ARIC.V · 2020-01-29 12:00:00

Empire Discovery Continues to Deliver High Grade Gold at the Odienné Project

Drill Results

Vancouver, BC, January 29, 2020 – Awalé Resources Limited (“Awalé” or the “Company”) (TSXV: ARIC) is

pleased to report further gold intercepts from the high grade gold discovery at the Empire Prospect. These

new results both extend the mineralized envelope along strike an d down dip as well as confirm the

internal continuity of mineralization at Empire (Figure 1 and 2).

As per the highlights below, hole OERC0021 confirms the robust nature of mineralization at Empire, whilst

OERC008 and the 40m extension of hole OEDD003 extend mineralization down dip to a vertical depth of

greater than 150m on the original discovery section.

The current mineralized envelope at Empire has now been extended to approximately 200m in length,

150 metres vertically, and the width ranges from 30 to 80 m (figure 2). Encouragingly the mineralization

remains open at depth and along strike . Furthermore, the assay pending d eep hole OEDD0015 has

intercepted target geology and mineralization and extends potential mineralization to a vertical depth of

greater than 200m. Visible gold has been observed at 8 separate intervals between 230 and 300 metres

down hole and highlights the potential for mineralization broadening at depth. Further to this a 3km long

untested soil anomaly (Figure 3) extends toward the south east from current drilling. Visible gold in fresh

rock has been noted in every diamond hole that has intersected the mineralized diorite.

The 30 hole ( 3573m) phase 1 drilling program at Empire has now been completed with only 2 holes

remaining to be reported (OERC0022 and OEDD0015 – the deep hole drilled under current known

mineralization). Assays for these holes are expected toward the end of February.

HIGHLIGHTS

Best intercepts from this batch of results include (see full list in table 1):

• OERC0008 Step-back hole to Discovery Hole OEDD0001 (Figures 2 and 4)

o 16m at 1.3 g/t gold (“Au”) from 81m downhole,

 including 1m at 11.3 g/t Au from 94m downhole

o 10m at 2.3 g/t Au from 109m,

 including 5m at 3.9 g/t Au from 109m downhole

• OERC0021 Step-out hole 200m along strike from Discovery Section (Figures 2 and 5)

o 32m at 0.9g/t Au from 32 m downhole,

 including 2m at 4.8g/t Au from 53m downhole

o 34m at 1.9 grams per tonne (g/t) gold (Au) from 96m downhole,

 including 18m at 3g/t Au from 97m downhole and 2m at 15.5 g/t Au from 111m

downhole

o 29m at 1.2g/t Au from 134m downhole,

 including 11m at 2.5g/t Au from 140m downhole and 2m at 5.6g/t Au from 140m

downhole

• OEDD0003 extension (hole re-entered and extended figure 2 and 4)

o 3m at 4.5 g/t Au from 193m downhole

• OERC005 twin of OEDD0001 (figure 2 and 4)

o 22m at 1.5g/t Au from 22m downhole

 Including 1m intervals of 4.4 g/t Au, 6g/t Au and 16.6g/t Au , from 27, 41 and 46

m downhole respectively

These results compliment the following previously reported results (see releases dated 19th Nov. 2019

and 23rd Dec. 2019):

• OEDD0001 (figure 2 and 4)

o 18.15 m at 4.9 grams per tonne gold (“g/t Au”) from 40 m downhole,

 including 10.4 m at 7.9 g/t Au* from 40m downhole

• OEDD0002 (figure 2 and 4)

o 27 m at 3.1 g/t Au from 43.2 m downhole

 including 9 m at 5.3 g/t Au from 43.2 m downhole*.

• OEDD0003 (figure 2 and 4)

o 19m at 0.9 g/t Au from 151m downhole

 including 1m at 4.54 g/t Au from 152 m downhole.

• OEDD009 (figure 2 and 5)

o 17m at 2.6 g/t Au from 40 m downhole,

 including 2.65m at 15.4 g/t Au from 40m,

o 16.74m at 1.9 g/t Au from 74.26m downhole,

 including 9.28m at 2.7g/t Au from 80.72m and,

o 16m at 1.8 g/t Au from 98m downhole,

 including 3m at 7.6 g/t Au from 111m downhole

Note; True width Intercepts are approximately 75 to 90% of the reported downhole interval downhole .

The Broad intercepts above are calculated at a 0.2g/t Au trigger with included intercepts calculated at a 1

g/t Au trigger. All calculated intercepts include 3m of internal waste . Plans and Sections for these holes

are shown in figures 2, 4 and 5.

