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Tarachi Channel Samples 6.34 G/T GOLD over 62.55 Metres at the LA Dura Historic MINE Area in Sonora, Mexico

Drill Results Exploration Programs

TARACHI GOLD CORP.

(CSE: TRG)

FOR IMMEDIATE RELEASE August 20, 2020

TARACHI CHANNEL SAMPLES 6.34 G/T GOLD OVER 62.55 METRES

AT THE LA DURA HISTORIC MINE AREA IN SONORA, MEXICO

Vancouver, British Columbia (August 20, 2020) – Tarachi Gold Corp. (CSE: TRG) (FRA:

4RZ) (“Tarachi” or the “ Company”) is pleased to announce initial high-grade results from

channel sampling at the La Dura historic underground mine on the Jabali concession at the

Tarachi project in the Sierra Madre Gold Belt of Eastern Sonora, Mexico.

Mapping and detailed underground channel sampling at the La Dura area of the southern Jabali

concession has been completed. Initial fire assays returned high -grade results over significant

widths including 6.34 g/t gold over 62.55 metres in La-Dura-01 including a sub-interval of 42.65

g/t gold over 2 metres. The sampling program was intended to test and expand on historic results

as well as outline initial drill targets. A total of 91 rock-saw channel samples were submitted to

BV Laboratory in Hermosillo. Samples were taken at the best available underground exposures

roughly perpendicular to the mapped East-West striking breccia structures.

Previous exploration and drilling on Jabali had been based on a north -south interpretation of the

mineralized structures. While regionally there is a northerly trend, recent detailed mapping by

Tarachi’s geological team has identified a series of steeply dipping east -west striking crackle

breccias which locally control the high-grade gold mineralization.

Tarachi’s President and CEO, Lorne Warner CEO comments “ We are very pleased to announce

this impressive sampling intercept of 62.55m at 6.34 g/t gold. These high -grades over broad

widths demonstrate the immense potential of the Tarachi project. Additionally, th e

reinterpretation of the steeply dipping breccias featured at La Dura creates a significant

opportunity for Tarachi to drill the historic mine area in a brand-new way. With over C$10

million in the bank and these initial high -grade results, I believe the Company is in an excellent

position to deliver value through exploration.”

Results are detailed in the chart below:

Channel

Sample

From

(metres)

To

(metres)

Length (metres) Gold

(grams/tonne)

LA_DURA_1 0.0 62.55 62.55 6.34

including 16.4 54.75 38.35 8.2

including 43.9 48.75 4.85 16.3

including 37.95 41.7 3.75 9.26

including 25.9 30.65 4.75 8.03

including 16.4 22.4 6.0 7.35

including 52.75 54.75 2.0 42.65

LA_DURA_2 0.0 1.6 1.6 0.045

LA_DURA_3 0.0 9.4 9.4 0.63

including 3.6 5.2 1.6 1.48

LA_DURA_4 0.0 4.35 4.35 4.42

LA_DURA_5 0.0 6.25 6.25 1.13

including 3.0 6.25 3.25 1.69

LA_DURA_6 0.0 2.2 2.2 0.19

The Company expects to announce further sampling results in the near term and is preparing to

begin drilling. The Tarachi project is ho st to multiple high -grade gold targets and the Company

will announce details surrounding its drill campaign shortly. An exploration camp has been

erected in the Tarachi area and stringent Covid -19 protocols have been put in place to ensure the

safety of local communities and the team in the field.

Quality assurance/quality control

All channel rock samples were taken underground in the La Dura mine on the Jabali concession

using a Husqvarna K770 14 -inch gas powered disc saw. Two cuts were made about 5cm apa rt

then a continuous channel of rock between the cuts was removed with a hammer and chisel.

Samples varied in length between 0.4m and 1.25m. Sample tags were submitted into each bag

before b eing sealed and stored at the campsite in a secure area and were later transported by

company truck directly to the Company to Bureau Veritas Mineral Laboratories (BVM) in

Hermosillo, Sonora, Mexico . At the laboratory the samples were dried, crushed and pulverized

with the pulps being sent airfreight for analysis to BVM in Vancouver, B.C. for 37 -element ICP

analysis after modified aqua regia digestion. Gold assays are done in Hermosillo by 50 -gram fire

assay with an atomic absorption spectroscopy finish.

Samples were checked using a 50-gram fire assay with a gravimetric finish for samples greater

than 10ppm Au and 1Kg metalli c fire assay with duplicate minus fraction analyzed. Both

Hermosillo and Vancouver BVM facilities are ISO 9001 and ISO/IEC 17025 accredited.

