SOURCE: TMAC Resources Inc.

TMAC Resources Inc.

February 25, 2016 15:10 ET

TMAC Provides Summary of Exploration and Drilling Results at Hope Bay Project for 2015

TORONTO, ON--(Marketwired - February 25, 2016) - TMAC Resources Inc. (TSX: TMR) ("TMAC" or the "Company") is pleased to provide a summary of the exploration results derived from TMAC's exploration program for 2015.

Dr. Catharine Farrow, Chief Executive Officer of TMAC, stated, "We are pleased with the results of our drilling programs conducted in 2015 as they confirmed geological and grade continuity at Doris North, and provide TMAC with further confidence in the understanding of the orebody. We continue to de-risk the Hope Bay Project as we develop stopes and ramp up mine production at Doris in advance of the shipping, assembly and commissioning of the Processing Plant late in 2016. We also are encouraged by the potential to add mineral resources and ultimately mine life to Doris."

The primary objective of the 2015 exploration and evaluation budget was to support the advancement of Hope Bay through continued geological modelling, diamond drilling and metallurgical test work and resource definition at both Doris and Madrid.

The 2015 diamond drilling program was focused on three main areas: the Doris North zone; the Madrid North Naartok zone; and, the Madrid North Suluk zone. The drilling on Doris North zone concentrated on infill drilling within the Indicated Mineral Resources to facilitate detailed mine planning and stope design. In addition to infill drilling, four exploration holes were completed targeting the Doris North Extension, north of the current mine plan and beneath the diabase dyke. Drilling in the spring of 2015 from ice platforms focused on infill drilling on the Madrid North Suluk zone following up on high grade intersections within the Inferred Mineral Resources, and infill drilling within the Indicated Mineral Resources to continue to refine the geological model and provide material for metallurgical testwork. Drilling from land based platforms in the second half of 2015 focused on infill drilling within the Indicated and Inferred Mineral Resource of the Madrid North Naartok zone, and also followed up on high grade, near surface intersections not currently accounted for in the Madrid Mineral Resource base.

A total of 33,153 metres were drilled in 2015. Diamond drilling programs in the Madrid North area were stopped earlier than anticipated due to inclement weather early in the fourth quarter which resulted in reduced helicopter support availability. The reduction in drilling in the Madrid North area is not on the critical path timeline for the development of mines at Hope Bay.

An approximately 4,800 metre underground drilling program had been scheduled for the fourth quarter of 2015. This drilling was to be focused on infill drilling within the Doris North Indicated Mineral Resources to facilitated detailed mine planning and stope design. The underground drilling was deferred to 2016 to prepare the drilling platforms including development of a 300-metre-long exploration drift extending west from the 4932 level. TMAC now plans to complete 6,000 metres of underground drilling after the exploration drift is completed in March with drilling scheduled to commence late in the first quarter of 2016.

For information related to the Hope Bay Project mineral resources and mineral reserves refer to the technical report for the Hope Bay Project dated May 28, 2015 entitled "Technical Report On The Hope Bay Project, Nunavut, Canada", which has an effective date of March 31, 2015 (the "Hope Bay Technical Report"), as filed on TMAC's profile at www.sedar.com

Doris Deposit

The Doris North Extension is interpreted as the fault offset continuation of the Doris North zone hinge structure beneath the diabase dyke (see Figure 1). Four holes were completed in this zone in 2015 (see Table 1). The holes intersected quartz veins with high grade gold mineralization and confirmed that Doris North mineralization continues to the north below the dyke (see Figures 1 and 2). In addition to the hinge structure below the dyke, an offsetting fault also forms a break where the Doris North east and west limb mineralization continues to the south (Figure 2). Both these areas have the potential to add significant ounces of gold to the Doris Mineral Resource base. Significant east limb mineralization, demonstrating the potential below the diabase dyke in this area, includes historical hole 95TDD065 which intersected 16.5 g/t of gold over 6.7 metres.

