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Location and Land Position

Harvest Gold’s Rosebud Gold Mine Project consists of 54 claims (approximately 1,067 acres) centered on and surrounding the former Rosebud Mine. The property package is in northwest Nevada approximately five miles to the south of the Hycroft Mine which has produced more than 1,000,000 oz Au, 2,000,000 oz Ag and has recently resumed production. Rosebud is part of a large, robust, low-sulfidation hydrothermal system that extends throughout most of the Kamma Mountains.

Past Production

Rosebud was mined by a Hecla-Newmont joint venture between 1997 and 2000 producing 396,842 ounces gold (avg. grade 0.4164 oz Au/t) and 2,309,876 ounces silver (avg. grade 2.42 oz Ag/t) from high grade ores. The mine was one of the highest-grade modern gold producers in Nevada (grades up to 46.2 oz Au/t).

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Northern Nevada 14-16 Ma Low Sulfidation Epithermal Deposits

Resources

In 1995, prior to the commencement of mining, Hecla calculated a resource of 13,452,000 tons grading 0.066 oz Au/t, 0.797 oz Ag/t for 891,460 oz Au and 10.7 million oz Ag. In late 2000, following closure of the Rosebud Mine, at a time when gold prices had fallen to US$252/oz Au, Hecla reported an historical remaining Measured and Indicated Global Resource of 6,816,021 tons grading 0.036 oz Au/t and 0.31 oz Ag/t at a 0.01 oz Au/t cut-off, containing 242,857 gold ounces and 2,129,750 silver ounces (Hecla Mining Company, 2000). These historical estimates were made prior to the implementation of NI 43-101, may not comply with current CIM standards, and are presented for purposes of historical reference only. The Company is not treating the estimates as a National Instrument 43-101 defined resource, and the historical estimates should not be relied upon. In-place, high-grade gold intercepts are present in several areas peripheral to the mine workings.

Reinterpretation, High-Grade, Bulk Tonnage, Drill Targets

Harvest has reinterpreted the geology at Rosebud and prioritized 11 high quality targets on the property. Because of this new understanding of the geology, particularly the structural controls on mineralization, the Company believes that there is very good potential to discover additional high grade zones within and adjacent to the bulk tonnage envelope, and to expand the size of this envelope.

A NI 43-101 Technical Report was completed in September 2008 (click here to view). The report’s author recommends an aggressive two-phase drill program to explore for high-grade zones in the most prospective targets and to expand the bulk tonnage mineral envelopes.

The first phase of this drilling has been completed and results are discussed below.

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Summary Geologic Map

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Mine Footpring Bulk Tonnage Cross Section

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Valley Target Cross Section

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Unconformity Cross Section

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Valley and Mine Footprint Map

2010 Drilling Results

Each of the 12 reverse circulation drill holes completed in the summer 2010 drill program intersected gold and silver mineralization. Three key intercepts stand out: HGR-3 drilled 35 metres of high grade silver at the unconformity extending mineralization beyond the underground mine workings; HGR-5 drilled 114 metres of bulk tonnage gold mineralization, expanding the bulk tonnage halo and increasing the volume of rock prospective for hosting high grade pods; and HGR-10 drilled 12 metres of shallow gold mineralization in the large, sparsely drilled Valley Target, less than 500 metres (1,600 ft) from the mine footprint.

The Rosebud property is varied and complex. The shallow mineralization in the Valley Target and deeper mineralization in the Unconformity Target beneath and adjacent to the historic mine workings are both large, underexplored targets. In each target, nearly every historical drill hole contains precious metals mineralization or anomalous gold and silver concentrations. The size of the Valley Target is similar to that of the mine footprint. And, there are four other targets, peripheral to the mine footprint, waiting to be tested in future programs.

Discovery of high grade chimneys within the Mine Footprint/Bulk Tonnage Halo remains the Company's main focus. The addition of one or more high grade zones would have a major impact on the minability of the bulk tonnage halo.

