FenixOro Launches Drill Program at Abriaqui

TORONTO, Sept. 30, 2020 - FenixOro Gold Corp. (CSE:FENX, OTCQB:FDVXF, Frankfurt: 8FD) is pleased to detail the objectives of its maiden diamond drilling program at Abriaqui. The Phase 1 program, initiated on September 26, will include 4500 of the budgeted and fully funded 6000 meters of the initial program. Objectives of the program are a first phase test of the sequence of mesothermal veins and geophysical anomalies in the northwestern part of the project area. As part of its ongoing local community initiative a geotechnical program utilizing the same drill holes will determine rock quality for a road upgrade in cooperation with the Municipality of Abriaqui.

VP Exploration Stuart Moller noted “We are very pleased to pass this most significant milestone in Company history and enter an exciting phase for our investors and stakeholders. The work completed to date has generated a significant suite of anomalies and multiple new targets throughout both the northwest and southeastern areas of the project. We expect that these targets will keep our exploration team occupied well beyond this first phase of drilling and subject to lab turnaround we anticipate having the first drill results available in the coming weeks.”

FenixOro CEO John Carlesso added: “The start of drilling represents the culmination of an incredible effort by our entire team, and particularly our Colombian management group. We have navigated the permitting process, completed a tremendously successful preliminary exploration program and are now commencing the drilling phase, all in the midst of a global pandemic. I am extremely proud of the professionalism and excellence our group has demonstrated in a very challenging time.”

Vein targets: The Abriaqui Project is located on one of the most prolific belts for the discovery of new gold deposits in the past ten years. The principal objective of the drilling is to test several families of “Buritica style” sub-vertical, high grade, mesothermal gold veins present in northwest and east-west trending corridors up to 400 meters wide and 1200 meters long. As reported in previous press releases, many of the 80+ known veins grade over 20 g/t gold over a vertical outcrop interval of more than 800 meters. Consistency in metal ratios and mineralogy, along with the lack of vertical zonation in gold grade over this thick vertical interval is typical of mesothermal veins and strengthens the conclusion that drilling will provide similar gold grades at depth. While veins are spaced meters to tens of meters apart, between the veins there is lower grade stockwork type mineralization present in several areas of surface and underground exposure. This mineralization style is reminiscent of the “Broad Mineral Zones” at the neighboring 11+ million ounce Buritica deposit (Continental Gold Press Releases February 12, 21, and March 1, 2019). As previously reported Stuart Moller led the discovery team at Buritica and drilled the first 270 holes.

Potential porphyry target: An additional important target to be drill tested is a large magnetic anomaly which has been modelled as continuous from surface to a depth of 700 meters, having an area of one square kilometer (see Press Release dated August 27, 2020). Small outcrops of magnetic potassic alteration with veinlets carrying up to 1.1 g/t gold found in an up-thrown fault block on the north edge of this anomaly may be indications that the magnetic body is a buried mineralized porphyry system.

Many new targets generated by soil sampling: The targets to be drill tested have been defined by surface and underground mapping and sampling, ground magnetics, and soil sampling in areas of dense vegetation and soil cover. As seen in Figure 1, soil samples taken over areas of known vein mineralization give significant anomalies of 100 - 1000+ ppb gold. Numerous areas between known veins give soil anomalies of similar magnitude suggesting the possibility that there is potential for the discovery of additional veins and/or stockwork mineralization in close proximity to the known vein families. In the main vein area, the +100 ppb gold contour shown in Figure 1 encloses an area of 600 x 800 meters.

Program objectives: The program priorities are to test the depth extension of high gold grades in the principal vein families, to test as many of the veins as possible in broadly spaced drilling to a depth of 250-300 meters below surface, to test areas of intersection of NW and EW trending vein corridors, to test for lower grade interstitial mineralization, and to test the magnetic anomaly for possible porphyry style mineralization. The first ten holes are planned from four platforms at an average depth of 450 meters. These will be angled at 45-60 degrees from the horizontal in order to drill across the vein corridors with each hole intersecting multiple veins and any interstitial stockwork mineralization. As shown in Figure 1 and Table 1, more than 40 of the 80+ known veins will be tested in Phase 1 along with several of the largest soil anomalies. Hole D1 will test the magnetic anomaly along with the high grade Romperopa vein system. Five of the planned holes will be angled under the trace of the existing dirt road along the valley floor where the Municipality of Abriaqui is planning a road upgrade. As part of its ongoing community initative, FenixOro will provide geotechnical logging to help determine rock quality at its own cost in a cooperative program with local government.