LINK: SEE FIGURES 1 TO 6: http://www.awaleresources.com/_resources/maps/Mineralization-Extends-

at-the-Empire-Discovery-Figures29012020.pdf

Company CEO Glen Parsons commented today:

“Awale has started the New Year with further excellent results from the Empire prospect. The recent

results confirm continuity of mineralization within the main drill zone and we now have a robust 200m

long and greater than 150m deep mineralized envelope. This forms a core of a system which remains open

down dip and along strike with a 3km soil anomaly to test.

The final hole for the program a 345m deep diamond hole has intercepted the target geology from 153 to

300 metres downhole, extending the current dimensions of the system to greater than 200m vertical and

200m long and the width of the mineralized envelope ranges from 30 to 80m..

The company is currently undertaking a 3000m ( 100x25metre) Auger program to tighten the 3km soil

anomaly for drill testing, and results from this program are expected in March. After which a phase 2 drill

program will commence at Empire.

Awale looks forward to news that will continue to flow from drilling at our exciting Empire prospect at

Odienné as well as continued exploration results from Bondoukou, in the north east, where we continue

to develop and progress exploitation targets for drill testing.”

Vakaba Prospect:

Results from 4 scout diamond holes at the Vakaba prospect have also been returned. Expected moderate

to high grade mineralization with visible gold was intercepted in the northwest trending

quartz/tourmaline veins however widths of mineralization were thin. OEDD013 returned 1m at 15.7g/t

Au from 45m, OEDD0011 returned 0.3m at 7.8 g/t Au, while OEDD0012 returned 2m at 1.4 g.t Au. The

Vakaba prospect area has multiple gold in soil anomalies and the company will continue to work on

building these toward drill target status.

Table 1: List of Significant intercepts for the Empire Prospect

Hole East North RL Depth

(m)

Inclinatio

n Azimuth From

(m)

Length

(m) g/t Au

OEDD0001 647381 1030237 465 108.16 -55 20 40 58.15 18.15 4.9

Including 40 50.4 10.4 7.9

and 46 47 1 73.1*

OEDD0002 647403 1030294 467 84.06 -55 200 43.2 70.2 27 3.1

Including 43.2 52.2 9 5.3

and 48.2 49.2 1 34.9*

and 61.2 62.2 1 19.3*

OEDD0003 647419 1030332 469 210.06 -56.17 204 110.49 121 10.51 0.3

124.7 130 5.3 0.4

151 170 19 0.9

Including 152 157 5 1.8

and 152 153 1 4.5

OEDD0003 181 182 1 2.2

Extension 193 196 3 4.6

OEDD0009 647490 1030215 467 156 -55 20 0 8.8 8.8 0.4

40 57 17 2.6

Including 40 42.65 2.65 15.4

64 70 6 0.5

74.26 91 16.74 1.9

Including 80.72 90 9.28 2.7

and 82 83 1 6.8

and 85 86 1 7.2

and 86 87 1 3.8

and 89 90 1 3.6

98 114 16 1.8

103 104 1 3.5

111 114 3 7.6

128

137.6

7 9.67 0.2

OEDD0010 647465 1030167 467 138 -55 20 61 67 6 0.3

92 97.9 5.9 0.3

108.05 111 2.95 1.1

Including 110 111 1 3.0

121 127 6 0.4

OERC0003/

OEDD0006 647556 1030108 467 57.9/84.4 -55 24 1 3 2 0.6

9 27 18 0.2

43 44 1 0.2

Hole East North RL Depth

(m)

Inclinatio

n Azimuth From

(m)

Length

(m) g/t Au

OERC0005 647389 1030234 465 110 -55 28 27 49 22 1.5

Including 27 28 1 4.4

and 41 42 1 6.0

and 46 47 1 16.8

55 66 11 0.6

OERC0006 647350 1030154 465 120 -55 20 109 113 4 0.9

OERC0008 647367 1030196 465 170 -55 22 62 64 2 1

81 97 16 1.3

Including 88 89 1 4

and 94 95 1 11.3

109 119 10 2.3

Including 109 114 5 3.9

123 126 3 1.7

131 141 10 0.7

Including 137 138 1 4.8

157 158 1 0.6

OERC0015 647462 1030127 474 180 20 -55 126 138 12 0.5

145 146 1 0.9

161 172 11 0.2

177 178 1 1.5

OERC0016 647541 1030064 477 115 20 -55 66 75 9 0.3

87 88 1 0.5

OERC0018 647860 1030009 476 93 20 -55 27 28 1 0.5

OERC0019 647846 1029971 476 80 20 -55 50 51 1 1.0

11 12 1 2.9

31 32 1 0.5

43 44 1 0.2

OERC0020 647832 1029934 476 82 20 -55 44 46 2 0.7

67 68 1 0.3

OERC0021 647513 1030311

476.