The 2010 drill results are being integrated into the Company's structural model.

SUMMARY OF 2010 DRILL HOLES, HGR 1 – HGR 12

Gold equivalent (AuEq) values calculated using a Ag:Au ratio of 66:1, based on a gold price of US$1160/oz and a silver price of US$17.60/oz. No Ag or Au recovery factors have been applied due to a lack of appropriate metallurgical data. All holes are inclined except for HGR-1. True widths are not known and additional modeling and drilling will be required to determine true widths. *Intervals for HGR-1 through HGR-8 previously reported 5 Aug 2010, 11 Aug 2010, and 25 Aug 2010.

Phase II 2011 Drill Results

Results from the Phase II reverse circulation drilling program at the Rosebud gold mine project were released by Harvest Gold on June 20^th. 2011. Visible gold was near surface in the Southern Extension target and shallow mineralization in each hole in the Valley target.  Due to the presence of visible gold in several intervals in the Southern Extension target, metallic screen assays were performed on selected samples.  Although this delayed the release of the Phase II drill results, it has resulted in a doubling to quintupling of Au grades in nearly 20% of samples tested by the metallic screen assay method.  Additional metallic screen assays are underway. In the Valley target, drilling has, for the first time, defined important structural controls on Au and Ag mineralization in this blind, covered zone. And, mineralization starts almost at surface in the Valley target. Understanding these structural controls will be important to expanding the mineralized zone at the large Valley target, most of which remains untested beneath a thin post-mineral cover.

Twenty-two reverse circulation holes were drilled for a total of 4,622 metres in six target areas, the majority testing the Valley and Southern Extension targets.  Gold and silver assays from significant intercepts are summarized below. 

SOUTHERN EXTENSION TARGET

Drill hole HGR-30 intersected 9.14 metres of 0.9 g Au/t within a larger intercept of 44.2 metres of 0.3 g Au/t, 2.3 g Ag/t (0.4 g AuEq/t) in the Southern Extension target.  Six other drill holes tested the Southern Extension and all contain significant intercepts (see table below) within quartz vein, hydrothermal breccia, and stockworks in silicified volcanic rocks.  Mineralization occurs near surface, at and above the faulted contact between fine grained volcanic rocks and Dozer rhyolite, as well as within a deeper zone in Dozer rhyolite.  The deeper mineralization was intersected near the ends of HGR-32 and HGR-33 and is characterized by quartz-sulfide veinlets with minor to absent wall rock alteration.  The Dozer rhyolite is a very competent host rock that is capable of hosting bonanza veins.

Phase II drilling extended mineralization by approximately 100 metres from a thick intercept in HGR-5 (114.3 meters of 0.49 g Au/t; Aug. 5, 2010 news release) drilled in Phase I.  Mineralization in the upper and lower zones is open to the south, southeast, and southwest, and may connect with historical intercepts approximately 100-200 metres to the west.

