An Update on Our Progress

From Mark Trevisiol, President, CEO and Chair of the Board

“We are pleased to share this update. This year, McFarlane Lake has had significant achievements: becoming listed on the NEO exchange, acquiring several key properties, completing a successful exploration program on our West Hawk Lake property where we extended gold mineralization at depth
and along strike, and most recently, being listed in the United States through the OTC Markets.”  

Drilling at West Hawk Lake

3,000 metres of drilling over 14 holes completed at West Hawk Lake in March 2022 extends gold mineralization along strike and depth.

Drilling at our West Hawk Lake property near the Ontario-Manitoba border commenced in February with a program of 3000 metres
over 14 holes. The program’s goal was to verify past reported gold mineralization and follow up on geophysical targets. The drilling was complete
in March, and we received the assay results in May. The highlights include:

·       Showed the existence of high-grade gold mineralization 100 metres below historical gold mineralization at the Waverly Raise Zone on the property;

·       Demonstrated the potential at the Waverly Zone for a gold zone with a mineralized strike length of 200 metres and down to over 200 metres remaining open at depth;

·       Successfully intersected gold at the Sunbeam Breccia below known gold mineralization; and

·       Identified strong geological structures extending beyond the previously explored areas

·       Assay result highlights include:

      MLWH-22-08 intersected two zones, 40g/t over 0.64m and 8.62g/t over 1.00m.

        MLWH-22-05 intersected two zones,81g/t gold over 4.00m and 7.85g/t gold over 2.00m including 11.30g/t gold over 1.00m.

We will use the continuity in gold mineralization we’ve discovered to plan future drilling at West Hawk Lake to meet our goal of developing a compliant gold resource.

Figure 1: Drill Intersections at West Hawk Lake Project – Plan View

High Lake

Our next exploration target is expected to be our High Lake property near Kenora in Ontario and close to West Hawk Lake. High Lake was last explored in 1988 and recorded a historical resource of 457,00 tonnes at 9.8 g/t gold. Note that this estimate is not NI 43-101 compliant and should not be compared to current methodologies of mineral estimation. Of particular interest at High Lake is the Purdex Zone which has only been tested to 100 metres, and we believe it has significant potential to explore at depth.

We are currently in discussions with First Nations groups to get permission to start exploration at High Lake.

Acquiring Leases in Michaud and Munro Township

In line with our strategy to explore opportunities with properties that have historic mineralization, in May, we acquired a 100% interest in mining leases in the Michaud and Munro townships on the Larder Lake Mining District near Matheson, Ontario.

We were attracted to these properties because they are located along the Timmins Highway 101 corridor. This region has a production
history and is host to six operating gold mines. Michaud and Munro have been family-held for over 50 years and have seen limited work, with the most recent
drilling completed in 1995. The Michaud property has two well-known fault systems to its north and south, and the Munro property is part of the prolific
Kidd-Munro assemblage within the Abitibi Greenstone Belt. We plan to develop an exploration plan for Michaud and Munro later this year.