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Falcon Reports High-Grade Results from GOLD, Silver and Copper Concessions, LA Rioja, Argentina

Drill Results

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NEWS RELEASE FG: TSX-V

FALCON REPORTS HIGH-GRADE RESULTS FROM GOLD, SILVER AND

COPPER CONCESSIONS, LA RIOJA, ARGENTINA

HIGHLIGHTS:

• Three gold mineralized structures sampled and mapped;

• Strike length exceeding 3 kilometers (“km”) for a new gold structure;

• Twenty-four samples sent for multi-element analyses and assay, of which;

o 21 sample analyses returned greater than 50 ppb gold and included,

• 9 high grade samples show ing gold grades that ranged from 15.63 to 45.71 grams per tonne

gold (“g/t Au”), and,

• Gold is accompanied by significant silver (“Ag”), copper (“Cu”), lead (“Pb”), zinc (“Zn”) and

vanadium (“V”). (see Table 1)

Vancouver, B.C., January 7, 2019. FALCON GOLD CORP. (“Falcon” or the “Company”) is pleased to report

on the analytical and assay re sults of its 2018 exploration sampling and mapping program on the

Esperanza Resources S.A. (“ERSA”) mineral concessions located in La Rioja Province, Argentina. The

work program has focused on three of its 7 optioned concessions; ERSA VIII, IX and X and on three major

gold mineralized structures within the concessions.

The 2018 Exploration Program & Results

The ERSA mineral concessions cover the central part of the Sierra de l as Minas region . This region is

typified by its rugged rolling topography and its ubiquitous cover of “Espinillos”, a n acacia-like thorny

shrub that can make cross country foot travel challenging. Despite the limitations, Falcon’s mapping and

sampling program was highly successful, covering several gold -bearing zones. The geological team also

mapped the trails and back roads that gave access to several showings and historical mine sites.

Within t wo concessions, ERSA VII I and IX, high-grade gold mineralization is reported to be localized

along northwest -southeast striking linear s tructures. The Callanas gold area contains several known

veins and Falcon’s sampling has shown results such as from Callana III of 27.03 g/t Au across 50 cm with

Ag, Cu, lead and zinc in amounts greater than the analytical detection limits. Sample number 40050 was

taken from the Callana IV vein across a 50 cm width where visible gold was identified and that assayed

45.71 g/t Au with Ag content greater than 100 ppm and Cu analyses of 7,869.60 ppm.

FALCON GOLD CORP.

520 - 470 Granville St.

Vancouver, BC V6C1V5

Tel : +1 604-683-1991

Fax +1 604 683-8544

www.falcongold.ca

[email protected]

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Approximately 4 km east of the Callanas area is another ver y prominent NW -SE lineament containing

auriferous quartz veins , not previously noted in historical reports . This structure parallels the strike of

the Callanas zones and may extend to the south east , crossing the ERSA VIII concessions and into ERSA

IX. A 30 cm chip sample assayed 15.63 g/t Au and a grab sample of a quartz vein float returned 28.43

g/t Au.

The ERSA X concession is approximately 6 km south of the Callanas area and contains the historic San

Isidro veins. Visible gold was commonly found in the veins and was noted in 3 of the four samples. Two

samples respectively returned 23.13 g/t Au with 4.00 ppm Ag and 8,200.40 ppm Cu over a width of 60

cm and 24.75 g/t Au with 19.90 ppm Ag and 6,182.90 ppm Cu over a width of 100 cm.

Table 1: Summary of the sampling and analyses results for the 2018 exploration program on

concessions, ERSA VIII, IX & X. Note the high-grade gold beyond the analytical detection limit

of 10,000 ppb Au were assayed for better upper grade results.

ESPERANZA PROJECT Au Au Ag Cu Pb V Zn

ERSA VIII - IX - X ppb g/t ppm ppm ppm ppm ppm

Analytical Method FAA313(1) FAG303(2) ICP40B(3) ICP40B ICP40B ICP40B ICP40B Description

Lower Detection Limit 5 0.50 0.20 0.50 2 2 0.50 Mineralized Sample Sample

Upper Detection Limit 10,000 100 10,000 10,000 10,000 10,000 Zone Type Width (cm)

