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Mining of Second Full Bench Containing the San Albino Vein Yields 1,532 Ounces Gold at a Diluted Grade of 19.32 g/t Gold


November 10, 2020

Mako Mining Corp. (TSX-V: MKO; OTCQX: MAKOF) (“Mako” or the “Company”) is pleased to report grade and tonnage results from mining of the second full bench of the San Albino vein at its San Albino gold project (“San Albino”) in northern Nicaragua.  The bench mined consisted of two separate three-meter half benches between 610 and 604  meters above sea level (“Bench 604”) and contained 1,532 ounces Au and 2,569 ounces Ag within 2,467 tonnes of diluted vein material grading 19.32 g/t Au and 32.4 g/t Ag.  

The 2,467 tonnes of diluted vein material are now sitting in a high-grade stockpile awaiting processing in addition to the 2,654 tonnes from the first full bench (see press release dated September 17, 2020).  An additional 12,840 tonnes of historical dump material grading 2.35 g/t Au was also mined from Bench 604.  This stockpiled historical dump material is expected to be used as initial mill feed during the ramp up to commercial production, which is expected from January 2021 to early Q2 2021.

A total of 5,121 tonnes of diluted vein material has been mined to date from benches 610 and 604 at a grade of 15.39 g/t Au and 24.8 g/t Ag containing 2,534 ounces Au and 4,080 ounces Ag.  This compares to 6,117 tonnes at a grade of 13.52 g/t Au and 18.7 g/t Ag containing 2,659 ounces Au and 3,678 ounces Ag over the same two benches modeled in the updated mineral resource estimate prepared by Mine Development Associates (“MDA”), a division of RESPEC, out of Reno, Nevada, which was summarized in the Company’s press release dated October 19, 2020.

Akiba Leisman, Chief Executive Officer of Mako states that, “the grades encountered in Bench 604 are extraordinary for any gold mining project, and especially for an open pit project like San Albino.  While it is still early days of mining at San Albino, MDA’s model from the recently updated mineral resource estimate is holding up very well.  It was previously stated that due to MDA’s conservative modelling, and Mako’s experience with selective open pit mining techniques, management expects that the fully diluted open pit grade of 9.54 g/t Au in the Measured and Indicated categories can be met or exceeded when mined, which is being supported by mining to date.  Lastly, I would like to address Hurricane Eta, which descended on Central America last week at Category 4 strength.  Thanks to proper planning and a significant investment in water management systems, we are relieved to report that there was no damage to San Albino, that all operations are back to normal and that a first gold pour is still expected in January 2021.  Our thoughts and prayers are with the communities in Nicaragua and throughout Central America affected by Hurricane Eta.”

Diluted Vein Material Sent to Stockpile
Bench Diluted Vein Tonnes*

Diluted Grade
Au (g/t)

Diluted Grade
Ag (g/t)
Ounces
Au
Ounces
Ag
610 2,654 11.74 17.7 1,002 1,511
604 2,467 19.32 32.4 1,532 2,569
Total 5,121 15.39 24.8 2,534 4,080

*Total Tonnes are estimated by subtracting laser survey scans of the topography before and after mining the bench.

Breakdown of Total Tonnes Mined in Bench 604**
Material Tonnes Grade
Au (g/t)
Grade
Ag (g/t)
Ounces
Au
Ounces
Ag
Diluted Vein 2,467 19.32 32.4 1,532 2,569
Historical Dump 12,840 2.35 3.3 971 1,342
Low-Grade 2,901 0.80 4.0 78 372
Waste 19,334 - - - -
Total Tonnes Mined** 37,542 - - - -

**Total Tonnes Mined are estimated by subtracting laser survey scans of the topography before and after mining the bench.  The Total Tonnes Mined is a combination of diluted vein material, historical dump material, low-grade material and waste, which are each segregated into different areas.

Sampling, Assaying, QA/QC and Grade Estimation

Vertical channel samples respecting the geology were collected on 5-meter sections at approximately 4-meter spacing using a gas-powered rock saw where the vein is competent, or a rock hammer where the rock is strongly fractured or brecciated.  Special attention is applied to standardize the width and volume of material taken using the rock hammer or rock saw.  The coordinates of the channel samples are surveyed using a total station surveying device.

