Elevation Gold Mining Corporation (TSX-V: ELVT) (OTCQB: EVGDF) announces operating results for the three months ending March 31, 2024 and provides information on other corporate matters.  The Company expects to file its Q1 2024 financial statements and management discussion and analysis in May 2024.

First Quarter 2024 Highlights 

• Elevation Gold produced 6,303 ounces of gold from 654,354 ore tonnes processed with average grades of 0.42 g/t.
• The Company sold 5,850 ounces of gold during Q1 2024.

Consolidated Operational Results Summary

The following table provides a summary of the Company’s operational statistics for the three months ended March 31, 2024 and March 31, 2023.

Tim Swendseid, Chief Executive Officer of Elevation Gold, stated “It has been a busy quarter.  Production during the quarter was impacted by continuing throughput related issues with the crushing plant, resulting primarily from harder than typical ore and wet ore, a required condition for dust control.  The ore hardness and throughput improved by the quarter’s end, and we are expecting a meaningfully positive improvement in tons crushed and ounces produced for the second quarter.  Additionally, mining efficiencies have significantly improved in the western area, beginning in February, as expected.  On February 27, 2024, we were very pleased to announce positive exploration results in the Reynolds Pit area.  Gold prices also strengthened during the quarter, which will help future revenues.  We also successfully completed a reallocation of part of our permitted mining area from the east side of the boundary to the west side, to support the Reynolds Pit development.  The Reynolds Pit development commenced during the quarter, and we are now on the second production bench.   As a result of the weaker than expected production during Q1 2024, we are providing information in this press release concerning our liquidity, and as previously announced, our Q4 2023 financial results and management discussion and analysis will be released later this month.”

Mine Plan of Operation Minor Amendment and Reynolds Pit Development

The Company is pleased to announce that on February 14, 2024, the US Bureau of Land Management Kingman Field Office approved a mine plan of operations (MPO) minor amendment for the Moss Mine near Bullhead City, Arizona. The MPO amendment allows for the reallocation of 38 acres around the previously authorized open pit areas of the Moss Mine to the Reynolds Pit area.  Other amendment items include the relocation of acres associated with the barren rock stockpile and heap leach pad in the far west to accommodate the development of the 100% permitted Reynolds Pit.

The amendment allows for full development of the Reynolds Pit area.  Pioneering work to access the upper benches of the pit commenced during February and ore shipments began in late March.  Mining activity will focus initially on the low stripping ratio north end of the deposit and gradually move to the south where the higher grade, higher strip ratio ore will be mined.  The Reynolds deposit remains open along strike and down dip, so further drilling is anticipated to expand the currently designed pit boundary.  The operation is now successfully mining the second production bench.

Liquidity Update

The Company has been in ongoing discussions with Maverix Metals Inc., a wholly owned subsidiary of Triple Flag Precious Metals Corp. (“Maverix”), which holds the silver stream in respect of the Moss Mine and is the Company’s principal lender, as well as most royalty holders in respect of the Moss Mine, to try to restructure these obligations to help alleviate the current burden on revenues being generated by the Moss Mine.  As a result of lower-than-expected production during the second half of Q4 2023 and the first half of Q1 2024, the Company has temporarily suspended its royalty/finder fee payments and silver stream delivery obligations to preserve sufficient liquidity for the continued operation of the Moss Mine.  Maverix has consented to the delay of certain delivery obligations in respect of the silver stream, however the Company did not receive the consent of certain royalty holders.  The Company has engaged with Maverix, its largest creditor, and is working to resolve the outstanding obligations owing to its royalty holders.  The Company will update the market with the progress of the discussions as the situation evolves.  The Company is examining all available options to ensure sufficient liquidity, including debt consolidation or restructuring, further debt or equity financing, or a sale of the Moss Mine.

Maverix Debt Consolidation and Security Arrangements

The Company also announces that it has consolidated outstanding unsecured debts owing to Maverix, in the aggregate principal amount of approximately US$28.2 million, as obligations under the silver streaming agreement with Maverix.   The Maverix Debt was incurred in a number of lending transactions during 2022 and 2023, the proceeds of which were used to provide additional operational and capital funding related to the leach pad expansion for the Moss Mine.  The terms of the Maverix Debt remain unchanged as a result of the consolidation, with approximately US$10 million being payable on demand by Maverix and not subject to interest, and approximately $18.2 million being payable on maturity on April 1, 2025 and subject to interest at a rate of 10% per annum, which interest is payable on maturity.  As a result of the consolidation, the Maverix Debt is now secured against all of the Company’s assets pursuant to the security granted in connection with the silver stream.

Director Resignation

Mr. Mike Haworth, director, has announced his resignation from the Company’s board, effective immediately.  Doug Hurst, Elevation Gold’s Chairman, stated: “Mike’s contribution as a long-term board member has been exceptional.  He was the representative for Greenstone Resources, a private equity firm based in London and the Company’s largest shareholder.  Mike will be missed, and we wish him all the best.”

Qualified Persons

Unless otherwise indicated, the technical disclosure contained within this press release that relates to the Company’s operating mine has been reviewed and approved by Tim J. Swendseid, P.E., MBA, CFA, Chief Executive Officer of the Company, and a Qualified Person for the purpose of National Instrument 43-101.

About Elevation Gold Mining Corporation

Elevation Gold is a publicly listed gold and silver producer, engaged in the acquisition, exploration, development and operation of mineral properties located in the United States.  Elevation Gold’s common shares are listed on the TSX Venture Exchange in Canada and on the OTCQB in the United States.  The Company’s principal operation is its 100% owned Moss Mine in the Mohave County of Arizona.  Elevation also holds the title to the Hercules exploration property, located in Lyon County, Nevada.