MGX Minerals Completes Petrographic Study on High Grade 6 Ounce per Tonne Gold Sample from Heino Deposit

VANCOUVER, BC / ACCESSWIRE / August 17, 2020 / MGX Minerals Inc. ("MGX" or the "Company") (CSE:XMG)( FKT:1MG)(OTC PINK:MGXMF) is pleased to provide a petrographic report by Vancouver Petrographic Labs was completed on sample #303 taken from an upper portal at the Heino Money Gold Deposit. The report provides direction for upcoming metallurgy and process design expected to commence by month end. Summary comments, followed by the report in its entirety provided below.

"In this sample (#303), native gold occurs grossly with sulphides, but in detail, it is mainly concentrated in silicates (quartz and Mineral A), and is concentrated strongly in one patch 1.5-2 mm across. This detailed distribution would be important if and when the time comes for any metallurgical extraction of gold."

Sample 303 (see table below for analytical results)

Summary

Sample 303 is of massive sulphide dominated by intimate intergrowths of pyrrhotite (fresh to altered slightly to strongly to secondary Fe-minerals), sphalerite, quartz, and a silicate (Mineral A). Minor minerals include galena, hematite, arsenopyrite, chalcopyrite, and native gold (which occurs mainly in quartz and in Mineral A). Two proximal patches up to 1.5 mm across are of medium to coarse grained quartz. A vein is of pyrite and lesser silicate(s). A few seams are of sheared rock, one of which contains sphalerite and the others of which contain hematite/limonite Photo A.

Note: a polished thick section was prepared; thus, an unknown silicate (Mineral A) could not be identified optically. The K-feldspar stain on the offcut block indicates the presence of K-feldspar, mainly in a patch in one corner of the block near the large quartz patches.

Photo A

Petrographic Report

The sample is of massive sulphide dominated by intimate intergrowths of pyrrhotite (fresh to altered slightly to strongly to secondary Fe-minerals), sphalerite, quartz, and a silicate (Mineral A). Minor minerals include galena, hematite, arsenopyrite, chalcopyrite, and native gold (which occurs mainly in quartz and in Mineral A). Two proximal patches up to 1.5 mm across are of medium to coarse grained quartz. A vein is of pyrite and lesser silicate(s). A few seams are of sheared rock, one of which contains sphalerite and the others of which contain hematite/limonite.

mineral percentage main grain size range (mm)

quartz 50-55% 0.05-0.5; 1-5

pyrrhotite 10-12 0.1-0.3

sphalerite 5- 7 0.2-1

galena 0.3 0.1-0.3

hematite 0.3 0.005-0.02(?)

arsenopyrite 0.2 0.5-0.7

chalcopyrite 0.1 0.03-0.05

native gold minor 0.01-0.05

native silver (?) trace 0.005-0.01

Quartz occurs in two main modes. It forms two proximal medium to coarse grained patches, each of which is up to 1.5 cm across. It forms very fine to fine anhedral to locally euhedral grains intergrown very finely to finely with sulphides and with a second non-reflective mineral, Mineral A, probably a silicate.

Mineral A occurs with quartz in patches interstitial to sulphides; it has slightly lower reflectivity than quartz and in places contains inclusions of quartz.

Pyrrhotite forms anhedral patches intergrown very finely to finely with minor to abundant sphalerite and silicates. It is strongly anisotropic and strongly magnetic. Some patches are fresh, some are altered slightly to moderately to botryoidal aggregates of secondary Fe-sulphide, and some are altered moderately to strongly to secondary Fe-sulphides and patches of non-reflective opaque. A few patches were replaced by secondary pyrite.

Sphalerite forms anhedral grains, most of the larger ones of which contain inclusions of pyrrhotite as grains from 0.1-0.5 mm in size and as exsolution blebs from 0.005-0.015 mm in size.

Galena forms scattered to locally moderately abundant patches, mainly intergrown coarsely with sphalerite.

Hematite forms a few secondary massive to less commonly botryoidal patches that are intergrown coarsely with sphalerite, quartz, and pyrrhotite.

Arsenopyrite forms one euhedral prismatic grain in sphalerite with lesser quartz and pyrrhotite.

Chalcopyrite forms scattered patches, mainly in silicates and mainly near patches of sphalerite. It also forms elongates lenses up to 0.1 mm long in fractures in silicates.

Native gold is concentrated in one area up to 1.5 mm in size as abundant disseminated irregular grains in quartz and in Mineral A. Elsewhere it forms very few disseminated grains, mainly in quartz and Mineral A.

Native silver (or possibly galena) occurs locally with native gold or in quartz and Mineral A in the area with abundant native gold.

A vein up to 1 mm wide is of massive pyrite and patches of silicates.

A sheared zone up to 0.1 mm wide contain granulated sphalerite and silicates.

A few veinlets (possibly sheared zones) up to 0.15 mm wide contain limonite/hematite.

Qualified Person

Andris Kikauka (P. Geo.), Vice President of Exploration for MGX Minerals, has prepared, reviewed and approved the scientific and technical information in this press release. Mr. Kikauka is a non-independent Qualified Person within the meaning of NI 43-101.

Advisors

Kingsdale Advisors is acting as strategic shareholder and communications advisor and Norton Rose Fulbright Canada LLP is acting as legal advisor to MGX Minerals Inc.

About MGX Minerals Inc.

MGX Minerals Inc. invests in commodity and technology companies and projects focusing on battery and energy mass storage technology, extraction of minerals from fluids, and exploration for industrial minerals and precious metals.

Contact Information

Neil Foran
Chief Financial Officer
neil@mgxminerals.com
Web: www.mgxminerals.com

Andy Radia
Director, Communications and Marketing
Kingsdale Advisors
Ph: 416-867-2357
aradia@kingsdaleadvisors.com

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

Forward-Looking Statements

This press release contains forward-looking information or forward-looking statements (collectively, "forward-looking information") within the meaning of applicable securities laws. All statements, other than statements of historical fact, included herein are forward?EUR?looking information. Forward-looking information in this press release include, but are not limited to, statements with respect to plans for assessment and other activities conducted and proposed to be conducted at the Heino-Money Deposit and Tillicum Claims, the preparation and filing of the Technical Report, and the preparation for structural engineering review for the purpose of underground bulk sampling. Forward?EUR?looking information is generally, but not always, identified by the words "expects", "plans", "anticipates", "in the event", "if", "believes", "asserts", "position", "intends", "envisages", "assumes", "recommends", "estimates", "approximate", "projects", "potential", "indicate" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.

The Company's forward-looking information are based on the applicable assumptions and factors the Company considers reasonable as of the date hereof, based on the information available to the Company at such time, including without limitation, the receipt of any necessary permits, licenses and regulatory approvals, and the Company's ability to comply with environmental, health and safety laws. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various risk factors. These factors include, among others, geological and environmental factors, operating or technical difficulties in connection with the activities contemplated in this press release, general economic conditions, or conditions in the financial markets. The reader is referred to the Company's public filings for a more complete discussion of such risk factors, and their potential effects, which may be accessed through the Company's profile on SEDAR at www.sedar.com. Except as required by securities law, the Company does not intend, and does not assume any obligation, to update or revise any forward-looking information, whether as a result of new information, events or otherwise.

SOURCE: MGX Minerals Inc.