Mineral Resources, as at 31 December 2018. Reported in Accordance with JORC

Project Name Classification Ore, tonnes Gold, g/t Gold, oz (attributable to HGM)
MNOGOVERSHINNOYE Indicated

8,155,994

3.3

856,169

Measured + Indicated

8,155,994

3.3

856,169

Inferred

6,034,231

3.2

621,225

Total

14,190,225

3.2

1,477,394

TASEEVSKOYE Indicated

25,785,000

4.9

4,057,587

Inferred

5,278,000

6.1

1,030,766

Total

31,063,000

5.1

5,088,353

UNKURTASH Measured

21,024,000

1.7

1,179,836

Indicated

32,870,000

1.8

1,860,917

Measured + Indicated

53,894,000

1.8

3,040,753

Inferred

12,291,000

1.7

656,004

Total

66,185,000

1.7

3,696,757

NOVOSHIROKINSKOYE*  Measured

14,777,793

4.3

2,042,068

Indicated

3,357,249

2.9

310,312

Measured + Indicated

18,135,042

4.1

2,352,380

Inferred

4,462,000

2.6

371,545

Total

22,597,042

3.8

2,723,925

BELAYA GORA Measured - - -
Indicated

11,533,396

1.5

564,223

Measured + Indicated

11,533,396

1.5

564,223

Inferred

142,976

2.3

10,519

Total

11,676,372

1.5

574,742

BLAGODATNOE Indicated

19,200,000

1.3

776,000

Inferred

49,000

0.8

1,286

Total

19,249,000

1.3

776,119

KLEN Indicated

2,850,000

5.8

530,809

Inferred

1,020,000

2.9

96,452

Total

3,870,000

5.0

627,261

KEKURA Measured

580,000

11.0

205,765

Indicated

8,720,000

8.0

2,234,477

Measured + Indicated

9,300,000

8.2

2,440,242

Inferred

160,000

3.1

16,075

Total

9,460,000

8.1

2,456,317

LYUBAVINSKOYE Measured

1,304,990

1.5

62,758

Indicated

9,802,700

1.3

413,330

Measured + Indicated

11,107,690

1.3

476,088

Inferred

139,540

1.8

8,198

Total

11,247,230

1.3

484,287

VALUNISTY

Indicated

8,543,093

3.3

912,425

Inferred

2,773,554

2.3

202,464

Total

11,316,647

3.1

1,114,888

GORNY (KAS)

Indicated

562,944

3.4

62,369

Inferred

3,053,305

2.4

231,757

Total

3,616,249

2.5

294,126

ZHILNY (KAS)

Inferred

2,330,000

3.5

261,868

Total

2,330,000

3.5

261,868

TOTAL Measured

37,686,783

2.9

3,490,427

Indicated

131,380,375

3.0

12,578,617

Measured + Indicated

169,067,158

3.0

16,069,045

Inferred

37,733,607

2.9

3,508,159

Total

206,800,765

2.9

19,577,203

 

Reserves, as at 31 December 2018. Reported in Accordance with JORC

Project Name Classification Ore, tonnes Gold, g/t Gold, oz  (attributable to HGM)
MNOGOVERSHINNOYE Proven - - -
Probable

9,118,994

2.68

786,997

Proven + Probable

9,118,994

2.68

786,997

NOVOSHIROKINSKOYE* Proven

13,672,131

3.2

1,386,024

Probable

2,595,001

2.2

184,929

Proven + Probable

16,267,132

3.0

1,570,953

BELAYA GORA Proven      
Probable

8,989,812

1.5

433,744

Proven + Probable

8,989,812

1.5

433,744

BLAGODATNOE Proven      
Probable

10,200,000

1.4

472,000

Proven + Probable

10,200,000

1.4

472,000

KEKURA Proven 650 000 9.2 192 904
Probable 8 230 000 6.9 1 816 517
Proven + Probable 8 880 000 7.0 2 009 422

VALUNISTY

Probable

2,878,949

5.2

483,365

Proven + Probable

2,878,949

5.2

483,365

GORNY (KAS)

Proven

31,621

5.4

5,468

Probable

118,580

3.8

14,446

Proven + Probable

150,201

4.1

19,914

TOTAL Proven

14,353,752

3.5

1,584,396

Probable

42,131,335

3.1

4,191,998

Proven + Probable

56,485,088

3.2

5,776,394

*The Company’s interest in Novoshirokinskoye is 99%

 

Notes:

Resources:

  • MNV, Taseevskoye, Belaya Gora, Blagodatnoe, Unkurtash, Klen and Lyubavinskoye resource estimations do not include a silver assessment.
  • MNV, Novoshirokinskoye, Belaya Gora, Blagodatnoe, Kekura, Valunisty and Gorny Mineral Resources are inclusive of Mineable Reserves.
  • MNV Mineral Resources are undiluted and based upon a gold price of US$1,250 per ounce. Resources were evaluated with specific cutoff grade > 0.7 g/t for open cut mining, and > 1.0 g/t for underground mining

Taseevskoe Mineral Resources are undiluted and based upon a gold price of US$ 1,000 per ounce.  Resources were evaluated with specific cutoff grade > 1.8 g/t.

