EnGold Starts New Induced Polarization Geophysical Survey at Gap/G1 Copper, Aurizon Gold Geochemical Survey Complete, Assays Pending on Drill Core & Soil Samples

VANCOUVER, Sept. 11, 2018 /CNW/ - David H. Brett, President & CEO, EnGold Mines Ltd., (TSX-V: EGM, "EnGold" or the "Company") reports that in light of the encouraging 63 metre variably copper mineralized intercept encountered in hole GP18-42 (reported August 23, 2018, assays pending), EnGold has commenced a 9 line-kilometer induced polarization ("IP") survey to build on the positive results of the reconnaissance IP work carried out earlier in 2018 at the Company's 100% owned Lac La Hache copper, gold silver property in the Cariboo region of BC. The survey is expected to complete in 10 days, with results available shortly thereafter, which will be used to guide the Company's next series of drill holes.

Also, field crews collected 178 soil samples from a new grid survey near the Aurizon South Gold Deposit, where 2016 drilling and trenching discovered a narrow but very high-grade gold-bearing quartz vein roughly perpendicular to the main Aurizon structure. The geochemical survey was oriented to explore for other possible gold bearing quartz veins in the area. A map of the new survey is located on EnGold's website here:  https://www.engold.ca/projects/maps-images/

In the G1 Discovery area, recent drilling (see August 23 News) has shown positive correlation between anomalies defined on a single deep IP test line extending across the Spout Deposit and G1 Zone. Vertical DDH GP18-42, located 260 metres southeast of the discovery hole G16-01, tested the highest IP chargeability anomaly and intersected 63 metres (downhole) containing copper associated with semi-massive magnetite intervals and with alteration more typically associated with porphyry style copper. The IP and ground gravity data suggest the results here and at G1 may relate to an unmapped intrusion.  Additional deep IP surveying across this new anomaly and the G1 Zone, will provide a 3D view and improve targeting. The survey will be conducted by Peter E. Walcott and Associates and will extend westerly from a 2008 survey.

Rob Shives, EnGold's V. P. Exploration said, "I am excited to see these new results in this particular part of the property, where some of the strongest IP chargeability anomalies on the entire project occur on the edge of the 2008 survey but are poorly defined. The new data will achieve three things: improved understanding at G1; 3D definition of the chargeability anomaly intersected in DDH GP18-42; and proper delineation of the Peach Melba IP anomaly detected 10 years ago. Our understanding of important relationships between porphyry and carbonate replacement styles of mineralization is evolving."

At the Aurizon Gold Deposit, a detailed B-horizon soil sampling survey has been completed across the gold-silver-copper rich quartz vein discovered in 2016 in drill cores and surface trenches. The vein contains visible gold and chalcocite but is very difficult to detect visually near surface due to strong weathering.  As previously announced, the vein has a strike length of 120 metres, remains open in all directions, and produced drill core assays grading 263 gpt Au, 1.74 % Cu, 90.5 gpt Ag over 10 centimetres, and surface grab samples grading up to 178 gpt Au, 28 % Cu and 81 gpt Ag.  A total of 178 soil samples were taken every 20 metres along lines spaced at 40 metres, with 20 metre in-fill lines over the known vein. We hope to use the new soil survey results to extend the known vein at surface along strike in both directions and to search for similar high-grade veins within the Aurizon Deposit area. An image showing the survey layout is shown here:  https://www.engold.ca/projects/maps-images/

"Persistent exploration at Lac La Hache continues to yield encouraging results," said EnGold CEO David Brett. "Our geological team is not only building on past discoveries, they are opening up exciting new discovery potential."

About EnGold

EnGold is a Vancouver-based copper/gold exploration company focused solely on its 100% owned Lac La Hache property in the Cariboo region of BC. EnGold's vision is to identify and delineate mineral resources at Lac La Hache that could potentially support an economically feasible and environmentally sustainable underground mining operation. The Spout Deposit, the Aurizon Gold Zone and the 2017 G1 Discovery, located within a 7-kilometer area on the property, are all considered by EnGold to be potentially underground minable targets. EnGold's significant new copper discovery in 2017 adds to the already extensively drilled Spout Copper Deposit and Aurizon Gold zones. Discovery potential for new high-grade zones remains strong, and existing areas are open for expansion. With world class infrastructure at its doorstep, Lac La Hache is a great location to be exploring. EnGold's corporate philosophy rests on three interdependent pillars: Environment, Engagement and Gold. Through sound environmental stewardship, commitment to transparent engagement with local communities, the Company is dedicated to driving exceptional shareholder and stakeholder value by fulfilling its vision to profitably supply valuable and much needed metals to the global marketplace.

Rob Shives P.Geo., VP Exploration and a Qualified Person as defined under National Instrument 43-101, has reviewed and approved the technical content of this release.

EnGold Mines Ltd.

David Brett

President & CEO

This news release may contain "forward‐looking statements". Readers are cautioned that any such statements are not guarantees of future performance and that actual development or results may vary materially from those in these "forward looking statements." Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Engold Mines Ltd.

David Brett, 604-682-2421 or [email protected]