Mr. Eldur Olafsson reports

2021 EXPLORATION RESULTS MATERIALLY INCREASE THE VAGAR RIDGE GOLD DISCOVERY WITH SAMPLE RESULTS OF UP TO 86.7G/T GOLD

AEX Gold Inc. has released the results of its 2021 exploration campaign across the Vagar licence in south Greenland.

Vagar is a large gold exploration licence containing multiple high-priority targets, including the Vagar Ridge, in the heart of the Nanortalik gold belt in close proximity to the corporation's flagship Nalunaq project. The 2021 program comprised mineral system modelling, high-resolution airborne geophysics, surface hyperspectral imagery and reconnaissance sampling designed to assess, define and prepare a number of key targets for more substantial exploration into 2022.

Highlights:

• The exploration results more than double the Vagar Ridge footprint, confirming its potential to be a multimillion-ounce prospect. As a result of the 2021 exploration results, AEX believes that Vagar Ridge may host up to four orogenic gold veins with new rock-chip samples giving up to 86.7 grams per tonne gold.
• The 2021 program included hyperspectral imaging, reconnaissance sampling and a 385-square-kilometre high-resolution airborne magnetic survey, interpreted by SRK Consulting, which has defined a significant deformation zone that extends for more than 50 kilometres across the licence and into AEX's neighbouring licences, highlighting five further high-priority targets.
• Vagar Ridge was historically sampled and drilled across two kilometres, discovering up to 2,533 grams per tonne gold in vein material and 13 metres at 70.1 grams per tonne gold from follow-up channel sampling and a core drilling program. It also identified granodiorite-hosted mineralization up to 14.4 grams per tonne gold, therefore opening up the potential for large-scale intrusion-related gold mineralization.
• Two thousand twenty-one results also confirmed gold mineralization within the host rock, verifying the presence of widespread granodiorite-hosted mineralization, including 9.25 grams per tonne gold, in scree samples from a previously unexplored northern target.
• Ground-based hyperspectral imaging, a powerful tool for areas with limited vegetation such as in southern Greenland, is proving to be an effective method for identifying hydrothermal alteration and altered granodiorite, the preferential host of both orogenic and intrusion-related gold mineralization in the Vagar licence.

Eldur Olafsson, chief executive officer of AEX, commented: "The 2021 results from our Vagar licence, just 25 kilometres north of Nalunaq, are extremely encouraging. It was always our belief that the Vagar Ridge discovery had the potential to be significantly larger than the previously mapped extent of approximately two kilometres. With the conclusion of our exploration studies in 2021, this has materially increased in footprint with not only orogenic but also intrusion-related gold mineralization potential.

"At Nalunaq, the mineral resource is hosted in one orogenic vein while, at Vagar Ridge, our studies have suggested the potential for multiple mineralized veins as well as mineralized granodiorite host rock. If this proves to be the case, we believe Vagar Ridge has the potential to become a globally significant discovery. We aim to further test the size and prospectivity of this target during the 2022 season.

"Additionally, we have discovered five further prospects over the Vagar licence with similar structures and alteration as seen at Vagar Ridge, and these will also be the focus of further exploration.

"Our mineral system model and geophysical interpretations continue to highlight that we are sitting on a highly prospective land package that is associated with regional-scale geological systems that link southern Greenland to northeast Canada and Europe.

"The growing potential in our portfolio is happening with the backdrop of Greenland emerging as a strategically important, sustainable, low-risk OECD [Organisation for Economic Co-operation and Development] jurisdiction for gold and other mineral extraction."

Discussion on results

The Vagar licence is situated 25 kilometres north of the Nalunaq project and AEX's exploration camp and centre of operations.

Historical exploration on the Vagar Ridge target provided initial indications of both orogenic and intrusion-related gold (IRG) mineralization with up to 2,533 grams per tonne gold in auriferous quartz veins and up to 14.4 grams per tonne gold in the host granodiorite. This orogenic mineralization, similar in style to that seen at Nalunaq, was historically drilled by Nuna Minerals AS and AEX has been conducting follow-up exploration to ascertain the controls and scale of mineralization, not only in the two identified vein-hosted bodies at Vagar Ridge, but also in the granodiorite host and elsewhere across the licence.

The 2021 exploration program included the following activities:

• Mineral system modelling -- a continuing program to understand the geological context of the Vagar licence and the whole of southern Greenland to assist in the delineation of prospective areas and critical exploration targeting criteria;
• Airbourne geophysics -- approximately 385 square kilometres of high-definition airborne magnetics and radiometrics flown by New Resolution Geophysics on 100-metre-spaced lines and interpreted by SRK Consulting to provide a structural control and context to mineralization;
• Rock-chip sampling -- 150 rock-chip and scree slope samples and 10 stream sediment samples collected and assayed at ALS Geochemistry to target both orogenic and intrusion-related gold mineralization;
• Spectral imagery -- surface spectral images collected across five target areas aimed at mapping exposed hydrothermal alteration associated with gold mineralization.

