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EAU.V ·

New Zone Discovered During 2020 Exploration at Wann River

Exploration Programs Sampling & Geoscience 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

New Zone Discovered During 2020 Exploration at Wann River

July 29, 2020

Vancouver, BC – Engineer Gold Mines Ltd. (the “Company”) (TSXV: EAU) announces the

completion of its initial exploration program of evaluating the Wann River vein systems and

integration with the 2011 drill data on its Engineer Gold Mine property. The Wann River veins lie

4 to 5 km south of the historical Engineer Gold Mine workings, located 32 km southwest of Atlin,

BC. The vein systems were mapped in detail and chip sampled during the current program and

correlated with veins encountered in the 2011 drill program completed by Blind Creek

Resources Inc. Sample results will be released when received.

The Morel zone, constitutes a new discovery this year of typically centimetre scale, northwest -

southeast trending, sheeted quartz veins and quartz stockwork, with minor pyrite and

tetrahedrite (commonly associated with th e gold and silver mineralization within this area),

hosted within iron -carbonate-potassic-pyrite altered zones within the dioritic orthogneiss (a

favourable competent host rock). The zone is exposed along the shore of Tagish Lake, 250m

southwest of the Lum showing from which grab samples were reported to carry 263 g/t Au and

1350 g/t Ag in 2010. Specimens of the Morel zone have been collected for petrographical

analysis and fluid inclusion studies to determine the nature of mineralization. Potential exists for

an intrusion related gold system (IRGS) related to the Wann River stock, or peripheral alteration

related to a structurally controlled lode gold system associated with the Llewellyn fault zone.

Mapping of the southeast trending Lum showing, located a pproximately 400m west -southwest

of the mouth of the Wann River and exposed by historical trenches, indicated that the one hole

drilled on the Lum showing in 2011 was drilled entirely within the footwall of the vein,

intersecting unaltered dioritic orthogn eiss. The Lum vein and stockwork zone remains untested

and additional drilling is planned.

Detailing mapping of the gold -silver bearing Trail, River and Spanish veins indicated the

presence of one southeast trending, moderate south dipping, generally 0.8 m wide, composite,

banded, tetrahedrite bearing vein exposed over a 150m strike extent. The vein is hosted by a

fault bounded strand of mafic volcanic rocks of the Triassic Stuhini Group. The vein was not

intersected in previous drilling due to a major fau lt, a strand of the Llewellyn fault system. The

vein is open to the south, and could be dextrally offset further north, at its north end. Additional

drilling is planned further south along the vein away from the fault.

Six of nine drill holes from two pad s (WR-01 and WR-03) 75m apart, from the 2011 Blind Creek

drill program in the central Wann area, intersected a number of veins, some of which exhibit

typical epithermal textures similar to those 4 km north at the Engineer gold mine, and are still

being cor related. Consequently, samples have been collected for petrographic and fluid

inclusion study. The southeast trending veins locally occur proximal, and sub -parallel, to the

orthogneiss/Wann River stock contact, steepen with depth, and are locally offset by faults. Veins

on surface in this area include: the Dutch vein, hosted by dioritic orthogneiss; and the Newfie

vein system, an easterly trending sheeted vein and stockwork zone hosted by the younger

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Wann River stock of probable Jurassic or Cretaceous age. Again, potential exists here for an

intrusion related gold system (IRGS).

Two significant vein intersections were encountered in two of the Blind Creek drill holes in 2011

from drill pad WR -04, further northwest. The intercepts of 1.05 g/t Au and 9.98 g/t Ag over

15.6m (true width of 2.7m), including 11.3 g/t Au and 94.8 g/t Ag over 1m (true width of 0.2m) in

WR11-014 (WR04 -01-11) and 5.62 g/t Au and 91.1 g/t Ag over 1m (true width of 0.5m) in

WR11-016 (WR04-03-11) indicate an 80 degree SW dip for the vein. The latter intercept was

not previously reported. The vein appears to be represented by a 130 degree trending break in

slope on surface from which high sulphide bearing quartz vein float returned 32.9 g/t Au in 2011.

The high sulphide nature of the vein suggests that it may be the faulted extension of the Trail, or

a similar, vein. Additional dril ling, now that the orientation of the vein is known, is planned to

intersect the vein along strike.

Continued exploration is commencing this week and will include an evaluation of MMI soil

anomalies at the north end of the Wann River area, mapping and pr ospecting between the

Engineer and Wann River areas and laying out trench and drill sites for the next phase of

exploration.

The current exploration program is being implemented and supervised, and the technical

information in this news release has been reviewed, by Jean Pautler, P.Geo., a qualified person

with respect to NI 43-101.

About Engineer Gold Mines Ltd.

Engineer Gold is focused on the exploration 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 ha s identified numerous high -grade vein and

shear-hosted bulk-tonnage gold exploration targets including Wann River to the southwest and

Happy Sullivan to the northeast of the Engineer Gold Mine.

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

On Behalf of the Board of Directors

Contact Information

Engineer Gold Mines Ltd. Corporate Inquiries:

"Andrew H. Rees" Andrew H. Rees: 604-505-3739

Mr. Andrew H. Rees Email: [email protected]

Director

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 fo r the adequacy or accuracy

of this release.

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This news rel ease contains certain forward looking statements which involve known and

unknown risks, delays, and uncertainties not under the control of Engineer Gold Mines Ltd.

which may cause actual results, p erformance 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 eco nomic factors. Neither

the TSX Venture Exchange nor its Reg ulation 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.