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Dear Alphastox Subscribers,

I wanted to quickly turn your attention towards TomaGold Corp. (TSXV:LOT). In case some of you weren’t subscribers back in 2012, LOT.V was the very first junior mining company we featured at $0.10/share. A few months later, the stock ran to a high of around $0.40 on massive volume and Alphastox subscribers saw a 4X return in just under a few months. Even though we haven’t written about the company for a little while now, I have been following the company closely over the past several months and feel it’s at the brink of something very special – one that could potentially yield substantial value for its shareholders.

On August 10th 2017, Toma announced that their partner on their Monster Lake Project, IAMGOLD, subscribed for 19.98% on the company – $2.5M @ $0.09/share. That was a huge milestone and vote of confidence for the team and shareholders as it illustrates their partner’s belief in the project. IAMGOLD is the one drilling the asset, they’re the ones on the ground and can assess its potential first. Having a mid-tier gold producer as your largest shareholder and supporter is a real feather in David’s (Toma’s CEO) cap as well as for all Toma’s shareholders.

The stock is currently sitting at $0.07/share and has been trading around the $0.05-$0.075 range over the last six months as the cannabis and blockchain market made a massive move.  As the focus begins to shift back towards the mining space (which it will just not sure when) investors will be looking for top quality assets with a strong cash and shareholder base – I think LOT.V fits all those characteristics. It is also David’s drive and passion for the asset that has taken the company to where it’s at today and that determination is only going to get stronger as we move into the fall…
The Monster Lake joint venture project hosts a National Instrument 43-101-compliant resource, effective as at Feb. 26, 2018, comprising 1,109,700 tonnes of inferred resources averaging 12.14 grams of gold per tonne for 433,300 ounces of contained gold (see news release dated March 28, 2018). The 2018 winter drilling program was designed to improve confidence in the continuity of the mineralization and to test for extensions of the known mineralized zones.

On June 14th, the company announced a set of new very high grade assay results from its winter drill program at Monster Lake. A total of 8,000 metres was completed and returned several extremely high grade results (news release attached below).

Craig MacDougall, senior vice-president, exploration, for Iamgold, stated: “We continue to be impressed with both the continuity and the high grades demonstrated by infill drilling of the 325 Megane zone. Although confirming resource extensions and expanding additional areas of mineralization has proved to be challenging for our exploration team, this style of mineralization remains an attractive exploration target. As I have said before, we believe the structural setting suggests favourable potential for the occurrence of additional mineralized shoots along the Monster Lake structural corridor and we continue to evaluate this setting for additional zones of mineralization.”

That’s what the market missed because ultimately, no one cares about mining projects right now…but that’s where I see the opportunity and obviously so did management. From June 21st-29th, TomaGold’s management has bought a total of 1,506,000 shares between $0.06-$0.07/share.

The mining market, especially in Canada is all cyclical, and when it turns, investors with staying power that we accumulating positions of high-quality mining stories were able to reap the rewards once everyone else caught wind of the value these companies were trading at and I’m hopeful that may happen here.

Stay tuned for an updated resource calculation in the coming months as well as a follow-up program. As I stated above, this isn’t a one day trade but rather a long-term investment in a team that has returned our subscribers substantial value in the past and the right arsenal to do it again.

At $0.07/share, LOT.V needs to come back on your radar screens right away – it’s already on mineJ
As always, if you have any questions, please don’t hesitate to get in touch with me anytime. I look forward to hearing from you.
Best,
Etienne
Disclosure: Transcend Capital Inc. has been paid a fee
Montreal, Quebec, June 14, 2018 – TOMAGOLD CORPORATION (TSXV: LOT) (“TomaGold” or the “Corporation”) is pleased to report that IAMGOLD Corporation (“IAMGOLD”) today announced assay results from the 2018 winter drilling program completed at its Monster Lake joint venture project (currently held by IAMGOLD Corporation: 50%, TomaGold Corporation: 45%, and Quinto Resources Inc.: 5% on the Monster Lake claims block with IAMGOLD continuing to advance its option to earn in up to a 75% interest). The project is located 50 kilometres southwest of Chibougamau, Quebec, Canada. IAMGOLD is reporting the final assay results from all 26 drill holes, totaling 8,282 metres, completed as part of the initial 2018 program.