3 165 200 -52 32 64 32 0.9

Including 43 45 2 3.3

and 53 55 2 4.8

96 130 34 2

Including 97 115 18 3

and 111 113 2 15.5

134 163 29 1.2

Including 140 151 11 2.5

and 140 144 4 3.7

Note: All intervals calculated using a 0.2 g/t Au trigger value and include 3 metres of internal waste.

Included intervals calculated at a 1 g/t Au trigger with 3m of internal waste except where individual

assays are reported.

Technical Background

Empire is a high priority prospect that was systematically explored by Awalé, resulting in a coincident

geology, gold/arsenic geochemistry, and ground geophysics (Induced Polarization, or “IP”) anomaly. The

high order soil anomalism coincides with a mapped mylonite-bearing structure that has been intruded by

a later diorite body. The resistive chargeable anomaly was interpreted to indicate coincident silicification

and sulfidation of the diorite and conforms with both the soil anomalism and the mapped structure (Rock

chips from quartz veins on the prospect have returned up to 65 g/t Au* and a channel sample in altered

wall rock has returned 8m at 0.7 g/t Au including 2m at 3.17g/t Au and 2m at 1.57 g/t Au .

The soil sampling completed by the company forms a 3km long 18ppb anomaly which includes a 500m

long 109 ppb core (figure 2 and 3) , artisanal mining activity commenced some months after the

completion and reporting of the soil program. This high er order core anomaly has formed that focus of

phase 1 drilling and has delivered robust and continuous gold mineralization within this zone. Drill fences

in this core zone are 100m apart and, and currently there is demonstrated mineralization to a vertical

depth of 150m on the discovery section (OEDD003 returned 3m at 3mat 4.6 g/t Au from 196m) and in

section 2A to a depth of 125m with OERC21 intercepting 11m at 2.5g/t Au from 140m. The mineralized

envelope on section 2A is some 80 metres wide and 30 metres wide on section 2.

Further to this drillhole OEDD0015 (final hole, assays pending) has intercepted the target diorite from 155

to 300m downhole with brittle ductile deformation from 190 metres , the hole ended at 345m . Visible

Gold has been observed in brittle ductile quartz development zones between 230 and 300 metres down

hole, possibly demonstrating that the mineralizing system gets broader with depth.

The recently completed drilling program has confirmed the mineralization model developed by the

company where gold is hosted in a brittle ductile orogenic shear zone setting at the margin of the diorite

intrusion. The footwall contact of the diorite is strongly potassic altered (almost complete fine grained

replacement of the protolith by biotite) and re presents the main fluid pathway into the mineralized

system. Gold mineralization appears to weaken distal from the footwall structure but is still present up to

80 metres away. All drill holes that have intercepted diorite have exhibited brittle ductile deformation and

are mineralized.

Further to this all diamond holes that have intercepted th e brittle ductile deformation have contained

free gold, with the first 2 holes returning very high grade intercepts(OEDD0001 returned 10.4m at 7.9 g/t

Au, including 1 m at 73.1 g/t Au and OEDD0002 returned 9m at 5.3 g/t Au) , follow up drilling has also

returned high grades with 1m at 11.3 g/t Au in OERC0008, 1m at 16.8 in OERC0005, 2m at 15.5 in

OERC0021 and 2.65m at 15.4 g/t in OEDD0009. Potassic alteration is overprinted by a later phase of silica-

sulfide alteration is associated with free gold and tellurides, there is also significant calc silicate alteration

present in the system (epidote/pyroxene). The sulfide mineralogy is dominated by pyrite with subordinate

chalcopyrite and galena. Disseminated mineralization is appears present, but at low tenor in these initial

holes (0.2 to 1 g/t Au) within the brittle ductile zone.

