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Pancon Commences Exploration ON TWO Properties at Its Montcalm WEST Nickel-Cobalt-Copper Project

Exploration Programs

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May 17, 2018

PANCON COMMENCES EXPLORATION ON TWO PROPERTIES AT ITS

MONTCALM WEST NICKEL-COBALT-COPPER PROJECT

Pancontinental Gold Corporation (TSX-V:PUC) (“Pancon” or the “Company”) has commenced exploration

on two of three properties at its camp -sized Montcalm West Nickel -Cobalt-Copper Project, adjacent to

Glencore’s former Montcalm Nickel -Cobalt-Copper Mine in the Montcalm Gabbro Complex, 65

kilometres west of Timmins, Ontario. The first phase of exploration will focus on the Montcalm Property,

covering 3,780 hectares, and the Nova Property, covering 840 hectares and located 17 km southwest of the

Montcalm Property.

Pancon CEO Layton Croft stated: “Our Project Manager Kevin Filo visited both properties last week. Next

week we will have boots on the ground at Nova. In early June we will fly the first of two different state-of-

the-art airborne geophysical surveys over Montcalm. We are cashed up and moving quickly to define drill

targets based on our analysis of historical data and the new information we will generate now through the

summer. We are also applying for permits to enable drilling those targets as soon as possible later this year.”

The Company’s two-pronged strategy to develop drill targets at the Montcalm Property will begin with a

survey flying the new versatile time domain electromagnetic (VTEM) max techn ology over the most

prospective portion of the Property, in part informed by analysis of valuable geological data and diamond

drill records from the historical exploration assessment database of the Montcalm Gabbro Complex. The

VTEM survey, to be conducted in early June, will cover the entire gabbro phase of the Montcalm Intrusive

within the Company’s Montcalm Property. The gabbro phase of the Montcalm Intrusive hosts the former

Montcalm Nickel-Cobalt-Copper Mine, owned by Glencore Plc.

Later in June, the Company plans to fly the second geophysical survey for the Montcalm Property using

Gedex’s innovative High -Definition Airborne Gravity -Gradiometer (HD-AGG®) technology. Gedex’s

proprietary HD-AGG system is a new technology using exceptionally low -noise, non-intrusive methods

and equipment to reveal previously unknown geology (www.gedex.com). The HD -AGG gravity survey

will be flown over the gabbro phase of the Montcalm Intrusive. The Company will then integrate analyses

of both the VTEM and HD-AGG results to identify prospective drill targets, including deep-seated targets

undetectable by previous operators due to technological limitations at the time.

Work on the Nova property will involve soil sampling and prospecting. The purpose is to re-evaluate known

historical cobalt surface occurrences on the property in order to define the nature and orientation of the

mineralization. Following this, Pancon will initiate a geophysics survey and identify drill targets.

Montcalm West Project

In January, Pancon acquired an option to earn a 100% interest in the first two properties of the Montcalm

West Project: the Montcalm Property and the Nova Property (as detailed in its January 10, 2018 news

release). When Ontario’s new online staking system was launched on April 10, 2018, Pancon successfully

acquired 100% ownership of the Gambler Property, covering an additional 6,980 hectares and bringing the

Company’s Montcalm West Project land position to 11,600 hectares (as detailed in its April 17, 2018 news

release).

365 Bay St, Suite 400

Toronto, Ontario

M5H 2V1

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The Montcalm West Project covers nearly all available land within the prospective Montcalm Gabbro

Complex, and borders the former Montcalm Nickel -Cobalt-Copper Mine on its entire western boundary,

on almost half of its northern boundary, and on more than a third of its southern boundary. The Montcalm

Mine previously mined 3,931,610 tonnes of ore grading 1.25% nickel, 0.67% copper, and 0.051% cobalt,

producing in excess of 4 million pounds of Cobalt (Ontario Geological Survey, Atkinson, 2011).

Qualified Person

The Company and/or a Qualified Person has not yet completed the work necessary to verify the historical

data and past exploration results, as they pre -date National Instrument 43 -101 standards. The technical

information in this news r elease has been prepared in accordance with Canadian regulatory requirements

as set out in NI 43-101, and reviewed and approved by J. Kevin Filo, PGeo, a Qualified Person as defined

by NI 43-101 and a technical advisor for Pancontinental.

About Pancontinental Gold Corporation

Pancon is a Canadian-based mining company focused on the exploration and development of its McBride

Nickel-Cobalt-Copper Project in Ontario, Canada; its Montcalm West Nickel -Cobalt-Copper Project in

Ontario, Canada; and its 100% -owned Jefferson Gold Project in South Carolina, USA. The Company

continues to focus on acquiring additional prospective properties in low-risk areas with existing resources

and/or in proximity to producing or former mines. In 2015, Pancon sold its interest in its Australian rare

earth element (REE) and uranium properties, formerly held through a joint venture, and retains a 1% gross

overriding royalty on 100% of future production.

For further information, please contact:

Layton Croft

President and CEO

1-416-293-8437

1-980-309-8419

[email protected]

For additional information please visit our web site: www.pancongold.com, and our Twitter feed:

@PanconGold.

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.

Cautionary Language and Forward Looking Statements

This news release contains forward -looking information which is not comprised of historical facts. Forward -looking

information is characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”

and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward -looking

information involves risks, uncertainties and other factors that could cause actual events, results, and opportunities to

differ materially from those expressed or implied by such forward-looking information. Factors that could cause actual

results to differ materially from such forward-looking information include, but are not limited to, changes in the state

of equity and debt markets, fluctuations in commodity prices, delays in obtaining required regulatory or governmental

approvals, and other risks involved in the mineral exploration and development industry, including those risks set out

in the Company’s management’s di scussion and analysis as filed under the Company’s profile at www.sedar.com.

Forward-looking information in this news release is based on the opinions and assumptions of management considered

reasonable as of the date hereof, including that all necessary g overnmental and regulatory approvals will be received

as and when expected. Although the Company believes that the assumptions and factors used in preparing the forward-

looking information in this news release are reasonable, undue reliance should not be placed on such information. The

Company disclaims any intention or obligation to update or revise any forward -looking information, other than as

required by applicable securities laws.