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PGDC.V ·

Patagonia GOLD Corp. Grants Incentive Stock Options

Share Capital & Compensation

LEGAL*48897145.6

PATAGONIA GOLD CORP. GRANTS INCENTIVE STOCK OPTIONS

September 26, 2019 Vancouver, BC. Patagonia Gold Cor p. (“Patagonia” or the

“Company”) (TSXV: PGDC) is pleased to announce that it has granted an aggregate of

2,500,000 incentive stock options under the Company’ s stock option plan (the “Stock

Option Plan”) to the directors of the Company, 2,00 0,000 incentive stock options to

certain officers of the Company and 3,150,000 incen tive stock options to members of

senior management of the Company as part of a long t erm incentive plan (the “Option

Grant”).

All incentive stock options issued are exercisable for a period of five years at a price of

$0.065 and vest one year after the date of grant.

The Option Plan allows for the issuance of up to 10% of the issued and outstanding share

capital of the Company in the form of incentive stoc k options. As of the date hereof, a

total of 317,943,990 common shares of the Company are issued and outstanding and the

Option Grant represents approximately 2.4% of the issued and outstanding share capital.

The Option Grant represents all of the incentive st ock options that are currently

outstanding as all previously granted stock options were cancelled or have now lapsed as

a result of the reverse take-over of Hunt Mining Corp. by Patagonia Gold plc.

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, ind irectly through its subsidiaries or

under option agreements, has mineral rights to over 350 properties in several provinces

of Argentina, Chile and Uruguay and is one of the l argest 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]

LEGAL*48897145.6

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FORWARD-LOOKING STATEMENTS

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

to, statements about the Company’s focus on growing shareholder value and the

development of the Cap Oeste underground project, advancement of the Calcatreu project

and the Company’s future plans and intentions. Wherever possible, words such as “may”,

“will”, “should”, “could”, “expect”, “plan”, “inten d”, “anticipate”, “believe”, “estimate”,

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

or phrases, have been used to identify these forwar d-looking statements. These

statements reflect management’s current beliefs 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 statemen ts 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.