GOLD Reserve Provides Update

NR 17-02

GOLD RESERVE PROVIDES UPDATE

SPOKANE, WASHINGTON, February 6, 2017

Gold Reserve Inc. (TSX.V: GRZ) (OTCQB: GDRZF) (“Gold Reserve” or the “Company”) today

reported that it has been in discussions with the Government of the Bolivarian Republic of Venezuela

("Venezuela") regarding payments that were due under the terms of the previously announced amended

settlement agreement (the “Settlement Agreement”).

Gold Reserve’s executive committee members, James Coleman, Rockne Timm and Douglas Belanger,

have been meeting in Caracas with senior Venezuelan officials. These officials indicated that the payment

to Gold Reserve has been delayed due to certain procedures and processes which have slowed the

completion of the related financing.

The parties previously agreed to temporarily refrain from enforcing the ICSID Award and from seeking

the decision on the annulment of the Award. Notwithstanding Venezuela’s assurances to comply with the

Settlement Agreement, the parties have agreed to have the Paris Court of Appeal issue its decision on

Venezuela's motion for annulment on February 7, 2017. The Gold Reserve legal team believes that the

motion should be denied and Gold Reserve’s arbitration award will be confirmed.

The Minister of the People’s Power for Ecological Mining Development, Roberto Mirabal and the

Attorney General, Reinaldo Muñoz, also stated, “Venezuela expects to be in a condition to satisfy its

obligations under the Settlement Agreement.” Mr. Mirabal further stated, “The Republic looks forward to

continuing to move the gold copper silver Siembra Minera Project (Brisas Cristinas) forward, which will

create many positive benefits for the region and the Republic."

James Coleman of Gold Reserve stated, “The settlement process has been long and at times difficult with

our shareholders patiently waiting for completion. Although, the Company remains optimistic, it is well

aware of the views of its stakeholders and is diligently working to complete the transaction as previously

outlined in prior news releases. Accordingly, based on the Caracas meetings and the assurances set out

herein, the Company believes that the Settlement Agreement will be respected and the terms satisfied.”

Further information regarding the Company can be located at www.goldreserveinc.com, www.sec.gov,

and www.sedar.com.

Gold Reserve Inc. Contact

A. Douglas Belanger, President

926 W. Sprague Ave., Suite 200

Spokane, WA 99201 USA

Tel. (509) 623-1500

Fax (509) 623-1634

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This release contains “forward-looking statements” within the meaning of applicable U.S. federal securities laws

and “forward-looking information” within the meaning of applicable Canadian provincial and territorial securities

laws and state Gold Reserve’s and its management’s intentions, hopes, beliefs, expectations or predictions for the

future including without limitation statements with respect to the transactions contemplated by the Settlement

Agreement, as amended, the outcome of the legal proceedings before the Paris Court of Appeal and the development

of the Brisas-Cristinas project. Forward-looking statements are necessarily based upon number of estimates and

assumptions that, while considered reasonable by management at this time, are inherently subject to significant

business, economic and competitive uncertainties and contingencies.

We caution that such forward-looking statements involve known and unknown risks, uncertainties and other risks

that may cause the actual outcomes, financial results, performance, or achievements of Gold Reserve to be

materially different from our estimated outcomes, future results, performance, or achievements expressed or implied

by those forward-looking statements, including without limitation Venezuela’s ability to fund the contemplated

payments to the Company pursuant to the Amended Settlement Agreement, the risk that the Paris Court of Appeal

may rule adversely to the Company, the ability of Venezuela and the Company to arrange financing for the

anticipated capital costs of the Brisas-Cristinas project and the risk that the development of the Brisas Cristinas

project may not proceed as anticipated.

This list is not exhaustive of the factors that may affect any of Gold Reserve’s forward-looking statements. Investors

are cautioned not to put undue reliance on forward-looking statements. All subsequent written and oral forward-

looking statements attributable to Gold Reserve or persons acting on its behalf are expressly qualified in their

entirety by this notice. Gold Reserve disclaims any intent or obligation to update publicly or otherwise revise any

forward-looking statements or the foregoing list of assumptions or factors, whether as a result of new information,

future events or otherwise, subject to its disclosure obligations under applicable rules promulgated by the Securities

and Exchange Commission and applicable Canadian provincial and territorial securities laws.

“Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the

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