Table 1: Doris Deposit - North Extension Zone 2015 diamond drilling results.

Doris - North Extension Zone
BHID Inclusion FROM TO LENGTH(m)* Au g/t
TM00303   393.56 395.40 1.84 153.89
TM00314   371.00 372.35 1.35 7.74
TM00321   379.50 380.90 1.40 10.85
TM00324   419.33 422.00 2.67 32.67

*Down-hole thickness; true width varies depending on dip of the drill hole. Drill holes were designed to intersect quartz veins at as close to a perpendicular orientation as possible therefore true widths are approximately 55% to 75% of down hole widths.

Drilling in 2015 on the Doris North zone occurred in two areas: and 1) within the southern portion of the Doris North zone within the Indicated Mineral Resource to assess grade continuity within the wider spaced drilling and to assist detailed planning and stope design, and 2) on the northern extent of the Doris North zone, above the diabase dyke, (see Figure 3). Drilling within the southern segment of the Doris North zone within the Indicated resources were generally positive, and the 2015 drilling confirms the mine plan in this area. It is likely that additional stopes will be defined between currently planned stopes where drilling was either too widely spaced or a single lower grade hole may have been over influencing the resource. The drilling was also successful in refining the gold grade continuity and distribution within the quartz veins. A number of short drillholes were also completed on the northern extent of the Doris North zone above the diabase dyke to define local faults and facilitate detailed mine planning in the area. Table 2 is a summary the results of the 2015 diamond drilling on the Doris North zone with drillhole locations illustrated in Figures 4 and 5.

Table 2: Doris Deposit - North Zone 2015 diamond drilling results.

Doris - North Zone
BHID Inclusion FROM TO LENGTH (m)* Au g/t
TM00255   56.51 61.17 4.66 7.50
  Including 56.51 57.41 0.90 26.10
    64.58 66.98 2.40 17.94
TM00257   49.41 53.54 4.13 63.75
  and 70.59 73.84 3.25 64.74
TM00259   51.08 55.04 3.96 18.42
  and 59.32 74.21 14.89 23.95
  and 78.74 82.77 4.03 24.19
TM00261   48.23 54.57 6.34 17.47
  and 68.68 74.47 5.79 166.86
TM00264     No Significant Assays
TM00266   66.58 71.33 4.75 3.42
  and 80.08 82.04 1.96 21.72
TM00267   69.07 72.61 3.54 11.18
  and 88.95 90.45 1.50 18.08
TM00269     No Significant Assays
TM00270   69.63 74.06 4.43 71.23
  Including 71.85 74.06 2.21 139.40
    78.00 79.33 1.33 121.08
TM00272     No Significant Assays
TM00273   83.05 84.83 1.78 77.11
TM00274     No Significant Assays
TM00276   4.40 7.00 2.60 15.48
  and 53.90 55.97 2.07 21.87
TM00280   66.90 67.50 0.60 5.32
TM00281   89.00 91.37 2.37 12.12
TM00284   28.34 29.48 1.14 22.80
  and 110.60 113.00 2.40 7.58
TM00285   33.00 34.98 1.98 5.43
TM00287   34.00 34.80 0.80 210.00
TM00288   13.00 13.82 0.82 11.75
  and 51.78 53.14 1.36 4.56
TM00290   38.00 42.50 4.50 11.38
TM00291     No Significant Assays
TM00292   88.50 89.00 0.50 24.60
TM00294   126.20 126.75 0.55 8.66
  and 140.33 140.89 0.56 16.80
TM00295     No Significant Assays
TM00296     No Significant Assays
TM00298   13.23 13.72 0.49 18.25
  and 73.04 74.00 0.96 91.70
TM00299   8.00 11.75 3.75 5.94
TM00301   14.69 15.56 0.87 19.80
  and 93.10 94.00 0.90 9.58
  and 96.00 96.90 0.90 38.20
  and 123.41 124.47 1.06 20.79
TM00302   15.48 17.00 1.52 163.08
  and 75.00 76.00 1.00 7.70
TM00304   120.33 120.74 0.41 12.15
TM00305   21.20 23.68 2.48 18.27
TM00306   40.42 41.18 0.76 6.03
TM00307     No Significant Assays
TM00308   45.00 45.53 0.53 58.30
TM00310   65.00 67.20 2.20 10.63
TM00311   43.20 45.12 1.92 24.19
TM00312   94.60 96.85 2.25 3.08
TM00313   122.00 124.90 2.90 2.68
TM00315     No Significant Assays
TM00316   35.70 36.65 0.95 14.72
  and 63.90 65.00 1.10 8.10
TM00317   53.00 56.00 3.00 7.89
TM00319   45.50 46.50 1.00 23.00
  and 100.00 100.80 0.80 7.67
TM00320   77.00 77.90 0.90 18.35
  and 100.50 101.60 1.10 12.85
TM00322     No Significant Assays
TM00325     No Significant Assays
TM00326   110.00 112.15 2.15 13.38

