Vancouver, British Columbia – January 25, 2022: Blue Star Gold Corp. (TSXV: BAU) (FSE: 5WP0) (BAUFF: OTC) (“Blue Star” or the “Company”) is pleased to announce the signing of an expanded Hood River Mineral Exploration Agreement (MEA) with Nunavut Tunngavik Inc. (NTI).

Blue Star owns the Ulu Gold Property mining lease that hosts the high-grade Flood Zone gold deposit, and the highly prospective Hood River MEA property that is contiguous to the Ulu mining lease. With the recent expansion of the Roma Project and now the expanded Hood River Project, the Company controls approximately 267 square kilometres of highly prospective and underexplored mineral properties in the High Lake Greenstone Belt (HLGB), Nunavut.

Highlights:

  • Blue Star increases Hood River Project area by 40% to a total of 112 square kilometres (see figure 1)
  • The expanded Hood River Project now includes the southern extension of the west limb of the Ulu fold that hosts the high-grade Flood Zone gold deposit, adding several highly prospective target areas
  • Additional targets acquired include the near drill-ready Twilight Zone that lies ~300 metres SE of the Flood Zone gold deposit
    • Twilight is an open 100-metre long NW trending auriferous contact between basalts and sediments; historical samples reported include:
      • channel samples of 32.4 g/t gold over 0.55 metres and 4.72 g/t gold over 0.43 metres
      • grab samples up to 15.7 g/t gold
      • the closest drill holes on trend are 200 metres away with one hole (90VD66) ending in mineralization of 6.31 g/t gold over 0.48 metres
  • Numerous anomalous historical samples occur on the expanded landholding which have received only limited follow up work including un-named leads returning grab samples up to 34.6, 13.9 and 9.52 g/t gold
  • The expanded landholding also includes diamond rights across the MEA which includes the known diamondiferous Tenacity pipe and numerous unsourced anomalous kimberlite indicator samples
  • All existing infrastructure in the region, including the airstrip, road network and quarries are now encompassed by the Hood River and Ulu Projects

CEO Grant Ewing stated, “The expanded Hood River Project provides Blue Star with multiple new targets areas to assess, with some of the most compelling additional areas lying within 2 kilometres of our high-grade Flood Zone gold deposit.“

Hood River Project Summary

Following the increase in landholdings announced today, the Hood River Project area now encompasses 112 square kilometres of highly prospective mineral claims in the HLGB. At the North Fold Nose (NFN) zone there is a mineralized quartz vein that has been subject to drill evaluation in 2019 and 2020 with results pending for 2021 drillholes. Previously reported intercepts include: HR20-017: 3.0 metres of 13.87 g/t gold from 164.0 metres depth, HR-19-002: 1.0 metre of 48.7 g/t gold from 58.0 metres depth, and HR-19-009: 1.0 metre of 32.5 g/t gold from 96.0 metres depth.

Limited exploration has occurred on the Crown-Pro trend to the east, which is a folded package of volcanic units similar to the Ulu Anticline that hosts the high-grade Flood Zone deposit.

An additional underexplored section of the Ulu volcanic package is the southern extension of the west limb of the Ulu fold which is the host to the Flood Zone deposit.

Blue Star now controls the diamond rights across the full Hood River MEA area including the known Tenacity diamondiferous kimberlite and a field of unsourced kimberlite indicator mineral samples. Of interest is the substantial length of the inferred Tenacity till train; it has been previously hypothesized that a train of this size cannot be from a single source opening additional opportunity for a new kimberlite field.

“This expanded project area captures some high interest prospects and anomalies that were forgotten when the Flood Zone was discovered. These will add to our already substantial pipeline of targets in the region,” commented Darren Lindsay, Vice President Exploration.

2022 Exploration Plans

Blue Star is awaiting the balance of the assay results from the 2021 exploration program which will be reported as they are received. Detailed planning and scheduling for the 2022 exploration program is now underway. It is anticipated that the field component of the program will launch in May and will entail drill testing several priority target areas over the Company’s extensive landholdings.

Figure 1: Location map of the expanded Hood River Project Area.

Qualified Person

Darren Lindsay, P. Geo. and Vice President Exploration for Blue Star, is a Qualified Person under National Instrument 43-101 (“NI 43-101”) and has reviewed and approved the technical information contained in this news release.

About Blue Star Gold Corp.

Blue Star is a gold company focused on exploration and development within Nunavut, Canada. The Company owns the Ulu Gold Property lease, an advanced gold project, the highly prospective Hood River Property that is contiguous to the Ulu mining lease, and the Roma Project. Blue Stars landholding totals approximately 267 square kilometres of highly prospective and underexplored mineral properties in the High Lake Greenstone Belt, Nunavut. A significant high-grade gold resource exists at the Flood Zone deposit (Ulu lease), and numerous high-grade gold occurrences and priority targets occur throughout the Ulu, Hood River and Roma Projects.

Blue Star is listed on the TSX Venture Exchange under the symbol: BAU, on the Frankfurt Exchange under the symbol: 5WP0, and on the OTC under the symbol: BAUFF. For information on the Company and its projects, please visit our website: www.bluestargold.ca.

For further information, please contact:
Grant Ewing, P. Geo., CEO
Telephone: +1 778-379-1433
Email: info@bluestargold.ca

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the Policies of the TSX-Venture Exchange) accepts responsibility for the adequacy or accuracy of this Release.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INFORMATION

This press release contains “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding prospective income and revenues, anticipated levels of capital expenditures for fiscal year, expectations of the effect on our financial condition of claims, litigation, environmental costs, contingent liabilities and governmental and regulatory investigations and proceedings, and estimates of mineral resources and reserves on our properties.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets, strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses into our operations, developments and changes in laws and regulations, including increased regulation of the mining industry through legislative action and revised rules and standards applied by the regulatory bodies in Nunavut, changes in the price of fuel and other key materials and disruptions in supply chains for these materials, closures or slowdowns and changes in labour costs and labour difficulties, including stoppages affecting either our operations or our suppliers’ abilities to deliver goods and services to us, as well as natural events such as severe weather, fires, floods and earthquakes or man-made or other disruptions of our equipment, and inaccuracies in estimates of mineral resources and/or reserves on our mineral properties.