Ximen takes a shot at history, focuses on acquiring the Kenville Gold Mine

April 8, 2019

Report #9 Gold, Silver and Tellurium in British Columbia, Canada

Company Details

Ximen Mining Corp.

888 Dunsmuir Street – Suite #888 Vancouver, BC, Canada V6C 3K4 Phone: +1 604 488 3900 Email: office@ximenminingcorp.com www.ximenminingcorp.com Shares Issued & Outstanding: 32,459,025

The Kenville Mine was the first underground lode gold mine in British Columbia and is well known for the nature of its high-grade gold content.

When the stars align over southern Canada

Ximen takes a shot at history, focuses on acquiring the Kenville Gold Mine Already one of North America’s best performing gold stocks, Ximen Mining Corp. continues to make big headlines as the company today announced its focus on acquiring the past producing Kenville Gold Mine located near Nelson in southern British Columbia, Canada.

As recently announced in February, Ximen appointed Dr. Mathew Ball as VP Exploration, who was working to get the Greenwood Mill operational in southern British Columbia – a modern processing facility built in 2007 yet operational for only few months in 2008 due to weak precious metals prices, the global financial crisis and a corresponding lack of financing.

When you connect the dots of the Greenwood Mill and the Kenville Gold Mine on a map, the result is a mere distance of around 150 km on Highway

#3 and #3A. That’s not a long trucking distance, especially when talking about high-grade quartz vein material with potentially up to an ounce of gold per tonne.

When the Kenville Mine ceased operations in the 1950s, a total production of over 2 tonnes of gold (plus silver, lead, zinc, copper and cadmium) was recorded from the processing of 181,395 tonnes.

Ximen’s CEO, Chris Anderson, stated in today’s news-release that, “The Kenville Gold Mine has played a major role in the rich history of BC Gold mining. It was the first underground lode gold mines in British Columbia and was once the largest producer in the Nelson Mining Camp. There have been multiple new targets and veins discovered in the last several years and Ximen is looking forward to the potential opportunity that exists ahead.”

Chart Canada (TSX.V)

Canadian Symbol (TSX.V): XIM Current Price: $0.75 CAD (04/05/2019) Market Capitalization: $24 Million CAD

Chart Germany (Frankfurt)

German Symbol / WKN: 1XMA / A2JBKL Current Price: €0.498 EUR (04/05/2019) Market Capitalization: €16 Million EUR

2

Report #9 | Ximen Mining Corp.

H

istorically successful drilling programs by the previous operator between 2007-2010 discovered additional high-grade gold quartz veins striking beyond the historical footprint of the Kenville Mine, confirming potential for new gold mineralization with silver-copper enrichment. By 2010, the Kenville Mine was said to be “in production-ready state”, but the concurrent beginning of a bear market in gold may have put an end to that plan. With gold prices on the rise again, the time could be ripe now for Ximen to write history in one of Canada’s most prolific gold mining districts.

About the Kenville Gold Mine According to Ximen’s news today: “The Kenville Gold mine was discovered and staked in 1888 and was the first hard rock gold mine in British Columbia.

It was mined intermittently until 1954, with recorded production of 2,029 kilograms of gold, 861 kilograms of silver, 23.5 tonnes of lead, 15 tonnes of zinc, 1.6 tonnes of copper and 37 kilograms of cadmium from 181,395 tonnes processed. The property is located 8 km west of Nelson, BC, is accessible by paved road and is connected to the power grid.

Existing infrastructure includes mining equipment, offices, mechanic shop, core storage and accommodation.

The mine deposit consists of multiple, gold-silver quartz veins hosted by diorite.

Between 2007 and 2008, 13,000 meters of diamond drilling was conducted that targeted previously un-tested areas southwest of the historic mine, and detailed sampling was conducted within the mine on the 257 Level. There are six other historical levels within the mine footprint; only this level was rehabilitated

and remains open and accessible.

Based on the mine sampling and drill hole information available at the time, new zones of gold mineralization were identified, and mineral resources were estimated (see table below).

