C:CC - Contact Gold Confirms Centerra Gold's Participation in Year Two of US$ 10 Million Earn in on the Green Springs Gold Project Nevada

(TheNewswire)

Vancouver, BC - TheNewswire - December 13, 2023 - Contact Gold Corp. (the “Company” or “Contact Gold”)(TSXV:C ) ( OTC:CGOLF) is pleased to confirm that awholly-owned subsidiary of Centerra Gold Inc. (“ Centerra ”) (TSX:CG) (NYSE: CGAU) has approved participation in the “Year Two”exploration program at the Company’s Green Springs oxide goldproject located on Nevada’s Cortez Trend (“Green Springs”).

The Green Springs project is subject to a four-year,US$10 million earn-in (the “Earn-in”) whereby a wholly-ownedsubsidiary of Centerra Gold Inc. can, upon satisfaction of certainexpenditure and funding conditions, acquire a 70% interest in GreenSprings.

“We are pleased to confirm Centerra’s participationin Year 2 of the Earn-in, providing additional validation of theexploration potential at Green Springs, and a pathway to increasedexploration across the property in 2024.”  said Matt Lennox-King,President & CEO of Contact Gold. “Year 1 of the Centerrapartnership was extremely impactful, with multiple exceptional drillintercepts, and the development of compelling new drill targets.  In2023 we expanded the property boundaries, and doubled the areapermitted for drilling.  We look forward to continuing thepartnership with Centerra through 2024 and creating value at GreenSprings through aggressively exploring the large number of targetsacross the property.”

Key Points:

• An exploration budget of US$ 2.0M is planned for YearTwo, funding up to 5,500 metres of reverse circulation drilling in 40drill holes.

  • oo Planned targets include:       The Tango-Alpha-X-Ray trend, the southern extension of the MineTrend, and the never before drilled Kilo, Oscar, Sierra, Whiskey, andFoxtrot targets.

• Contact Gold remains the project manager at GreenSprings for Year 2 of the Earn-in and will collect a management feebased on eligible expenditures through the earn-in.

  • oo The management fee is expectedto be sufficient to cover administrative and operating costs of theCompany’s presence in Nevada.

• The next phase of drilling is expected to commence inQ2 2024.

Contact Gold has been advancing Green Springs since2019 and has drilled 151 holes for 20,797 metres significantlyimproving the understanding of the geologic setting and controls togold mineralization in that time.  Drilling by the Company hasdelivered new oxide gold discoveries at the X-Ray and Tango Zones and has extendedthe historic Mine Trend to the South, where it remains open forfurther expansion.  The Mine Trend at Green Springs is a 3 km longtrend of outcropping or shallow oxidized gold mineralization hostedwithin the Chainman Shale where USMX mined high grade oxide gold inthe 1980’s from three small pits, highlighted by the high-grade EchoZone at the southern end of the Mine Trend.  The Company plans todrill the large scale, to date undrilled Whiskey and Foxtrot targetsin 2024.

Earn In Terms

Pursuant to the Earn-in, Centerra has an option toacquire a 70% interest in Green Springs for cumulative explorationexpenditures of US$ 10,000,000 and aggregate cash payments to theCompany of US$ 1,000,000 as follows:

Contact Gold is the project manager at Green Springs,with exploration led by Contact Gold’s Vice President ofExploration, Vance Spalding.

Upon satisfaction of the US$ 10,000,00 explorationexpenditure commitment and payment to Contact Gold of the aggregateUS$ 1,000,000 cash payments, the parties will form a joint venture tohold and operate the property, and each party shall proportionatelyfund future activities at Green Springs or have their interestdiluted. Should Contact Gold's interest be diluted to less than 10%,then that interest will convert to a 1.5% Net Smelter Returns Royaltyinterest. Contact Gold will remain the 100%owner of Green Springs until the completion of all Earn-inrequirements.

For further details on the Earn -inwith Centerra see Contact Gold news releasedated December 9,2022 .

Green Springs is strategically located 7 km immediatelyeast of the Gold Rock project operated by Calibre Mining Corp. (TSX:CXB; OTCQX: CXBMF) and 20 km southeast of their Pan Mine.

For a location map of the Green Springs project, pleaseclick:

https://www.contactgold.com/_resources/news/nr-20221208-Contact-Gold-Project-locaiton-map.jpg

Click Image To View Full Size

Green Springs Property – Targets& Permit Boundaries

Qualified Person and technicaldisclosure

The scientific and technical information contained inthis news release has been reviewed and approved by Vance Spalding,CPG, VP Exploration, Contact Gold, who is a “qualified person”within the meaning of National Instrument 43-101, Standards of Disclosure for MineralProjects (“NI 43-101”).

