CGG:CC - China Gold International Resources Corp. Ltd. Announces Updated Mineral Resource for CSH Gold Property -- M&I Estimates Increased 151%

(TheNewswire)

VANCOUVER – TheNewswire- August 19 , 2022 — ChinaGold International Resources Corp. Ltd. (TSX:CGG ) and ( HKEx:2099) (“ China Gold International Resources ”,“ CGG ”, or the“ Company ”) todayannounced that it has filed on SEDAR a National Instrument 43-101 — Standards ofDisclosure for Mineral Projects (“ NI43-101 ”) Technical Report with respect to thenew Mineral Resource estimates for the Chang Shan Hao ( “ CSH ”) GoldProject (the “ Project ”) in Inner Mongolia Autonomous Region, the People’sRepublic of China.

The current life of mine for the Project runs untilOctober 2025 at a production rate of 40,000 tonnes per day(“ tpd” ). The Companyhas been carrying out exploration programs aimed at extending the areaof known mineralization and determining mineral resources at depththat could be mined as an underground operation following thedepletion of the mineral reserves at the open pit operations.

Highlights

• Measured and Indicated Mineral Resources mainly outsideand below the ultimate shell of the existing open pit mine increasedby 151% from 56.6 tonnes ( ”) (1.82 million ounces “Moz”) to142 t 4.57 Moz ) of gold at an average grade of 0.63 g/t Au, providing basisfor further studies on development of the mineral resources atdepth;

• For the existing open pit, Proven and Probable MineralReserves increased by 18% from 26.3 t (0.85 Moz) to 31 t 1 Moz) of gold atan average grade of 0.65 g/t Au;

• Mining production rate at northeast open-pit operationis planned at 40,000 tpd or 13.2 million tonnes per annum( Mtpa ”) of run-of-mine(“ ROM ”) ore from 2022to 2025; and

• Annual gold production is estimated at 4.6 t or 147,893oz from current open-pit operation between April 2022 and October2025

Overview

The CSH Gold Project is a brown-field explorationproject . The target zonesare located outside and below the ultimate shell of the existing openpit mining operation. The Project is located in Wulate Middle Banner,Bayannao’er City, Inner Mongolia Autonomous Region, the People’sRepublic of China, about 630 kilometresnorthwest of Beijing. Inner Mongolia Pacific Mining Co., Ltd., a 96.5%subsidiary of the Company, owns a 100% interest in the Project area,including all mineral resource and mineral reserve estimates, andmining operation reported in the technical report.

Geology

Tectonically, the CSH gold deposit is located in theNorth China platform, proximal to the edge of North China platformwith contact to the Junggar ? InnerMongolia ? Hinggan fold belt, and hosted in the Bilute Formation of Mesoproterozoic Bayan OboGroup. T he gold mineralization is controlled bya brittle-ductile shear structure, which is likely developed along thecontact between physical hard rocks and soft rocks, but preferentiallywithin the soft horizon.

Mineral Resource Estimate

A Mineral Resource estimate, with an effective date ofApril 1, 2022, has been completed by CGME Consulting Ltd.(“ CGME ”) in accordancewith the CIM Definition Standards and Best Practice Guidelines underNI 43-101, based on a Reasonable Prospect for Eventual EconomicExtraction. The updated Mineral Resource isdelineated based on 368 drill holes totaling 158,092 m completed as ofMarch 2022, of which 65 drill holes totaling 51,986 m were newlycompleted prior to this resource estimate.

The Mineral Resources are summarized in Tablebelow.

Notes : Mineral Resources are reported in relation to a conceptualopen-pit mining and underground block caving mining. Mineral Resourcesare not Mineral Reserves and do not have demonstrated economicviability. All figures are rounded to reflect the relative accuracy ofthe estimate. Raw assays have been capped. Mineral Resources includeMineral Reserves.

Mineral Resources are reported at a cut-off grade of0.28 g/t Au for open-pit mining, based on the following parameters:the heap leaching & metallurgical recovery of 60% and gold bullionmarket price of USD 1,980 per ounce . Additional Mineral Resources are reported at a cut-offgrade of 0.30 g/t Au for underground block caving mining, based on thefollowing parameters: the heap leaching & metallurgical recoveryof 60% and gold bullion market price of USD 1,980 perounce . USD 1.0000=RMB 6.3457 dated in April2022, and one troy ounce is equal to 31.1035 grams.

Mineral Reserve Estimate

For the existing open pit mining operation , a Mineral Reserve estimate, datedeffective April 1, 2022, has been completed by CGME in accordance withthe CIM Definition Standards and Best Practice Guidelines under NI43-101.

