Regional Gold Tenement Applications Secured from Major Global Gold Miner

In 2016, Rugby announced that it had acquired an extensive portfolio of both granted exploration concessions and applications covering approximately +700 square kilometers in Colombia. The acquisition, which includes a substantial geological database, was secured through the purchase of a subsidiary of a major international gold mining company(link to press release).

Under the terms of the agreement, Rugby purchased 100% of the issued and outstanding common shares of the subsidiary. No residual rights to the subsidiary or the Colombian properties were retained by former owner.

Almost all the projects are applications for title, and the Company is optimistic that title will be offered to many through 2020, as the Department of Mines (ANM) has recently completed its move to a graticular title system in Colombia, simplifying the grant of title going forward.

The portfolio comprises numerous projects including the Pastora and Tantalus Projects in the Bucamaranga gold belt and the El Poma and the Caramanta projects located in the prolific mid-Cauca gold-copper porphyry belt. These belts are considered prospective for both epithermal and porphyry gold mineralization. Importantly, the database includes regional scale geochemical and geophysical data over a larger area than just that of the concessions and applications acquired. They are generally covered by private lands and therefore are not subject to Forestry approval for drilling.

The ANM has recently indicated the potential early grant of title over the Pastora Project, following progress made prior to implementing the new graticular system. This process has been delayed by the shut-down of the Government Departments due to the coronavirus quarantines in Bogota.Following offer by the ANM, this project will be only subject to approval by the local communities. Rugby believes these communities favor mineral exploration and development in their region.

The area was acquired by the North American Gold Miner due to similar geological characteristics as the large Angosturas and La Mascota projects located some 25 kilometers to the immediate east. Importantly, Pastora is located well below the Paramo which has seriously affected development of these large gold projects.

The previous major International Gold Miner took 917 rock samples and 816 soil samples, defining a significant 7 x 5 kilometer gold anomaly. Rugby has confirmed anomalous geochemistry and sampled numerous veins outcropping in creeks

It is proposed that the Company will complete IP surveying to delineate extensively soil covered targets prior to drilling. Rugby expects permitting H2, 2020.

Further technical information on other very prospective gold properties/ projects will follow as they are advanced for grant

Certain information contained herein can be considered forward Looking. Please click here to review the Company's cautionary statement for investors. Paul Joyce the Company’s COO, Director and a “qualified person” within the definition of that term in NI 43-101, has supervised the preparation of the technical information contained on this webpage.