Blackwolf Copper and Gold announced that it has signed a Memorandum of Understanding (" MOU ") with Dolly Varden Silver and New Moly LLC to jointly study the viability of using New Moly's Kitsault Project (" Kitsault " or the "Project") as the potential site for a centralized polymetallic processing facility that could accept mineralized material from the Companies' respective deposits ("Kitsault Polymetallic Mill "), located at or near tidewater in northwestern, B.C. and/or southeastern, Alaska. Prior to signing the MOU, Blackwolf undertook initial discussions with Nis g a'a Lisims Government regarding potential amendments to the Mines Act Permits for Kitsault to support a polymetallic mill. The proposed site at Kitsault previously hosted a molybdenum mine.

Within the past decade, Kitsault received Canadian Federal and Provincial Permits and given the buoyant molybdenum market, New Moly is now considering funding requirements to restart a larger scale project. The Project is located on the BC Hydro grid, has road access to the Nass Valley and tidewater access. The Kitsault Polymetallic Mill concept may assist to enhance and de-risk the potential restart of Kitsault.

The Companies have engaged Fuse Advisors Inc. to complete an initial assessment of the technical viability of the Kitsault Polymetallic Mill concept. By reviewing the respective metallurgical test work completed at the various deposits, Fuse will assess the potential for blending or batching mineralized material, potential process flow-sheets, potential throughputs from the various deposits and associated mill sizing and timelines. Fuse will also be completing industry benchmarking by assessing similar polymetallic mines and mills, which include Boliden's operations in Scandinavia and the Jiama Project in China.

The Companies will jointly share the costs of this study. Fuse Advisors is a Vancouver based consultancy that provides project management and technical advisory services to development stage companies in the resource sector. Blackwolf Copper and Gold'sNiblack Project hosts multiple Cu-Au-Zn-Ag deposits and prospects, located next to tidewater on Prince of Wales Island in southeast Alaska.

Current Mineral Resources include 5,628,000 tonnes averaging 0.95% Cu, 1.75 g/t Au, 1.73% Zn and 29.52 g/t Ag in the Indicated Category and 3,393,000 tonnes averaging 0.81% Cu, 1.33 g/t Au, 1.29% Zn and 20.10 g/t Ag in the additional Inferred Category. Primarily hosted in the Lookout Zone, the Mineral Resources have excellent metallurgical recoveries within a wide mineralized zone, up to 120 meters in true width. Mineralization is wide open for expansion in most areas, and numerous prospects have only received limited drill testing.

Blackwolf is currently finalizing an updated Mineral Resource for the Niblack Project, incorporating three additional rounds of drilling. The contiguous Dolly Varden and Homestake Ridge projects, owned 100% by Dolly Varden Silver, make up a 163 sq. km.

land package that is accessible to tidewater at the end of Alice Arm, just across the inlet from the Kitsault site, via a 28km historic mine road. Mineralization in the area consists of silver and gold systems in several areas, often with significant zinc and copper values. The Dolly Varden and Torbrit deposits have seen combined historic production of approximately 20 million oz Ag and have demonstrated good metallurgical recoveries.

The property remains prospective for the discovery of additional deposits along a 15 kilometer trend of favorable host rocks and alteration. The Kitsault Mine Project is one of the largest and highest-grade primary molybdenum deposits in the world. The Project is owned by Avanti Kitsault Mine Ltd. (" AKML "), in which New Moly has a 100% interest.

The Kitsault Mine is located in northwestern British Columbia within the Regional District of Kitimat-Stikine, approximately 140km northeast of Prince Rupert and south of the terminus of Alice Arm, an inlet of the Pacific Ocean. The Kitsault Mine is a brownfield site with considerable past mining activity and basic infrastructure in place. From as early as 1968, and intermittently until 1982, the mine produced approximately 30 million pounds of molybdenum from open-pit mining.

Rehabilitation of the 1981 - 1982 mining program was started under an approved reclamation program in the mid-1990s and was completed in 2006. AKML completed the purchase of an undivided, 100% direct interest in the Kitsault Mine (molybdenum mine and surrounding mineral tenures) from Aluminerie in October 2008. Under AKML, permits have been well advanced with key provincial and federal permits in place for development of an estimated mine life of 15 years with an ore production rate of 16.2 Mt/year.

Kitsault's development would include construction of a process plant, upgrade of the existing powerline, expansion of the existing open pit, construction of a low-grade ore stockpile, waste rock management facility, and a tailings management facility with associated water management ponds. In 2014, AKML entered into a Cooperation and Benefits Agreement ("CBA") and an Environmental Agreement with the Nis g a'a Nation. This agreement recognizes and formalizes the working relationships between the Nis g a'a Nation and AKML and is a vital step in the development of Kitsault Mine.