Additional discoveries of new targets in the southeast area of the project: The southeast area of the project is relatively more remote with slightly more challenging access, however it holds numerous targets with over 30 historical small mines working 20 known veins. The sampling program has delineated numerous unexplained soil gold anomalies and ground magnetometry has identified two unexplained magnetic anomalies that appear very similar to the large porphyry target in the northwest area of the project.

A figure accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/1212be26-afc1-4b1f-b68d-0c55b0b95f74

About FenixOro Gold Corp.

FenixOro Gold Corp. is a Canadian company focused on acquiring gold projects with world class exploration potential in the most prolific gold producing regions of Colombia. FenixOro’s flagship property, the Abriaqui project, is located 15 km west of Continental Gold’s Buritica project in Antioquia State at the northern end of the Mid-Cauca gold belt, a geological trend which has seen multiple large gold discoveries in the past 10 years including Buritica and Anglo Gold’s Nuevo Chaquiro and La Colosa. As documented in “NI 43-101 Technical Report on the Abriaqui project Antioquia State, Colombia” (December 5, 2019), the geological characteristics of Abriaqui and Buritica are very similar. The report also documents the high gold grade at Abriaqui with samples taken from 20 of the veins assaying greater than 20 g/t gold. Abriaqui has not yet been drilled but surface and underground geological mapping and sampling as well as a preliminary magnetometry survey have been completed.

FenixOro’s VP of Exploration, Stuart Moller, led the discovery team at Buritica for Continental Gold in 2007-2011. The Buritica Mine currently contains measured plus indicated resources of 5.32 million ounces of gold (16.02 Mt grading 10.32 g/t) plus a 6.02 million ounce inferred resource (21.87 Mt grading 8.56 g/t) for a total of 11.34 million ounces of gold resources. Buritica is scheduled to commence production in 2020 with annual average production of 250,000 ounces at an all-in sustaining cost of approximately US$600 per ounce. Resources, cost and production data are taken from Continental Gold’s “NI 43-101 Buritica Mineral Resource 2019-01, Antioquia, Colombia, 18 March, 2019”). Continental Gold was recently the subject of a takeover by Zijin Mining in an all-cash transaction valued at C$1.4 billion.

FenixOro Gold Corp.
350 Bay St. Suite 700
Toronto, ON
Telephone: 1-833-ORO-GOLD
Email: info@FenixOro.com
Website: www.FenixOro.com

Technical Information

The comparison between Abriaqui and the nearby Buritica project is meant only to indicate the similarities between the two in terms of geological setting. FenixOro does not imply that exploration results and/or economic characteristics of a potential future mine at Abriaqui will be similar to those seen at Buritica. The sampling done at Abriaqui is in the form of rock chip and channel samples on surface and in shallow underground workings on vein exposures. The samples were prepared and analyzed at ALS laboratories in Medellin and Lima respectively. Samples were taken, prepared, shipped and analyzed following, industry standard QA/QC protocols and were submitted with certified reference standards.

Stuart A Moller, P. Geol. (British Colombia) Vice President of Exploration of FenixOro and a Qualified Person for the purposes of National Instrument 43-101, has reviewed and approved the technical information contained within this press release. Mr, Moller is a geologist with over 40 years of experience in world-wide mineral exploration including 10 years in Colombia.

Cautionary Statement on Forward-Looking Information

This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of FenixOro's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "will", "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved". The forward-looking information and forward-looking statements contained herein include, but are not limited to information concerning the Abriaqui. Although FenixOro believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. In particular, there is no guarantee that Abriaqui will be drilled or produce viable quantities of minerals, that the Company will pursue Abriaqui or that any mineral deposits will be found.. The forward-looking information and forward-looking statements contained in this news release are made as of the date of this press release, and FenixOro does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.

Neither the Canadian Securities Exchange nor its Market Regulator (as defined in the policies of the Canadian Securities Exchange) accept responsibility for the adequacy or accuracy of this release.