PHASE II SOUTHERN EXTENSION INTERCEPTS

	FROM	TO	INTERVAL1	Au2	Ag	AuEq3,4
	metres	metres	metres	g/t	g/t	g/t
HGR-18	25.91	38.10	12.19	0.2	1.8	0.2
	109.73	118.87	9.14	0.3	1.9	0.3
	135.64	137.16	1.52	0.5	1.3	0.5
	144.78	146.30	1.52	0.4	1	0.4
	152.40	153.92	1.52	1.3	2	1.3
HGR-19	28.96	99.06	70.10	0.2	3.4	0.3
including	79.25	80.77	1.52	1.2	3.3	1.2
	115.82	134.11	18.29	0.2	1.8	0.2
including	118.87	120.40	1.52	0.7	1.5	0.8
HGR-28	30.48	91.44	60.96	0.2	2.4	0.3
including	44.20	45.72	1.52	0.7	3	0.8
and including	54.86	56.39	1.52	0.8	2.2	0.9
	106.68	115.82	9.14	0.1	3.1	0.2
	128.02	140.21	12.19	0.2	3.6	0.3
including	131.06	134.11	3.05	0.5	5.2	0.6
HGR-30	22.86	67.06	44.20	0.3	2.3	0.4
including	56.39	65.53	9.14	0.9	1.6	0.9
	74.68	80.77	6.10	0.3	1.0	0.3
HGR-32	12.19	13.72	1.52	0.5	1.1	0.5
	33.53	56.39	22.86	0.2	2.3	0.3
	79.25	80.77	1.52	0.5	1.1	0.5
	156.97	170.69	13.72	0.4	1.7	0.5
including	156.97	158.50	1.52	2.2	3.1	2.2
HGR-33	0.00	1.52	1.52	0.3	0.4	0.3
	18.29	19.81	1.52	0.3	1.8	0.4
	27.43	44.20	16.76	0.2	2.9	0.3
	48.77	64.01	15.24	0.4	6.5	0.6
including	51.82	54.86	3.05	1.6	2.5	1.7
including	53.34	54.86	1.52	2.3	2.5	2.3
	73.15	88.39	15.24	0.2	4.2	0.3
	129.54	132.59	3.05	0.3	1.6	0.3
	175.26	176.78	1.52	0.6	1.1	0.6
HGR-34	21.34	33.53	12.19	0.4	1.4	0.4
including	22.86	24.38	1.52	1.6	1.1	1.6
	47.24	73.15	25.91	0.3	1.8	0.3
including	50.29	60.96	10.67	0.5	2.2	0.6
including	51.82	53.34	1.52	2.1	5.8	2.2

¹ - True widths unknown; additional drilling required to determine true widths

² - Metallic screen fire assays used in all intervals where available for HGR-30, HGR-32, HGR-33, and HGR-34.   Remaining intervals are reported from 30g fire assays.

³ - Cutoff values set at 0.17 g AuEq/t

⁴ - Gold equivalent (AuEq) calculated using a Ag to Au ratio of 41.7:1, calculated at spot prices, $1500 Au and $36 Ag

⁵ - All holes are inclined except for HGR-14 and HGR-18 which are vertical.

VALLEY TARGET

All eight holes drilled in the Valley target intersected precious metals mineralization, starting near surface, beneath thin post mineral alluvial cover, with widths ranging up to 67.06 metres.  HGR-31 intersected 9.14 metres of 0.7 g Au/t, 1.0 g Ag/t (0.8 g AuEq/t) within a larger interval of 16.76 metres of 0.4 g Au/t, 2.5 g Ag/t (0.5 g AuEq/t).  Multi-ounce Ag was intersected in three holes, with HGR-22 returning 153.9 g Ag/t, 1.0 g Au/t over 1.52 metres within a 7.62 metre interval of 0.3 g Au/t, 41.5 g Ag/t (1.3 g Au Eq).  Phase II drilling has defined structural controls on mineralization along a contiguous west-northwest striking zone extending 185 metres from historic intercepts (WW-1, MW-4, RL-56).  Mineralization is contained within stockworks and hydrothermal breccias developed in trachytic and rhyolitic host rocks with associated chalcedonic silica and minor banded veining at shallow depths.  Historic intercepts to the north, south, east, and west suggest that mineralization can be expanded in several directions with additional drilling.

PHASE II VALLEY INTERCEPTS

 

