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TO INCREASE DIAMOND DRILLING AT NIANGOUELA GOLD CONCESSION, BURKINA FASO, WEST AFRICA

Nexus Gold Corp. (NXS.V) announced it will increase its diamond drilling program at the 178-square kilometre Niangouela exploration permit located approximately 85 kilometers north of Ouagadougou, Burkina Faso, West Africa. 

The Company recently completed 1470 metres of the scheduled 2000 metre phase one program (see Company news release dated March 7, 2017) and will be completing the initial phase and releasing assays from the remaining holes in the coming weeks. The Company will immediately thereafter commence a phase two diamond drill program on the property that will target additional areas of interest along strike.  In addition, the program will test a newly identified zone of artisanal workings occurring along strike of the shear zone another 800 metres to the east of the current drill area.  

“As has been stated, we are extremely encouraged with the initial results at Niangouela. Once this first program is complete we will immediately initiate the next phase,” said President and CEO, Peter Berdusco. “This second phase will continue to effectively define the shear zone structure and the quartz vein within it.  We will also investigate any potential higher grade shoots and preferred mineralization trends occurring along strike,” continued Mr. Berdusco. 

The first phase diamond drill program was designed to test anomalous rock samples collected from underground artisanal workings and anomalous Rotary Air Blast (RAB) drilling completed by the Company in December 2016.  This initial program successfully intersected gold mineralization in eight of the first nine holes drilled on the concession.  The mineralization was contained in a silicified shear zone occurring in the host granite, associated with the shear was primary quartz veins. 

Significant gold mineralization was encountered in four of the eight holes reporting gold intercepts. NGL-17-DD-008 returned 26.69 grams per tonne (“g/t”) gold over 4.85 metres (including 8.50 g/t gold over 0.62 metre, and 120.00 g/t gold over 1.03 metres).  Hole NGL-17-DD-006 returned 4.00 g/t gold over 6.20 metres (including 20.50 g/t gold over 1.00 metre).

The assay results from the first nine holes of the phase one program are tabled below:

Hole ID Azimuth Dip FROM (m) TO (m) INTERCEPT (metres) Au gram/tonne
NGL-17-DD-001 10 -50 76.00 87.00 11.00 0.32
INCLUDES 83.00 84.00 1.00 1.21
NGL-17-DD-002 190 -60 84.50 85.50 2.00 1.05
104.50 105.50 1.00 1.32
NGL-17-DD-003 185 -50 86.40 91.50 5.10 1.80
INCLUDES 86.40 87.50 1.10 6.14
NGL-17-DD-004 185 -60 121.00 124.00 3.00 0.75
INCLUDES 122.00 123.00 1.00 1.23
NGL-17-DD-005 185 -70 NO SIGNIFICANT RESULTS
NGL-17-DD-006 180 -50 65.00 71.20 6.20 4.00
INCLUDES 70.20 71.20 1.00 20.50¹
NGL-17-DD-007 180 -60 102.00 109.20 7.20 1.01
INCLUDES 104.00 105.00 1.00 2.34
AND 106.20 107.20 1.00 1.92
NGL-17-DD-008 180 -50 57.00 61.85 4.85 26.69
INCLUDES 58.35 58.97 0.62 8.50
AND 58.97 60.00 1.03 120.00²
NGL-17-DD-009 180 -60 74.50 78.50 4.00 2.61
INCLUDES 76.50 77.50 1.00 5.92¹

¹ Denotes metallic screen analysis 

² Denotes gravimetric fire assay analysis 

Note all assay results represent intercept lengths and are not true widths

The phase one diamond drill program tested the shear zone for over 200 metres along strike and intercepted the zone to depths of 105 metres below surface.  The shear zone remains opens along strike and to depth. 

About the Niangouela Gold Concession

The 178 sq km Niangouela gold concession is located on the Boromo Greenstone Belt (as is the Company's Bouboulou Gold Concession), and is proximal to the Kalsaka deposit and the Sabce Shear Zone. It is accessible by road and has one major orpaillage (artisanal workings).

In December 2016 the Company conducted an 802m rotary air blast (RAB) drill program that delineated an approximately 1,000-metre (1km) quartz vein and a 500-metre secondary strike, running oblique to the main vein. This vein has now been identified in trenches, artisanal workings and through RAB drilling.  It remains open in all directions. 

A total of 11 rock chip and grab samples were taken during the initial exploration phase.  Eight of the 11 samples returned values of 1 gram-per-tonne (“g/t”) gold or better.  Best results of the 11 include sample NG005, taken directly from the primary quartz vein at 46m depth (accessed via an artisanal mining shaft), which returned a value of 2,950 g/t gold. Sample NG006 was collected from the artisanal dumps of the sheared intrusive and returned a value of 23.9 g/t gold.  Sample NG007 contained coarse visible gold, and was taken from material extracted from the eastern shaft from a depth of approximately 60m, returned values of 403 g/t gold.  Sample NG008 was taken from the western shaft, 10 to 12 metres west of the eastern shaft, and consisted of a single large piece of primary quartz vein containing host rock inclusions and a cluster of visible gold.  NG008 returned values of 49.8 g/t gold.

About Burkina Faso

Burkina Faso is a landlocked nation, located in West Africa. It covers an area of roughly 274,000 square kilometres and has an estimated population of more than 16 million people. The country has a stable political setting with a pro-mining and foreign investment stance. Burkina Faso is the fastest growing gold producer in Africa, and was the 4th largest gold producer in Africa in 2012. Eight new mines have been commissioned there over the past six years. The country has excellent geological potential. The Greenstone Belts that host all of the major deposits in Ghana and Cote d'Ivoire continue northward into Burkina Faso. Burkina Faso has undergone less than 15 years of modern mineral exploration, remaining under-explored in comparison to neighbouring Ghana and Mali; both of which host world-class gold mines in the same belts of Birimian rocks.

About the Company

Nexus Gold Corp. is a Vancouver-based gold exploration and development company operating in some of the world’s premier mining districts. The Company is currently concentrating its efforts on two gold projects located in Burkina Faso, West Africa.  The Bouboulou gold concession is a 38-sq km advanced exploration target where previous drilling has confirmed multiple zones of gold mineralization. The Niangouela gold concession is a 178-sq km project featuring high grade gold occurring in and around a primary quartz vein 1km in length and associated shear zone.  

Warren Robb P.Geo., Senior Geologist is the designated Qualified Person as defined by National Instrument 43-101 and is responsible for the technical information contained in this release.

www.nexusgoldcorp.com