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Pelangio Exploration Inc. News Release – August XX, 2020 1

Corporate Updates

Pelangio Exploration Inc. News Release – August XX, 2020 1

82 Richmond Street East, Toronto, ON M5C 1P1 Tel: 905-336-3828 Fax: 905-336-3899

NEWS RELEASE

PELANGIO EXPLORATION PROVIDES UPDATE ON

DALTON AND GRENFELL PROJECTS, ONTARIO CANADA

TORONTO, Ontario (August 26, 2020) – Pelangio Exploration Inc. (PX:TSX-V; OTC PINK:PGXPF) (“Pelangio” or

the “Company”) is pleased to provide an update on its Dalton Project located in Timmins and its Grenfell

Project located 10 kilometers (“km”) northwest of Kirkland Lake Ontario.

Dalton Project

In late July, the Company completed 826 meters (“m”) of diamond drilling in four drill holes to test two

coincident geochemical and geophysical anomalies on the Dalton Project. Drilling intersected sulphide

mineralization and a number of quartz veins, though, no significant gold mineralization was detected. Based

on the lack of significant results, Pelangio will relinquish its option to earn a 90% interest in the Dalton Property

but will retain a 10% interest in this project, due to its proximity to the Hollinger Gold Mine.

Ingrid Hibbard, President and CEO commented, “The nature of exploration is that not every prospect will be a

success, so it is important that early stage evaluations are done cost-effectively. We will now focus our Ontario

exploration efforts with follow up phase 2 priority target drilling at our Grenfell property where we had a major

success in early 2020. The best drill hole intercepts from our spring 2020 program at Grenfell returned 314 g/t

gold over 1.74 m (uncut) including a higher grade section which assayed 1810 g/t gold over 0.3 m in hole 4, as

well as a broader interval of 2.5 g/t gold over 26 m (including 9.39 g/t gold over 3m) in hole 5. (Reference

Press Release March 1, 2020). Given the success of the spring drill program at Grenfell, we look forward to the

start of our follow up drill program in mid-September.

Grenfell Project

Pelangio’s highly prospective Grenfell Project is comprised of 38 mining cells and 8 leased claims covering an

area of approximately 6.7 km2, located 10 km northwest of the Town of Kirkland Lake Ontario. (see Map 1,

Grenfell Project Property Geology).

Following the completion of the March of 2020 spring drilling program, a review was conducted on a number

of targets in the vicinity of the old mine workings in order to outline the phase 2 drilling program. Pelangio

anticipates commencing its Grenfell exploration in mid September 2020.

The priority targets (see Map 2) to be tested in the phase 2 program are as follows:

• Further evaluation of the strike extension of the northwesterly trending No.6 Vein system. Pelangio’s

recent drilling from hole 4 returned 2.50 g/t gold over 26 m (including 9.39 g/t gold over 3 m) and

hole 5 assayed 314 g/t gold over 1.74 m (uncut).

• Drilling is also planned to test the intersection of the No.6 Vein and No.1 vein for a potential

mineralized chute along the plane of intersection of the veins. Historical drifting and sampling on the

Pelangio Exploration Inc. News Release – August 26, 2020 2

82 Richmond Street East, Toronto, ON M5C 1P1 Tel: 905-336-3828 Fax: 905-336-3899

250 level on the former mine demonstrated that the No.1 Vein averaged 0.2 oz/ton gold over a width

of 3 feet for a strike length of 180 feet. A surface bulk sample from a trench on the No.1 Vein allowed

for the extraction of 21.7 tons grading 0.456 oz/ton gold.

• Very limited drilling is known to have been conducted on the No.1 vein despite extremely encouraging

sampling results as documented above. A hole is planned to confirm the values on one of the higher

grade portions of the No.1 vein documented in the historical mine level plans.

• Historical mine plans on the 250 level have shown two other north northwesterly trending structures

in a very similar orientation to the No.6 vein. (see Map 2). These structures have been designated as

the Central Target and the Shea Vein. Mine plans and historical reports have documented significant

gold mineralization associated with these structures. A historical hole on the Shea Vein returned 0.41

oz/ton gold over 3 feet. Drilling will be conducted on the two targets to test for both potential high

grade mineralization as well as broad mineralized wall rock intercepts similar to that found on the No.