The Mineral Reserves are summarized in Tablebelow.

Notes : Mineral Reserves are reported based on the optimized ultimateopen pit limit. All figures are rounded to reflect the relativeaccuracy of the estimate. Mineral Reserves are included in MineralResources.

Mineral Reserves are reported at a cut-off grade of0.28 g/t Au for open-pit mining, based on the following parameters:the heap leaching & metallurgical recovery of 60% and gold bullionmarket price of USD 1,568 per ounce . USD1.0000=RMB 6.3457 dated in April 2022, and one troy ounce is equal to31.1035 grams.

Production Schedule

In accordance with the updated design of northeast pit,the existing open pit mining operation can sustain another four years,including three years of steady production and one year of ramp-down,as detailed in table below.

For current year, 2023 and 2024, the planned miningproduction rate is 13.2 Mt of ore per year. The mining operations willbe wound up in 2025, and the heap leaching will continue until 2029,as detailed in table below.

Capital and Operating Costs

There is no further capital funding requirement for theopen pit mining operation. T he working capitalremains unchanged at 175 million yuan. Theestimated cash operating costs are 65.0 yuan /tore ( USD 10.24 /tore).

Qualified Persons

A Technical Report titled "NI 43-101 TechnicalReport for the CSH Gold Property, Inner Mongolia Autonomous Region,the People’s Republic of China" with an effective date of April1, 2022 has been prepared by CGME. The report has been filed on SEDAR(www.sedar.com).

Mr. Yuan Chen, MSc, MAIG, RPGeo, an associatedPrincipal Geologist engaged by CGME and a Qualified Person as definedby NI 43-101, has reviewed the data underlying the Mineral Resourcesand supervised the estimation of the Mineral Resources as well asreviewed the entire Technical Report. Mr. Chen has approved thescientific or technical information pertaining to the CSH Project’sMineral Resources and Geology contained in this release.

Mr. Guangpian Zhang, FAusIMM, a full time PrincipalMining Engineer for CGME and a Qualified Person as defined by NI43-101, has reviewed the data underlying the Mineral Reserves andsupervised the estimation of the Mineral Reserves as well as reviewedthe reserve sections of Technical Report. Mr. Zhang has approved thescientific or technical information pertaining to the CSH Project’sMineral Reserves, capital and operating costs, and cashflow analysiscontained in this release.

Mr. Qiang Ji, FAusIMM, a full time Principal ProcessingEngineer for CGME and a Qualified Person as defined by NI 43-101, hasreviewed the data underlying the processing aspects of the project andsections of the Technical Report. Mr. Ji has approved the scientificor technical information pertaining to the CSH Project’s processingand product contained in this release.

Disclosure of scientific or technical information inthis release was reviewed and approved by Mr. Zhongxin Guo, P.Eng.,the Company’s Chief Engineer and a Qualified Person for the purposesof NI 43-101.

About China GoldInternational Resources

China Gold International Resources is a gold and basemetal mining company incorporated in BC, Canada and operates twomines, the CSH Gold Mine in Inner Mongolia, China and the JiamaCopper-Gold Polymetallic Mine in Tibet, China. The Company’sobjective is to build shareholder value through growing production atits current mining operations, expanding its resource base, andacquiring and developing new projects internationally. The Company islisted on the Toronto Stock Exchange (TSX: CGG) and the Main Board ofThe Stock Exchange of Hong Kong Limited (HKEx: 2099).

For further information on the Company, please refer toSEDAR’s website at www.sedar.com, The Stock Exchange of Hong KongLimited’s website at www.hkex.com.hk, the Company's website atwww.chinagoldintl.com, or call the Company at +1-604-609-0598 andemail to info@chinagoldintl.com.

Cautionary Note About Forward-Looking Statements

Certain information regarding China Gold InternationalResources contained herein may constitute forward-looking statementswithin the meaning of applicable securities laws. Forward-lookingstatements may include estimates, plans, expectations, opinions,forecasts, projections, guidance or other statements that are notstatements of fact. Although China Gold International Resourcesbelieves that the expectations reflected in such forward-lookingstatements are reasonable, it can give no assurance that suchexpectations will prove to have been correct. China Gold InternationalResources cautions that actual performance will be affected by anumber of factors, most of which are beyond its control, and thatfuture events and results may vary substantially from what China GoldInternational Resources currently foresees. Factors that could causeactual results to differ materially from those in forward-lookingstatements include market prices, exploitation and explorationresults, continued availability of capital and financing and generaleconomic, market or business conditions. The forward-lookingstatements are expressly qualified in their entirety by thiscautionary statement. The information contained herein is stated as ofthe current date and subject to change after that date.

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