"An investment in knowledge pays the best interest."

INTERSECTS 19.20 G/T AU OVER 54.40 METRES AND 11.42 G/T AU OVER 28.55 METRES AT SHAFT ZONE; TWO WIDE MINERALIZED STOCKWORKS DISCOVERED AT ISLAND MOUNTAIN

Barkerville Gold Mines Ltd. (BGM.V) has made a new discovery from the continuing 130,000-metre phase 2 Island Mountain and Valley zone exploration drilling program at the company's flagship Cariboo gold project. Detailed drilling results are presented at the end of this release.

New high-grade stockworks intersected at Shaft zone

The company is very pleased to announce that Island Mountain Shaft zone drill hole IM-17-072 has discovered a formerly unidentified wide network of high-tenor veining grading 19.2 grams per tonne gold Au over 54.4 metres, including 32.06 grams per tonne Au over 30.7 metres. This new intersection consists of several higher-grade intervals including 272 grams per tonne Au over 0.5 metre, 760 grams per tonne Au over 0.85 metre, 64.2 grams per tonne Au over 0.5 metre, 42.8 grams per tonne Au over 0.5 metre, 65.4 grams per tonne Au over 1.5 metres and 15.8 grams per tonne Au over 1.15 metres. An intensely silica-altered and pyritized sandstone package hosts this dense network of mineralized veining. Located 250 metres vertically below surface in the Shaft zone, this auriferous occurrence is untested by drilling above and below the intersection, and is open for expansion. In addition to the aforementioned intersection, IM-17-072 also established auriferous veining grading 25 grams per tonne Au over 2.85 metres located 25 metres below surface, 16.55 grams per tonne Au over 5.45 metres 100 metres vertically below surface, followed by 9.41 grams per tonne Au over 3.3 metres 110 metres below surface.

Additional high-grade stockworks intersected at Shaft zone

Situated 180 metres vertically below drill hole IM-17-072 which intersected 19.2 grams per tonne Au over 54.4 metres, including 32.06 grams per tonne Au over 30.7 metres, drill hole IM-17-078 has discovered another broad occurrence of sandstone-hosted stockwork veining averaging 11.42 grams per tonne Au over 28.55 metres, including two subintervals of 30.76 grams per tonne Au over 6.6 grams per tonne and 12.1 grams per tonne Au over 8.15 metres. These new intersections occur at vertical depth of 420 metres below surface and are open for expansion in all directions due to the extremely limited drilling at this depth.

Because these stand-alone drill holes constitute two widely separated intercepts that cannot be confidently corroborated by additional drill hole pierce points, the geometry and hence true width of the potential mineralized zone cannot be assuredly concluded at this time.

Chris Lodder, president and chief executive officer of Barkerville Gold Mines, comments: "These intersections are some of the best to date on Island Mountain that continues to produce new zones of higher-grade, wide zones of gold mineralization. We will be following up with both wide-spaced stepout and closer infill drilling in this area to better determine dimensions of this potentially strongly mineralized vein corridor."

About the phase 2 program

The 130,000-metre 2017 phase 2 exploratory and delineation drill program on Island Mountain is intended to determine the extent of the vein systems that were historically never explored and is aimed at discovering new vein systems and sulphide replacement bodies that will ultimately inform a maiden resource at Island Mountain. Seven drill rigs are currently operating on Island Mountain, with an eighth rig testing for additional mineralization below the former Aurum and Cariboo gold-quartz mines which have never been explored since mining operations ceased circa 1960.

Qualified persons

Exploration activities at the Cariboo gold project are administered on site by the company's exploration manager, Maggie Layman, PGeo. As per National Instrument 43-101, standards of disclosure for mineral projects, Paul Geddes, PGeo, vice-president of exploration, is the qualified person for the company, and has prepared, validated and approved the technical and scientific content of this news release. The company strictly adheres to Canadian Institute of Mining, Metallurgy and Petroleum best practices guidelines in conducting, documenting and reporting its exploration activities on the Cariboo gold project.

Quality assurance/quality control (QA/QC)

Once received from the drill and processed, all drill core samples are sawn in half, labelled and bagged. The remaining drill core is subsequently stored on site at the company's secure facility in Wells, B.C. Numbered security tags are applied to lab shipments for chain of custody requirements. The company inserts quality control samples at regular intervals in the sample stream, including blanks and reference materials, with all sample shipments to monitor laboratory performance. The QA/QC program was designed and approved by Lynda Bloom, PGeo, of Analytical Solutions Ltd., and is overseen by the company's qualified person, Mr. Geddes.

Drill core samples are submitted to ALS Geochemistry's analytical facility in North Vancouver, B.C., for preparation and analysis. The ALS facility is accredited to the ISO/IEC 17025 standard for gold assays, and all analytical methods include quality control materials at set frequencies with established data acceptance criteria. The entire sample is crushed, and 250 grams are pulverized. Analysis for gold is by 50-gram fire assay fusion with atomic absorption finish with a lower limit of 0.01 part per million and upper limit of 100 parts per million. Samples with gold assays greater than 100 parts per million are reanalyzed using a 1,000-gram screen metallic fire assay. A selected number of samples are also analyzed using a 48-gram multielemental geochemical package by a four-acid digestion, followed by inductively coupled plasma-atomic emission spectroscopy and inductively coupled plasma-mass spectroscopy.

About Barkerville Gold Mines Ltd.

The company is focused on developing its extensive land package located in the historical Cariboo mining district of central British Columbia. Barkerville's mineral tenures cover 1,164 square kilometres along a strike length of 60 kilometres which includes several past-producing hard-rock mines of the historical Barkerville gold mining camp near the town of Wells, B.C. The QR project, located approximately 110 kilometres by highway and all-weather road from Wells, was acquired by Barkerville in 2010 and boasts a fully permitted 900-tonne-per-day gold milling and tailings facility. Test mining of the Bonanza Ledge open pit was completed in March, 2015, with 91,489 tonnes of ore milled, producing 25,464 ounces of gold.