Laboratory control samples comprising certified reference samples, duplicates and blank samples

were inserted by the laboratory into the sample stream and analyzed as part of the quality

assurance/quality control protocol.

Figure # 1 Location Map of Tarachi Gold Corp Concessions:

Figure # 2 Detailed Sample Locations and Gold Assay Composites.

Project Descriptions

The Project s consist of the San Javier, Pretoria, Chivitas, Jabali, Juliana, Texana and Tarachi

concessions for at total of 2,560 hectares in the prolific Mulatos gold belt. The Pro jects are

approximately 220 km by air east of the City of Hermosillo, and 300 km south of the border

between the United States of America and Mexico. The Jabali claim covers the La Dura historic

mine and several other small -scale mines. The gold mineraliza tion and geology at Jabali is

believed to be similar in character to the gold mineralization at the Mulatos mine. Alamos Gold

Inc., in a 2003 annual report , identifies the Jabali project as being part of the "Los Bajios"

mineralized trend which the report suggests has the potential to host another Mulatos size

resource. The Tarachi project is an early stage exploration project and the mineralization hosted

on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on the

Company’s property.

The Mulat os gold trend is part of the Sierra Madre gold and silver belt that also hosts the

operating Mulatos gold mine immediately southeast of the La India property and the Pinos Altos

mine and the Creston Mascota deposit 70 kilometres to the southeast. Mineralization occurs

within silicified rhyodacite and is associated with vuggy silica alteration, and breccia with iron

oxide (hematite and specularite). Native gold occurs along late -stage fracture coatings in the

breccias and is locall y associated with barite. P ast exploration has returned values from trace to

30g/t Au in grab samples. Native gold has also been identified in outcrop on the southern

extension of the La Dura mine trend.

Qualified Person

Lorne Warner, P.Geo, President, CEO and Director of the compan y is a qualified person as

defined by National Instrument 43 -101 and has reviewed and approved the scientific and

technical disclosure in this news release.

Contact Information: For more information and to sign-up to the mailing list, please contact:

Lorne Warner, CEO

Tel: (250) 574-5767

Email: [email protected]

SPECIAL NOTE REGARDING FORWARD LOOKING STATEMENTS

This news release includes certain “Forward‐Looking Statements” within t he meaning of the United

States Private Securities Litigation Reform Act of 1995 and “forward‐looking information” under

applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”,

“estimate”, “expect”, “target”, “plan”, “forecast”, “may”, “would”, “could”, “schedule” and similar words

or expressions, identify forward‐looking statements or information. These forward‐looking statements or

information relate to, among other things: the exploration and development of the Project; future mineral

exploration, development and production including the identification of a work program.

Forward‐looking statements and forward‐looking information relating to any future mineral production,

liquidity, enhanced value and capital markets profile of Tarachi, future growth potential for Tarachi and

its business, and future exploration plans are based on management’s reasonable assumptions, estimates,

expectations, analyses and opinions, which are based on management’s experience and perception of

trends, curr ent conditions and expected developments, and other factors that management believes are

relevant and reasonable in the circumstances, but which may prove to be incorrect. Assumptions have

been made regarding, among other things, the price of silver, gold and other metals; costs of exploration

and development; the estimated costs of development of exploration projects; Tarachi’s ability to operate

in a safe and effective manner and its ability to obtain financing on reasonable terms.

These statements reflec t Tarachi’s respective current views with respect to future events and are

necessarily based upon a number of other assumptions and estimates that, while considered reasonable by

management, are inherently subject to significant business, economic, competi tive, political and social

uncertainties and contingencies. Many factors, both known and unknown, could cause actual results,

performance or achievements to be materially different from the results, performance or achievements

that are or may be expressed or implied by such forward‐looking statements or forward -looking

information and Tarachi has made assumptions and estimates based on or related to many of these factors.

Such factors include, without limitation: satisfaction or w aiver of all applicable conditions to closing

fluctuations in general macro‐economic conditions; fluctuations in securities markets and the market price

of Tarachi’s common shares; and the factors identified under the caption “Risk Factors” in Tarachi’s

management discussion and analysis . Readers are cautioned against attributing undue certainty to

forward‐looking statements or forward -looking information. Although Tarachi has attempted to identify

important factors that could cause actual results to differ materially, there may be other factors that cause

results not to be anticipated, estimated or intended. Tarachi does not intend, and does not assume any

obligation, to update these fo rward‐looking statements or forward-looking information to reflect chang es

in assumptions or changes in circumstances or any other events affecting such statements or information,

other than as required by applicable law.