Mr. Jeffrey Wilson reports

BARRICK INCREASES EXPENDITURE BY 120% TO US$22.0M IN AMENDED EARN-IN AGREEMENT FOR PRECIPITATE'S PUEBLO GRANDE PROJECT, DOMINICAN REPUBLIC

Precipitate Gold Corp. and Barrick Gold Corp. have entered into an amendment to the existing exploration earn-in agreement in respect of the company's Pueblo Grande project, located immediately adjacent to the world-class Pueblo Viejo mining operation in the Dominican Republic.

Pursuant to the amendment, Precipitate and Barrick have agreed to, among other things, increase and extend the earn-in's total required work expenditures from the original $10.0-million (U.S.) to $22.0-million (U.S.), representing an increase in expenditures of 120 per cent.

Since entering into the earn-in in April of 2020, Barrick has satisfied work expenditure requirements up to the fourth anniversary, having incurred total work expenditures of greater than $5.0-million (U.S.) to date. Barrick must now expend an additional $17.0-million (U.S.) before completing the earn-in.

Under the amendment, the schedule for the remaining work expenditure requirements and the deadline for delivery of a prefeasibility study (the PFS) have changed such that in order to earn a 70-per-cent interest in the project, Barrick now must:

• Incur a total minimum of $22.0-million (U.S.) in qualifying work expenditures as follows:
  • $7.0-million (U.S.) in aggregate before the fifth anniversary (April 14, 2025);
  • $10.0-million (U.S.) in aggregate before the sixth anniversary (April 14, 2026);
  • $13.0-million (U.S.) in aggregate before the seventh anniversary (April 14, 2027);
  • $16.0-million (U.S.) in aggregate before the eighth anniversary (April 14, 2028);
  • $19.0-million (U.S.) in aggregate before the ninth anniversary (April 14, 2029);
  • $22.0-million (U.S.) in aggregate and delivery of a qualifying PFS before the 10th anniversary (April 14, 2030).
• In addition, pursuant to the amendment:
  • Barrick will pay Precipitate $50,000 (U.S.) as consideration for the amendment.
  • Barrick must not, directly or indirectly, without the prior written consent of Precipitate, offer, sell or grant any option, warrant or other right to purchase any of its Precipitate shares for a period of 12 months from execution of the amendment.
  • Barrick will reimburse Precipitate for certain limited legal costs.

Except as amended and modified by the amendment, the earn-in agreement will remain in full force and effect, and the amendment will be incorporated therein.

Jeffrey Wilson, Precipitate's president and chief executive officer, stated: "We're pleased to see Barrick increase its work expenditure commitment while maintaining the requisite delivery of a prefeasibility study to earn a 70-per-cent interest in Precipitate's Pueblo Grande project. Barrick's willingness to increase the work expenditures by 120 per cent from $10.0-million (U.S.) to $22.0-million (U.S.), which is approximately $30-million (Canadian), evidences Barrick's interest in continued exploration, specifically at the two current priority drill target areas, Pueblo Grande Norte and Pueblo Grande Sur. We look forward to the subsequent receipt of updates and results as Barrick's exploration programs advance."

Full earn-in agreement details can be found on the company's website or within the company's news release dated April 14, 2020.

About the Pueblo Grande project

The Pueblo Grande project in located in the Sanchez Ramirez province of the Dominican Republic and is owned 100 per cent by Precipitate Gold. The project is subject to an earn-in agreement with Barrick Gold, whereby Barrick has an exclusive right to earn a 70-per-cent interest in the project by meeting certain earn-in requirements. Pueblo Grande is contiguous to the Pueblo Viejo mine operated by Barrick and surrounds the Pueblo Viejo mine site on the west, north and east sides, covering about 7,105.73 contiguous hectares.

About Precipitate Gold Corp.

Precipitate Gold is a mineral exploration company focused on exploring and advancing its mineral property interests in the Pueblo Viejo mining camp and Tireo gold trend of the Dominican Republic. The company has entered into an earn-in agreement with Barrick Gold, whereby Barrick can earn a 70-per-cent interest in the company's Pueblo Grande project by incurring $22.0-million (U.S.) within 10 years and producing a qualifying prefeasibility study. Precipitate is also actively evaluating additional high-impact property acquisitions with the potential to expand the company's portfolio and increase shareholder value in other favourable jurisdictions.

We seek Safe Harbor.