Oh totally. Just at last check (which may not be canon anymore??) was that he was in the caves, right before everyone went to NVL.
George being chained down in the mines was only seen in a deleted scene. Not only that, but it was among the deleted scenes that were only available via a bonus disc exclusive to Best Buy’s release of Season 2, so most people who own Season 2 on DVD or Blu-Ray don’t even have it. So yeah it isn’t canon anymore, unless it’s directly referenced in this episode.
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