Unigold Intersects 34.9 Meters Averaging

TORONTO, ON - Unigold Inc. reported that drilling at the Candelones Extension deposit, within the Company's 100% owned Neita Concession in the Dominican Republic, has expanded the massive sulphide mineralization initially reported on January 25, 2016 and has identified a second massive sulphide zone below the initial discovery.

The massive sulphides are dominantly pyrite with lesser chalcopyrite. The first zone strikes northeast and dips ten degrees south. Thickness varies from 5 meters on the edges (LP17) to over 30 meters in the center, defining a lenticular profile. The initial lens of massive sulphide has been traced 85 meters along strike and 75 meters down dip. It is discordant to lithology and open along strike and up dip.

Joseph Del Campo, Interim President and CEO said, "This is exactly the opportunity we hoped to capture with this systematic drill campaign testing for potential feeder zones or conduits that may have been missed by the common drill orientation and wide hole spacing of the historical drilling programs. Any higher gold-copper mineralization intersected in the historical drilling was largely untested for over 100 meters in every direction. We are certainly encouraged by these initial results and plan to continue systematically evaluating the selected target areas as planned."

The second zone of massive sulphide mineralization lies 10 to 30 meters below the first lens and has now been cut by two holes (LP15-95 and LP15-96). These holes are approximately 40 meters apart.

Hole LP15-94 targeted the massive sulphide mineralization approximately 20 meters down dip from hole LP17 (UGD PR#2016-01 - 6.05 g/t Au; 0.8% Cu / 6.0m). This hole failed to intersect the massive sulphide horizon. Extensive faulting was observed where the massive sulphide mineralization was anticipated suggesting that the down dip extent was truncated by faulting.

Hole LP15-95 was a scissor hole targeting the massive sulphide mineralization intersected in LPMET-01 (UGD PR#2016-01 - 6.93 g/t Au; 0.6% Cu / 22.0m). This hole was drilled to confirm the interpretation that LPMET-01 did not drill down dip. LP15-95 intersected 6.19 g/t Au and 0.65 Cu over 34.9 meters of massive pyrite - chalcopyrite mineralization, identical to the mineralization in LPMET-01 and of similar grade. The Company is confident that neither hole is drilled down dip or along strike. A second zone of massive sulphide was cut approximately 30 meters below the initial zone. It assayed 7.31 g/t Au; 1.1% Cu / 4.1 meters. This second zone of massive sulphide mineralization was not intersected by holes LPMET-01; LP15-93 or LP17.

Hole LP15-96 targeted the massive sulphide horizon approximately 40 meters to the northeast of holes LPMET-01 and LP15-95. It intersected over 60 meters of massive to semi-massive sulphides including 4.15 g/t Au with 0.4% Cu over 34 meters. This intercept extends the strike of the massive sulphide lens to approximately 85 meters. As with LP15-95, a second massive sulphide zone was cut approximately 10 meters below the first massive sulphide zone, returning 4.81 g/t Au; 0.7% Cu / 9.0 meters.

All the drill holes intersected the typical, stratabound type mineralization related to the andesite - dacite contact that was the focal point of historical drill campaigns. The stratabound mineralization surrounding the massive sulphide lens averages between 0.25 to 1.50 g/t Au with low grade copper (typically less than 0.2%). The Company did not systematically analyze the drill core for copper outside the massive sulphide intervals so the copper content of the stratabound mineralization has not been quantified.