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DIAGNOS Announces Prospecting Program on High Priority Gold Targets in Former Eastmain Mine Area

DIAGNOS Inc., a leader in the use of knowledge extraction and artificial intelligence tools, announced today a prospecting program on a number of high priority gold targets beside the Eastmain former gold mine and several gold targets directly in the north of the new kimberlites discoveries as announced by Stornoway on May 5, 2016, on their Adamantin project.

Majescor Resources Inc. ("Majescor") (TSX VENTURE:MJX) and Eastmain Resources Inc. ("Eastmain Resources") (TSX:ER) have mobilized a team to start its prospecting program to follow up high priority gold targets (Figure 1-Majescor targets and Figure 2-Eastmain targets). The properties are located near the Route 167 extension, 320 kilometres north of Chibougamau.

The targets were identified by Diagnos Inc. who conducted a regional Computer Aided Resource Detection System ("CARDS") analysis in early 2016 in the former Eastmain mine area. The system uses pattern recognition algorithms to analyze compiled digital exploration data and to identify areas with similar geological signatures to known areas of gold mineralization. The new claims are located near Route 167 extension, 320 km N of Chibougamau. They are within the favorable Opinaca metasedimentary Subprovince, which has numerous gold mines, deposits and occurrences, including Goldcorp's Eleonore Gold Mine (8+M oz Au, in production), Eastmain Resources' Clearwater gold deposit (0.95M oz Au, at feasibility) and the Eastmain (Resources) Gold Mine (0.25M oz Au, open at depth and along strike). The region is very active, and considered one of the most favorable for new gold discoveries in Canada.

In September 2015, Majescor announced that it had acquired 172 claims using DIAGNOS' property Computer Aided Resource Detection System (CARDS) to target the gold potential in the James Bay area of Quebec. The CARDS system analyzed exploration data compilation, and identified areas (targets) using geophysical and geological and signatures similar to areas of known mineralization. The Eastmain database modelling included: 1) levelled and merged airborne magnetic surveys of the James Bay area; 2) topography; and 3) over 800 historical compiled assays (356 with Au = 1 g/t Au) from Quebec government-registered drill hole assays and surface samples database (Sigeom, MRN). Based on CARDS analysis and interpretation of known lithology and structural geology in the region, over 12 high priority gold targets have been identified and staked by Majescor.

Under the terms of purchase and sale agreement with DIAGNOS, Majescor issued 1,400,000 common shares, $30,000 in cash and a 2% royalty on the net return of the smelting revenues associated with the minerals and concentrates to be extracted from the concessions identified by DIAGNOS. The purchase agreement stipulates that Majescor may, at any time, reduce the royalty from 2% to 1% by paying DIAGNOS $1,000,000 in cash.

For the gold targets and services, Eastmain Resources paid $25,000 to DIAGNOS, no NSR. The targets are located on claims already owned by Eastmain Resources.

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