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Prosper Gold Corp. Phase 2 Drilling Update Ashley Gold Project - Northern Ontario

Exploration Programs

July 04, 2017 TSXV: PGX

NEWS RELEASE

Prosper Gold Corp. Phase 2 Drilling Update

Ashley Gold Project - Northern Ontario

Quesnel, British Columbia – July 04, 2017 – Prosper Gold Corp. (“ Prosper Gold” or the “ Company”)

(TSXV: PGX) has completed 6,350m in 20 diamond drill holes to date at the Company’s Ashley Gold

Project (the “Property”) in northern Ontario. (For Phase 2 details; please refer to the Company's April 4,

2017 news release and for option details; please refer to the Company's February 29 & March 1, 2016 news

releases).

"We have completed drilling at three targets and are currently drilling our 100% owned Galahad target "

said Peter Bernier, President and CEO. “We are drilling deep beneath surface mineralization and historic

drill holes where we have intersected a strong, wide and long strain zone with sections of green carbonate

and disseminated pyrite. Although we are optimistic we caution that assays are pending.”

Galahad Target (100% Prosper Gold) – Currently Drilling

Drilling is in progress with 1,239m drilled to date in 2 holes testing the known structure. Drill hole G048,

the second hole at Galahad, was drilled at azimuth 210 and -50 degrees to intersect the Galer Fault beneath

the Galahad showing . G048 cut strongly strained and altered strata between 42 and 238 metres and

continues in moderately strained strata to 456 metres. Between 141 and 317 metres are sections of bright

green fuchsite carbonate quartz alteration, termed “green carbonate” separated by bleached albitized,

silicified and epidotized intervals in roughly equal proportions. Disseminated fine grained pyrite, black fine

grained pyrite stringers and sections of massive pyrite occur widely over the interval. (Photographs of the

core and updated drill maps are available at www.prospergoldcorp.com/s/ashley.asp) Assays are pending.

Ashley Breaks Target (Prospectors Option)

1,827m in 6 holes were drilled at the Ashley Breaks to test branches, bends and splays of an interpreted

strike slip strain transfer zone immediately south of Ashley Mine as well as for gold mineralization and to

look for evidence of strain and deformation. Minor strain and weak mineralization were observed, but no

significant gold assay results were received.

Arcuate Target (Alexandria Minerals Option)

2,165m in 7 holes were drilled at the Arcuate Target to test beneath an interpreted structure and beneath a

substantial syenite intrusive. Weak deformation was observed in many of the holes, approximately 1,500m

of assays have been received with no significant gold assay results to date. The remainder of the assays are

pending.

- 2 -

Bends Target (Alexandria Minerals & Prospectors Option)

1,119m in 4 holes were drilled at the Bends Target to test flexures in the projected Cadillac -Larder Lake

break where extreme airborne magnetic gradients are seen. Three holes were drilled to test for structure at

the fault bends and dykes. O ne hole was drilled in the ultramafic body reflected in the high magnetic

gradient to follow-up on historic PGE results. Assays are pending.

Powell Syenite Target (Alexandria Minerals Option)

1,500m are planned in three holes at the Powell Syenite target. Drill pads are completed and drilling will

commence later this season.

Qualified Person

The scientific and technical information in this news release has been reviewed by Dirk Tempelman-Kluit,

PhD, P.Geo., a Qualified Person under National Instrument 43-101.

For a detailed overview of Prosper Gold please visit www.ProsperGoldCorp.com

ON BEHALF OF THE BOARD OF DIRECTORS

Per: “Peter Bernier”

Peter Bernier

President & CEO

For further information, please contact:

Peter Bernier

President & CEO

Prosper Gold Corp.

Phone (250) 992-6644

Email: [email protected]

Information set forth in this news release may involve forward -looking statements under applicable securities laws. Forward -

looking statements are statements that relate to future, not past, events. In this context, forward -looking statements often address

expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimat e",

"expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other

similar expressions. All statements, other than statements of historical fact, included herein including, without limitation, statements

about the planned exploration of the Ashley Gold mine, are forward -looking statements. By their nature, forward -looking

statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance o r

achievements, or other future events, to be materially different from any future results, performance or achievements expressed or

implied by such forward -looking statements. Such factors include, among others, the following risks: the need for additional

financing; operational risks associated with mineral exploration; fluctuations in commodity prices; title matters; environmental

liability claims and insurance; reliance on key personnel; the potential for conflicts of interest among certain officers, di rectors or

promoters with certain other projects; the absence of dividends; competition; dilution; the volatility of our common share price and

volume and the additional risks identified the management discussion and analysis section of our interim and most recent annu al

financial statement or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations .

Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made

and the Company undertakes no obligation to update forward -looking statements if these beliefs, estimates and opinions or other

circumstances should change, except as required by applicable securities laws. Investors are cautioned against attributing un due

certainty to 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.