*Down-hole thickness; true width varies depending on dip of the drill hole. Drill holes were designed to intersect quartz veins at as close to a perpendicular orientation as possible therefore true widths are approximately 55% to 75% of down hole widths.

TMAC continues to develop and implement production geology processes including, mapping, sampling and grade management. As at the end of December, four levels are active in ore within the Doris North Zone. The 4977, 4966, 4946 and 4932 accesses have crossed the west and east limbs and are continuing to drive north and south on the east limb mineralization. Results of underground mapping and chip sample assays received to date are encouraging (Figure 6). Chip sample assay results have not been reconciled to production and may not be indicative of actual grade due to the coarse nature of the gold mineralization and chip sampling methodology; however, chip sample results and geological mapping do indicate continuity of host rock lithology and consistency of gold grade above economic cut-off grade. The East limb vein continues to demonstrate good geological continuity and sample assays are high grade, consistent with the resource model in this area.

Madrid North Deposit

Drilling from ice platforms in the first and second quarters of 2015 targeted the Madrid North Suluk and Suluk South zones both of which are within the current Indicated and Inferred Mineral Resources (see Figure 7). Drilling within the current Indicated Mineral Resource provided information to refine the geological model and material for metallurgical testwork (see Figure 8). Drilling below the Indicated Mineral Resource was designed to follow-up on historical drillhole 03PMD22 that had intersected 26.5 metres grading 16.4 g/t of gold. TMAC drilling in 2015 intersected similar high grade material as demonstrated in drillhole TM00216, grading 15.5 g/t of gold over 7.0 metres; however, drill intersection widths are thinner, confirming that 03PMD22 intersected the mineralized zone at an oblique angle exaggerating the true width of the mineralization. A total of 7,365 m in 18 drillholes targeted the Suluk and Suluk South zones in 2015 (Figure 8 and Figure 9). Table 3 summaries the results of the Madrid North Suluk zone drilling completed during the 2015 exploration program.

Table 3: Madrid North - Suluk Zone 2015 diamond drilling results.

Madrid - Suluk Zone
BHID Inclusion FROM TO LENGTH(m)* Au g/t
TM00210   402.85 410.25 7.40 6.66
  including 402.85 406.15 3.30 9.50
TM00211   84.58 93.78 9.20 10.13
  including 84.58 87.50 2.92 16.30
  and 92.20 93.78 1.58 20.28
    123.51 125.00 1.49 29.80
    151.54 155.00 3.46 9.34
TM00212   138.65 139.70 1.05 7.63
    167.29 168.59 1.30 5.68
TM00213   419.00 427.20 8.20 6.81
  including 421.24 423.39 5.32 8.71
TM00214   215.35 219.00 3.65 6.13
    240.91 244.62 3.71 5.81
TM00215   204.90 212.00 7.10 8.43
    356.00 359.00 3.00 6.05
    374.00 375.50 1.50 16.25
TM00216   466.04 473.00 6.96 10.48
  including 467.04 470.00 2.96 15.52
TM00217     No Significant Assays
TM00219A 222.00 244.70 22.70 7.95
  including 222.00 224.43 2.43 12.65
  and 230.97 233.65 2.68 10.24
  and 242.25 244.70 2.45 35.79
TM00220   437.93 440.69 2.76 8.42
  and 470.00 471.16 1.16 21.80
TM00221   408.06 412.40 4.34 6.50
TM00224   469.20 473.00 3.80 12.56
  and 544.50 547.50 3.00 4.89

