Lucky Announces Start of Exploration Work on Fortuna

The Fortuna Project has potential to host three significant types of gold mineralization - epithermal, orogenic, and placer gold - as well as, copper-gold porphyry systems coincident with twelve known volcanic centres on the property (see Plate 5). This latter style of mineralization includes the El Buitre discovery made by the company in 2018. The El Buitre porphyry target on Fortuna 3 is known to host favorable copper-gold mineralization and is a likely target under the Company's memorandum of understanding with First Quantum Minerals Ltd.

Lucky's crew is focused on gold discovery on Fortuna and consists of two senior and two junior geologists. Primary objectives are follow-up work of anomalous areas and reconnaissance on the Fortuna 8, 9, and 10 concessions in the northwest, and the Fortuna 11 and 12 concessions in the southern region of the concession area, located in the provinces of Zamora Chinchipe and Azuay. This work is concurrent with work being completed by First Quantum Minerals.

Plate 1: Location map of the Fortuna Mineral concessions (Fortuna 1 to 12).

Lucky CEO, Adrian Rothwell, stated "To date geological fieldwork has identified several possible volcanic hosted epithermal type gold targets in the northwestern section on the Fortuna 8, 9 and 10 concessions. Subject to the success of this program, we look forward to conducting ground IP/resistivity geophysical surveys and soil sampling in order to define potential drill targets this year. Other priority exploration work now underway is to confirm the occurrence of orogenic type gold mineralization along a metamorphosed Paleozoic belt known in Ecuador as the "Cordillera Real" (Fortuna 11 and 12 concessions)."

Plate 2: Map of the Fortuna Project concessions in relation to nearby deposits and prospects.

Highlights:

Teams have been deployed to assess known areas with the highest potential for the occurrence of gold mineralization and into areas that have never previously been explored by the Company. Work will include surface geological mapping and sampling. This work will focus on mapping areas of alteration and taking rock samples. The objective being, to locate the source of the recently observed gold mineralization in the Shincata River regions, to review known areas with anomalous gold and define new areas. This work will define areas for follow-up ground geophysics, trenching and ultimately drill targets.

The Property spans the contact between Paleozoic and Mesozoic basement rocks to the east, and Tertiary volcanics to the west of the Fortuna concessions. Northeast trending and structurally controlled (fault bound) geological belts are found within the concessions (see map below).

The westernmost belt is comprised of Tertiary volcanics and has potential for hosting epithermal gold mineralization (Fortuna 8, 9 and 10). The middle belt is mainly of Triassic age rocks and appears to have been pierced by Miocene age intrusions and volcanics. Within this belt (Fortuna 3), the El Buitre porphyry target is located.

The Fortuna 2, 6, 7, 11 and 12 concessions lie within a belt of mainly Paleozoic rocks. It has good potential to host orogenic type gold mineralization, as that found in similar type and age rocks in Peru. Below is photo of a siliceous hand specimen taken recently from outcrop by our exploration team in the Fortuna 9 concession. This siliceous rock fragment is typical of epithermal gold systems and has vuggy silica, breccia fragments and alteration minerals such as, jarosite, alunite and limonite clusters. The breccia matrix is composed of mainly silica.

Plate 3: Fortuna 9 Hand Specimen

Property Geology:

Plate 4: Fortuna Project Geology Map

Two major geological features stand out. The El Buitre Porphyry and Breccia Zone (Fortuna 3), which consists of a phyllic altered stockwork & breccia zone with anomalous copper, gold and moly. To the west and northwest lies an area of volcanic altered rocks (silica-clay-alunite-jarosite) with areas of quartz stockwork veinlets, including vuggy, colloform and banded quartz textures. This area is anomalous in gold, and hosts potential for outlining epithermal precious metal mineralization, of the type found at the El Mozo gold deposit just south of Fortuna 10. Also, historical gold placer mining to the south and west on the property are good indicators for locating the source of this gold mineralization.

It is within these potential gold-bearing zones that will be the focus of this initial phase of exploration for 2020 by the Company.

The El Buitre Porphyry target and the hydrothermal phyllic alteration and the geochemical signatures observed appear to be distinct from other type porphyries found in Chile and Peru, as the El Buitre porphyry intrusion is emplaced into an "S-Type" meta-granite of Triassic age and into Paleozoic meta-sediments.

Geological and Structural Setting:

Landsat image interpretation showing distinct geological belts and structural features is shown in the image below. Also, the location of the El Mozo gold project and the El Buitre porphyry area, in relation to the Fortuna concessions is shown in the figure below.

The presence of volcanic domes is significant as gold mineralization (as observed in the El Mozo gold deposit) can be spatially and temporally related. Hydrothermal cells responsible for gold mineralization appear to be controlled by high-angle faults. These same faults can influence the emplacement of volcanic domes, an essential step in the development of gold mineralization.

Plate 5: Landsat image interpretation showing circular features, domes and four distinct northeast trending geological belts.

About Lucky

Lucky is an exploration and development company targeting large-scale mineral systems in proven districts with the potential to host world class deposits. Lucky owns a 100% interest in the Fortuna and Emigrant Projects.

The Company's Fortuna Project is a royalty-free 550km² (55,000 Ha, or 136,000 Acres) exploration concession. Fortuna is located in a highly prospective, yet underexplored, gold belt in southern Ecuador. Lucky has a memorandum of understanding on Fortuna with First Quantum Minerals Ltd. ("First Quantum") whereby First Quantum is able to earn up to 70% of copper targets.

The Emigrant Creek Project covers a 15 km² area in an intensely altered and mineralized porphyry copper-gold-molybdenum system in southern Montana.

Qualified Person:

Victor Jaramillo, M.Sc.A., P.Geo., Lucky's Exploration Manager and a qualified person in accordance with National Instrument 43-101, is responsible for supervising the exploration program at the Fortuna Project for Lucky Minerals and has reviewed and approved the technical information contained in this news release.

ON BEHALF OF THE BOARD

"Adrian Rothwell"
Chief Executive Officer

Further information on Lucky can be found on the Company's website at www.luckyminerals.com and at www.sedar.com, or by contacting Adrian Rothwell, President and CEO, by email at investors@luckyminerals.com or by telephone at (866) 924 6484.

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 Statement Regarding Adjacent Properties and Forward-Looking Information

This news release contains forward-looking statements relating to the future operations of the Company and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the future plans and objectives of the Company are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Such factors include, but are not limited to: uncertainties related exploration and development; the ability to raise sufficient capital to fund exploration and development; changes in economic conditions or financial markets; increases in input costs; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities; and labor relations matters. This list is not exhaustive of the factors that may affect the Company's forward-looking information. Important factors that could cause actual results to differ materially from the Company's expectations also include risks detailed from time to time in the filings made by the Company with securities regulators.

The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward-looking statements as expressly required by Canadian securities law.

SOURCE: Lucky Minerals Inc.