Pilot Gold Reported Operating Results

VANCOUVER, BC - Pilot Gold Inc. reported operating results for the nine months ended September 30, 2016. The company reported ongoing infill and step-out drill results from the Goldstrike Gold Project in southwestern Utah. The primary target is shallow Carlin-style, oxide gold mineralization within the 7 km-long, 2 km-wide "Historic Mine Trend". A second Reverse Circulation (RC) drill was added to the project in early September 2016. 

Highlights from drilling include: 3.28 grams per tonne (g/t) gold over 38.1 meters (m) in PGS048; 2.64 g/t gold over 41.4 m in PGS051C; including 3.22 g/t gold over 32.0 m; including 3.22 g/t gold over 32.0 m; 2.24 g/t gold over 58.8 m in PGS054C; including 2.77 g/t gold over 36.2 m; including 2.77 g/t gold over 36.2 m; 0.96 g/t gold over 76.2 m in PGS058; 29.1 g/t gold over 6.1 m in PGS076; 1.08 g/t gold over 45.7 m in PGS097; 0.86 g/t gold over 67.1 m in PGS104.

Drilling confirms gold mineralization with significant width and grade over an east-west distance of 1.4 km and a north-south distance up to 400 m.

The company acquired the past-producing Black Pine heap leach gold mine (formerly referred to as the Mineral Gulch project) from Western Pacific Resources Corporation as part of its continuing effort to identify and secure oxidized Carlin-style gold systems, similar in nature and target size to Kinsley and Goldstrike.

Pilot Gold entered into an Option Agreement with Logan Resources Ltd. under which Logan may earn up to an 80% interest in up to four of Pilot Gold's 9 portfolio properties in Nevada and Utah, including the Drum, Griffon, Antelope, Sandy, Easter, Brik, Stateline, Viper, and Anchor properties.

The company staked additional claims around Goldstrike to cover projected extensions of the mineralized system, including 3 new target areas covering approximately 8 km2.

The drill program continues to generate significant oxide gold intercepts throughout the eastern portion of the Historic Mine Trend, further confirming that gold is widespread and predictable within a particular stratigraphic interval. Drilling through mid-September focused on defining a resource in a 1400 m x up to 400 m portion of the Goldstrike Graben known as the Main Zone. Pilot Gold's focus to date represents less than 10% of the total prospective area for gold mineralization in the 7 km-long Historic Mine Trend.

The 2016 drill program is expected to continue through mid-December with two RC drill rigs, with an average of 10 drill holes completed per week. Key target areas for drilling along the Historic Mine Trend include the 1.5 km-long x 250 m-wide Peg Leg Graben zone, and the 2 km2 Dip Slope zone, host to several historically-mined open pits. A field program continues at the project with mapping and target generation focused on three newly-staked blocks of claims to the west, north and east of the Goldstrike property. Metallurgical testing, using material recovered from 10 large-diameter core holes drilled earlier in the year, is underway. Metallurgical testing will encompass bottle rolls, column testing and comminution test work, in order to provide sufficient data for modeling and prediction of gold recovery over a wide range of mineralization types and feed sizes. Receipt of the final report is expected by early 2017.