Pelangio Grants Earn-in Option on a Portion of the Obuasi Project - Seite 2

Agreement Terms:

Under the terms of the binding Letter of Intent, TuNya can earn an 80% interest in the TuNya Earn-In Property by undertaking a US$250,000 technical review of the Pelangio Main Property, completing 2,000 meters of drilling on the TuNya Earn-In Property, and paying Pelangio US$150,000 within 18 months of the effective date of the agreement. A joint venture corporation will be formed once TuNya has acquired its 80% interest. However, Pelangio shall retain its 20% interest and shall not have an obligation to fund work on the TuNya Earn-In Property until a mineral resource of at least 100,000 ounces of gold has been defined in the Measured or Indicated category in accordance with Canadian National Instrument 43-101 (NI 43-101).

The binding Letter of Intent is subject to customary preliminary authorizations, including the valid issuance of a new Pelangio license covering only the TuNya Earn-In Property, receipt of approval of the TSX Venture Exchange and receipt of approval of the Minister of Lands and Natural Resources of the Republic of Ghana.

TuNya Company Profile

TuNya Mineral Resources Ltd. ("TuNya") is a private company that has been active in West Africa since 2015. TuNya, an Akan language phrase, translates to English as "to unearth fortune." The company has undertaken drilling on its 80% owned Kyereboso Gold Project in Ghana and has defined a mineral resource of 448,000 ounces at 1.37 g/t Au¹ with a best drill intersection of 359 m at 1.2 g/t from surface. TuNya's management have a combined 50 years of experience working at the Obuasi Mine in senior positions. With their technical advisors factored in, they possess 125 years of combined experience in exploration, discovery and mining on the Ashanti Belt and can be considered experts in Obuasi-style mineralization.

¹The mineral resource for the Kyereboso deposit was estimated in an unpublished technical report by SEMS Technical Services Ltd. dated December 10, 2015. The resource estimate is historical in nature and was not conducted in accordance with the current standards of NI 43-101 and should not be relied upon. A qualified person has not done sufficient work to classify the historical estimate as a current mineral resource and Pelangio Exploration is not treating the historical estimate as current. The Kyereboso deposit falls wholly within TuNya's Kyereboso property and Pelangio Exploration does not gain any interest in the deposit or TuNya's Kyereboso property through their agreement with TuNya.