Goldgroup Mining Inc. ("Goldgroup")
is a Canadian-based mining &
metals company focused on gold
production and exploration in Mexico, one of
the world's best mining jurisdictions. Goldgroup's
goal is to explore, develop and grow production
from two main assets: San Jose de Gracia and Cerro Prieto
Goldgroup's 100% ownership of the Cerro Prieto mine and its 50% interest in DynaResource de Mexico, which owns 100% of the San José de Gracia project represents an estimated mineral resource (NI 43-101 compliant, see disclosure below) totaling approximately 59,000 oz Au of Measured resources, 236,500 oz Au of Indicated resources and 602,500 oz Au of Inferred resources, plus the potential to considerably
Projects Cerro Prieto (Circle) Cerro Prieto (Label) Cerro Colorado (Circle) Cerro Colorado (Label) San Jose de Gracia (Circle) San Jose de Gracia (Label)

increase these estimated resources through continued drilling and exploration. Goldgroup is led by a team of highly successful individuals with extensive expertise in exploration, corporate finance, and mine development in Mexico. Goldgroup is listed on the Toronto Stock Exchange under the symbol "GGA", the OTCBB under the symbol "GGAZF" and the SIC under the symbol GGAN.MX.

Caballo Blanco

On December 18, 2014 Goldgroup entered into an agreement to sell its 100% interest in the Caballo Blanco Project to Timmins Gold Corp. for approximate cash and share proceeds totaling up to US$30 million. Timmins paid, on closing, US$10 million cash and issued 16.065 million shares of Timmins to Goldgroup. Additionally, Goldgroup is entitled to an additional contingent amount of US$5 million that will become payable in cash, Timmins Gold shares, or a combination thereof (at the option of Timmins Gold, provided that Goldgroup's ownership in Timmins Gold will not exceed 9.9% at any time) should any of the following events occur prior to October 31, 2019: The approval of the Project's Environmental Impact Statement from SEMARNAT, A change in beneficial ownership of Timmins Gold of greater than 50%; or, The removal or change, at one time, of a majority of the current members of the Timmins Gold Board of Directors

San José de Gracia

San José de Gracia, located in the northeast portion of Sinaloa State, Mexico, is a high-grade advanced stage gold project. Goldgroup holds a 50% interest in DynaResource de Mexico, S.A. de C.V., which owns 100% of San José de Gracia. In November 2011, Goldgroup announced an updated NI 43-101 compliant mineral resource estimate on the San José de Gracia project based on an additional 172 drill holes. This updated NI 43-101 Technical Report hosts an Indicated Resource at the Tres Amigos vein of 147,000 oz Au (913,000 tonnes grading 5.00 g/t Au) and an aggregate Inferred Resource at all four veins of 963,000 oz Au (5.8 million tonnes grading 5.16 g/t Au). This updated mineral resource estimate will be used to support a future Preliminary Economic Assessment (PEA) for mining. Goldgroup is currently reviewing strategic alternatives for development for the San Jose de Gracia project. Goldgroup hopes to find a resolution to recent legal disputes with DynaResource Inc.

Cerro Colorado

Goldgroup owns a 100% interest in the Cerro Colorado gold mine, located in northern Sonora, Mexico. Cerro Colorado produced approximately 15,000 ounces of gold in 2013 and 2012. Goldgroup ceased mining operations at Cerro Colorado in July 2014 and the leach pads have now been rinsed.

* Mineral resource estimates for the San Jose de Gracia project were prepared as part of NI 43-101 compliant Technical Report as amended February 28, 2011 by Jim F. Cuttle, B.Sc., P.Geo. And Gary Giroux, MASc, P.Eng. Of Giroux Consultants Ltd. Both of whom are independent Qualified Personas under NI 43-101 standards.The Mineral Resource estimates for the Cerro Prieto project were prepared by or under the supervision of G.H. Giroux, P.Eng., MASc. and Dr. Duncan J. Bain, P.Geo. who are independent "Qualified Persons" under National Instrument 43-101 Standards of Disclosure for Mineral Projects.

Cerro Prieto

The Cerro Prieto Project, located in the Cucurpe Mining District, Sonora, Mexico, is comprised of the San Felix (205 ha), San Francisco (10 ha), Elba (5.82 ha), Huerta de Oro (20 ha), Reyna de Plata (9.79 ha), Cerro Prieto "North" (2,508 ha) and Argonauta 6 (4,120 ha) mineral concessions. The Cerro Prieto Project is 52 road kilometers from the regional center of Magdalena de Kino and 150 kilometers northeast of the city of Hermosillo. Goldgroup began small-scale trial mining and leaching in December 2013 and is working to ramp-up mining operations to commercial production rates.

An updated National Instrument 43-101 Measured and Indicated and Inferred mineral resource estimate for the Cerro Prieto Project was prepared in the first half of 2013.

Mineral Resource Estimate Highlights:
  • Measured Mineral Resources in veins (Table 1) comprised of 1.18 million tonnes grading 1.56 grams per tonne (g/t) gold, 30.28 g/t silver, 0.15% lead and 0.33% zinc for a total of approximately 59,000 ounces of gold
  • Indicated Mineral Resources in veins (Table 2) comprised of 4.92 million tonnes grading 1.03 g/t gold, 22.12 g/t silver, 0.32% lead and 0.80% zinc for a total of approximately 163,000 ounces of gold
  • Inferred Mineral Resources in veins (Table 3) comprised of 5.025 million tonnes grading 0.75 g/t gold, 20.62 silver, 0.49% lead and 1.28% zinc for a total of approximately 121,000 ounces of gold
  • Cerro Prieto remains open to the south of the existing resource along the 7.5 kilometer extension of the mineralized shear zone
  • Preliminary column leach test work completed by Kappes Cassidy & Associates, under the direction of Arthur H. Winckers and Associates, a consultant for the Company, at the Project returned gold recoveries of between 47% to 68% with head grades ranging from 0.79 g/t to 0.95 g/t gold over 98 days.
Qualified Persons:
The Mineral Resource estimate for the Cerro Prieto Project was prepared by G.H. Giroux, P.Eng., MASc. and Dr. Duncan J. Bain, P.Geo. who are independent "Qualified Persons" under National Instrument 43-101 Standards of Disclosure for Mineral Projects. The technical report title Report on the 2011-2012 Exploration Program Including an Updated Resource Estimation on the Cerro Prieto Project, Magdelena De Kino Area, Sonora State, Mexico" and dated June 10, 2013 is available for viewing on SEDAR (www.sedar.com)
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