Sample Number

40031 28 -- 2.70 655.20 92 18 51.20 ERSA VIII(4) FLOAT N/A

40032 >10000 15.63 8.20 >10000 3,462 604 136.50 ERSA VIII CHIP ROCK 30

40033 >10000 28.43 92.00 596.10 370 85 197.20 ERSA VIII FLOAT N/A

40034 392 -- 1.70 67.40 39 42 52.40 ERSA VIII CHIP ROCK 30

40035 272 -- 0.80 61.60 18 26 20.50 ERSA VIII CHIP ROCK 30

40036 6,923 -- 55.40 3,250.40 1,477 104 500.30 ERSA VIII FLOAT N/A

40037 81 -- 0.80 69.00 46 16 16.60 ERSA VIII CHIP ROCK 40

40038 30 -- 0.20 21.30 18 11 11.00 ERSA VIII CHIP ROCK 300

40039 58 -- <0.2 10.00 28 206 46.00 ERSA VIII CHIP ROCK 40

40040 >10000 27.03 >100 >10000 >10000 105 >10000 Callana III CHIP ROCK 50

40041 4,362 -- 31.90 7,849.00 >10000 2,423 854.00 Callana VI CHIP ROCK 40

40042 >10000 18.45 >100 9,122.40 >10000 679 225.30 Callana VI CHIP ROCK 40

40043 121 -- 4.40 67.90 2,205 113 43.10 Callana VII CHIP ROCK 30

40044 >10000 22.16 11.90 597.50 9,194 315 81.70 Callana VII CHIP ROCK 40

40045 129 -- 1.30 55.80 458 61 33.80 Callana VII CHIP ROCK 20

40046 31 -- 0.50 31.90 488 73 84.00 Callana VII CHIP ROCK 25

40047 1,037 -- >100 >10000 >10000 15 48.90 Callanas CHIP ROCK 10

40048 (VG)(5) >10000 28.23 >100 >10000 >10000 329 >10000 Callana V CHIP ROCK 80

40049 1,438 -- 8.80 491.80 9,741 96 1,432.20 Callana V CHIP ROCK 30

40050 (VG) >10000 45.71 >100 7,869.60 >10000 724 2,527.80 Callana IV CHIP ROCK 50

40051 (VG) 662 -- 78.90 8,397.50 609 243 148.50 San Isidro Norte CHIP ROCK 40

40052 (VG) >10000 23.13 4.00 8,200.40 292 120 149.20 San Isidro Sur CHIP ROCK 60

40053 (VG) >10000 24.75 19.90 6,182.90 363 95 168.20 San Isidro Sur CHIP ROCK 100

40054 159 -- 1.00 118.60 345 9 118.60 San Isidro Sur CHIP ROCK 20

(1) FAA: Flame Atomic Absorption

(2) FAG: Fire Assay Gravimetric

(3) ICP40B - 32 Elements by four-acid digestion / ICP-AES

(4) ERSA VIII mineralized zone may be the historical Callanas Este gold area

(5) (VG) - visible gold identified at sample site

Stephen Wilkinson, Falcon’s CEO commented, “ Our belief in the Esperanza project has been well

substantiated by t his highly successful round of exploration . Our Argentine team has delivered strong

results and laid the foundation for the 2019 programs.”

2019 Exploration Work

The recommendations for the next programs include:

• Continuing the examination of recognized historical structures with the intention of following

strike with mechanized trenching and further sampling,

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• Prospecting of the newly identified lineaments to define leng ths and grades of mineralized

zones, and,

• Defining of priority drill targets.

The ERSA Property

The ERSA Property is comprised of seven (7) mineral concessions covering an aggregate area of 20,461

hectares ("ha") within the renowned Sierra de Las Minas Dis trict, which is reported to host several past

producing gold and silver mines. The Property is located about 50 kilometres (“km”) south-southeast of

the town of Chepes. The city of San Juan is about 250 km by paved highway to the west-southwest.

The firs t discovered g old mineralization within the District reportedly occurred within the ERSA IX

concession in or about 1865 and is referred to as the “Callanas occurrences”. Limited mining has been

conducted on gold, silver and copper zones within the Callanas areas.

Qualified Person

Dr. Daniel Rubiolo , P. Geo., who is a Qualified Person as defined by National Instrument 43 -101,

Standards of Disclosure for Mineral Projects has reviewed and approved the technical content of this

news release.

About Falcon Gold Corp.

Falcon is a Canadian based mineral exploration company focused on generating, acquiring, and

exploring opportunities in the Americas. Its Ontario, Canada projects include: the Central Canada

cobalt, copper, gold project; the Coomer Lake vanadium and titanium project; the Wabunk Bay cobalt,

copper and nickel project, and the Burton gold property. Falcon also has an agreement to acquire

20,461 hectares within the Sierra de Las Minas District, Argentina which has hosted several past

producing gold, copper and silver mines. The Company has 38,020,184 common shares outstanding and

is listed on the TSX Venture exchange with the trading symbol: “ FG”. For information on the Company,

please visit our website: www.falcongold.ca.

CONTACT INFORMATION:

Falcon Gold Corp.

David Tafel

Chairman

Stephen Wilkinson

CEO & Director

Telephone: +1 604-683-1991

Email: [email protected]

Cautionary Language and Forward-Looking Statements

This news release may contain forward looking statements including but not limited to comments

regarding the timing and content of upcoming work programs, geological interpretations, receipt of

property titles, etc. Forward looking statements address future events and conditions and therefore,

involve inherent risks and uncertainties. Actual results may differ materially from those currently

anticipated in such statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is def ined in the policies

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