PGLD P2 Gold Inc

P2 Gold Inc. (“P2” or the “Company”) (TSX-V:PGLD) reports the completion of the February 2022 Updated Mineral Resource Estimate (“2022 MRE”) for its wholly-owned Gabbs Project located on the Walker-Lane Trend in Nevada. The 2022 MRE is the first update to the Mineral Resource estimate for Gabbs since the Company acquired the Project in 2021. Gold-equivalent Mineral Resources at Gabbs have been upgraded and increased significantly as a result of the 2021 drill program, metallurgical test work and increased understanding of the geologic controls on the gold-copper mineralization.

Highlights

Gold equivalent Pit Constrained Mineral Resources at Gabbs comprise:

• Indicated Mineral Resource of 1.12 million ounces of gold equivalent or 0.65 million ounces of gold and 266.7 million pounds of copper (43.4 million tonnes grading 0.47 g/t gold and 0.28% copper)
  • Including, Oxide Indicated Mineral Resource of 576,000 ounces of gold equivalent or 0.39 million ounces of gold and 127.9 million pounds of copper (20.1 million tonnes grading 0.61 g/t gold and 0.29% copper)
• Inferred Mineral Resource of 1.64 million ounces of gold equivalent or 0.88 million ounces of gold and 376.1 million pounds of copper (69.9 million tonnes grading 0.39 g/t gold and 0.24% copper)

Prior to the 2022 MRE, the Gabbs Project had an Inferred Mineral Resource (“2021 MRE”) of 1.84 million ounces of gold equivalent or 1.26 million ounces of gold and 422.3 million pounds of copper (73.1 million tonnes grading 0.54 g/t gold and 0.26% copper) (see P2 news release of February 23, 2021).

Gabbs Project February 2022 Mineral Resource Estimate

The 2022 MRE was prepared by P&E Mining Consultants Inc. (“P&E”), based on four diamond drill holes and 27 reverse circulation drill holes completed by the Company in 2021 and 494 drill holes completed by prior Gabbs Project operators between 1970 and 2011. A National Instrument 43-101 Technical Report will be prepared by P&E and posted on www.p2gold.com and the Company's profile on www.SEDAR.com within 45 days of the date of this news release.

Table 1: February 2022 Gabbs Project Pit Constrained Mineral Resource Estimate(1)(2)(3)(4)

MineralResourceClassification	Tonnes(M)	Gold Grade(g/t)	CopperGrade(%)	Gold(M oz)	Copper(M lbs)	Gold Eq. Grade(g/t)	Gold Eq.(M oz)
Indicated	43.4	0.47	0.28	0.65	266.7	0.81	1.12
Inferred	69.9	0.39	0.24	0.88	376.1	0.73	1.64

(1)	Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
(2)	The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.
(3)	The Mineral Resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Standards on Mineral Resources and Reserves, Definitions (2014) and Best Practices (2019) prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
(4)	The Mineral Resource Estimate was prepared for a potential open pit scenario using a constraining pit shell (with 50 degree slopes) at respective 0.35 g/t and 0.36 g/t oxide and sulphide gold equivalent cut-off grades. The gold equivalent cut-off grades were derived from US$1,675/oz gold, US$3.80/lb copper, US$2.14/tonne mining cost, and US$13.81 and $17.34/tonne respective oxide and sulphide processing costs; US$0.68/tonne G&A cost, 76% and 94% respective Au oxide and sulphide process recoveries; and 48% and 87% respective Cu oxide and sulphide process recoveries.

Oxide Mineral Resources at Gabbs now consist of Indicated Mineral Resources of 576,000 ounces of gold equivalent (20.1 million tonnes grading 0.61 g/t gold and 0.29% copper) and Inferred Mineral Resources of 260,000 ounces of gold equivalent (9.9 million tonnes grading 0.61 g/t gold and 0.19% copper). See Table 2 below for a breakdown of the oxide and sulphide Mineral Resources.

Table 2: February 2022 Gabbs Project Pit Constrained Mineral Resource Estimate by Rock Group(1)(2)

Rock Group	Tonnes(M)	Gold Grade(g/t)	Copper Grade(%)	Gold(M oz)	Copper(M lbs)	Gold Eq. Grade(g/t)	Gold Eq.(M oz)
OxideIndicated	20.1	0.61	0.29	0.39	127.9	0.89	0.58
OxideInferred	9.9	0.61	0.19	0.19	42.2	0.80	0.26
SulphideIndicated	23.3	0.34	0.27	0.26	138.8	0.73	0.55
SulphideInferred	60.1	0.35	0.25	0.68	333.8	0.72	1.38

(1)	See Notes 1 to 4 to Table 1 above.
(2)	Tables may differ and not sum due to rounding.

The majority of the increase in the 2022 MRE (from the 2021 MRE) occurred at the Sullivan Zone where the Company drilled 27 drill holes (four diamond drill holes and 23 reverse circulation drill holes) in 2021. The Inferred Mineral Resource at the Lucky Strike Zone also increased in the 2022 MRE, whereas the Inferred Mineral Resource changed nominally at Car Body and Gold Ledge. See Table 3 below for a breakdown of the Gabbs Mineral Resource by zone.

