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EnGold Intersects 3.3% Copper Over 8.8m at Depth Within Spout North Zone

Drill Results

EnGold Intersects 3.3% Copper Over 8.8m at Depth

Within Spout North Zone

For Immediate Release. July 12, 2018. Vancouver, BC. David H. Brett, President & CEO, EnGold Mines

Ltd., (TSX-V: EGM, “EnGold” or the “Company”) reports assay results from the first three of six drill holes

designed to test copper-magnetite mineralization at depth within the Spout Copper Deposit. DDH SL18-

181 encountered an 8.8m intersection grading 3.26 % copper, 0.83 gpt gold, 16.9 gpt silver and 26.7 %

Fe. Drilling at Spout North continues.

As announced July 4, t hree holes (SL18 -179, SL -180, SL -181) tested the vertical Spout North Zone,

targeting down -dip extensions of known mineralization, to depths below 400m from surface, each

encountering the structure as anticipated. Previous drilling at Spout North was completed to shallow

depths of generally less than 100m . These three new holes span 250m of the currently defined 550m

strike length. Assays are tabulated below. A new drill plan map showing hole locations is available here

(https://www.engold.ca/projects/maps-images/)

The mineralization is typical of the North Zone, with chalcopyrite (with gold and silver) occurring as coarse

replacement blebs associated with semi -massive magnetite, and as late chalcopyrite veins. Assays are

highlighted in DDH SL18 -181 by an 8.8m inters ection grading 3.26 % copper, 0.83 gpt gold, 16.9 gpt

silver and 26.7 % Fe, including a 1.6m core interval grading 4.4 % Cu, 0.71 gpt Au, 20.9 gpt Ag and 40.4

% Fe. Reported intercepts are core lengths and not true width, as the true width of the structure has not

yet been determined at the depths drilled.

DDH NAD 83 Zone 10 Elev. Collar

Dip

Collar

Az. EOH Drill Core Depth (m) Copper Gold Silver Iron

Northing

(m)

Easting

(m) (mASL) (deg.) (UTM) (m) From To Interval Cu (%) Au

(g/t)

Ag

(g/t) Fe (%)

SL18-179

5761150 611655 1130 -75 040 557.5 336.00 341.15 5.15 1.07 0.24 4.17 24.03

incl. 339.10 341.15 2.05 1.92 0.46 7.10 37.10

SL18-180

5761053 611805 1143 -75 040 533.1 64.30 65.60 1.30 0.72 0.09 2.90 18.70

460.43 463.83 3.40 1.81 0.47 8.92 18.03

SL18-181

5761160 611563 1143 -72 040 454.5 419.80 428.60 8.80 3.26 0.83 16.9 26.7

incl. 427.00 428.60 1.60 4.39 0.71 20.9 40.4

“We are pleased that the down -dip continuity within Spout North is as we’d anticipated, with vertical step -

outs up to 300m below previous drilling” said EnGold VP of Exploration , Rob Shives, P.Geo. “ These are

some large step-outs and could significantly increase tonnages.”

As previously announced, a second phase drilling program will target the highly prospective 1800m ‘Gap

area’ lying between the exciting G1 discovery of 2017 and the Spout deposit.

“The high grades we are seeing at depth at Spout North support a new resource estimate based on a

high-grade, underground model,” said CEO David Brett. “We are looking forward to an exciting summer of

exploration at Lac La Hache.”

About EnGold

EnGold is a Vancouver-based copper/gold exploration company focused solely on its 100% owned Lac

La Hache property in the Cariboo region of BC. EnGold’s vision is to identify and delineate mi neral

resources at Lac La Hache that could potentially support an economically feasible and environmentally

sustainable underground mining operation. The Spout Deposit, the Aurizon Gold Zone and the 2017 G1

Discovery, located within a 7-kilometer area on the property, are all considered by EnGold to be

potentially underground minable targets. EnGold’s significant new copper discovery in 2017 adds to the

already extensively drilled Spout Copper Deposit and Aurizon Gold zones. Discovery potential for new

high-grade zones remains strong, and existing areas are open for expansion. With world class

infrastructure at its doorstep, Lac La Hache is a great location to be exploring. EnGold’s corporate

philosophy rests on three interdependent pillars: Environment, Engagement and Gold. Through sound

environmental stewardship, commitment to transparent engagement with local communities, the

Company is dedicated to driving exceptional shareholder and stakeholder value by fulfilling its vision to

profitably supply valuable and much needed metals to the global marketplace.

Rob Shives P.Geo., VP Exploration and a Qualified Person as defined under National Instrument 43 -101,

has reviewed and approved the technical content of this release.

EnGold Mines Ltd.

David Brett, President & CEO

For further info contact David Brett, 604-682-2421 or [email protected]

This news release may contain "forward‐looking statements". Readers are cautioned that any such statements are not guarantees

of future performance and that actual development or results may vary materially from those in these "forward looking statements.”

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.