Pure Gold Drilling Commences Extensive 2017 Exploration Program - Seite 3

Mineralization at Madsen is hosted preferentially in the McVeigh and Austin horizon, and these preferred host rocks have been traced over two kilometres southward to the past-producing Starratt Olsen mine where initial drilling has returned high grade gold mineralization in a setting that is directly related to mineralization encountered at Madsen. Together with drilling at the McVeigh, Austin, and A3 targets of Madsen, these holes define a five kilometre mineralized horizon that is now well-understood and prospective for additional discovery and resource expansion.

Additionally, Pure Gold drilling at Russet South, located 1.5 kilometres west of Madsen, has expanded the known mineralization of this target and established a clear geologic relationship between this mineralization and mineralization hosted in the Madsen Mine.

For overview and detailed long sections highlighting the McVeigh horizon results, click link below:
http://puregoldmining.ca/sites/default/files/McVeighLong_January-11.pdf

For a complete list of 2016 drill results, click link below:
http://puregoldmining.ca/sites/default/files/2016-DH-Intercepts-Table-January-11.pdf

ABOUT MADSEN

The Madsen Mine operated for over 36 years with historic production of 2.5 million ounces at an average grade of 9.9 g/t gold. The Madsen Gold Project hosts a permitted mill and tailings facility, and access to power, water and labour. The Madsen Gold Project has an Indicated Resource of 928,000 ounces gold at 8.93 g/t gold (in 3.24 million tonnes) and an Inferred Resource of 297,000 ounces gold at 11.74 g/t gold (in 0.79 million tonnes)⁽¹⁾. The mineral resource is based on 13,624 drill holes, evenly dispersed throughout the mineral resource. A robust geologic model based on 27 levels of geological mapping and chip sampling provides a solid understanding of the geology and continuity of mineralization.

In addition to the current mineral resource, the Madsen Gold Project hosts a number of prospective new discoveries including the Fork Zone and Russet South targets, as well as, two significant historic underground mines. Pure Gold believes the opportunity exists to advance these targets through the application of modern exploration science and a new understanding of the district.

1. See the National Instrument 43-101 technical report entitled "Technical Report on the Preliminary Economic Assessment For the Madsen Gold Project," prepared by Nordmin Engineering Ltd., dated effective April 20, 2016. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.

QA/QC and Core Sampling Protocols