*Down-hole thickness; true width varies depending on dip of the drill hole. Drill holes were designed to intersect structures at as close to a perpendicular orientation as possible therefore true widths are approximately 55% to 70% of down hole widths.

Ice platform drilling in early 2015 also targeted the inferred Madrid North Suluk South zone Mineral Resources. Drillholes were targeted within the inferred resource and targeted to follow-up significant high grade mineralization in historical hole 03PSD179, which intersected 17.1 g/t Au over 4.2 metres (Figure 9). TMAC drilling in 2015 intersected similar high grade gold mineralization and results of the Suluk South zone drilling are presented in Table 4 below.

Table 4: MADRID NORTH - SULUK ZONE 2015 DIAMOND DRILLING RESULTS.

Madrid - Suluk South Zone
BHID Inclusion FROM TO LENGTH(m) Au g/t
TM00223   208.63 209.22 0.59 15.85
  and 248.74 249.60 0.86 31.30
TM00225   234.62 237.26 2.64 5.21
TM00228   217.07 218.72 1.65 13.76
  and 267.90 268.22 0.32 20.10
TM00231   244.02 245.85 1.83 11.06
TM00233   201.41 202.81 1.40 19.70
  and 296.26 297.10 0.84 28.60

*Down-hole thickness; true width varies depending on dip of the drill hole. Drill holes were designed to intersect structures at as close to a perpendicular orientation as possible therefore true widths are approximately 55% to 70% of down hole widths.

Drilling during 2015 on the Madrid North Naartok zone consisted of 17,868 metres in 48 diamond drillholes. The majority of drilling focused on infill drilling within the current Indicated and Inferred Mineral Resources and results of the 2015 drilling will be used to refine the geological model and will be incorporated into future Mineral Resource estimates on the Naartok zone. A secondary objective was to follow-up on historical high grade intersections near surface which are not currently accounted for in the resource model. Figure 10 illustrates the 2015 diamond drilling pierce points and Table 5 summarizes the results of 2015 drilling.

Table 5: Madrid North - Naartok Zone 2015 diamond drilling results.

