Canagold Mobilizes Drill Crews and Restarts Resource Expansion Drilling at the New Polaris Project __________________________________________________________________

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Canagold Mobilizes Drill Crews and Restarts

Resource Expansion Drilling at the New Polaris Project

__________________________________________________________________

Vancouver, Canada – August 18, 2022 - Canagold Resources Ltd. (TSX: CCM, OTC-QB: CRCUF,

Frankfurt: CANA) (the “Company” or “Canagold”), is pleased to announce that, in line with its stated

intentions of accelerating the advancement of the property towards production, drill crews have been

mobilized to site to restart drilling at the New Polaris Gold project, located in northern British Columbia.

The 8000 meters of drilling planned for 2022 is primarily targeting the shallower high-grade Y-vein

system which consists of two parallel, steeply dipping veins striking north–south and located just north of

the C-West Main vein.

This target provides an opportunity to define high grade resources at a shallow depth that could be

accessed early in the mine life. High grade intercepts from previous drill holes in this area included 30.6

grams per tonne (“gpt”) gold (“Au”) over 3.2 m, 13.0 gpt Au over 6.8 m and 22.7 gpt Au over 8.0 m.

The 2022 drilling program is designed to upgrade the Y-vein resources from Inferred to Indicated

category for inclusion in the upcoming feasibility study and to explore this vein system for extensions at

depth.

“We are very pleased to honour our stated commitment to shareholders and quickly restart drilling at

New Polaris,” said Canagold CEO, Catalin Kilofliski. “The new Canagold Board and our management

team are committed to accelerating and advancing the project as quickly as possible towards feasibility

and permitting. The current drilling program will be following up on the Company’s highly successful

30,000-metre, 54-drillhole program that ran from June 2021-March 2022. We are applying a strict

geological rationale, as we seek to confirm and build out additional gold ounces.”

CANAGOLD RESOURCES LTD.

810-625 Howe Street

Vancouver, BC V6C 2T6

T: 604.685.9700

F: 604.6685 -9744

www. canagold resources .com

CCM: TSX

CRCUF: OTCQ B

*The New Polaris resource is provided in a preliminary economic assessment report which was prepared by Moose

Mountain Technical Services in the format prescribed by NI43-101 Standards of Disclosure for Mineral Projects and

filed on SEDAR April 18, 2019.

Qualified Person

Garry Biles, P.Eng, President & COO for Canagold Resources Ltd, is the Qualified Person who reviewed

and approved the contents of this news release.

About Canagold

Canagold Resources Ltd. is a growth -oriented gold exploration company focused on advancing the New

Polaris Project through feasibility and permitting. Canagold is also seeking to grow its assets base through

future acquisitions of additional advanced projects. Canagold has access to a team of technical experts that

can help unlock significant value for all Canagold shareholders.

On behalf of the Board of Directors

“Catalin Kilofliski”

Catalin Kilofliski

Chief Executive Officer

For further information please contact:

Knox Henderson, VP Corporate Development

Toll Free: 1-877-684-9700; Tel: (604) 604-416-0337; Cell: (604) 551-2360

Email: [email protected]

Website: www.canagoldresources.com

Neither the TSX Exchange nor its Regulation Services Provider (as that term is defined in the policies of

the TSX Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of the United States private securities

litigation reform act of 1995 and “forward-looking information” within the meaning of applicable Canadian

securities legislation. Statements contained in this news release that are not historical facts are forward-looking

information that involves known and unknown risks and uncertainties. Forward-looking statements in this news

release include, but are not limited to, statements with respect to the future perfo rmance of Canagold, and the

Company's plans and exploration programs for its mineral properties, including the timing of such plans and

programs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "has

proven", "expects" or "does not expect", "is expected", "potential", "appears", "budget", "scheduled", "estimates",

"forecasts", "at least", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words

and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will be

taken", "occur" or "be achieved".

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the

actual results, performance or achievements of the Company to be materially different from any future results,

performance or achievements expressed or implied by the forward-looking statements. Such risks and other factors

include, among others risks related to the uncertainties inherent in the estimation of mineral resources; commodity

prices; changes in general economic conditions; market sentiment; currency exchange rates; the Company's ability

to continue as a going concern; the Company's ability to raise funds through e quity financings; risks inherent in

mineral exploration; risks related to operations in foreign countries; future prices of metals; failure of equipment or

processes to operate as anticipated; accidents, labor disputes and other risks of the mining industr y; delays in

obtaining governmental approvals; government regulation of mining operations; environmental risks; title disputes

or claims; limitations on insurance coverage and the timing and possible outcome of litigation. Although the

Company has attempted to identify important factors that could affect the Company and may cause actual actions,

events or results to differ materially from those described in forward-looking statements, there may be other factors

that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that

forward-looking statements will prove to be accurate, as actual results and future events could differ materially

from those anticipated in such statements. Accordingly, do not place undue reliance on forward-looking statements.

All statements are made as of the date of this news release and the Company is under no obligation to update or

alter any forward-looking statements except as required under applicable securities laws.