Algold

Results Further Extend Gold Mineralization to 3.4 Kilometer Strike at Tijirit's Eleonore Zone - Seite 2

Algold also announced the discovery of a new high-grade gold occurrence, the Nour discovery, which is located eight kilometers along strike, north of the Eleonore Zone. Preliminary assay results from panel chip samples (* over an area of 2X1 metres) taken at the base of a series 2 metres pit are very promising with the highest-grade sample returning 17.2 g/t Au. Nour consists of a series of gold bearing vitreous quartz veins striking over 400 meters, open along strike, and up to several meters wide. The structure resembles the type of mineralization observed at Eleonore. (Figure 5)

The mineralization at Eleonore is indicative of high strain deformations with boudinage and pinch and swell along strike. Several diamond core holes will be drilled to help assess the structural pattern of this area and to assist with resource modelling and future drill hole placement.

Algold expects to complete the Phase II drilling program in December 2016. The results of the combined Phase I and Phase II drilling programs, as well as previous operators' results will serve as the basis for a resource estimate, which is scheduled to be completed in late 2016 or early 2017.

Detailed geological descriptions of all mineralized zones can be found on Algold's website (http://www.algold.com) and on SEDAR (http://www.sedar.com) in the report entitled "Algold 43-101 Technical Report: Tijirit Maiden Mineral Resources Estimates for the Tijirit Gold Project in Mauritania".

Table 1: Assay Result Highlights (Partial) - Phase II Reverse-Circulation Drilling Program

   
    Hole ID   Prospect    East      North     From       To       Average     Width**
                           UTM       UTM       (m)       (m)    Grade* (g/t)    (m)
    T16RC086  Eleonore   482286    2250652     72        74         1,94         2 
    T16RC088  Eleonore   482437    2250598     74        86         0,45        12  
    T16RC092  Eleonore   482788    2251071     28        31         2,41         3 
    T16RC099  Eleonore   482500    2250695     55        58         3,86         4 
    T16RC107  Eleonore   481772    2248652     79        82         2,54         3 
                                               186       192        1,68         6
    T16RC116  Eleonore   482181    2249710     94        98         1,33         4 


    (table continued)

    Hole ID   Prospect                      Comments
                     
    T16RC086  Eleonore   New vein identified NW of all previous intersections
    T16RC088  Eleonore   Wide zone of quartz veining
    T16RC092  Eleonore   New vein identified 370m NE of previous intercept
    T16RC099  Eleonore   Including 2m @ 6.7 g/t Au
    T16RC107  Eleonore   New vein identified
                         Extends mineralisation 150m below surface
    T16RC116  Eleonore   Extends mineralisation 100m SW
    * Weighted average grade, composited based on a minimum grade of 0.3 g/t Au with an internal dilution of 0.005 g/t over 2 m and
    edge grade of 0.25 g/t permitted.
    No capping of higher values has been applied.
    ** Down-hole length (believed to be close to true width)
    Note: Complete assay results will be posted to Algold's website (http://www.algold.com).