A qualified person has not done sufficient work to classify the historic estimate as current mineral resources or mineral reserves. As such the issuer, Ximen Mining Corp., is not treating this historical estimate as current mineral resources or mineral reserves. Ximen considers this historic mineral resource estimate to be relevant and reliable in that it was based upon the results of underground sampling and diamond drill information available at the time. The historic estimate uses the categories of Measured, Indicated and Inferred mineral resources as defined by the Canadian Institute of Mining, Metallurgy and Petroleum.

Measured and Indicated Resources are based on projections of mineralized veins exposed on the 257 Level. Inferred Resources in the historical estimate are based on

assumed continuity beyond measured and (or) indicated resources. The inferred mineral resources are based on historical drill and assay information verified by underground channel samples collected in 2007/8. The resource tonnages were estimated using an assumed specific gravity. A cut-off grade of 1.1 grams per tonne was used. No allowance for dilution was included based on an anticipated “resue” mining method, which would separate mineralized material from waste rock.

Significant diamond drilling was conducted after the above mineral resource estimate was made between 2009 and 2012. At least 4 new veins were identified with potential strike lengths of over 700 metres. The results of this drilling have not yet been reviewed by the Company’s Qualified Person. A complete review of the technical information is required with the aim of completing a new resource estimate that includes the more recent diamond drill results.

In addition to the historic gold mine, elsewhere on the property historic soil geochemical surveys and results of scout drilling indicate potential for porphyrytype copper-molybdenum-silver-gold mineralization.”

3

Report #9 | Ximen Mining Corp.

L

ast week, Ximen announced the acquisition of ~12,900 hectares of land near Greenwood in southern British Columbia, becoming one of the largest land holders in the miningfriendly Greenwood District besides Kinross Gold Corp., Grizzly Discoveries Inc. and Golden Dawn Minerals Inc. “The claims cover or border several historic past producing mines and mineral occurrences. Included is the Providence mine that operated intermittently from 1893 to 1973”, Ximen noted in the news-release. “A total of 10,426 Metric tonnes of ore was mined, producing 183 kilograms of gold, 42,552 kilograms of silver, 183 tonnes of lead, 118 tonnes of zinc. The Combination mineral showing was also mined, with 11 tonnes yielding 60,340 grams silver and 653 grams of gold. There are a total of eleven known mineral occurrences covered by the mineral claims.”

The newly acquired claims surround Ximen’s Gold Drop Property which is currently under an option agreement to GGX Gold Corp. The Gold Drop Project recently made headlines with record-breaking drill results of “129 g/t gold and 1,154 g/t silver over 7.28 meter core length“, which ranks as the world‘s 7th best drill intercept of 2019.

Moreover, these assays showed that tellurium grades have exceeded the upper analytical limits at the lab (i.e. 500 g/t tellurium), which prompted Ximen’s option partner to re-analyze the core for tellurium, also “due to multiple industry inquiries” as Ximen stated.

On March 18, the exact tellurium grades were announced with “up to 3,860 g/t tellurium”, including “823 g/t tellurium over 7.28-meter core length” and “640 g/t tellurium over 6.90-meter core length”.

(Dr. Mathew Ball, P.Geo., VP Exploration for Ximen Mining Corp. and a Qualified Person as defined by NI 43-101, approved the technical information contained in those Ximen news-releases.)

Fortis Metals, the world’s leading producer of minor metals, recently forecasted a tellurium supply deficit that, “as of 2020 could be as big as a staggering 370 metric tonnes.” Noting the

Map showing Ximen/GGX‘s Gold Drop Property (orange) and Ximen‘s newly acquired claims (red) in proximity to the Greenwood Mill from Golden Dawn Minerals Inc. (TSX.V: GOM)

A golden opportunity: The Greenwood Mill is a modern processing facility with a daily throughput capacity of 212 t/day (72,000 t/year), upgradable to 424 t/day with the addition of a second primary grinding mill and modifications to existing rougher flotation circuit.