The assay results are provided in Table 1 below and include the following highlights:

325 – Megane Zone and Main Shear Zone:

Drill hole ML18-212: 3.83 metres grading 23.96 g/t gold
Includes: 1.30 metres grading 67.22 g/t gold

Drill hole ML18-213: 3.84 metres grading 39.24 g/t gold
Includes: 1.09 metres grading 127.4 g/t gold

Drill hole ML18-217: 5.32 metres grading 40.94 g/t gold
Includes: 0.70 metres grading 251.0 g/t gold

Drill hole ML18-225: 2.62 metres grading 72.17 g/t gold
Includes: 1.75 metres grading 107.3 g/t gold

Lower Shear Zone:

Drill hole ML18-224: 4.32 metres grading 32.07 g/t gold
Includes: 0.74 metre grading 134.0 g/t gold

Drill hole ML16-176B Ext : 0.70 metres grading 14.10 g/t gold
The Monster Lake joint venture project hosts an NI 43-101 compliant resource, effective as at February 26, 2018, comprising 1,109,700 tonnes of inferred resources averaging 12.14 grams of gold per tonne for 433,300 ounces of contained gold (see news release dated March 28, 2018). The 2018 winter drilling program was designed to improve confidence in the continuity of the mineralization and to test for extensions of the known mineralized zones. Key objectives of the drilling program included: infill drilling targeting the upper part of the 325-Megane Zone largely delineated by only historical drilling; testing for proximal extensions along strike and at depth; and evaluating newly discovered areas of mineralization within a structure parallel to the Main Shear Zone and adjacent to the 325-Megane Zone, referred to as the Lower Shear Zone.  All of the areas targeted in this program are best accessed during the winter when the ground is frozen.

Craig MacDougall, Senior Vice President, Exploration for IAMGOLD, stated: “We continue to be impressed with both the continuity and the high grades demonstrated by infill drilling of the 325-Megane Zone.  Although confirming resource extensions and expanding additional areas of mineralization has proved to be challenging for our exploration team, this style of mineralization remains an attractive exploration target.  As I have said before, we believe the structural setting suggests favourable potential for the occurrence of additional mineralized shoots along the Monster Lake structural corridor and we continue to evaluate this setting for additional zones of mineralization.”

“The results obtained from this last drilling program continue to show solid high-grade gold potential for the Monster Lake project, which could translate into additional resources,” said  David Grondin, President and CEO of TomaGold. “As we continue to see strong results from IAMGOLD, we believe that this asset could become extremely valuable for TomaGold.”

Next Steps
These results will be incorporated into the deposit model and used to update the mineral resources to guide the next drilling programs. Ongoing geochemical and structural studies will continue to support exploration targeting.  A further round of drilling is being planned to test specific structural targets which are accessible in the summer season.
About the Monster Lake Project
The Monster Lake project is underlain by Archean volcanic rocks of the Obatogamau Formation and is traversed by an important deformation corridor and associated gold-bearing mineralized structures. Historical drilling and exploration by TomaGold have identified a four-kilometre long structural corridor, along which most of the known gold occurrences discovered to date on the property are associated, including the Megane Zone.

The Monster Lake project is held under an earn-in option to joint venture agreement with IAMGOLD, which holds an undivided 50% interest in the property, and holds an option to earn a further 25% undivided interest, for a total 75% undivided interest in the project, should it spend a total of C$10.0 million on the project within a seven year period, beginning January 1, 2015. Should a development decision be made by the joint venture, or should the joint venture declare commercial production, TomaGold would be entitled to a further C$1.0 million payment for each of these events.

On August 14, 2017, IAMGOLD subscribed for 27.7 million common shares of TomaGold from treasury representing 19.98% of the outstanding common shares of TomaGold. The common shares were purchased at a price of C$0.09 per common share, for an aggregate purchase price of C$2.5 million. Prior to the acquisition, IAMGOLD did not hold any common shares of TomaGold.

Technical Information and Quality Control Notes
The drilling results contained in this news release have been prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”).

The “Qualified Person” responsible for the supervision of the preparation and review of this information is Marie-France Bugnon, P. Geo., General Manager Exploration. Marie-France is considered a “Qualified Person” for the purposes of National Instrument 43-101 with respect to the technical information being reported on. The technical information has been included herein with the consent and prior review of the above noted Qualified Person. The Qualified person has verified the data disclosed, and data underlying the information or opinions contained herein.

The sampling of, and assay data from, the drill core is monitored through the implementation of a quality assurance – quality control (QA-QC) program designed to follow industry best practice. Drill core (NQ size) samples are selected by the IAMGOLD geologists and sawn in half with a diamond saw at the project site. Half of the core is retained at the site for reference purposes. Sample intervals may vary from half a metre to one and a half metres in length depending on the geological observations.

Samples are transported in sealed bags to ALS Minerals Laboratory located in Val-d´Or, Québec.  Samples are coarse crushed to a -10 mesh and then a 1,000 gram split is pulverized to 95% passing -150 mesh. ALS Minerals processes analytical pulps directly at their facilities located in Val-d´Or which is ISO / IEC 17025 certified by the Standards Council of Canada. Samples are analyzed using a standard fire assay with a 50 gram charge with an Atomic Absorption (AA) finish. For samples that return assay values over 5.0 grams per tonne (g/t), another pulp is taken and fire assayed with a gravimetric finish. Core samples showing visible gold or samples which have returned values greater than 10.0 g/t are re-analyzed by pulp metallic analysis. IAMGOLD inserts blanks and certified reference standard in the sample sequence for quality control.


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