold were re-analyzed using a 30-gram fire assay fusion with a gravimetric finish (FA530-Ag, Au). Over-limit lead and zinc samples were analyzed by multi-acid digestion and atomic absorption spectrometry (MA404) or titration (GC516, GC8917). All results have passed the QAQC screening by the lab.

Qualified Person

Scott Petsel, P.Geo, Vice President, Exploration and an employee of Metallic Minerals Corp., is a Qualified Person as defined by National Instrument 43-101. Mr. Petsel has reviewed the scientific and technical information in this news release and approves the disclosure contained herein. Mr. Petsel has reviewed the results of the sampling program and confirmed that all procedures, protocols and methodologies used in the drill program conform to industry standards.

Forward-Looking Statements

Forward Looking Statements: This news release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts including, without limitation, statements regarding potential mineralization, historic production, estimation of mineral resources, the realization of mineral resource estimates, interpretation of prior exploration and potential exploration results, the timing and success of exploration activities generally, the timing and results of future resource estimates, permitting time lines, metal prices and currency exchange rates, availability of capital, government regulation of exploration operations, environmental risks, reclamation, title, and future plans and objectives of the company are forward-looking statements that involve various risks and uncertainties. Although Metallic Minerals believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Forward-looking statements are based on a number of material factors and assumptions. Factors that could cause actual results to differ materially from those in forward-looking statements include failure to obtain necessary approvals, unsuccessful exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, risks associated with regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, uninsured risks, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the companies with securities regulators. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral exploration and development of mines is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. For more information on Metallic Minerals and the risks and challenges of their businesses, investors should review their annual filings that are available at www.sedar.com.

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