The mill‘s conventional processing can produce a gold gravity concentrate and copper-gold flotation concentrate, both marketable to smelters for immediate cash-flow. The near-by tailings pond, pictured above in the background, has a permitted capacity of 400,000 t. rapidly-growing use of tellurium for thinfilm solar panels, Fortis stated: “At the moment, we are still seeing (tellurium) inventories in China but these are being eaten away by the two main suppliers of First Solar (the world’s largest thin-film solar manufacturer). It is only a matter of time before the market will understand the new dynamics and prices will start to reflect the growing deficit. We would not be surprised to see prices break the previous record seen in 2011.”

Ximen’s option partner has produced some of the highest grade tellurium drill intercepts in the world over the 2018 drill season.

See also Rockstone Report #8 “Industry inquiries persuade Ximen‘s partner to re-assay drill core for tellurium“ for more information on the importance of tellurium for the solar industry as well as Ximen’s note on “Tellurium’s Unique Value”.

4

Report #9 | Ximen Mining Corp.

Interview with CEO Chris Anderson at the PDAC 2019

Link: https://youtu.be/bp9JE8067Ic

Previous Coverage Report #8: “Industry inquiries persuade Ximen‘s partner to re-assay drill core for tellurium“ Report #7: “Ximen Hires B.C. Mining Expert Dr. Mathew Ball“ Report #6: “Location is Key for Ximen‘s Treasure Mountain Project“ Report #5: “The Unprecedented GoldSilver-Tellurium Strikes in the Historic Greenwood Mining Camp Continue“ Report #4: “Record-Breaking Gold Hit in Southern British Columbia“ Report #3: “Strong drill results and appreciating precious metals prices may herald golden times for Ximen Mining “ Report #2: “Ximen Mining reveals striking drill core observations ahead of assays“ Report #1: “Ximen Mining: Hunting for Multi-Million Ounces in British Columbia“

Link to updated chart (15 min. delayed): http://schrts.co/nVvegNqV

5

Disclaimer and Information on Forward Looking Statements Rockstone Research, Zimtu Capital Corp. (“Zimtu“), Ximen Mining Corp. (“Ximen“), GGX Gold Corp. (“GGX“) and Golden Dawn Minerals Inc. (“Golden Dawn“) caution investors that any forward-looking information provided herein is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various factors.

The reader is referred to the Ximen´s, GGX‘s and Golden Dawn‘s public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through their documents filed on SEDAR at www. sedar.com. All statements in this report, other than statements of historical fact, should be considered forward-looking statements. Statements in this report that are forward looking include that the acquisition of the Kenville Gold Mine will be completed; that Ximen will continue being one of North America‘s best performing gold stocks and will continue to make headlines; that there will be high-grade quartz vein material with up to an ounce of gold per tonne coming from the historic Kenville Gold Mine which could be trucked to the Greenwood Mill; that gold prices are on the rise again and will continue to rise; that there is potential new gold mineralization with silver and copper enrichment at Kenville; that the Kenville Mine was, and still is (or potentially will be) “in a production-ready state“; and that the time could be ripe for Ximen to write history.

Such forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Risks that could change or prevent these statements from coming to fruition include that Ximen will not complete the acquisition of the Kenville Mine; that the acquisition will not be approved by the TSX Venture Exchange; that Ximen will not be successful in verifying and/or confirming historical exploration work by previous owners, including historic drill results and historic mineral resource estimates; that the Greenwood Mill may not reopen due to a variety of factors, including costly repairs or reopening charges, lack of commercial quantity of resource at a mine or feedstock at Greenwood or elsewhere; that Golden Dawn, Ximen, GGX or its partners may not raise sufficient funds to carry out their plans; changing costs for exploration and other matters; increased capital costs; interpretations based on current data that may change with more detailed information; potential process methods and mineral recoveries assumption based on limited test work and by comparison to what are considered analogous deposits may prove with further test work not to be comparable; the availability of labour, equipment and markets for the products produced; world and local prices for metals and minerals; that joint venture terms may be changed or no agreement is reached; and even if there are considerable resources on any of the

Report #9 | Ximen Mining Corp.

mentioned companies‘ properties or on those under control of Ximen, GGX and/ or Golden Dawn, these may not be minable profitably. The writer assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.