	FROM	TO	INTERVAL	Au	Ag	AuEq1
	metres	metres	metres	g/t	g/t	g/t
HGR-13	0	1.52	1.52	0.7	0.8	0.7
	48.77	54.86	6.10	0.6	2.3	0.7
including	53.34	54.86	1.52	0.9	2.0	1.0
	102.11	114.30	12.19	0.1	5.4	0.3
including	102.11	103.63	1.52	0.2	22.7	0.7
HGR-14	3.05	18.29	15.24	0.2	4.3	0.3
including	3.05	4.57	1.52	0.4	33.1	1.2
HGR-15	33.53	47.24	13.72	0.4	3.5	0.4
including	36.58	41.15	4.57	0.8	2.9	0.9
including	38.10	39.62	1.52	1.8	3.8	1.9
	85.34	152.40	67.06	0.2	5.2	0.3
including	106.68	108.20	1.52	0.5	23.4	1.1
	118.87	120.40	1.52	0.1	22.1	0.6
	149.35	150.88	1.52	0.1	25.6	0.7
HGR-20	48.77	53.34	4.57	0.3	23.2	0.8
including	48.77	51.82	3.05	0.2	32.4	1.0
	74.68	103.63	28.96	0.2	12.5	0.5
including	74.68	89.92	15.24	0.2	20.8	0.7
including	77.72	79.25	1.52	0.4	45.2	1.5
and including	85.34	86.87	1.52	0.2	56.4	1.5
HGR-21	36.58	44.20	7.62	0.7	4.4	0.8
including	41.15	42.67	1.52	1.7	3.3	1.8
	83.82	96.01	12.19	0.3	2.7	0.3
HGR-22	19.81	27.43	7.62	0.3	41.5	1.3
including	19.81	22.86	3.05	0.6	87.4	2.7
including	19.81	21.34	1.52	1.0	153.9	4.7
	45.72	74.68	28.96	0.1	4.0	0.2
	96.01	102.11	6.10	0.1	10.8	0.4
	108.20	114.30	6.10	0.1	8.9	0.3
HGR-23	28.96	68.58	39.62	0.2	8.9	0.4
including	39.62	54.86	15.24	0.3	14.0	0.6
and including	35.05	41.15	6.10	0.1	36.3	1.0
	83.82	103.63	19.81	0.2	1.0	0.2
including	102.11	103.63	1.52	1.0	5.2	1.1
	120.40	126.49	6.10	0.2	2.4	0.2
HGR-29	4.57	10.67	6.10	0.2	4.2	0.3
	21.34	59.44	38.10	0.1	6.8	0.3
including	56.39	57.91	1.52	0.2	67.3	1.8
	97.54	150.88	53.34	0.2	3.8	0.3
including	128.02	131.06	3.05	1.1	22.4	1.6
	170.69	178.31	7.62	0.3	1.3	0.3
	207.26	208.79	1.52	1.1	2.4	1.1
	220.98	224.03	3.05	0.3	1.2	0.3
HGR-31	15.24	30.48	15.24	0.1	4.1	0.2
	64.01	82.30	18.29	0.1	4.5	0.2
	108.20	124.97	16.76	0.4	2.5	0.5
including	115.82	124.97	9.14	0.7	1.0	0.8
	132.59	135.64	3.05	0.4	0.6	0.4
	152.40	155.45	3.05	0.2	1.3	0.3

 

SOUTH ZONE

Drill hole HGR-17 intersected 10.67 metres of 1.4 g Au/t, 15.1 g Ag/t (1.7g AuEq/t) and a 22.86 metre intercept of 0.8 g Au/t, 9.8 g Ag/t (1.0 g AuEq/t) in the South Zone.  This hole confirms mineralization within the pre NI-43-101 resource.

 

PHASE II SOUTH ZONE INTERCEPTS

	FROM	TO	INTERVAL	Au	Ag	AuEq1
	metres	metres	metres	g/t	g/t	g/t
HGR-17	38.10	45.72	7.62	0.1	7.9	0.3
	86.87	94.49	7.62	0.7	9.8	0.9
including	88.39	89.92	1.52	0.1	30.5	0.8
and including	89.92	91.44	1.52	1.5	3.6	1.6
	138.68	161.54	22.86	0.8	9.8	1.0
including	150.88	161.54	10.67	1.4	15.1	1.7
including	152.40	153.92	1.52	3.8	13.8	4.1
and including	160.02	161.54	1.52	0.9	60.5	2.3
	170.69	192.02	21.34	0.4	6.1	0.5

 

FAR EAST TARGET

Two holes were drilled in the Far East target.  Results are summarized in the following table.