Table 3: February 2022 Gabbs Project Pit Constrained Mineral Resource Estimate by Zone(1)(2)

Zone	Tonnes(M)	Gold Grade(g/t)	Copper Grade(%)	Gold(M oz)	Copper(M lbs)	Gold Eq. Grade(g/t)	Gold Eq.(M oz)
SullivanIndicated	43.4	0.47	0.28	0.65	266.7	0.81	1.12
SullivanInferred	16.3	0.43	0.26	0.22	94.3	0.78	0.41
Lucky Strike Inferred	49.1	0.34	0.25	0.54	269.5	0.69	1.10
Car BodyInferred	2.4	1.26	-	0.10	-	1.26	0.10
Gold Ledge(3)Inferred	2.1	0.19	0.26	0**	12.2	0.51	0**

(1)	See Notes 1 to 4 to Table 1 above.
(2)	Tables may differ and not sum due to rounding.
(3)	Gold Ledge Inferred Mineral Resource rounded to zero**.

Gabbs Project February 2022 Updated Mineral Resource Key Parameters

A comparison of the key parameters of the 2022 MRE to the 2021 MRE is set out in Table 4 below. Of note, for the 2022 MRE, the oxide and sulphide cut-off grades increased to 0.35 g/t gold equivalent and 0.36 g/t gold equivalent, respectively, from 0.24 g/t gold equivalent and 0.30 g/t gold equivalent for the 2021 MRE. In addition, the 2022 MRE used gold and copper prices of US$1,675 per ounce gold and US$3.80 per pound copper, compared to the 2021 MRE which used US$1,600 per ounce gold and US$3.00 per pound copper.

Table 4: Comparison of Key Parameters of the 2022 MRE to the 2021 MRE

Parameter	February 2022		January 2021
Mining scenario	Open pit		Open pit
Constrained pit shell	50-degree slopes		50-degree slopes
Oxide cut-off grade	0.35 g/t gold eq.		0.24 g/t gold Eq
Sulphide cut-off grade	0.36 g/t gold eq.		0.30 g/t gold Eq
Gold price	US$1,675/ounce		US$1,600/ounce
Copper price	US$3.80/pound		US$3.00/pound
Gold recovery	76% Oxide	94% Sulphide	80% Oxide	80% Sulphide
Copper recovery	48% Oxide	87% Sulphide	0% Oxide	90% Sulphide
Mining costs	US$2.14/t		US$2/t
Processing costs	US$13.81/t Oxide	US$17.34/t Sulphide	US$8/t Oxide	US$12/t Sulphide
G&A costs	US$0.68/t		US$2/t

Metallurgical Test Results

The Company retained Kappes, Cassiday & Associates (KCA) in Reno, Nevada to carry out a Phase Two metallurgical program to determine the preferred extraction process for the Gabbs mineralization. Based on work completed to date, KCA is proposing that the oxide material be heap leached and gold recovered as a salable doré and cyanide soluble copper produced as a salable copper sulphide concentrate. For the sulphide material, KCA is proposing flotation to recover a salable copper concentrate with the flotation tails cyanide leached to recover additional gold as a salable doré and cyanide soluble copper as a copper sulphide concentrate.

Gold and copper recoveries used for the 2022 MRE were based on historical metallurgical testwork and recently completed metallurgical tests at KCA. For the oxide material, gold and copper recoveries were assumed to be 76% and 48%, respectively. For the sulphide material: (a) gold recovery to copper flotation concentrate was assumed to be 72% and gold recovery from rougher flotation tails was assumed to be 78.0% for a weighted gold recovery of 94%; and (b) copper recovery was assumed to be 79% to flotation concentrate and 7.6% from cyanide soluble copper precipitation for a weighted recovery 87%. Metallurgical testing by KCA is ongoing.

Quality Assurance

The 2022 MRE was prepared under the supervision of Eugene Puritch, P.Eng., FEC, CET of P&E Mining Consultants Inc. of Brampton, Ontario, who is an Independent Qualified Person (“QP”), as defined by National Instrument 43-101. Mr. Puritch has reviewed and approved the technical contents of this news release relating to the 2022 MRE and 2021 MRE.

Mr. Christopher L. Easton, MMSA QP, of Kappes, Cassiday & Associates is the Independent QP responsible for metallurgical testwork and has reviewed and approved the technical contents of this news release relating to metallurgical test work.

Ken McNaughton, M.A.Sc., P.Eng., Chief Exploration Officer, P2 Gold, is the Company Qualified Person, as defined by NI 43-101, responsible for the Gabbs Project. Mr. McNaughton has reviewed, verified and approved the technical information in this news release.

About P2 Gold Inc.

P2 Gold is a mineral exploration and development company focused on advancing precious metals and copper discoveries and acquisitions in the western United States and British Columbia.

For further information, please contact:

Joseph Ovsenek President & CEO(778) 731-1055P2 Gold Inc.Suite 1100, 355 Burrard StreetVancouver, BCV6C 2G8info@p2gold.com(SEDAR filings: P2 Gold Inc.)

Michelle RomeroExecutive Vice President(778) 731-1060

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

Forward Looking Information

This press release contains “forward-looking information” within the meaning of applicable securities laws that is intended to be covered by the safe harbours created by those laws. “Forward-looking information” includes statements that use forward-looking terminology such as “may”, “will”, “expect”, “anticipate”, “believe”, “continue”, “propose”, “potential” or the negative thereof or other variations thereof or comparable terminology. Such forward-looking information includes, without limitation, information with respect to the Company’s expectations, strategies and plans for the Gabbs Project including the Company’s planned expenditures and exploration activities and the estimation of mineral resources.

Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made. Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of the Company to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking information. See “Risk Factors” in the Company’s annual information form dated August 9, 2021 filed on SEDAR at www.sedar.com for a discussion of these risks.

The Company cautions that there can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, investors should not place undue reliance on forward-looking information.

Except as required by law, the Company does not assume any obligation to release publicly any revisions to forward-looking information contained in this press release to reflect events or circumstances after the date hereof.