AurCrest Gold and Lac Seul First Nation sign agreement to develop GHG emission sequestration projects and monetize carbon offsets in the Boreal Forest

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AurCrest Gold and Lac Seul First Nation sign agreement to develop

GHG emission sequestration projects and monetize carbon offsets in

the Boreal Forest

NEWS RELEASE FOR IMMEDIATE RELEASE

DECEMBER 13, 2019 TSXV Symbol: AGO

Toronto, Ontario December 13, 2019 - AurCrest Gold Inc. (the “Company” or “AurCrest”) (TSX-V:

AGO) is pleased to announce that the Company has signed an Emission Reduction Benefit Management

Agreement (“ERBMA”) with the Lac Seul First Nation (“Lac Seul”) to develop forest carbon

sequestration opportunities in the First Nation’s traditional territory in Northwestern Ontario.

As announced by the Company on August 19 th, 2019, a Carbon Development & Marketing Agreement

(“CDMA”) had been signed between the Company and Blue Source Canada ULC (“Bluesource”). The

CDMA set forth the terms and conditions by which the Company and Bluesource will collaborate to

develop carbon sequestration opportunities and market the resulting carbon offsets alongside First Nations

pursuing their inherent stewardship role both on reserve and within their traditional territories.

Lac Seul plays a central role in the management of the forests in its traditional lands, both as customary

stewards of the land and as a party to certain legal agreements with the province of Ontario.

Bluesource works with companies, governments and NGOs to reduce and mitigate environmental

impacts. They develop projects that create land, water, and climate benefits, and as a company use

strategic partnerships, finance, innovation and markets to achieve those goals.

AurCrest will now move forward with Lac Seul and Bluesource to identify, develop, and implement

emission reduction and sequestration project opportunities. AurCrest together with Lac Seul will extend

invitations to participate to other regional First Nations.

Under the terms of the ERBMA, AurCrest has been appointed by LSFN as the sole and exclusive agent

for LSFN to act as manager to develop projects within the traditional territory of the LSFN to harvest

Emission Reduction Benefits (“ERBs”), being environmental and financial benefits associated with the

carbon sequestration from enhanced management of the forest resource. AurCrest has entered into the

aforementioned CDMA with Bluesource to provide the expertise associated with monetizing the carbon

offsets.

The benefits derived from the monetization of ERBs, net of expenses, will be split as to 75% to Lac Seul

and 25% to AurCrest and Bluesource. The management agreement has an initial term of five years

commencing from the date the first ERBs available for sale are generated by the project. At the end of the

initial five year term, Lac Seul can purchase the 25% interest for fair market value. If the interest is not

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Suite 3600, 22 Adelaide Street West, Toronto, Ontario M5H 4E3 · Tel: (807) 737-5353

purchased at the end of the initial five years, the management agreement continues for a further five years

after which time the 25% interest will be relinquished to LSFN.

Christopher Angeconeb, AurCrest President and CEO stated “As a member of the Lac Seul First Nation, I

am very pleased that the Lac Seul Chief and Council have moved forward with AurCrest and Bluesource,

through this Company’s model of participation and inclusion with our First Nations neighbour

communities, to turn the historical role of indigenous people as stewards of the land into a modern model

of indigenous-led environmental and community sustainability. I am very pleased that AurCrest is the

first publicly traded company in Canada to be able to pursue this carbon sequestration opportunity. I am

also proud that the Company’s model represents a holistic approach to economic and resource

development, as a partnership between indigenous and non-indigenous peoples of Canada, for the mutual

benefit of all for generations to come.”

About AurCrest Gold Inc.

AurCrest is a mineral exploration company focused on the acquisition, exploration, and development of

gold properties. AurCrest has a portfolio of properties in Ontario, which include the Richardson Lake and

Bridget Lake gold properties.

FOR FURTHER INFORMATION PLEASE CONTACT:

AurCrest Gold Inc.

Christopher Angeconeb Ian Brodie-Brown

President and C.E.O Director of Business Development

(807) 737-5353 (416) 844-9969

[email protected] [email protected]

Forward Looking Statement:

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and

uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future

plans and objectives of the Company are forward looking statements that involve various risks. The following are important

factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward

looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in

mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future

profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will

prove to be accurate as actual results and future events may differ materially from those anticipated in such statements.

AurCrest undertakes no obligation to update such forward-looking statements if circumstances or management’s estimates or

opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.

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.