Green Springs is an early-stage exploration propertyand does not contain any mineral resource estimates as defined by NI43-101 due to insufficient exploration to date to define such amineral resource estimate. Additional information about Green Springsis summarized in the NI 43-101 Technical Report entitled, “NI 43-101Technical Report for the Green Springs Project, White Pine County,Nevada, USA” prepared for Contact Gold, with an effective date ofJune 12, 2020, and dated August 5, 2020, by John J. Read, C.P.G; anindependent consultant and qualified person under NI 43-101, and canbe viewed under Contact Gold’s issuer profile on SEDAR at www.sedar.com .

About Contact Gold Corp.

Contact Gold is an exploration company focused onmaking district scale gold discoveries in Nevada.  Contact Gold’sextensive land holdings are on the prolific Carlin and Cortez goldtrends which host numerous gold deposits and mines. Contact Gold’sland position comprises approximately 117.4 km 2 of target richmineral tenure hosting numerous known goldoccurrences, ranging from early- to advanced-exploration and currentgold resources.

Additional information about the Company is availableat www.contactgold.com .

For more information, please contact: +1 (604)449-3361

Matthew Lennox-King – President & CEO

E-mail: info@ContactGold.com

Neither the TSXV nor its RegulationServices Provider (as that term is defined in the policies of theTSXV) accepts responsibility for the adequacy of this release. Nostock exchange, securities commission or other regulatory authorityhas approved or disapproved the information contained herein.

Cautionary Note RegardingForward-Looking Information

This news release contains"forward-looking information" and "forward-lookingstatements" (collectively, "forward-lookingstatements") within the meaning of the applicable Canadiansecurities legislation. All statements, other than statements ofhistorical fact, are forward-looking statements and are based onexpectations, estimates and projections as at the date of this newsrelease. Any statement that involves discussions with respect topredictions, expectations, beliefs, plans, projections, objectives,assumptions, future events or performance (often but not always usingphrases such as "expects", or "does not expect","is expected", "anticipates" or "does notanticipate", "plans", "budget","scheduled", "forecasts", "estimates","believes" or "intends" or variations of suchwords and phrases or stating that certain actions, events or results"may" or "could", "would","might" or "will" be taken to occur or beachieved) are not statements of historical fact and may beforward-looking statements. In this news release, forward-lookingstatements relate, among other things, to the anticipated explorationactivities of the Company at the Green Springs property, and thecompletion of the Earn-in by Centerra at Green Springs.

These forward-looking statements arebased on reasonable assumptions and estimates of management of theCompany at the time such statements were made. Actual future resultsmay differ materially as forward-looking statements involve known andunknown risks, uncertainties and other factors which may cause theactual results, performance or achievements of the Company tomaterially differ from any future results, performance or achievementsexpressed or implied by such forward-looking statements. Such factors,among other things, include: fluctuations in general macroeconomicconditions; fluctuations in securities markets; fluctuations in spotand forward prices of gold, silver, base metals or certain othercommodities; fluctuations in currency markets (such as the Canadiandollar to United States dollar exchange rate); change in national andlocal government, legislation, taxation, controls, regulations andpolitical or economic developments; risks and hazards associated withthe business of mineral exploration, development and mining (includingenvironmental hazards, industrial accidents, unusual or unexpectedformations pressures, cave-ins and flooding); inability to obtainadequate insurance to cover risks and hazards; the presence of lawsand regulations that may impose restrictions on mining; employeerelations; relationships with and claims by local communities andindigenous populations; availability of increasing costs associatedwith mining inputs and labour; the speculative nature of mineralexploration and development (including the risks of obtainingnecessary licenses, permits and approvals from governmentauthorities); and title to properties. Although the forward-lookingstatements contained in this news release are based upon whatmanagement of the Company believes, or believed at the time, to bereasonable assumptions, the Company cannot assure shareholders thatactual results will be consistent with such forward-lookingstatements, as there may be other factors that cause results not to beas anticipated, estimated or intended. Readers should not place unduereliance on the forward-looking statements and information containedin this news release. The Company assumes no obligation to update theforward-looking statements of beliefs, opinions, projections, or otherfactors, should they change, except as required by law.

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