AEX's mineral system modelling has highlighted the importance of the Vagar area to the controlling geodynamics of the Nanortalik gold belt of southern Greenland. The licence is located on the controlling boundary of an important sedimentary basin within an interpreted subduction-arc system that transects Greenland and into Eastern Canada. It is also an important intersection point of a number of key deep structures (translithospheric faults) that acted as the plumbing for gold mineralization of the region. Sedimentary basins within a subduction-arc system can be significant sites of Orogenic or IRG gold mineralization as they are often locations of structural reactivation during collisional tectonics.

The licencewide airborne geophysics has allowed AEX to build on this model and has further highlighted a significant deformation zone that extends for more than 50 kilometres across the licence with abundant elevated gold associated with major structural releasing bends. A combination of these two studies has resulted in the identification of six high-priority targets with the central target existing over the Vagar Ridge area.

Follow-up reconnaissance sampling in the Vagar Ridge area has confirmed the presence of high-grade orogenic-style gold mineralization as well as mineralization within the granodiorite. Grab samples have returned up to 86.7 grams per tonne gold in a newly identified quartz vein system on the eastern flanks of the Vagar Ridge area. These results have allowed AEX to define an advanced gold target of significant size centring on Vagar Ridge. This approximately four-kilometre-by-three-kilometre target area hosts the previously recognized orogenic veins 1 and 2, as well as at least two further auriferous veins and widespread granodiorite mineralization indicative of an IRG system.

The AEX team has also been assessing this area in terms of logistics ahead of an expected 2022 exploration campaign.

In summary, the key observations from the 2021 results include:

• An understanding of the structural architecture of the region from mineral system modelling that highlights the significance of the Vagar licence area regionally and within the Nanortalik gold belt mineral system;
• Confirmation of the presence of multiple high-grade orogenic gold veins in the Vagar Ridge area with grade up to 86.7 grams per tonne gold;
• Confirmation of the presence of mineralization hosted within granodiorites, indicative of IRG-style mineralization at both the Vagar Ridge area and in a newly identified northern target (Tom's vein area) which returned 9.25 grams per tonne gold;
• Delineation of a four-kilometre-by-three-kilometre advanced gold target incorporating orogenic and IRG mineralization styles across the Vagar Ridge area;
• The identification of six high-priority targets hosting favourable structures across a 50-kilometre-long deformation zone;
• The development of usage of ground-based hyperspectral imagery in guiding exploration and therefore the identification of significant structurally controlled hydrothermal alteration signatures at the Vagar Ridge area, with repeated signatures also discovered at the John's Lake and Bismuth Valley targets.

AEX continues to review and assess these results both internally and with external consultants and will look to action on the recommendations of this work during the 2022 field season.

Sampling and quality assurance/quality control disclosure

All samples were placed into thick Hubco fabric bags with a sample ticket. Each sample bag was sealed and transported from site to an accredited laboratory, ALS Geochemistry, in Loughrea, Ireland, for analysis.

Sample preparation scheme PREP-31BY was used on all rock samples. This involves crushing to 70 per cent under two millimetres, rotary split off one kilogram and pulverizing the split to better than 85 per cent passing 75 microns. Samples were then analyzed by 50-gram fire assay with Au-AA26, which has a detection limit of 0.01 part per million gold. In addition, all samples were assayed with a 48-element four-acid digestion ICP-MS technique (ME-MS61).

Stream sediment samples were dried and sieved to two millimetres in the field before being sent to the lab, where sample preparation scheme PREP-41 was used on all samples. This involves drying at less than 60 C/140 F, sieving the sample to minus-180 microns (80 mesh). Samples were assayed for gold, palladium and platinum by 50-gram fire assay with ICP-MS finish using method PGM-MS24, which has detection limits of 0.001 part per million for gold and palladium and 0.005 part per million for platinum. All sediment samples were assayed with a 48-element four-acid digestion ICP-MS technique with supertrace detection limits (ME-MS61L).

The QA/QC program of AEX consists of the systematic insertion of certified standards of known gold content and blanks at a rate of one in 20, or 5 per cent per QA/QC type. In addition, ALS inserts blanks and standards into the analytical process. The average sample mass was 1.12 kilograms.

Qualified person statement

The technical information presented in this press release has been approved by James Gilbertson, CGeol, vice-president, exploration for AEX Gold and a chartered geologist with the Geological Society of London, and as such a qualified person as defined by National Instrument 43-101.

About AEX Gold Inc.

AEX's principal business objectives are the identification, acquisition, exploration and development of gold and strategic metal properties in Greenland. The corporation's principal asset is a 100-per-cent interest in the Nalunaq project, an advanced-exploration-stage property with an exploitation licence, including the previously operating Nalunaq gold mine. The corporation has a portfolio of gold and strategic metal assets covering 4,090 square kilometres, the largest mineral portfolio in southern Greenland covering the two known gold belts in the region. AEX is incorporated under the Canada Business Corporations Act and wholly owns Nalunaq AS, incorporated under the Greenland Public Companies Act.

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