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EAU.V ·

Engineer GOLD Provides Underground Exploration Results (Including 547 G/T GOLD) FOR Engineer GOLD MINE

Drill Results

ENGINEER GOLD MINES LTD.

Suite 804 - 750 West Pender Street

Vancouver, B.C. V6C 2T7

Telephone: 604.682.2928

Fax: 604.685.6905

www.engineergoldmines.com

ENGINEER GOLD

PROVIDES UNDERGROUND EXPLORATION RESULTS

(INCLUDING 547 G/T GOLD)

FOR ENGINEER GOLD MINE

Vancouver, B.C., December 12, 2019. Engineer Gold Mines Ltd. (EAU: TSX-V) (“Engineer

Gold”, or the “Company”) announces the Company has received all underground sampling

analytical results for the recently completed mine de- watering and Level 8 sampling program at

the Company’s 100% owned historic Engineer Gold Mine Property, situated 32 km southwest of

Atlin, B.C.

Mine Dewatering and 8 Level Underground Sampling Results

On October 23rd, 2019 Engineer reported the Company had successfully de -watered the entire

Engineer Gold Mine and initiated an underground geological mapping and panel sampling

program on the lowermost 8 Level , which consists of a 1,067 metre network of historic drifts,

stopes and crosscuts. This major milestone marked the first time the entire mine has been

dewatered since commercial production ceased in 1927.

Unfortunately, due to a catastrophic pump failure, Engineer sampli ng crews only had 11 days to

establish provisional air and water services and conduct a preliminary muck and composite chip

sampling program on segments of the Double Decker, Engineer and Shear A Zone on 8 Level.

A total of 6 muck samples and 24 composite chip samples were collected during a 4 day

sampling program. Assay results are presented in the table below.

Engineer Gold Mine

8 Level Assay Results

Sample

Number

Au

(g/tonne)

Au

(oz/t)

Ag

(g/tonne)

As

(ppm) Location Sample Type

151701 0.932 2.4 5090

Double Decker

Stope Muck

151702 547 15.95 419 2640

151703 9.67 0.28 23.1 3240

151704 0.944 2.5 2270

151705 0.265 0.6 1295

151706 0.684 0.6 >10000

151707 0.345 1.1 423

Engineer Vein

Drift Composite Chip

151708 0.236 1.1 970

151709 0.358 0.7 957

151711 0.053 17.8 86

151712 0.467 8.1 2840

151713 0.705 0.7 2360

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Sample

Number

Au

(g/tonne)

Au

(oz/t)

Ag

(g/tonne)

As

(ppm) Location Sample Type

151714 0.022 <0.5 86

151715 0.011 <0.5 55

151716 0.143 1.9 208

151717 0.444 1.3 3920

Shear A

Drift Composite Chip

151718 0.482 8.4 611

151719 0.287 2.2 2540

151721 0.127 <0.5 789

151722 0.417 7.5 546

151723 0.12 0.9 648

151724 0.189 4.9 489

151725 0.534 6.4 1200

151726 0.736 2.2 920

151727 0.068 1 597

151728 0.018 <0.5 251

151729 0.155 0.7 1585

151731 0.212 <0.5 800

151732 1.13 1.4 1410

151733 0.186 3 796

Double Decker Vein

Work crews were able to access the production stope at the south end of the Double Decker vein.

The stope is estimated at 40 metres in length and up to 10 metres high. Historic miners removed

most of the broken ore from the shrinkage stope but the vein can be seen in back of the stope

where it is estimated to be 50 cm wide.

Five samples were collected from the muck piles remaining on the stope floor. A sixth sample

was collected from inside one of the draw chutes. All six samples were mineralized with two of

the samples returning high- grade gold. Samples 151702 and 151702 returned 547 g/t Au and

9.67 g/t Au, respectively. The samples were also enriched in silver a nd arsenic which is

typically associated with gold mineralization at the Engineer Gold Mine.

