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Soil Sample Survey Commences ON the Aguilas Copper Project and Lead-Silver Exploration Potential

Exploration Programs Sampling & Geoscience Results

1199 West Hastings Street, Suite 700, Vancouver, BC V6E 3T5

Tel: 604-689-9930 Fax: 604-689-9940

July 17, 2017

Shares Issued and Outstanding: 60,085,387

TSXV: PGZ

SOIL SAMPLE SURVEY COMMENCES ON THE AGUILAS COPPER PROJECT

AND LEAD-SILVER EXPLORATION POTENTIAL ON THE ZUMAJO

STRUCTURE, SPAIN

VANCOUVER, BRITISH CO LUMBIA – (July 17, 201 7) – Pan Global Resources

Inc. (“Pan Global” or the "Company") (TSX Venture Exchange: PGZ) herein provides

a progress update on the Aguilas Copper Project in Spain.

The company manages the Aguilas Project through its agreement to acquire 100%

interest in Spanish company, Minera Aguila SLU , and the Las Aguilas I, II and III

Investigation Permits, referred to as the “Aguilas Project”. The mineral rights cover

approximately 11,302.5 hectares within the Pedroches Batholith, in northern

Andalucia, Spain (Figure 1). The Company also has a Letter of Intent, providing

exclusive rights to acquire the Escacena mineral rights in the Iberian Pyrite Belt, in

southern Spain.

Pan Global is pleased to announce commencement of soil sampling in the Aguilas

Project and the publication of Las Aguilas I and Las Aguilas II mineral rights for

definitive admission. A brief update is also provided on the exploration potential

associated with the Zumajo lead-silver structure, also within the Aguilas Project area.

Work to-date in the Aguilas Project includes a total of 106 rock samples, including 98

samples collected along the Torrubia copper structure. Previously reported results

include 60 samples with >0.1% copper , including 27 samples with values ranging

from 1% to 28% copper and up to 33% iron, 1.7g/t gold, 17.5g/t silver, 0.13% cobalt,

along with anomalous levels of uranium, nickel and light rare earth metals . The

copper is associated with numerous small ancient mine workings, multi- stage

hydrothermal quartz-hematite-carbonate breccia and “red rock” alteration. The metal

association, style of minerali zation and alteration are typical of hematite dominant

iron oxide copper gold (IOCG) type ore deposits . The results indicate copper

mineralisation over a combined strike length of approximately 3.1 kilometres in two

sections of the Torrubia copper structure and also confirmed for similar style

mineralisation on other parallel structures within the Project area.

Review and compilation of historical mining and exploration data from Zumajo lead-

silver trend is ongoing.

Soil geochemistry survey

A detailed soil geochemistry survey has been initiated over the Torrubia copper

structure. The survey will include an initial short orientation survey to determi ne the

most appropriate sampling methodology followed by collection of approximately 450

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samples on 100- 200m spaced traverses over approximately 2 kilometres of the

Torrubia structure. The sampling will target areas with visible copper mineralisation

and areas where the highest copper values have been reported from the recent

reconnaissance rock sampling.

The results of the soil and rock geochemistry together with more detailed geological

mapping will help to prioritise areas for follow -up electrical geophysics and drilling.

The first results from the soil sampling are expected in August.

Zumajo Lead-Silver Structure

Re-evaluation of the historic Zumajo lead-silver mine trend within the Aguilas project

area is progressing. Results to-date suggest good potential to discover additional lead

and silver along with other metals along several kilometres strike length of the Zumajo

Trend with lead-silver mineralisation open at depth and along-strike at some of the old

mines. The trend has received almost no exploration for the past 50 years. Further

exploration is also required to determine the metal grades across the breccia structures

and test if there are economic concentrations of metals suitable for large scale mining

methods.

Approximately 10.5 km of the Zumajo mine trend traverses the Aguilas Project area.

Lead and silver ores were exploited intermittently along the trend from the late 1890 ’s to

1958 via a series of shafts and small pits. The mines were targeting narrow high-grade

veins within at least two parallel breccia structures up to 16 metres thick. The ore was

hand-sorted for direct treatment at the nearby Peñaroya smelter. The historical reports

also show the breccia structures locally contain other metals that were not exploited

commercially during the previous mining, including copper, zinc, fluorite, uranium and

barium.

In 1966-1967, the Instituto Geoló gico Minero de España (IGME) undertook a study to

identify extensions of the lead-silver mineralization, and completed 15 drill holes along a

470 metre section of the Zumajo structure with several shallow mine workings. As yet,

no assay results have been located for the IGME drill holes. However, the lead and

silver mineralisation appears open at depth and along strike in this area. Historical

longitudinal section of some of the mines also show continuity of the minerali sation in

the lower levels. No grades are recorded except for concentrates sold, ranging from 48-

68% Pb and 120-270 ppm Ag for carbonate ores, and 70-79% Pb and 154-295 ppm Ag

for sulphide ores. No records have been located of any other drilling on the Zumajo

structure.

Mineral Rights

Publication in the Official Bulletin for Definitive Admission of the Las Aguilas I

Investigation Permit occurred on July 10, 2017. Publ ication of the Las Aguilas II

Investigation Permits is also imminent. Notice for the publication of the Las Aguilas

III Investigation Permits is now expected in September 2017 following acceptance of

the Environmental Impact Statement . Full permitting for each of the mineral rights

will follow a mandatory publication period.

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Other News

Pan Global held its Annual General Meeting on June 20, 2017.

Detailed results of the vote for the election of directors held at the Annual Meeting in

Vancouver are set out below.

Nominee

Votes

For

% For

Votes

Withheld

%

Withheld

Tim Moody 17,005,731 100 0 0

Bob Baxter 17,005,731 100 0 0

Brian Kerzner 17,005,731 100 0 0

Bob Parsons 17,005,731 100 0 0

Patrick Downey 17,005,731 100 0 0

At the Annual Me eting, Davidson & Co. were re -appointed as auditor of the

Company at remuneration to be fixed by the directors. Shareholders also re-

approved the Company’s stock option plan.

Qualified Person

Robert Baxter (FAusIMM), a Director of Pan Global Resources and a qualified

person as defined by National Instrument 43- 101, has reviewed the scientific and

technical information that forms the basis for this news release. Mr. Baxter is not

independent of the Company.

About Pan Global Resources

Pan Global Resources I nc. is actively engaged in base and precious metal

exploration in Spain, and is pursuing opportunities from exploration through to mine

development.

On behalf of the Board of Directors

www.panglobalresources.com.

FOR FURTHER INFORMATION PLEASE CONTACT:


MICHELLE BORROMEO


Investor Relations


E-mail: [email protected] 


Phone: +1 604-715-6845

Statements which are not purely historical are forw ard-looking statements, including

any statements regarding beliefs, plans, expectations or intentions regarding the

future. It is important to note that actual outcomes and the Company's actual results

could differ materially from those in such forward- looking statements. Risks and

uncertainties include, but are not limited to, economic, competitive, governmental,

environmental and technological factors that may affect the Company's operations,

markets, products and prices. Readers should refer to the risk disclosures outlined in

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the Company's Management Discussion and Analysis of its audited financial

statements filed with the British Columbia Securities Commission.

NEITHER 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.

Figure 1 – Aguilas Project Location