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Patagonia GOLD 2019 Financial Results and Update ON Extension to File Q1 2020 Financial Statements and Md&a

Financials

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PATAGONIA GOLD 2019 FINANCIAL RESULTS

AND UPDATE ON EXTENSION TO FILE Q1 2020 FINANCIAL STATEMENTS AND MD&A

June 15, 2020 Vancouver, BC. Patagonia Gold Corp. (“Patagonia” or the “Company”)

(TSXV: PGDC) announces its audited results for the fiscal year ended December 31, 2019

(“YE 2019”). The financial statements together wit h the management’s discussion and

analysis (“MD&A”) are available on the Company’s web site and on SEDAR at

www.sedar.com.

Highlights

 Revenue of US $21.9 million and gross profit of US $5.5 million in YE 2019.

 In February 2019, the heap leach operations at Loma da and Cap Oeste were placed

on care and maintenance.

 Residual production at Cap Oeste of 7,796 ounces of gold and 237,727 ounces of silver

and at Lomada of 3,969 ounces of gold.

 Production at Mina Martha of 232 ounces of gold and 65,620 ounces of silver.

 Completion of the Reverse Takeover transaction with Hunt Mining Corp. on July 24,

2019.

 At Calcatreu, the exploration program during 2019 wa s mostly focused on surface

work, with a total of 41.28 line kilometers of Pole-Dipole geophysical surveying over

the Nelson, Castro Norte, Fiero, Sabrina and Viuda de Castro areas, plus 121.5 line

kilometers of gradient IP geophysics over Nelson, Sabrina and Mariano. An additional

1,687.2 km of ground magnetic surveying, covering 5 5.44sq km, were completed in

the project covering several targets including V49 and Nelson.

 Initiated a pre-feasibility study at Cap Oeste to as sess the potential technical and

economic extraction of the higher grade portion of the current mineral resources 1.

 Received the final approval closure plan for Lomada on November 2019 and started

with the works of remediation in late 2019.

1. Please refer to the December 2018, Capo Oeste techn ical report, on file at www.sedar.com , for further

information.

Christopher van Tienhoven, CEO commented: “Despite the closure of Lomada and Cap

Oeste in February 2019, the projects continued to generate residual production from the

heap leach pads which helped the Company to reduce i ts commercial indebtedness. In

addition, the successful completion of the Reverse Takeover with Hunt Mining will enable

the Company to advance the development of the high- grade Cap Oeste Underground

Project with processing at the Martha plant.”

First Quarter 2020 Financial Results Release

The Company continues to rely on the temporary blanket relief (the “Relief”) for market

participants from certain regulatory filings published by Canadian securities regulators on

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March 23, 2020 as a result of the COVID-19 pandemic. The Relief provides the Company

with a 45-day extension to file its financial state ments and MD&A for the period ended

March 31, 2020 (the “Q1 Filings”). Patagonia expect s to file the Q1 Filings on or before

July 16, 2020.

There have not been any material business developme nts that are not otherwise

disclosed in this news release. Readers are encoura ged to refer to the Company’s news

releases dated April 16, 2020 and May 15, 2020 for more information on the filing

extension.

Qualified Person’s Statement

Donald J. Birak, an independent geologist and Registered Member of SME and Fellow of

AusIMM, is the qualified person as defined by National Instrument 43-101, has approved

the scientific and technical content of this press release.

About Patagonia Gold

Patagonia Gold Corp. is a mining and development com pany listed on the TSX Venture

Exchange. The Company seeks to grow shareholder val ue through exploration and

development of gold and silver projects in the Pata gonia region of Argentina. The

Company is primarily focused on the Calcatreu project in Rio Negro and the development

of the Cap Oeste underground project. Patagonia, i ndirectly through its subsidiaries or

under option agreements, has mineral rights to over 360 properties in several provinces

of Argentina and Chile and is one of the largest landholders in the province of Santa Cruz,

Argentina.

For more information, please contact:

Dean Stuart

T: 403 617 7609

E: [email protected]

Christopher van Tienhoven, Chief Executive Officer

Patagonia Gold Corp

T: +54 11 5278 6950

E: [email protected]

FORWARD-LOOKING STATEMENTS

This news release contains certain forward-looking statements, including, but not limited

to, statements with respect to, among other things, anticipated results of production and

processing, assumptions with respect to advancing and defining the Calcatreu project and

possible results of metallurgical testwork, advance ment and development of gold and

silver projects in the Patagonia region of Argentin a, anticipated growth in shareholder

value and when the Company expects to file the Q1 Filings. Wherever possible, words such

as “may”, “will”, “should”, “could”, “expect”, “pla n”, “intend”, “anticipate”, “believe”,

“estimate”, “predict” or “potential” or the negative or other variations of these words, or

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similar words or phrases, have been used to identif y these forward-looking statements.

These statements reflect management’s current belie fs and are based on information

currently available to management as at the date hereof.

Forward-looking statements involve significant risk, uncertainties and assumptions. Many

factors could cause actual results, performance or achievements to differ materially from

the results discussed or implied in the forward-loo king statements. These factors should

be considered carefully and readers should not plac e undue reliance on the forward-

looking statements. Although the forward-looking st atements contained in this news

release are based upon what management believes to be reasonable assumptions, the

Company cannot assure readers that actual results will be consistent with these forward-

looking statements. These forward-looking statement s are made as of the date of this

news release, and the Company assumes no obligation to update or revise them to reflect

new events or circumstances, except as required by law.

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.