Madrid - Naartok Zone
BHID Inclusion FROM TO LENGTH(m)* Au g/t
TM00218   314.50 319.93 5.43 6.87
  including 317.90 319.93 2.03 14.43
TM00222   325.42 356.00 30.58 8.16
  including 336.60 348.50 11.90 9.23
TM00226   377.00 378.50 1.50 8.72
TM00230     Abandoned - Frozen
TM00232   306.13 309.00 2.87 9.67
  and 320.25 322.17 1.92 10.31
TM00229   379.15 381.14 1.99 10.60
  and 443.15 443.69 0.54 94.20
TM00234   391.55 393.05 1.50 8.34
TM00235     No Significant Assays
TM00236   302.09 321.62 19.53 5.69
  Including 311.72 321.62 9.90 7.16
TM00237   355.33 356.83 1.50 8.88
TM00238   404.00 407.00 3.00 3.62
TM00239   399.50 408.44 8.94 2.45
TM00240   399.57 399.99 0.42 31.50
  and 516.88 518.38 1.50 23.20
TM00241   375.50 380.00 4.50 6.10
TM00242   Abandoned - Excessive Deviation
TM00243   389.97 392.54 2.57 12.49
TM00244   390.10 391.60 1.50 22.50
TM00245   293.50 295.50 2.00 4.93
  and 368.00 369.40 1.40 6.51
TM00246   419.00 422.00 3.00 16.70
  and 425.00 426.50 1.50 7.54
TM00247   408.50 409.74 1.24 12.65
TM00248   445.50 448.00 2.50 1.72
TM00249   284.11 291.67 7.56 6.66
  Including 284.11 287.17 3.06 10.01
TM00250   Abandoned - Excessive Deviation
TM00251   557.00 560.00 3.00 14.68
TM00252   86.37 88.03 1.66 14.01
TM00253   44.74 45.77 1.03 168.00
TM00254   224.00 242.35 18.35 2.54
TM00256   71.41 72.82 1.41 14.15
  and 86.61 87.78 1.17 17.20
TM00258   68.00 69.50 1.50 4.96
TM00260   255.06 265.00 9.94 4.92
  including 255.06 259.00 3.94 8.10
TM00262   90.50 96.22 5.72 33.72
TM00263     No Significant Assays
TM00265   138.90 158.00 19.10 7.34
  including 155.00 158.00 3.00 11.48
TM00268     No Significant Assays
TM00271   54.50 56.10 1.60 11.05
TM00275   47.50 49.00 1.50 6.46
TM00277   100.70 101.80 1.10 68.50
TM00278   71.00 74.00 3.00 4.13
  and 189.50 194.00 4.50 5.73
TM00279   430.42 432.40 1.98 7.09
  and 505.80 513.65 7.85 14.44
TM00282   218.64 224.50 5.86 7.21
  and 231.69 236.50 4.81 18.23
TM00286     No Significant Assays
TM00289   69.52 71.00 1.48 17.30
TM00293   114.96 116.67 1.71 32.43
TM00297     No Significant Assays
TM00300   177.00 208.00 31.00 12.66
  and 217.76 220.95 3.19 6.38
TM00309   336.50 338.00 1.50 5.51
TM00318     No Significant Assays
TM00323   191.00 195.47 4.47 14.52
  and 294.50 300.50 6.00 7.97

*Down-hole thickness; true width varies depending on dip of the drill hole. Drill holes were designed to intersect structures at as close to a perpendicular orientation as possible therefore true widths are approximately 70% to 85% of down hole widths.

Regional Exploration

Hope Bay Belt

The 2015 Exploration and Geoscience program included expenditures for geophysical surveys over the entire Hope Bay greenstone belt. The geophysical program consists of modern, high power, airborne Mag/EM and airborne Gravity, utilizing the SkyTEM 516 and CGG HeliFalcon systems, respectively, over the entire Hope Bay property. Along with Mag/EM data, induced polarization (IP) data will be extracted and modelled from the SkyTEM survey data. Both surveys were budgeted and scheduled for completion in 2015; however, approximately 30% of the Mag/EM survey remained when surveying was deferred to 2016 due to deteriorating weather conditions and a delay in commissioning and mobilizing the HeliFalcon to site (Figure 11).

Elu Claims

In addition to Hope Bay, geophysical surveys were also initiated on TMAC's Elu property in 2015. The geophysical program consists of modern, high power, airborne Mag/EM and airborne Gravity, utilizing the SkyTEM 516 and Sander Airgrav systems. Both surveys were budgeted and scheduled for completion in 2015; however, approximately 47% of the Mag/EM survey remained when surveying was deferred to 2016 due to deteriorating weather conditions. The full Sander gravity survey was completed during the 2015 season.

ABOUT TMAC RESOURCES

TMAC Resources Inc. holds a 100% interest in the Hope Bay Project located in Nunavut, Canada. TMAC is a fully financed, gold development company. During 2015, TMAC significantly de-risked the Hope Bay Project financially by securing equity and debt financing for gross proceeds of over $350 million providing full funding for the Company to achieve its Path to Production plan, beginning with the Doris Mine, by the end of 2016. The Company has a board of directors with depth of experience and market credibility and an exploration and development team with an extensive track record of developing high grade, profitable underground mines.