Further to the mineralization extensions described above holes drilled on drill section 3 (figure 6) have

intercepted diorite with evidence of the same deformation style as that seen on sections 2 and 2A

(OERC0003/OEDD0006, OEDD0005 and OERC0016) intercepted diorite a further 100m along strike from

that intercepted on section 2A but is offset by approximately 50m to the south. Mineralization is present

in both these holes although at lower tenor (18m at 0.2 from 9m in OERC0003/OEDD0006 and 9m at 0.32

g/t Au in OERC0016), these holes are viewed as evidence for further strike continuity of the host geology

and warrant further drill testing along the 3km long soil anomaly . The 300m step out on drill section 4

(OERC0017-0020) has also intercepted moderate amounts of mineralization and some evidence of the

host diorite in OERC0018, these results are also viewed as encouraging and warranting follow up along

strike. The company eagerly await the detailed auger geochemistry that is currently underway to

complete planning of an extension drilling program. The extension drilling program will be combined with

infill and plunge test holes in the main zone – any infill will be on a 50m lines between existing drilling.

Grade variability is evident from results received from the twin of OEDD0001 (OERC0005) . OEDD0001

returned 18.15m at 4.9 g/t Au from 40m while OERC0005 returned 22m at 1.5 g/t Au from 27m. The main

difference being a maximum value of 73.2 g/t Au in OEDD001 and only 16.8 g/t Au in OERC0005. Other

intercepts are similar. Quarter NQ core duplicate samples taken within mineralized zones have also

returned variable results, this is viewed as an example of the grade variability within the mineralization.

For reporting purposes screen fire assays have been used rather than the fire assay results, screen fire

assays have been systematically made for any sample over 1 g/t Au withing the brittle ductile zones. The

table below depicts this nugget gold variability in field duplicate samples.

Table 2: Selection of duplicate fire assay results within mineralized zones, Empire drilling.

Hole ID Primary Fire Assay Duplicate Fire Assay

OEDD0001 34.11 20.73

OEDD0002 2.45 1.84

OEDD0009 21.1 1.73

OEDD0009 0.8 4.62

Company geologists are also re -visiting the IP data collected over the area to see if the data can be

‘trained’ on the now know host rock geology and the footwall contact, if this is successful, further IP

surveys may also be used a targeting tool in conjunction with the auger geochemistry.

Note on Screen Fire Assays

Assays above 1 g/t Au are now routinely assayed by the Company using the Screen Fire Assay analytical

technique (see description below). Where a Screen fire Assay has been completed these results supersede

Fire Assay results for reported intercepts.

Quality Control and Assurance

Analytical work for drill core and RC percussion samples is being carried out at the independent Intertek

Laboratories Ghana Ltd. an ISO 17025 Certified Laboratory. Samples are stored at the company’s field

camps and put into sealed bags; they are stored securely until collected by Intertek for transportation to

Ghana. Samples are logged in the tracking system, weighed, dried and finely crushed to better than 70%,

passing a 2 mm screen. A split of up to 1,000 g is taken and pulverized to better than 85%, passing a 75 -

micron screen, and a 50 -gram split is analyzed by Fire Assay with an AAS finish. Blanks, duplicates and

certified reference material (standards) are being used to monitor laboratory performance during the

analysis. Due to the presence of free gold the lab was requested to run a quartz wash be tween each

sample during preparation. Samples that have returned more than 1g/t Au have been Screen Fire Assayed.

Screen Fire Assay involves screening a nominal 1kg sample and firing the entire coarse fraction, including

the screen cloth. Duplicate assay s are carried out on the undersize fraction which is more reproducible

due to the smaller gold particle sizes. The total gold content is calculated as a weighted mean of the

measured grades of the two screen fractions.

ON BEHALF OF THE BOARD

AWALE RESOURCES LIMITED.

“Glen Parsons”

Glen Parsons, President and CEO

For additional information you are invited to visit the Awalé Resources Limited website at

www.awaleresources.com, or contact Karen Davies, Head of Investor Relations at Tel: 604.314.6270

Qualified Person

The technical and scientific information contained in this news release has been reviewed and approved

for release by Andrew Chubb, the Company’s Qualified Person as defined by National Instrument 43-101.

Mr Chubb is the Company’s Chief Operating Officer and holds an Economic Geology degree, is a Member

of the Australian Institute of Geoscientists (AIG), and is a Member of the Society of Economic Geologists

(SEG). Mr Chubb has 18 years of experience in international minerals exploration and mining project

evaluation.

End

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws. Readers

are cautioned not to place undue reliance on forward -looking information. Actual results and developments may

differ materially from those contemplated by such information. The statements in this news release are made as of

the date hereof. The Company undertakes no obligation to update forward- looking information except as required

by applicable law.

Cautionary Statement

NEITHER 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

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