PHASE II FAR EAST INTERCEPTS

	FROM	TO	INTERVAL	Au	Ag	AuEq1
	metres	metres	metres	g/t	g/t	g/t
HGR-25	50.29	59.44	9.14	0.3	6.2	0.5
including	50.29	51.82	1.52	1.3	4.5	1.4
	74.68	91.44	16.76	0.4	7.3	0.6
including	80.77	82.30	1.52	1.1	9.1	1.4
HGR-26	156.97	161.54	4.57	0.1	16.6	0.5
including	156.97	158.50	1.52	0.2	31.0	1.0
	222.50	225.55	3.05	0.3	0.9	0.3

METALLIC SCREEN ASSAYS

Due to the presence of visible gold in certain intervals in the Southern Extension target, metallic screen assays were performed on selected mineralized intervals in HGR-30, HGR-32, HGR-33, and HGR-34.  Metallic screen assays are the preferred analytical method for samples containing coarse gold because coarse Au may plate out during preparation of samples for conventional 30g (1 assay ton) fire assays, resulting in under-reporting of Au values.  Metallic screen assays provide more accurate results where coarse gold is present because total Au values are calculated from analyses of both fine and coarse fractions.  The metallic screen assay procedure is as follows.  Approximately 1kg of sample is sieved through a 150 mesh screen and the -150 mesh and +150 mesh fractions are both saved.  Gold assays are then performed on two -150 mesh splits and on the +150 mesh fraction, and a total Au value is then calculated based on the weights and assays from each fraction.  The presence of coarse gold in the sample is determined by Au analysis of the coarse fraction and comparison with results from the fine fraction.  Results of the metallic screen assays are summarized below.

Approximately 42% of samples analyzed by the metallic screen technique show decreases in Au relative to standard 30g fire assays, whereas 58% show increases.  Moreover, the median decrease in Au grade is 26% whereas the median increase is 59%.  Large increases in Au grade by metallic screen assays are seen in HGR-30 and HGR-33, and to a lesser extent in HGR-32 and HGR-34, and coarse Au has been detected in 26% of samples (22 out of 86) submitted for metallic screen assays.  Additional samples from mineralized intervals in the Southern Extension target are being selected to be submitted for metallic screen assays.

Drill samples were collected at the drill site, transported to Sparks, NV and assayed by Inspectorate America of Reno, following standard industry practice. Gold results were determined using standard fire assay techniques on a 30 gram sample with an atomic absorption finish.  Additional gold values were determined by metallic screen assays as described and tabulated above. Samples or standards returning assays exceeding 10 grams Au per tonne were re-assayed using a gravimetric finish.  Silver results were determined by ICP.  Rigorous QA/QC was employed including the insertion of standards and blanks into the sample stream.

COMPARISON BETWEEN STANDARD 30G FIRE ASSAY AND METALLIC SCREEN ASSAY RESULTS FOR SOUTHERN EXTENSION DRILL HOLES.