SAMPLE PREPARATION, ANALYSIS AND QUALITY ASSURANCE/QUALITY CONTROL

For a complete description of TMAC Resources sample preparation, analytical methods and QA/QC procedures refer to the technical report for the Hope Bay Project dated May 28, 2015 entitled "Technical Report On The Hope Bay Project, Nunavut, Canada", which has an effective date of March 31, 2015 (the "Hope Bay Technical Report"), as filed on TMAC's profile at www.sedar.com.

SCIENTIFIC AND TECHNICAL INFORMATION

Information of a scientific or technical nature in respect of the Hope Bay Project, other than new information related to Doris mine development, is based upon the technical report for the Hope Bay Project dated May 28, 2015 entitled "Technical Report On The Hope Bay Project, Nunavut, Canada", which has an effective date of March 31, 2015 (the "Hope Bay Technical Report"), as filed on TMAC's profile at www.sedar.com. Scientific and technical information related to Doris mine development was prepared by, and all other scientific and technical information contained in this document was reviewed and approved by David King, P.Geo., the Vice President, Exploration and Geoscience of TMAC who is a "qualified person" as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects.

FORWARD-LOOKING INFORMATION

This 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", "potential" or the negative thereof or other variations thereof or comparable terminology. Such forward-looking information includes, without limitation, bringing the Hope Bay Project into production, beginning with the timing of the erection and completion of the Mill Building, fabrication, delivery and construction of the Processing Plant, the commissioning of the Processing Plant at Doris by the end of 2016, the availability of funds under the Debt Facility, and that the cash on hand and drawdowns under the Debt Facility will be sufficient to fully fund the Hope Bay Project and the objectives of the exploration program.

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, including among other things, assumptions about: the ability meet the conditions precedent to drawdowns under the Debt Facility; the ability to raise any additional capital needed to advance the development of the Hope Bay Project to production; future prices of gold and other metal prices; the geology of the Hope Bay Project being as described in the Company's PFS technical report for the Hope Bay Project filed on SEDAR; accuracy of the mineral resource and mineral reserve estimates in the PFS; the metallurgical characteristics of the deposit being suitable for the processing plant; the successful and timely delivery, installation and operation of the Processing Plant; favourable weather conditions for planned sealifts and construction activities; production costs being as estimated in the PFS; accuracy of budgeted exploration and development costs and expenditures, including to complete development of the infrastructure at the Hope Bay Project; the price of other commodities such as fuel; future currency exchange rates and interest rates; favourable operating conditions; political and regulatory stability; receipt of governmental approvals and permits and all necessary third party financing on favourable terms; obtaining renewals for existing licences and permits and obtaining all other required licences and permits; sustained labour stability; stability in financial and capital goods markets; availability of equipment; positive relations with the Kitikmeot Inuit Association and Nunavut Tunngavik Inc. and other local groups; and the Company's ability to operate in the harsh northern Canadian climate. 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 AIF dated February 25, 2016 filed on SEDAR at www.sedar.com for a discussion of these risks.

The Company cautions that the foregoing lists of important assumptions and factors are not exhaustive. Other events or circumstances could cause actual results to differ materially from those estimated or projected and expressed in, or implied by, the forward-looking information contained herein. 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.

Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure1-84e3af6f4acfa79aaf66686e4af8c71c.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure2-a3ed7ac05e59a1eba1a5e08cb3c0f032.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure3-8c91e6238aa0a8df9fdde4d812cf010a.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure4-52c024211719ba849b5da019d7e1fdc1.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure5-5c1b085eb012a4bdaf9f8ae75773cd5e.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure6-349872dc24d9803fbdc87853475944fd.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure7-0358398f3685b0f9aac41f003d46beb0.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/fig8-9148dfbf4a96b856ba9c1bc3ab5142da.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure9-49eb14743a279588b008041a1a1dfa31.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure10-ba58552981818068b50b430b61748ebf.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/2/25/11G084515/Images/Figure11-1cb09636c0b185e382eb41ceb77232f3.jpg

Contact Information

Multimedia