Mr. Quentin Yarie reports

MACDONALD MINES OBSERVES VISIBLE GOLD IN FIRST TWO HOLES OF INAUGURAL DRILL PROGRAM AT SCADDING

MacDonald Mines Exploration Ltd. has release preliminary results from the 2,000-metre drill program, announced on Aug. 1, 2019, at its 100-per-cent-owned and -permitted Scadding mine. The high-grade Scadding mine is located within the company's 10,647-hectare SPJ (Scadding-Powerline-Jovan) property, 40 kilometres east of Sudbury, Ont.

Highlights of current drill program:

• The first two drill holes intersected mineralized hydrothermal breccia zones with visible gold and abundant pyrite;
• Drill hole SM-19-001 intersected two mineralized zones, including an interval with over 12 pinheads of visible gold, centred around 46-metre depth;
• Visible gold was also observed in SM-12-002 in a chlorite breccia at 24 m depth -- the hole had not been completed at the time of this press release.

Quentin Yarie, MacDonald's president and chief executive officer, said: "We have put considerable effort to consolidate our current land position east of Sudbury. This is an emerging IOCG (iron-oxide-gold-copper) district and we believe Scadding could host a gold-rich IOCG-type deposit. The gold observed in our first two drill holes confirms that our efforts were well worth it. The first round of assays will be rushed so that we can validate to our shareholders the potential of the SPJ project."

Historically, the Scadding mine produced 914 kilograms of gold from 127,000 tonnes of ore grading 7.2 grams per tonne (OFR 5771). MacDonald's reinterpretation of the geological model at the Scadding deposit and larger SPJ property indicates that it could host a gold-rich iron-oxide-copper-gold deposit and that significant gold structures may have been missed by previous operators' drilling campaigns (2009 to 2011). The objective of the current drill program is to confirm and expand the high-grade gold zones of the Scadding deposit.

On-site quality assurance/quality control (QA/QC) measures

Drill core samples were transported in security-sealed bags for analyses prep to Bureau Veritas Minerals in Timmins, Ont., after which they will be sent to Bureau Veritas Minerals Lab in Vancouver for analysis. Individual samples are labelled, placed in plastic sample bags and sealed. Groups of samples are then placed into durable rice bags and then shipped. The remaining coarse reject portions of the samples remain in storage if further work or verification is needed.

MacDonald Mines has implemented a quality control program to comply with best practices in the sampling and analysis of drill core. As part of its QA/QC program, MacDonald Mines inserts external gold standards (low to high grade) and blanks every 20 samples in addition to random standards, blanks and duplicates.

SPJ property highlights:

• 100 per cent owned;
• Very large land position in excellent mining jurisdiction and close to infrastructure;
• IOCG potential;
• Hosts the high-grade past-producing Scadding gold mine with permitting in place;
• Significant cobalt-copper, silver, nickel and rare earth showings outside of the Scadding deposit footprint;
• Optimize group contracted to redevelop the Scadding deposit.

Qualified person

Mr. Yarie is the qualified person responsible for preparing, supervising and approving the scientific and technical content of this news release.

About MacDonald Mines Exploration Ltd.

MacDonald Mines is a mineral exploration company headquartered in Toronto, Ont., focused on gold exploration in Canada. The company recently acquired the high-grade past-producing and permitted Scadding gold mine and is focused on developing its large SPJ project in Northern Ontario.

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