Discrete GOLD Soil Anomalies Delineated Along Strike from Farabakoura Workings

DISCRETE GOLD SOIL ANOMALIES DELINEATED ALONG STRIKE

FROM FARABAKOURA WORKINGS

Toronto, Ontario, August 26, 2019 – Compass Gold Corp. (TSX- V: CVB) (Compass or the

Company) is pleased to provide an update on exploration activity on the Faraba-Coura permit,

Sikasso Property in Southern Mali.

Highlights

● Three discrete gold zones (up to 1 km) identified over a distance of 4.8 km from a shallow

soil survey, and 2 km along strike from Farabakoura gold workings

● Anomalies are coincident with crustal-scale faults cutting intrusions

● Results reinforce anomalies previously identified through wide -spaced, deep soil auger

sampling

● Data review suggests a similar style of gold mineralization found at Farabakoura might also

be present in newly tested area (Boumban)

Compass CEO, Larry Phillips, said, “While drilling progressed at Farabakoura, our field teams

continued exploring other target areas on our adjacent Faraba- Coura permit . Combining the

results of this latest work with our previous finding s, we now have three robust targets for the

next phase of bedrock drilling, which we intend to initiate later this year. While our primary focus

remains on the gold workings Farabakoura and Kabangoué, it is also important to note that these

promising target areas represent only a small fraction of our prospective total land holdings.”

Background

Between December 2017 and February 2018, Compass undertook a shallow soil sampling

program over the Faraba-Coura and Ouassada exploration permits. Samples were collected with

a sample spacing of 100 m, a line spacing of 500 m, and to depths of 60 cm. From this work, three

broad zones were selected for deep auger sampling to an average depth of 15 m using a similar

sample and grid spacing to the previous shallow soil program. The auger sampling identified four

single or double sample point anomalies over a distance of approximately 5 km for future infill

sampling.

Boumban Soil Anomalies

Beginning i n June 2019, Compass undertook an infill shallow soil sampling program , which

consisted of 563 samples collected on a 100 x 100 m grid. (Samples on the original 500 m spaced

lines were not duplicated.) All samples were analyzed for gold using fire assay conducted at SGS

(Bamako), and the results were combined and plotted with the previous permit -wide samples

(Figure 1). Simple statistical analyses were performed on the data to determine the degree of

sample anomalism. ( Generally, in Mali shallow soil samples >20 ppb Au warrant further

investigation.) Background values were considered to be 5 ppb Au or less (number of samples (n)

= 2822), weakly anomalous (5 - 11 ppb Au, n = 818), moderately anomalous (11 - 18 ppb Au, n =

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201), strongly anomalous (18 - 100 ppb Au, n = 130), and extremely anomalous (> 3 standard

deviations from the mean, 100 - 3800 ppb Au, n = 13). From the latest 563 samples, one sample

was classified as extremely anomalous (containing 100 ppb Au) , and 43 samples as strongly

anomalous. A sample collected previously within the same grid area contained 793 ppb Au, which

was the third highest value of the 3,984 soil samples collected in Ouassada and Faraba-Coura.

Figure 1. Location of the infill shallow soil samples at Boumba n mentioned in this release. The location s

of the ground magnetic surveys are also illustrated.

Plotting the samples based on anomalism resulted in the delineation of the three areas –

Boumban South, Central, and North – which had been previously identified in the auger sampling,

over a distance of 4.2 km . The Boumban South anomaly is approximately 850 m in length,

Boumban Central is 900 x 900 m, and the Boumban North anomaly is 700 m in length. All three

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anomalies follow NW-trends that correlate with similar trending interpreted faults. The elevated

gold concentrations in the Boumban soil samples is comparable to the samples collected from

over the artisanal workings at Farabakoura, located between 2 and 3 km along strike to the south-

southeast.

Like the workings at Farabakoura, the eastern part of the Boumban Central anomaly is coincident

with a strong north-south trending airborne electromagnetic (EM) anomaly. This anomaly can be

traced over 40 km to the Komana East pit of the Yanfolila mine (operated by Hummingbird

Resources), suggesting that it might play an important role in the formation of gold mineralization

in the region.

Ground Magnetic Survey

Contemporaneous with the shallow soil survey, a detailed ground magnetic survey was also

performed. This 50 m line spaced, north -south oriented su rvey was planned to provide higher

resolution information on the bedrock geology than previously available . The ground survey

consisted of three survey areas: a 2.5 x 2.5 km area adjacent to the 2019 Farabakoura ground

survey; a similar sized grid in the north ; and, a smaller (2 x 2 km) grid in the centre. Only the

northern and southern grids were completed before the start of the rains last month, resulting in

the gap (see Figure 1) over the Boumban Centre soil anomaly.

Initial interpretation of the ground magnetic data indicates the likely presence of granodiorite

intrusions intruding a volcaniclastic sequence, which have been cut by a series of NW -trending

faults similar to Farabakoura. The data also suggests the prese nce of a small buried mafic

intrusion to the east of the Boumban South gold anomaly.

Next Steps

Comparison between the geophysics and drilling information from Farabakoura, and the

interpretation of the shallow soil and ground magnetic survey data at Boum ban, suggest that a

similar style of gold mineralization might be present. When ground conditions and access improve

at the end of the rainy season, the priority will be to complete the ground magnetic grid over the

Boumban Centre area, and augment the survey with infill lines at a spacing of 25 m. Interpretation

of this new data will determine the precise location of the reverse circulation (RC) bedrock drilling

targets. This drilling could start in November while the rigs are en route to the Farabakoura drilling

targets.

About Compass Gold Corp.

Compass, a public company having been incorporated into Ontario, is a Tier 2 issuer on the

TSX- V. Through the 2017 acquisition of MGE and Malian subsidiaries, Compass holds gold

exploration permits located in Mali that comprise the Sikasso Property. The exploration permits

are located in three sites in southern Mali with a combined land holding of 854 km2. The Sikasso

Property is located in the same region as several multi -million ounce gold projects, including

Morila, Syama, Kalana and Kodiéran. The Company’s Mali-based technical team, led in the field

by Dr. Madani Diallo and under the supervision of Dr. Sandy Archibald, P.Geo, is initiating a new

exploration program. They are examining the first of numerous anomalies noted for further

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investigation in Dr. Archibald’s August 2017 “National Instrument 43-101 Technical Report on

the Sikasso Property, Southern Mali.”

QAQC

All soil samples were collected following industry best practices, and an appropriate number and

type of certified reference materials (standards), blanks and duplicates were inserted to ensure

an effective QAQC program was carried out. The soil samples were prepared and analyzed at

SGS SARL (Bamako, Mali) by fire assay technique FAE505. All standard and blank results were

reviewed to ensure no failures were detected.

Qualified Person

This news release has been reviewed and approved by EurGeol. Dr. Sandy Archibald, P.Geo,

Compass’s Technical Director, who is the Qualified Person for the technical information in this

news release under National Instrument 43-101 standards.

Forward‐Looking Information

This news release contains "forward‐looking information" within the meaning of applicable securities laws,

including statements regarding the Company’s planned exploration work and management appointments.

Readers are cautio ned 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.

For further information please contact:

Compass Gold Corporation Compass Gold Corporation

Larry Phillips – Pres. & CEO Greg Taylor – Dir. Investor Relations &

Corporate Communications

[email protected] [email protected]

T: +1 416-596-0996 X 302 T: +1 416-596-0996 X 301

Website: www.compassgoldcorp.com

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