Mr. Jack Bal reports

CACHE EXPLORATION ANTICIPATING APPROVAL FOR SPRING DRILL PROGRAM AT KIYUK LAKE

Cache Exploration Inc. has applied for a land use permit at Kiyuk Lake, which will allow the company to construct and operate an exploration camp. The application process is currently in progress and the application is expected to be approved in time to stage a spring drill program.

The Kiyuk Lake project, located in the Kivalliq region of Nunavut, has a Type B water licence that is valid until June 11, 2022. The Type B licence, issued by the Nunavut Water Board, allows the company to conduct drilling- and exploration-related activities, while utilizing local water sources for camp and drilling use.

Upon receipt of the land use permit, the company, with its joint venture partner, Margaret Lake Minerals, plans to construct an exploration camp in late March, 2019, followed by up to 5,000 metres of diamond core drilling in spring 2019. Ground magnetic surveys to further define high-priority drill targets are also being planned. The drill program will focus on expanding the high-grade Rusty zone along strike and to depth, as well as testing the highest-priority drill targets.

About Cache Exploration's Kiyuk Lake gold property

The Kiyuk Lake property covers 590 square kilometres in southwest Nunavut. The 2017 drill program confirmed and extended a known target and discovered significant gold mineralization at a new target area, East Gold Point (see the company's press release dated Oct. 26, 2017).

At the Rusty zone, the company not only confirmed that mineralization extends to 200 metres below surface, but also intersected a previously unknown high-grade phase of eight metres of 26.4 grams per tonne gold. At the same time, the company discovered extensive mineralization at East Gold Point, with 64 metres at 1.5 grams per tonne gold and 10 metres at 6.5 grams per tonne gold.

Prospecting returned two five-plus-gram-per-tonne-gold samples and the till campaign isolated two new anomalous areas that offer compelling evidence for further possible discovery.

The company recently granted an exclusive option to Margaret Lake Diamonds Inc. to acquire an undivided 50-per-cent interest in the Kiyuk Lake property by expending $3-million on the property (for full details, please see news release dated Feb. 14, 2019).

Kiyuk Lake 2017 drilling highlights:

• KI17-001 at the Rusty zone returned eight metres of 26.4 grams per tonne gold from 108 metres.
• KI17-004 at the Rusty zone returned 122 metres of 1.8 grams per tonne gold from 188 metres.
• KI17-005 at newly discovered East Gold Point zone intersected:
  • 64 metres of 1.5 grams per tonne gold from 35 metres;
  • 10 metres of 6.5 grams per tonne gold from 248 metres;
• Prospecting samples returned:
  • 5.57 grams per tonne gold from west of the Rusty zone;
  • A 5.6-gram-per-tonne-gold grab sample from north of Kiyuk Lake and from the newly identified Nansen target area.

Please visit the company's website to view:

• A plan map of the Rusty zone and East Gold Point;
• A detailed section showing the recent KI17-004 drill results;
• A plan map of the East Gold Point zone;
• A detailed section showing the recent KI17-005 drill results;
• Maps of rock and till sampling results.

Qualified person

Chris Pennimpede, PGeo, vice-president of exploration and a director of the company, is a qualified person as defined by National Instrument 43-101. Mr. Pennimpede has reviewed and verified the technical mining information provided in this release.

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