East Africa Metals Provides Update on Metallurgical Testwork for the Terakimti Gold Project, Ethiopia

VANCOUVER, BC --(Marketwired - July 05, 2016) - East Africa Metals Inc. (TSX VENTURE: EAM) ("East Africa" or the "Company") is pleased to report the initial results of ongoing column leaching test work for the Terakimti Gold Project in the Federal Republic of Ethiopia.

Results received to date from the first column leach test demonstrate excellent gold extractions have been achieved as indicated by the rapid recovery of 76.8 percent of gold after 24 days of a planned 60 day leach test. These initial column leach results are positive and further support heap leaching as the preferred technology for the extraction of gold and silver at Terakimti.

Column Leach Test Work Results to date

Two column leach tests are currently underway at the SGS laboratory in Johannesburg, South Africa. The first column has been in operation for 24 days and has achieved gold extraction of 76.8 percent and a silver extraction of 36.8 percent based on solution assays. The second column has been in operation for five days and has already achieved a gold extraction of 50.3 percent. Both columns are scheduled to operate for 60 days.

Heap leaching typically requires lower capital and operating costs than processes utilizing grinding and agitated leaching technologies, as well as shorter construction periods.

"We are very pleased by the excellent metallurgical test results achieved to date for Terakimti. These positive results build on the encouraging performance of previous test work and are an important indicator that heap leaching technology is an appropriate application for the Terakimti Oxide Gold Project. East Africa's technical team is taking a methodical approach to the test work program in order to build a solid technical database for project development," stated Sean Waller, P.Eng., Chair of East Africa's Technical Development Committee. "The test work is ongoing and we look forward to receiving the next set of results."

Testwork Program

The objectives of this program are to test the amenability of the Terakimti near surface oxide material to extraction of gold and silver utilizing industry standard heap leaching technology, and to determine parameters for preliminary process design. Column operation is monitored daily by analyzing the gold and silver content and volume of the discharge solution as well as other key operating parameters including flow rates and reagent levels. At the completion of the 60 day leach period the solids residues from the columns will be assayed to finalize the gold and silver extractions. The column tests are being performed on composite samples developed to be representative of the Terakimti oxide gold deposit. The samples have been crushed to a relatively coarse particle size of 100% passing 16 mm and have been agglomerated prior to placement in the columns. The columns are two meters high with a diameter of 150 mm.