Unkurtash Mineral Resources are undiluted and based upon a gold price of US$1,600 per ounce.  Resources  were evaluated  with specific cutoff grade > 0.85 g/t.

Belaya Gora Mineral Resources are undiluted and based upon a gold price of US$1,500 per ounce.  Resources  were evaluated  with specific cutoff grade > 0.4g/t.

Blagodatnoe Mineral Resources are undiluted and based upon a gold price of US$1,500 per ounce.  Resources  were evaluated  with specific cutoff grade > 0.5g/t.

Klen Mineral Resources were evaluated with specific cutoff grade > 1.0 g/t.

Kekura Mineral Resources are diluted and based upon a gold price of US$1,500 per ounce.  Resources were evaluated with specific cutoff grade > 1.2 g/t for open cut; 1.7 g/t for Vertical zones and 2.8 g/t for Horizontal zones for underground mining. 

Lyubavinskoye Mineral Resources were evaluated with specific cutoff grade > 0.5 g/t.

Valunisty and Gorny Mineral Resources were evaluated with specific cutoff grade > 0.5 g/t.

Zhilny Mineral Resources were evaluated with specific Ag cutoff grade > 40 g/t.

 

  • Resource estimates for Taseevskoye deposit was confirmed by Micromine Consulting, 2008.

Resource estimates for MNV were confirmed by Micon International Co. LTD, 2017.

Resource estimates for Belaya Gora and Blagodatnoe was confirmed by SRK Consulting, 2017.

Resource estimate for Novoshirokinskoye was confirmed by Wardell Armstrong International (WAI), 2017.

Resource estimate for Lyubavinskoye was confirmed by IMC Montan, 2012.

Resource estimate for Unkurtash was reconfirmed by IMC Montan, 2013.

Resource estimate for Klen was confirmed by Micon International, 2012.

Resource estimate for Kekura was reconfirmed by SRK Consulting, 2017.

Resource estimate for Valunisty, Gorny and Zhilny was reconfirmed by CSA Global PTY, 2018.

 

  • Highland Gold internal gold-equivalent resource and reserve estimates are based on the following data:

Novo - 2017 WAI JORC-compliant MRE and ORE, conversion coefficients calculated using WAI 2017 metal prices and recovery parameters.  Au Eq. (g/t) = Au(g/t)+0,017096Ag(g/t)+0,559710Pb(%)+0.538668Zn(%).

Valunisty, Gorny and Zhilny - 2018 CSA Global JORC-compliant MRE and ORE, conversion coefficient calculated using  CSA 2018 metal prices and recovery parameters:

  • Valunisty Au Eq. (g/t) = Au (g/t) + 0.01011*Ag (g/t)
  • Gorny Au Eq. (g/t) = Au (g/t) + 0.01032*Ag (g/t)
  • Zhilny Au Eq. (g/t) = Au (g/t) + 0.01196*Ag (g/t)

 

  • Mineral resources at MNV, Belaya Gora, Novo, Valunisty, Gorny and Zhilny have been estimated in accordance with JORC guidelines and include adjustments that have been made to reconcile the resources with annual production.

Reserves:

  • MNV, Belaya Gora, Blagodatnoe and Kekura reserves estimate does not include a silver assessment.
  • Novo reserves are calculated for Au equivalent and include Pb, Zn and Ag assessment.
  • Valunisty and Gorny reserves are calculated for Au equivalent and include Ag assessment.
  • MNV Mineable Reserves are diluted and based upon a gold price of US$ 1250 per ounce and marginal cut-off g/t for underground mining (1.2 g/t for the Northern ore body) and 0.7 g/t for open cut.
  • Novo Mineable Reserves are diluted and based upon a gold price of US$ 1279.2 per ounce and marginal cut-off
  • 6 % Pb Eq.
  • Belaya Gora Mineable Reserves are based upon a gold price of US$ 1200 per ounce and marginal cut-offs in between 0.4 and 2.05 g/t.
  • Blagodatnoe Mineable Reserves are based upon a gold price of US$ 1200 per ounce and marginal cut-off 0.77 g/t.
  • Kekura Mineable Reserves are diluted and based upon a gold price of US$ 1150 per ounce and marginal cut-off 1.6 g/t for open cut; 2 g/t for Vertical zones and 3 g/t for Horizontal zones for underground mining.
  • Valunisty and Gorny Mineable Reserves are diluted and based upon a gold price of US$ 1250 per ounce and marginal cut-offs 1.49 g/t AuEq (Valunisty) and 1.0 g/t AuEq (Gorny) for open pit.
  • Mineable reserves at MNV, Novo, Belaya Gora, Valunisty and Gorny have been estimated in accordance with JORC guidelines and include adjustments that have been made to reconcile the reserves with annual production.