Samples were kept in a secured logging and storage facility until such time that they were delivered to the Managua facilities of Bureau Veritas, an independent assay lab, for sample preparation.  Pulps were sent to the Bureau Veritas laboratory in Vancouver for analysis.  Gold was analyzed by standard fire assay fusion, 30-gram aliquot, AAS finish.  Samples returning over 10.0 g/t Au are analyzed utilizing standard fire assay-gravimetric method. The Company follows industry standards in its quality assurance and quality control (“QA/QC”) procedures.  Control samples consisting of duplicates, standards and blanks were inserted into the sample stream at a ratio of 1 control sample per every 3 to 4 samples.  Analytical results of control samples confirmed reliability of the assay data.

The grade of the San Albino vein, low-grade and historical dump material were estimated using the inverse distance cubed method (“ID3”) from 1-meter composite intervals respecting the geologic boundaries.  Samples were capped prior to compositing at 100 g/t Au in the San Albino vein, 7.0 g/t Au in the San Albino footwall, 4 g/t Au in the San Albino hanging wall and 7.0 g/t Au in the Dump Material.  Capping values were based an analysis of previous diamond drilling results.  The diluted grade of the San Albino vein was estimated using 3-D models of surveyed vein boundaries and surveyed mined surfaces.

Qualified Person

Steven Ristorcelli, CPG, a geologist and qualified person (as defined under NI 43-101) has read and approved the technical information contained in this press release. Mr. Ristorcelli is the Principal Geologist at Mine Development Associates in Reno, Nevada working on the updated resource estimate for San Albino.  Mr. Ristorcelli was at site in February 2020, but has not been able to visit the site to personally review the ongoing grade control program; however, he has reviewed the data from original certificates, QA/QC data, photographs of the geology, mapping and the grade-control model.

On behalf of the Board,

Akiba Leisman
Chief Executive Officer

About Mako

Mako Mining Corp. is a publicly listed gold mining, development and exploration firm. The Company is developing its high-grade San Albino gold project in Nueva Segovia, Nicaragua. Mako’s primary objective is to bring San Albino into production quickly and efficiently, while continuing exploration of prospective targets in Nicaragua.

For further information: Mako Mining Corp., Akiba Leisman, Chief Executive Officer, Telephone: 203-862-7059, E-mail: aleisman@makominingcorp.com or visit our website at www.makominingcorp.com and SEDAR www.sedar.com.

Forward-Looking Information:  Forward-Looking Information:  Some of the statements contained herein may be considered “forward-looking information” within the meaning of applicable securities laws. The forward-looking information contained herein is based on the Company’s plans and certain expectations and assumptions, including the expectation that stockpiled historical dump material will be used as initial mill feed during the ramp up to commercial production; that commercial production will occur during the period from January 2021 to early Q2 2021;  management expects the fully diluted open pit grade of 9.54 g/t Au in the Measured and Indicated categories can be met or exceeded when mined;  that the Company’s first gold pour is expected in January 2021. Such forward-looking information is subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking information, including, without limitation, the risk of economic and/or technical failure at the San Albino project associated with basing a production decision on the preliminary economic assessment without demonstrated economic and technical viability; that the Company is not able to  declare commercial production in early 2021; that the processed mineralization returns unexpected results; that the Company does not continue to find positive results from its ongoing reconnaissance exploration program; that exploration and assay results do not confirm continuity of mineralization as expected; political risks and uncertainties involving the Company’s exploration properties; the inherent uncertainty of cost estimates and the potential for unexpected costs and expense; commodity price fluctuations and other risks and uncertainties as disclosed in the Company’s public disclosure filings on SEDAR at www.sedar.com. Such information contained herein represents management’s best judgment as of the date hereof, based on information currently available and is included for the purposes of providing investors with the Company’s expectations regarding the San Albino gold project, and may not be appropriate for other purposes.  Mako does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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

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