Magna Gold Corp. to report the maiden mineral resource estimate (the "Resource") for the Margarita silver deposit at its 100% owned Margarita Project (the "Margarita Project") in Chihuahua, Mexico. Highlights: Indicated mineral resources are estimated to be 1.854 million tonnes ("Mt") at 204.9 g/t Ag and Inferred mineral resources of 0.454 Mt at 153.4 g/t Ag above a 75 g/t Ag cut-off grade; Includes Indicated resources of 12.22 million ounces ("Moz") of Ag and inferred resources of 2.24 Moz Ag; Margarita Vein High Grade Core – The deposit contains a well-defined high-grade core that demonstrates excellent continuity.

Resources contained within this core are estimated to be 0.78 Mt @ 332.1 g/t (Indicated) for a metal content of 8.32 Moz of silver; Strong Resource Growth Potential – its first pass drill program focussed on defining the mineralization contained within the Margarita vein. This structure remains open in all directions and at depth. Its drill program also discovered and confirmed the presence of multiple parallel vein systems most notable of which were the Juliana and Caido veins.

These veins are strongly mineralized, and follow-up drilling will focus on defining additional resources in these parallel veins to be included in subsequent resource updates. The current resource estimate only incudes mineralization in the main Margarita vein; Development Advantages – The Margarita Project is in a mining friendly jurisdiction with great access, infrastructure and availability of skilled workers. The effective date for the Margarita Project mineral resource estimate is April 08, 2022.

The report includes only mineralization that is completely inside Magna's 100% owned mining concessions boundaries. The mineral resources are reported based on an underground mining method scenario, assuming a recoverable crown pillar of 15 m, and constrained reasonable underground prospects for economic extraction. The mineralized envelopes were modelled at a base case cut-off grade of 25.0 g/t Ag for Vein 2 and Vein 2 South and 300.0 g/t Ag for the High-Grade vein.

The High-Grade vein is entirely contained within the south side of the Vein 2 envelope. All modelling work was conducted using Leapfrog Geo Software. For the purposes of the mineral resource estimate the High-Grade vein resources, while contained within the Vein 2 envelope, are estimated exclusive of the Vein 2 resources.

Grade capping was applied to reduce the influence of outlier samples; 350.0 g/t Ag was used for the Low-Grade envelopes (Vein 2 & Vein 2 South) and 1,000.0 g/t Au was used for the High-Grade vein. The economic parameters used to define mineral resources is a metal price of USD 25.0 per troy ounce silver, an underground mining cost USD 20.28/t, a processing cost of USD 17.57/t and a G&A cost of USD 4.57/t for a total of USD 42.42/t mined and processed. The silver recovery was estimated at 78%.

The economic Ag cut-off grade calculated from the economic assumptions is 68.0 g/t Ag, however, Magna decided to report resources at 75.0 g/t Ag given the nature of high-grade continuity of the deposit. The mineral resource has been categorized in the Indicated category for that portion where 3 or more drillholes are located within 80 m distance along strike and down dip, all remaining blocks remain in the Inferred category. The mineral resources presented here were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM CouncilMay 10, 2014.

Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, socio-political, marketing, or other relevant issues. The mineral resource estimate has been prepared without reference to surface rights or the potential presence of overlying public infrastructure.