Engineer Vein

The Engineer Vein was identified on 8 Level as a vuggy quartz/calcite vein ranging from 40 to

70 cm width over a drift length of 193 metres . The width and vein textures are similar to that

observed in the 5 Level Bonanza Zone. Due to time constraints, only 9 composite chip samples

were collected along a 35 metre strike length.

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All 9 samples were mineralized but returned low -grade gold values rang ing from 11 to 705 ppb

Au. Samples were also elevated in silver and arsenic which is encouraging. Previous work on

the 5 Level Bonanza Zone has shown that small chip samples typically underestimate the actual

gold grade of the vein due to it high nugget nature.

Jersey Lilly Vein

The Jersey Lilly Vein has been identified on 8 Level within a 77 metre long drift. Preliminary

inspection indicates the vein varies from 0.10 metres to 0.60 metres in width. Unfortunately due

to time constraints the vein was not sampled this season.

Shear A Zone

Historic drifting of the Shear A Zone is measured to be approximately 255 metres. A total of 1 5

composite chip samples were collected along a 100 -metre length of the drift. Mineralization is

open in both directions but work crews only had access to the drift for one day of sampling.

All 15 samples exhibited low grade gold mineralization ranging from 18 ppb to 1.13 g/t Au. The

average grade was 340 ppb Au. The stope backs were heavily coated in mud so all the sa mples

collected were completely random. It is encouraging that all of the blind sampling returned

elevated gold mineralization with strong silicification and sulphide mineralization.

Exploration Implications

While it is most unfortunate that Engineer work crews had insufficient time to conduct a more

thorough underground sampling program on Level 8, results substantiate historic high-grade gold

occurring on the Double Decker Vein (547 g/t Au) and continuous lower grade gold occurring

within and along the Shear A structure. Sampling results are considered preliminary in nature,

and a more concerted program including washing drift walls, geological mapping and detailed

sampling along all mineralized vein drifts in their entirety is warranted and proposed for Spring,

2020.

Quality Control

Samples were submitted to ALS Minerals in Whitehorse, Yukon for sample preparation using

code PREP-31. A 30 gram pulp was cut and shipped to the ALS Minerals assay lab in North

Vancouver, BC where it was analyzed fo r gold using method Au- AA23. A 0.25 gram pulp was

analyzed for a multi-element suite using method code ME-ICP61. Over limits were analyzed by

Au-GRA21 and ME-OG62, respectively.

Qualified Person

Mr. Darren O’Brien , P.Geo., a ‘Qualified Person’ (Q.P.) as defined under Canadian National

Instrument NI 43-101, supervised the Engineer Gold Mine underground exploration program,

and prepared and reviewed technical aspects of this news release.

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About Engineer Gold Mines Ltd.

Engineer Gold is focused on the e xploration and development of the 100% -owned, 14,020 ha

Engineer Gold Mine Property, centered on the Historic high- grade Engineer Gold Mine situated

32 km southwest of Atlin, B.C. Previous work has identified a small, Inferred high- grade gold

Mineral Resou rce, numerous high- grade vein and shear -hosted bulk- tonnage gold exploration

targets and a modest , high-grade gold production opportunity. Engineer Gold is fully permitted

for surface and underground exploration drilling, small -scale test mining and on -site milling at

the Engineer Gold Mine Property.

For additional information please visit the company website at www.engineergoldmines.com.

On behalf of the Board of Directors, For further information, please contact:

Mr. Brian P. Fowler, P.Geo. Nelson Da Silva

President and Director Manager Corporate Communications

[email protected] [email protected]

604.722.0041

Corporate office

Telephone: 604.682.2928

Cautionary Note Regarding 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.

This news release contains certain forward looking statements which i nvolve known and unknown risks,

delays, and uncertainties not under the control of Engineer Gold Mines Ltd. which may cause actual

results, performance or achievements of Engineer Gold Mines Ltd. to be materially different from the

results, performance or expectation implied by these forward looking statements. By their nature, forward

looking statements involve risk and uncertainties because they relate to events and depend on factors that

will or may occur in the future. Actual results may vary depending upon exploration activities, industry

production, commodity demand and pricing, currency exchange rates, and, but not limited to, general

economic factors. 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.