Disclosure of Interest and Advisory Cautions Nothing in this report should be construed as a solicitation to buy or sell any securities mentioned. Rockstone, its owners and the author of this report are not registered broker-dealers or financial advisors. Before investing in any securities, you should consult with your financial advisor and a registered brokerdealer. Never make an investment based solely on what you read in an online or printed report, including Rockstone’s report, especially if the investment involves a small, thinly-traded company that isn’t well known. The author of this report, Stephan Bogner, is paid by Zimtu Capital Corp. (“Zimtu”), a TSX Venture Exchange listed investment company.

Part of the author’s responsibilities at Zimtu is to research and report on companies in which Zimtu has an investment or is being paid to conduct shareholder communications. So while the author of this report may not be paid directly by Ximen, GGX or Golden Dawn, the author’s employer Zimtu will benefit from appreciation of Ximen’s and Golden Dawn’s stock prices. In addition, the author also holds equity of Ximen Mining Corp., Golden Dawn Minerals Inc. and Zimtu Capital Corp., and thus would also benefit from volume and price appreciation of their stocks. Ximen has paid Zimtu to provide this report and other investor awareness services. Overall, multiple conflicts of interests exist. Therefore, the information provided should not be construed as a financial analysis but as an advertisement. The author’s views and opinions regarding the companies featured in reports are his own views and are based on information that he has researched independently and has received, which the author assumes to be reliable. Rockstone and the author of this report do not guarantee the accuracy, completeness, or usefulness of any content of this report, nor its fitness for any particular purpose. Lastly, the author does not guarantee that any of the companies mentioned will perform as expected, and any comparisons made to other companies may not be valid or come into effect. Please read the entire Disclaimer carefully. If you do not agree to all of the Disclaimer, do not access this website or any of its pages including this report in form of a PDF. By using this website and/or report, and whether or not you actually read the Disclaimer, you are deemed to have accepted it. Information provided is for entertainment and general in nature.

Data, tables, figures and pictures, if not labeled or hyperlinked otherwise, have been obtained from Stockwatch.com, Comdirect.de, Anglo Swiss Resources Inc., Ximen Mining Corp., GGX Gold Corp., Golden Dawn Minerals Inc., and the public domain.

Author Profile & Contact Stephan Bogner (Dipl. Kfm., FH) Rockstone Research 8260 Stein am Rhein, Switzerland Phone: +41 44 5862323 Email: sb@rockstone-research.com Stephan Bogner studied Economics, with specialization in Finance & Asset Management, Production & Operations, and Entrepreneurship & International Law, at the International School of Management (Dortmund, Germany), the European Business School (London, UK) and the University of Queensland (Brisbane, Australia). Under Prof. Dr. Hans J. Bocker, Stephan completed his diploma thesis (“Gold In A Macroeconomic Context With Special Consideration Of The Price Formation Process”) in 2002. A year later, he marketed and translated into German Ferdinand Lips‘ bestseller “Gold Wars“, After working in Dubai’s commodity markets for 5 years, he now lives in Switzerland and is the CEO of Elementum International AG specialized in duty-free storage of gold and silver bullion in a high-security vaulting facility within the St. Gotthard Mountain in central Switzerland.

Rockstone Research is specialized in capital markets and publicly listed companies. The focus is set on exploration, development, and production of resource deposits, as well as cannabis and technology ventures. Through the publication of basic geological and stock market knowledge, the individual company and sector reports receive a background in order for the reader to be inspired to conduct further due diligence and to consult with a financial advisor.

All Rockstone reports are being made accessible free of charge, whereas it is always to be construed as non-binding research and is addressed solely to a readership that is knowledgeable about the risks, experienced with stock markets, and acting on one’s own responsibility.

For more information and sign-up for free email newsletter, please visit: www.rockstone-research.com