QMX QMX Gold Corporation

QMX Gold Corporation (“QMX” or the “Company”) (TSX:V:QMX) is pleased to report the filing on SEDAR of a technical report titled "Mineral Resource Estimate Update For the Bonnefond South Intrusive Project" (the “Technical Report"). The Technical Report effective date is October 31, 2020. The Bonnefond South property is located approximately 25 km to the east of Val d'Or, Quebec (Figure 1) and was completed by BBA Inc. in accordance with National Instrument 43-101 standards and rules. The report was prepared by Mr. Pierre-Luc Richard, P.Geo.; Mrs. Charlotte Athurion, P.Geo. and Mr. Jeffrey Cassoff, P.Ing. from BBA Inc., all are "Qualified Persons" as defined by NI 43-101.

Highlights from the report include:

• An overall increase of 53% of the resources in the indicated category
• An overall increase of 100% of the resources in the inferred category
• A first underground resource of 140,600 oz @ 4.52 g/t Au, demonstrating the underground potential of the project – opening up a target zone between 350m and 1,000m depth
• A new geological model with stronger control of the mineralized envelopes

“We are extremely pleased to have completed another chapter in the success of the Bonnefond deposit,” comments Brad Humphrey, Chief Executive Officer of QMX. “The Technical Report demonstrates the open pit and underground potential of this very robust resource model. The rapid increase in ounces over a very short period of time, is both a testament to our strong team and the quality of our property.”

The report is available on SEDAR (https://www.sedar.com) and QMX website (www.qmxgold.ca). The report supports the interim update of its mineral resource estimate announced by the Company on December 2, 2020 (News release, December 2, 2020).

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/5e46bf21-3019-46c9-8653-74bb4ed7017b

Notes to Table 1:

1. The independent qualified persons for the Technical Report, as defined by NI 43-101 guidelines, are Charlotte Athurion, P,Geo., and Pierre-Luc Richard, P. Geo., both of BBA Inc. The effective date of the estimate is October 31, 2020.
2. These mineral resources are not mineral reserves as they have not demonstrated economic viability. The quantity and grade of reported inferred resources in mineral resource estimate in the Technical Report (the “MRE”) are uncertain in nature and there has been insufficient exploration to define these inferred and indicated resources as measured; however, it is reasonably expected that the majority of inferred mineral resources could be upgraded to Indicated mineral resources with continued exploration.
3. The cut-off grade used for the  MRE was 0.60 g/t Au for the open pit material, 2.70 g/t for the underground material inside the V2 unit (where the mineralized orebody has a dip greater than 40°) and 3.4 g/t for the underground material outside the V2 unit (where the mineralized ore body has a dip lower than 40°). The cut-off grade was calculated using the following parameters (amongst others): Gold price = USD $1,450, CAD: vs. USD exchange rate = 1.32, Mining cost = $110-150/t for underground and $3.50/t for open-pit, Processing cost = $26.50/t processed, G&A = $4.00/t processed for open-pit and $15.00/t for underground, Transportation cost = $5.00/t processed. The cut-off grade will be re-evaluated in light of future prevailing market conditions and costs.  All costs are represented in Canadian dollars unless otherwise stated.
4. Resources are presented as undiluted and in situ for an open-pit and underground scenario and are considered to have reasonable prospects for economic extraction. The open‑pit resources are constrained within a pit shell that was developed via a pit optimization analysis using Hexagon’s MinePlan 3D software version 15.70. The pit optimization analysis was carried out using overall pit slopes of 50° in rock and 26.5° in overburden. A mining dilution of 5% and a mining recovery of 95% were considered. The pit shell that was selected for the  MRE was the one that was run at a Revenue Factor (RF) equal to 1.2. Other parameters are the same as those that were used for the cut-off grade (see above). The open‑pit has a stripping ratio of 8.5 to 1.
5. In order to determine the quantity of mineralization that shows a “reasonable prospect for eventual economic extraction” using underground mining methods, a series of clipping boundaries were created manually in longitudinal and 3D views to isolate potential mineable volume of blocks above the cut-off grades. When blocks below the cut-off grades were contained inside those volumes, they were included in the MRE as internal dilution material. Isolated blocks or groups of blocks with not enough continuity to be considered as minable shapes were then removed from the mineral resource estimate.
6. The MRE  was prepared using Geovia® GEMS 6.8.3 and is based on 266 surface drillholes, of which 181 intercepted the block model limits, with a total of 30,639 assays. The resource database was validated before proceeding to the resource estimation. Grade model resource estimation was calculated from drillhole data using an OK interpolation method in a block model using blocks measuring 5m x 5m x 5m in size. The cut-off date for drillhole assays was October 15, 2020.
7. The model comprises 16 mineralized shear zones (which have a minimum thickness of 3m), and two mineralized units (Tonalite and Diorite), each defined by individual wireframes.
8. High-grade capping was done on the composited assay data and established on a per unit basis. Capping grades used are 1.5 g/t Au for the Diorite unit, 6 g/t Au for the Tonalite unit, and ranging from 2 g/t Au to 35 g/t Au for the shear zones. A value of zero grade was applied in cases of core not assayed.
9. Fixed density values were established on a per unit and per mineralization type basis, corresponding to the median of the SG data of each unit ranging from 2.67 to 2.84. A fixed density of 2.00 g/cm3 was assigned to the overburden.
10. The MRE presented herein is categorized as an inferred and indicated resource. The inferred mineral resource category is defined for blocks that are informed by a minimum of two drillholes where drill spacing is less than 100m. Indicated mineral resources were defined for the mineralization contained in the constraining pit shell only where blocks have been informed by a minimum of three drillholes and where drill hole spacing is less than 50m. No indicated resource was defined for the underground resources. Where needed, some material has been either upgraded or downgraded to avoid isolated blocks.
11. The number of metric tons (tonnes) was rounded to the nearest thousand.
12. CIM definitions and guidelines for MRE have been followed.
13. The authors are not aware of any known environmental, permitting, legal, title-related, taxation, socio-political or marketing issues, or any other relevant issues not reported in this Technical Report that could materially affect the MRE.

