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Barkerville Gold Files PEA

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Barkerville Gold will have an after-tax internal rate of return of 28%, an net present value of $310 million and capital cost of $235 million, said the company today in a news release.

The company said average annual production for the centrally-located British Columbia mine is set at 185,000 ounces.

The full PEA will be released in about 45 days.

Chris Lodder, President and CEO commented:

"The PEA envisions mining up to 4,000 tonne per day ("tpd") utilizing a long hole mining approach, focused on extracting large panels with minimum widths of 3.7 metres and minimum height of 30 metres," said Lodder.

"A key outcome of our extensive mining and processing test work is the ability to produce a high-quality concentrate averaging 20.5 Au g/t at the mine site and continued use of our upgraded Quesnel River Mill for final processing.

"This, along with optimization of the mining method allows us to include lower grade resources in the mine plan. In summary the PEA outlines a solid base-case for significant and profitable gold production with low capital costs in an extensive brownfields district with superb production expansion potential.

"BGM's vision of building a long life, high economic margin, low environmental impact mine in one of Canada's great historic mining camps is now entering the permitting and advanced engineering stage."

Barkerville Gold said the study was prepared by BBA Inc. under the supervision of Osisko Group's Project Manager Ms. Kim-Quyên Nguyên, P. Eng., MBA, and the Osisko Group technical team.

Barkerville's Cariboo Gold Mine site is located near Wells, BC, 83 km east of Quesnel, British Columbia.

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