Sample ID	From	To	Au g/t	Au g/t	Percent difference
	metres	metres	30 g fire assay	Metallic screen assay
HGR-30 150'-155'	45.72	47.24	0.456	0.226	-50
HGR-30 155'-160'	47.24	48.77	0.232	0.171	-26
HGR-30 160'-165'	48.77	50.29	0.130	<0.103
HGR-30 165'-170'	50.29	51.82	0.121	<0.103
HGR-30 170'-175'	51.82	53.34	0.165	0.38	130
HGR-30 175'-180'	53.34	54.86	0.371	0.205	-45
HGR-30 180'-185'	54.86	56.39	0.122	<0.103
HGR-30 185'-190'	56.39	57.91	0.220	0.887	303
HGR-30 190'-195'	57.91	59.44	0.166	0.856	416
HGR-30 195'-200'	59.44	60.96	0.151	0.649	330
HGR-30 200'-205'	60.96	62.48	0.126	0.786	524
HGR-30 205'-210'	62.48	64.01	0.362	0.972	169
HGR-30 210'-215'	64.01	65.53	0.390	1.074	175
HGR-30 215'-220'	65.53	67.06	0.169	0.206	22
HGR-30 245'-250'	74.68	76.20	0.199	0.233	17
HGR-30 250'-255'	76.20	77.72	0.417	0.495	19
HGR-30 255'-260'	77.72	79.25	0.399	0.31	-22
HGR-30 260'-265'	79.25	80.77	0.112	0.17	52
HGR-32 110'-115'	33.53	35.05	0.168	0.308	83
HGR-32 115'-120'	35.05	36.58	0.300	0.307	2
HGR-32 120'-125'	36.58	38.10	0.780	0.431	-45
HGR-32 125'-130'	38.10	39.62	0.414	0.227	-45
HGR-32 130'-135'	39.62	41.15	0.134	0.171	28
HGR-32 135'-140'	41.15	42.67	0.083	<0.103
HGR-32 140'-145'	42.67	44.20	0.162	0.257	59
HGR-32 145'-150'	44.20	45.72	0.298	0.14	-53
HGR-32 150'-155'	45.72	47.24	0.156	0.105	-33
HGR-32 155'-160'	47.24	48.77	0.111	0.258	132
HGR-32 160'-165'	48.77	50.29	0.123	0.139	13
HGR-32 165'-170'	50.29	51.82	0.205	0.298	45
HGR-32 170'-175'	51.82	53.34	0.143	0.139	-3
HGR-32 175'-180'	53.34	54.86	0.106	0.172	62
HGR-32 180'-185'	54.86	56.39	0.509	0.123	-76
HGR-33 95'-100'	28.96	30.48	0.343	0.718	109
HGR-33 135'-140'	41.15	42.67	0.309	0.25	-19
HGR-33 160'-165'	48.77	50.29	0.206	0.153	-26
HGR-33 165'-170'	50.29	51.82	0.446	0.227	-49
HGR-33 170'-175'	51.82	53.34	0.171	0.946	452
HGR-33 175'-180'	53.34	54.86	0.617	2.253	265
HGR-33 180'-185'	54.86	56.39	0.171	0.235	37
HGR-33 185'-190'	56.39	57.91	0.171	0.156	-9
HGR-33 190'-195'	57.91	59.44	0.137	0.146	6
HGR-33 250'-255'	76.20	77.72	0.171	0.315	84
HGR-33 255'-260'	77.72	79.25	0.274	0.141	-49
HGR-33 260'-265'	79.25	80.77	0.171	0.14	-18
HGR-33 265'-270'	80.77	82.30	0.171	<0.103
HGR-33 270'-275'	82.30	83.82	0.240	0.222	-7
HGR-33 275'-280'	83.82	85.34	0.343	0.208	-39
HGR-33 280'-285'	85.34	86.87	0.274	0.139	-49
HGR-34 70'-75'	21.34	22.86	0.171	0.207	21
HGR-34 75'-80'	22.86	24.38	1.166	1.57	35
HGR-34 80'-85'	24.38	25.91	0.171	0.143	-17
HGR-34 85'-90'	25.91	27.43	0.103	0.112	9
HGR-34 90'-95'	27.43	28.96	0.069	0.158	130
HGR-34 95'-100'	28.96	30.48	0.240	0.277	15
HGR-34 100'-105'	30.48	32.00	0.103	0.12	17
HGR-34 105'-110'	32.00	33.53	0.549	0.657	20
HGR-34 155'-160'	47.24	48.77	0.206	0.191	-7
HGR-34 160'-165'	48.77	50.29	0.137	0.16	17
HGR-34 165'-170'	50.29	51.82	0.171	0.138	-19
HGR-34 170'-175'	51.82	53.34	1.303	2.093	61
HGR-34 175'-180'	53.34	54.86	0.171	0.335	95