Behre Dolbear Valuation

November 12, 2019

On May 8, 2019, Garnex Gold Corporation entered into a Consulting Services Agreement (“CSA”) with Behre Dolbear Group, Inc. (“Behre Dolbear”) to provide to the Company a valuation of the Company’s mineral assets. Behre Dolbear is one of the oldest mineral advisory firms in the world, having been in business since 1911. It has completed over 10,000 assignments focused on mineral assets in 200 countries. Behre Dolbear is a highly qualified, highly-experienced and highly-regarded company that specializes in the valuation of mining properties. The Company is pleased to announce that Behre Dolbear Group has delivered its completed independent valuation report. The report valued the company’s properties at US$11,500,000. The purpose of the report was to establish through a highly-qualified, disinterested third party a valuation of the property if Garnex were to attempt to sell it in its present, non-operating condition. While Garnex does not intend to sell it, but to bring it into production, it is helpful to establish a baseline valuation taken without considering the anticipated value enhancement that will occur through development and production. One should also keep in mind that an increase in the gold price over that used in the report, a three-year average of $1,275, would result in an increased value.