The Bonnefond deposit comprises an intrusive body and series of shear zones transecting the intrusive. The intrusive body has an elliptical shape on plan view, measuring approximately 250m by 95m and dipping at 70° to the north-east. The northern part of the intrusion is tonalitic body of 250m by 60m while the southern part of the intrusive is more dioritic in its mineral composition. The gold values are associated with free visible gold and disseminated pyrite mineralization; tension and shear quartz-tourmaline veins and stockwork.

From a structural geology point of view, the Bonnefond deposit is characterized by an east-west shear system transitioning from less competent ductile volcanic facies to more competent facies within the intrusive. A series of mineralized shear zones dipping at 45° to the north transects the intrusive body being shallow on the southern side and deeper on the northern side of the intrusive. They extend through the dioritic part of the Bonnefond intrusive and display shallower dips inside the intrusive. As the tonalitic part of the intrusion is more competent, it suggests that it cracked under the pressure during the active structural phases, creating large flat enriched areas with abundant quartz tourmaline veins and veinlets and intense alteration.

QMX started drilling on the Bonnefond intrusive in 2017 and realized its first major drilling program on the project in 2018. An initial open pit constrained resource was released in 2019 (News release, July 30, 2019).

In order to build the 2020 MRE update, QMX conducted 27,000m of drilling to the Bonnefond deposit. 7,700m of drilling was dedicated to definition drilling to convert resources in the Inferred category to the Indicated category in the open-pit and 19,300m to explore under the 2019 conceptual open pit.

The successful drilling campaigns allowed QMX to substantially improve the geological and structural model of the deposit, particularly within the tonalite. The tighter drilling pattern allowed for a better definition of the mineralized envelope in the intrusive. Also, it was established that the shear zone extends through the tonalite, creating large shallow dipping mineralized envelopes within the intrusive (Figure 3). This better control of the mineralization inside the intrusive allowed the definition of continuous zones with higher grades. The extensive exploration drilling successfully demonstrated the presence of mineralization in several parts of the shear zones in the volcanic lithologies south of the intrusive, opening up a substantial target zone between 350m and 1,000m at depth.

This winter, QMX plans to drill approximately 8,000m to explore the Bonnefond intrusive further at depth with the objective of expanding the current underground resource. In parallel, QMX is conducting a broader 8,000m exploration program testing prospective targets to the east of the Bonnefond deposit.

Previous drilling at Bonnefond intersected 6.48 g/t Au over 73.2m, and 35.56g/t Au over 4.0m at 1,050m in DDH 17215-20-121 (News Release, August 18, 2020) and intersected 185.0m of 2.16 g/t Au in-pit and 11.2m of 10.88 g/t Au at depth in DDH 17315-20-149 (News Release, January 5, 2021).

Photos accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/7cd30392-bd29-41d4-ae3a-630cb9eb54e0

https://www.globenewswire.com/NewsRoom/AttachmentNg/239a7245-866e-4402-8487-e4a963a8bdd7

https://www.globenewswire.com/NewsRoom/AttachmentNg/3aa93ef0-edf8-4b74-a692-a6a85f546bbd

Quality Control

During the drilling program, assay samples were taken from the NQ core and sawed in half. One half is sent to Swaslab Ltd., a certified commercial laboratory. The other half of the core is retained for future reference. A strict quality assurance and quality control program was applied to all samples, which included insertion of mineralized standards, blank samples and duplicates inside each batch of 20 samples. The gold analyses were completed by fire-assay with an atomic absorption finish on 50 grams of material. Repeats were carried out by fire-assay with a gravimetric finish on each sample containing 5.0 g/t Au or more. The gold analyses were undertaken by fire-assay on 50 grams of pulp with an atomic absorption finish. Repeats were carried out by fire-assay with a gravimetric finish on each sample containing 5.0 g/t Au or more. 

Qualified Persons

The scientific and technical content of this press release has been reviewed, prepared and approved by Mélanie Pichon, P.Geo, M.Sc, Exploration Manager, who is a "Qualified Person" as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101").

About QMX Gold Corporation

QMX Gold Corporation is a Canadian based resource company traded on the TSX Venture Exchange under the symbol “QMX”. The Company is systematically exploring its extensive property position in the Val d’Or mining camp in the Abitibi District of Quebec. QMX is currently drilling in the Val d’Or East portion of its land package focused on the Bonnefond Deposit and in the Bourlamaque Batholith. In addition to its extensive land package QMX owns the strategically located Aurbel gold mill and tailings facility.

Contact Information:
Brad Humphrey	Sandy Noyes	Louis Baribeau
President and CEO	Investor Relations	Public Relations
	& Communications	Tel: (514) 667-2304
	snoyes@qmxgold.ca

Toll free: +1 877-717-3027

Email: info@qmxgold.ca

Website: www.qmxgold.ca

Cautionary Note Regarding Forward-Looking Information:                            

This press release contains or may be deemed to contain “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding the Technical Report, the MRE, future plans, operations and activities, planned drilling programs, projected mineralization, timing of assay results, and the ability of the Company to continue as a going concern. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “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 state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company, its properties and/or its projects to be materially different from those expressed or implied by such forward-looking information, including but not limited to those risks described in the disclosure documents of the Company filed under the Company’s profile on SEDAR. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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