PRIZE MINING CORPORATION

SHAREHOLDER AND CORPORATE UPDATE

JULY 2019

HAPPY SUMMER TO YOU ALL!

PROJECT ACTIVITY

PRIZE MINING CORPORATION | Suite 250, 1199 West Hastings St., Vancouver, BC V6E 3T5 | T 604.336.1327 | E info@prizemining.com | W prizemining.com

CORPORATE

The following is intended as a brief update on Prize Mining and our current and planned near term activities for the company. We very much appreciate your interest and continued support and as always are available to answer your questions at anytime.

As most of you are aware the last 9 months have involved a lot of hard work getting the company on a solid footing and moving our projects forward. There was a lot of change at the end of 2018 and corporate issues that had to be dealt with in the first quarter of this year. I am happy to say that the majority of that work has now been concluded and we are clearly focused on the future of the company and building our shareholder and broader market support. Our near term goals will focus on advancing our projects in both Canada and Mexico, managing our resources carefully and work to have our share price and market value improve materially.

The company completed a successful exempt private placement financing in mid-June raising $830,000. With those funds in place, we are able to allocate our budgets appropriately and advance field and study work at both the Kena Gold Project and the Manto Negro Copper Project.

Recent gold price increases have given some life to the precious metals market which is encouraging. We have not seen a meaningful response in the junior markets in terms of share price appreciation yet but, if the current rally can sustain itself, then this could be the start of something significant. As many nvestors are well aware, we have been in a bear market for junior equities for some time and it has been tough on shareholders and public issuers ability to

OVERVIEW

raise capital. There is anticipation that the current price rally for gold could be a turning point and hopefully we will see real value being created in the near term.

On the base metals side, copper prices have remained relatively flat or weak over past 6 months. This coming primarily as a result of trade tensions between two of the worlds largest economies: the USA and China. Predictions are this will eventually settle and, when that happens, and global infrastructure, industrial development investment and GDP increase, we will see a strong run for copper prices in the medium term. There is little doubt that this will happen. The question is when and what will be the catalyst to make it begin.

The business model of Prize has been to explore and build resources on properties that have the potential to be high value mines in the future. Our objective with both the Kena Gold Project and with Manto Negro Copper has been to define and build resources such that the future development of both projects into becoming a mine is clearly visible to investors and project partners. We continue to execute on that strategy and are expecting a good second half to 2019.

Michael McPhie, M.Sc., QEPPRESIDENT & CEO, DIRECTOR

MANTO NEGRO COPPER PROJECTPhase 1 Drilling

2,800 meters completed in

01/2019

Phase 2 Planned Drilling

Summer/Fall 2019

As detailed in the Prize Press Release on March 12, 2019 (https://prizemining.com/2019/03/) surface exploration work has been ongoing at Manto Negro over the spring. Below are some photos from that effort. Assay results from surface trenching and sampling over a large 30+ kilometer mineralized trend on the property are expected soon and we are anticipating this will continue to validate the scale and opportunity of this sediment hosted copper/silver property.

The goal of our work this spring has been to establish drill targets for Phase 2 drilling which we hope to be able to begin later this summer. Our areas of interest are shown in the map.

Our goals for phase 2 is demonstrate the continuity and extent of mineralization over the full 30+ kilometer trend and identify primary areas for resource building and definition. This will build on our successful Phase 1 program in late 2018/early 2019 and is intended to increase our confidence in the overall scale of opportunity for high grade copper mineralization at Manto Negro.

KENA GOLD PROJECTAs was detailed in the June 26th, 2019 press release (link below) we recently retained the services of JDS Energy and Mining Ltd. to undertake a scoping level engineering and economic assessment of the Kena Gold Project.(https://prizemining.com/2019/06/26/prize-mining-retains-jds-energy-and-mining-ltd-for-engineering-and-economic-study-of-the-kena-gold-project/)

Our reasons for doing this are several fold. First being that with a NI 43-101 1.8 million ounce indicated and inferred resource in place already at Kena, our interest is to better understand and demonstrate the overall project economics of Kena in terms of future mining potential. The second is that this work by JDS will assist us in defining our future exploration and drilling focus by identifying key engineering and geological controls on the property. Finally, this work will assist and support discussions with potential project partners and investors.

AGM – The company Annual General Meeting (AGM) has been called for August 22nd, 2019 at 10:00 am Pacific. It will be held in Vancouver and Information Circular materials have now been sent out to all registered shareholders. Name Change – Prize will be looking to get approval from shareholders to change the company name at the AGM. The change of name to Boundary Gold and Copper Mining Ltd. will allow us to rebrand the company and begin a concentrated marketing effort to reach new and prospective shareholders.

Marketing – Prize will be initiating a global marketing effort for the company beginning in Europe this summer and then the US and Canada in the fall. With results from our work in Mexico and BC coming in we will look to create market awareness and support for the company.

As part of this agreement, Prize funded the drilling of two exploration diamond drill holes totaling approximately 1,350 meters on the property. The company, based on the results of the first two holes, then has the option to drill a further two holes to earn a 100 percent interest in the properties. The initial drilling took place in February and March of this year and was paid for by Prize. This included management fees and expenses relating to Mr. Glenn Galata of Denton Resources.

To date, Prize has not received full assay results from Denton for this work. As soon as they are obtained they will be released and the company will determine the path forward with this property.

Carscallen Property, Ontario – On April 2, 2019 Prize announced it had entered into an Option Agreement with a privately held company known as Denton Resources with respect to the Carscallen Gold Property in the west Timmins area of northern Ontario.

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