6 Vein.

Note: Historical intercepts quoted from a J. Londry P. Eng; Report on the John Sirola Property, Grenfell Township,

1985

GRENFELL DRILL HOLE LOCATION DATA

HOLE NO. EASTING NORTHING AZIMUTH DIP (Degrees) LENGTH (m)

4 560318 5336214 198 degrees -47 60.00

5 560318 5336214 198 degrees -60 125.50

GRENFELL SIGNIFICANT ASSAY INTERCEPTS

HOLE NO. FROM TO METERS G/T Au G/T AU (CUT) G/T Au (UNCUT)

**4 14.00 15.00 1.00 3.73

**4 19.00 45.00 26.00 2.50

includes 26.00 45.00 19.00 3.18

29.00 45.00 16.00 3.23

37.50 45.00 7.50 4.81

37.50 40.50 3.00 9.39

**5 33.00 59.00 26.00 1.32

33.00 59.00 26.00 21.80

Includes 36.26 38.00 1.74 7.95

36.26 38.00 1.74 314.00

includes 36.26 36.56 0.30 1810.00

Notes:

i) **Denotes intervals reported in previous press release March 1, 2020

ii) Intervals shown as cut with high-grade assays over 34.28571 g/t Au were cut to 34.28571 g/t Au

iii) All intervals shown in the accompanying tables are core lengths as the estimated true width of

the zone cannot be determined at this time

Pelangio Exploration Inc. News Release – August 26, 2020 2

82 Richmond Street East, Toronto, ON M5C 1P1 Tel: 905-336-3828 Fax: 905-336-3899

Map 1: Grenfell Project Property Geology

Pelangio Exploration Inc. News Release – August 26, 2020 2

82 Richmond Street East, Toronto, ON M5C 1P1 Tel: 905-336-3828 Fax: 905-336-3899

Map 2: Composite Surface and 250 Level Plan

Qualified Person

Mr. Kevin Filo, P.Geo. (Ontario), is a qualified person within the meaning of National Instrument 43-101. Mr.

Filo approved the technical data disclosed in this release.

About Pelangio

Pelangio acquires and explores world-class gold belt land packages in Canada and Ghana, West Africa. Its key

properties in Ontario, Canada, are the Grenfell property, located 10 km from Kirkland Lake, and the Dome West

property, situated some 800 meters from the Dome Mine in Timmins. In Ghana, the Company is exploring its

two 100% owned camp-sized properties: the 100 km2 Manfo Property, the site of seven near-surface gold

discoveries, and the 284 km2 Obuasi Property, located 4 km on strike and adjacent to AngloGold Ashanti’s

prolific high-grade Obuasi Mine. See www.pelangio.com for further detail on all Pelangio’s properties.

For additional information, please visit our website at www.pelangio.com, or contact:

Ingrid Hibbard, President and CEO

Tel: 905-336-3828 / Toll-free: 1-877-746-1632 / Email: [email protected]

Forward Looking Statements

Certain statements herein may contain forward-looking statements and forward-looking information within

the meaning of applicable securities laws. Forward-looking statements or information appear in a number of

places and can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”,

“budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate” or “believes”

Pelangio Exploration Inc. News Release – August 26, 2020 2

82 Richmond Street East, Toronto, ON M5C 1P1 Tel: 905-336-3828 Fax: 905-336-3899

or variations of such words and phrases or statements that certain actions, events or results “may”, “could”,

“would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements and information include

statements regarding the Company’s ability to complete the planned work programs, the Company’s strategy

of acquiring large land packages in areas of sizeable gold mineralization, the Company’s plans to follow-up on

previous work, and the Company’s exploration plans. With respect to forward -looking statements and

information contained herein, we have made numerous assumptions, including assumptions about the state of

the equity markets. Such forward-looking statements and information are subject to risks, uncertainties and

other factors which may cause the Company’s actual results, performance or achievements, or industry results,

to be materially different from any future results, performance or achievements expressed or implied by such

forward-looking statement or information. Such risks include the changes in equity markets, share price

volatility, volatility of global and local economic climate, gold price volatility, political developments in Ghana,

and Canada, increases in costs, exchange rate fluctuations, speculative nature of gold exploration, including

the risk that favourable exploration results may not be obtained, and other risks involved in the gold exploration

industry. See the Company’s annual and quarterly financial statements and management’s discussion and

analysis for additional information on risks and uncertainties relating to the forward-looking statement and

information. There can be no assurance that a forward-looking statement or information referenced herein will

prove to be accurate, as actual results and future events could differ materially from those anticipated in such

statements or information. Also, many of the factors are beyond the control of the Company. Accordingly,

readers should not place undue reliance on forward- looking statements or information. We undertake no

obligation to reissue or update any forward-looking statements or information except as required by law. All

forward-looking statements and information herein are qualified by this cautionary statement.

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.