Canagold Resources Ltd. announced high-grade gold assays for five more drill holes from the expanded drill program at its 100% owned New Polaris Gold project located in northwestern British Columbia, 100 kilometers (km) south of Atlin and 60 km northeast of Juneau, Alaska. The company recently received assay results for five more drill holes of the drill program that have returned significant intercepts of gold mineralization in the C West Main (“CWM”) vein. Two of the holes, 21-1700E1A and 21-1725E1, contained visible gold (“VG”).

These results are from a line of drill holes designed to reduce the drill hole spacing within isolated areas of inferred resource on the C-West Main deposit block model around the -300 m elevation level (See Drill Hole Location Map and 3D Model). Visible gold has been identified rarely in previous drilling and is most often observed in holes drilled in close proximity to the post-mineralization intrusive felsic dike located approximately 50 m west of hole 21-1700E1A where it cuts the CWM. That VG is now being observed up to 75 m away from the dike suggests the occurrence of VG is far more extensive than previously thought.

These results are in line with mineralized intervals from drill holes previously drilled in this vicinity of the deposit (See 3D Model) and further strengthens the confidence in the continuity and uniformity of grades and widths of the CWM vein system. All of the planned 47-holes of the originally proposed 24,000 m infill drill program were completed by the end of 2021 and assay results have been received for 22 holes. The samples collected from the mineralized zone in all of those holes have been submitted to the ALS Geochemistry lab in Whitehorse, YT for gold analysis.

The drilling program is continuing through the winter. Results from the remaining holes of the original infill program and those to be drilled in the extended program will be released every few weeks as they become available throughout the winter and spring. Infill Holes to Upgrade Inferred Resources to Indicated Resources: The current drill program is designed primarily to in-fill drill the Inferred Resources of the CWM vein system within the currently defined resources in the PEA.

The infill drill holes range in depth from 300 to 650 m and are designed to provide greater density of drill intercepts (20 – 25 m spacing) in areas of Inferred Resources between 150 and 600 m below surface. The improved drill density will be used to upgrade parts of the Inferred Resources to Indicated Resources for inclusion in a future feasibility study.