Algold Reports Impressive Assay Results Including 70.8 g/t Au in Rock Chips from Tijirit's Eleonore Zone in Mauritania

MONTREAL, June 27, 2016 /PRNewswire/ --

ALGOLD RESOURCES LTD. (TSX-V: ALG) (the "Corporation") today announced results from geological mapping and rock chip sampling on the Tijirit property, where a 10,000-meter reverse-circulation ("RC") drilling program is currently underway.

Between April and June 2016, Algold uncovered a series of quartz veins in trenches and pits on the Eleonore zone. These findings could possibly represent a large stockwork enclosed within a major shear zone, striking for more than 10 km in a north-northeast direction. Based on these new findings as well as on previous work, Algold strongly believes that this area hosts a high-grade gold deposit. This is a completely new high-grade gold occurrence in Mauritania.

Highlights:

• The Eleonore zone now represents a resources target, striking over 3.1 km, with the highest-grade rock chip sample grading 70.8 g/t Au found in the south. This is the highest-grade rock chip ever found on the property to date, not including rock chip samples from the VG bearing veins. (Reference Algold's press release dated June 21, 2016.) (Figure 1)
• The 9.41 g/t Au sample was found approximately 300 m north of the high-grade gold quartz vein depicted in Algold's press release dated May 19, 2016.
• The Eleonore structure is characterized by mineralized quartz veins, which have been identified further north and south of currently know occurrences thus extending the exploration target to more than 10 km.
• A previously little known occurrence named the "Nancy zone" provided the highest-grade banded iron formation ("BIF") rock chip ever found outcropping on the property, at 6.71 g/t Au. Drilling has not yet begun in this area.

Table 1: High Grade Gold Samples

   
           Fire Assay   Fire Assay   Fire Assay   Gravimetric   Gravimetric
            Au-AA24       Au-AA24      Au-AA24      Au-GRA22     Au-GRA22

              Au          Au Check     Au Check 2      Au         Au Check
    Sample   (ppm)        (ppm)         (ppm)         (ppm)       (ppm)
    A08306   >10.0         N/A          N/A          66.3         70.8
    A08451   >10.0         N/A          N/A          10.6         20.2
    A08452   >10.0         N/A          N/A          5.45         10.8
    A08453    4.07         3.28         N/A          N/A          N/A
    A08467    6.71         5.6          N/A          N/A          N/A
    A08477    5.99         8.78        >10.0         9.09         N/A
    A08486   >10.0         N/A          N/A          9.41         8.19
    A08498    3.57         3.11         N/A          N/A          N/A
    A08499   >10.0         N/A          N/A          44.0         48.7