Fredonia Mining Inc. announced the completion of the initial phase of drilling at its Eldorado Monserrat property, located in Santa Cruz, Argentina. Six HQ diamond drill core holes were drilled at each of La Herradura and Monserrat Oeste. In total 12 holes were drilled for 3,424.3m.

The field base at EDM will be reoccupied commencing January 31, 2022 after the holiday recess. Preparations are underway for the next follow-up drilling phase, as well as further exploration and drilling. Geological interpretation of the drilling sections will assist in determining the next phases of exploration.

This information in parallel with the assay data will allow realistic planning of the future drilling that will target identified structures to maximise discovery along strike /dip and focus on potential high grade zones. Two geological mineralised zones are becoming evident. In the northern sector of the property, the zone from Monserrat Oeste extending east through Bajo Perdernal, Main Veins to Monserrat Este and in the southern sector the trend west from Beethoven and including La Herradura.

These trends are subparallel to the regional mineralised trend that control the mineralisation at Cerro Vanguardia. La Herradura is located on a mineralised regional structural trend which extends west from the Beethoven prospect and further west there are other named prospects, such as Pamela-los Domos, which are yet to be fully explored. The remaining assay results for La Herradura are now available.

The highlights are tabled below. The drilling has added further credibility that the potential for a large tonnage Au-Ag occurrence with included high grade zones exists at La Herradura. The model being developed has been refined after recent mapping and in conjunction with the drilling, which identified a potential diatreme surrounded by an extensive brecciated host system, the dimensions of which are as yet undefined being geologically open in all directions.

The Fredonia geological team believe further drilling is warranted to exploit this model. The recent drill holes at La Herradura were drilled to target both the roughly east west mineralised trend including the central diatreme at La Herradura ‘hill' and to expand the gold anomalism identified in the historic drilling which extends over 1,100m of strike to depths of >200m. Drill holes have intercepted hydrothermal breccias, veins and stockworks, hosted in a phreatomagmatic breccias, felsic domes and dikes that intrude the andesite flows which form the country rock.

Gold mineralisation is related to a quartz + sericite alteration and minor bladed calcite and adularia, interpreted as evidence of a boiling zone in an epithermal system. The shallow and distal zones show a chlorite + hematite + pyrite alteration, while in the deeper sections there are veins of platy calcite + fluorite. Superimposed on the system is an alteration halo of kaolinite + alunite and vuggy quartz, which occurs in shallow and medium-deep sectors.

The drilling whilst of The recent drilling at Monserrat Oeste consisted of five HQ diamond drill holes and an additional one drill hole in Bajo Pedernal, for a total of 1,841m. More than 567 samples (including standards, blanks, and duplicates) were submitted for gold and silver fire assays and multielement ICP to Alex Stewart. The Monserrat Oeste area is located on a northwest dilational 1.6km corridor that contains the mineralized zones expressed as veining and brecciation with a north to north-northeast attitude, dipping 55° to 75° to the east.

The mineralised structure is open in both directions and at depth. The sparce surface expression is characterised by a silica cap, secondary oxidation, leaching, breccia and residual quartz textures. The relative anomalism of pathfinder elements over anomalous gold values at surface is considered a significant vector to the depth potential.

Interpretation of historical drilling suggests that the mineralized zones are characterized by argillic alteration with veins composed of variably barite, calcite, pyrite, sphalerite, galena, secondary silver minerals, iron oxides, limonite, and clays, and a second silica-rich alteration, which is further interpreted as the predominant event for the gold mineralization. All six holes drilled intersected the target structure and contained anomalous to significant gold /silver with isolated high-grade intervals. The drilling has confirmed the geological model has merit.

The gold-silver intersections have enlarged the area of known mineralisation identified by historic drilling and demonstrate the potential for further strike and down dip extension and the possibility of further high grade Au-Ag zones.