Teranga Gold Increases Mineral Resource Estimate for Golden Hill

Mine license application expected to be submitted by year–end;
$15 million earmarked through 2021 for drilling

(All amounts are in U.S. dollars unless otherwise stated)

TORONTO, Oct. 05, 2020 (GLOBE NEWSWIRE) — Teranga Gold Corporation (“Teranga” or the “Company”) (TSX: TGZ, OTCQX:TGCDF) is pleased to update the mineral resource estimate for Golden Hill, an advanced-stage exploration project located in southwest Burkina Faso within the central part of the Houndé Greenstone Belt, a highly mineralized gold region that hosts three operating gold mines.

Wholly-owned by Teranga, Golden Hill is a key component of the Company’s growth pipeline and has delivered multiple near-surface, high-grade, oxide gold discoveries transitioning into fresh hosted structurally controlled mineralization extending to considerable depths well below the oxide component of these mineralized bodies.

Golden Hill Updated Mineral Resource Highlights

Indicated mineral resource of 12.62Mt averaging 1.85 g/t gold for 750,000 ounces

Inferred mineral resource of 11.48Mt averaging 1.81 g/t gold for 670,000 ounces

Excellent along trend and to-depth continuity of gold mineralization at all deposits drilled

This mineral resource estimate includes the following deposits: Ma, Jackhammer Hill, Peksou/C-Zone, Nahiri and A and B-Zone (Figure 1 in Appendix). All existing mineral resources remain open to further expansion along strike and to depth, particularly at observed structurally-controlled plunging shoots where both grade and widths improve.

Golden Hill Mineral Resource Estimate

Notes for Mineral Resource Estimate

CIM (2014) definitions were followed for mineral resources.

Mineral resources are reported at cut-off grades ranging from 0.49 g/t Au to 0.55 g/t Au.

The effective date for all deposits is April 27, 2020.

High grade assays were capped at grades ranging from 2 g/t Au to 30 g/t Au.

Mineral resources are estimated using a long-term gold price of US$1,800 per ounce.

A minimum thickness of two metres was applied.

Mineral resources are constrained by preliminary pit shells.

Totals may not add due to rounding.

The current Golden Hill mineral resource estimate is based on the results from more than 900 reverse circulation and core drill holes totalling over 100,000 metres at five deposits and a number of prospects. Based on the most recent 27,000 metre drill program, the Company has increased resources at the Ma Structural Complex (Ma Deposit) to 521,000 ounces classified as Indicated and 410,000 ounces classified as Inferred, and converted resources previously classified as Inferred to the Indicated category at Peksou/C-Zone and at A and B-Zone since Golden Hill’s initial resource estimate was released in 2019.

Recommence the exploration and drilling program intended to add resources and evaluate the numerous prospects and deposits identified to date, as well as expand drilling outward to new areas of interest.

Advance engineering studies, metallurgical test work, baseline environmental and social assessments.

Submit a request to the government of Burkina Faso in Q4 2020 for the conversion of the Golden Hill exploration permits to a mine license based on a technical study supported by the resource estimate.

Qualified Persons Statement

The technical information contained in this document relating to Golden Hill’s mineral resource estimates is based on, and fairly represents, information compiled by Ms. Patti Nakai-Lajoie. Ms. Nakai-Lajoie, P.Geo., is a Member of the Professional Geoscientists Ontario. Ms. Nakai-Lajoie is a full-time employee of Teranga, and is not “independent” within the meaning of National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). Ms. Nakai-Lajoie has sufficient experience that is relevant to the style of mineralization and type of deposit under consideration and to the activity which she is undertaking to qualify as a “Qualified Person” under NI 43-101. Ms. Nakai-Lajoie has consented to and approved the inclusion in this document of the matters based on her compiled information in the form and context in which it appears in this document.