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Angkor Gold Corp. Signs US$3 Million Joint Exploration Agreement With JOGMEC on Oyadao South License

V.ANK

GRANDE PRAIRIE, AB--(Marketwired - June 14, 2016) - ANGKOR GOLD CORP. (TSX VENTURE: ANK) ("ANGKOR") is pleased to announce that it has entered into a Joint Exploration Agreement ("JEA") with Japan Oil, Gas and Metals National Corporation ("JOGMEC") to explore ANGKOR's 100% owned Oyadao South license. The agreement gives JOGMEC the option right to acquire 51% of the Oyadao South license for a total investment of US$3 million in exploration expenditures over a 3 year period. The JEA will be executed after necessary procedure according to the Cambodian related regulation.

JOGMEC's mandate is to invest in early-stage exploration projects around the world to secure viable future natural resources for Japan's growing economy.

"We have worked tirelessly to secure the most appropriate partner to bring this copper/ gold/moly porphyry prospect on Oyadao forward," stated Mike Weeks, CEO and President of ANGKOR. He continued, "JOGMEC's reputation is second to none. We are keen to work with them and to further identify and explore additional targets. JOGMEC illustrates great confidence by assigning ANGKOR as operator; we will combine the best expertise from both teams to fast-track this project."

"This news is particularly gratifying to me," stated Dr. Adrian Mann, former VP of Geology for ANGKOR. He continued, "Seven years ago, when Mike Weeks and I first started exploration in Cambodia, this was the vision we saw. The country was then (and still is) obviously underexplored; and, despite being contrary to conventional wisdom, we could see that there was every potential for a major mineral occurrence on the ground Angkor Gold then acquired. That this view is now shared by a serious, major international mining investor like JOGMEC is vindication of that faith. It is also a testament to the years of hard grinding work put in by the field staff of Angkor Gold, to their loyalty to the vision, and to the incredible tenacity and ingenuity displayed by that team."

Upon aggregate expenditure of US$3 million by JOGMEC, JOGMEC will be granted the option right to acquire an indirect initial 51% interest in the Oyadao South license. From that point on, JOGMEC and ANGKOR will fund the project expenditures on a pro-rata basis.

"The Halo Prospect, within Oyadao South, is a very large copper/gold/molybdenum hydrothermal porphyry system and is the cornerstone of ANGKOR's top prospects," stated JP Dau, VP of Operations for ANGKOR. He continued, "Working alongside JOGMEC's geological team, we will grow exceptional value from the Oyadao South license and this partnership. We continue to work towards building a suite of long-term revenue streams for the company."

Key Highlights:

  • JOGMEC has been granted the option right to earn a 51% in the Oyadao South Project located in the Kingdom of Cambodia and will fund US$3.0 million during the Farm-In Period of 3 years or less.
  • During the Farm-In Period, ANGKOR shall conduct all exploration activities on behalf of the Parties and JOGMEC shall fund 100% of the Programs.
  • During the Pro Rata Funding Period, each Party shall fund the cost thereof in proportion to its existing actual and deemed entitlement to a Participating Interest in the Joint Venture
  • If the Participating Interest in the Joint Venture of any Party is diluted to less than 15%, then such Non-Participant will no longer be a party to the Joint Venture, and will be automatically converted to a 1.5% NSR. At such time, the other Party may at any time purchase 0.5% of the NSR out of 1.5% at a one-time cash payment of US$1,500,000.

"In addition to our work commitments with JOGMEC, ANGKOR has plans to focus its 2016-17 work programs on another key property, Andong Meas," stated Kurtis Dunstone, Senior Project Manager and QP for ANGKOR. "We have already identified 5 significant gold anomalies on the Andong Meas license and believe there's significant opportunity for more given the geology and historical small-scale workings across the area."

"Today's announcement ensures that ANGKOR's project generation model continues to expand as JOGMEC is keen to look at other potential opportunities alongside ANGKOR that may be present in Cambodia," claimed Weeks.

In addition, ANGKOR's management has been working in concert with MESCO Gold to finalize the issuance of MESCO's mining license for the Phum Syarung mine, a milestone for the entire mineral sector of Cambodia.

"MESCO has shown that Cambodia has the makings of a viable, world-class mining sector, and there are many serious players looking in from the sidelines," stated Weeks.

The QP for this release, which he wrote and approved, is Kurtis Dunstone, BSc Geology, Senior Project Manager for ANGKOR. Mr. Dunstone has fifteen years post graduate mining and global exploration industry experience, across Australia, Canada, Papua New Guinea and Cambodia, and is a current member of the Australian Institute of Geoscientists.

ANGKOR's seven exploration licences in the Kingdom of Cambodia cover 1,448 km2, which the company has been actively exploring over the past 6 years. The company has now covered all tenements with stream sediment geochemical sampling; the company has flown low level aeromagnetic surveys over most of the ground; drilled 21,855 metres of NQ core in 190 holes; and has collected in excess of 110,000 termite mound, and 'B' and 'C' zone soil samples in over 20 centres of interest over a combined area of over 140km2, in addition to numerous trenches and detailed geological field mapping. Exploration on all tenements is ongoing.

About ANGKOR GOLD CORP.

ANGKOR Gold Corp. is a public company listed on the TSX-Venture Exchange, is Cambodia's premier gold explorer with a significantly large land package and a first-mover advantage with excellent relationships at all levels of Government (local to national).

About JOGMEC

JOGMEC was established in February 2004, following the integration of the former Japan National Oil Corporation and Metal Mining Agency of Japan. It is an Independent Administrative Agency under the Japanese Ministry of Economy, Trade and Industry, with a mandate of investing in exploration minerals projects worldwide to help secure a stable supply of natural resources for Japanese industry.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This press release contains forward-looking statements or information (collectively referred to herein as "forward-looking statements") relating to the option agreement for the Oyadao South license. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements and are not guarantees of future performance of the Company. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a downturn in general economic and business conditions in Cambodia and internationally, (2) the inherent uncertainties and speculative nature associated with mineral exploration, development and production, (3) the price of and demand for minerals and their effect on the economics of mineral exploration, (4) any number of events or causes which may delay or cease exploration and development of the Company's property interests, such as environmental liabilities, weather, mechanical failures, safety concerns and labour problems, (5) inability to finance operations and growth, (6) the Joint Exploration Agreement may not be completed for a number of reasons including factors beyond the Company's control. Should one or more of these risks or uncertainties materialize, or should any of the Company's assumptions prove incorrect, actual results may vary in material respects from those projected in the forward-looking statements. Readers are cautioned that the foregoing list of risks, uncertainties and other factors is not exhaustive. Unpredictable or unknown factors not discussed could also have material adverse effects on forward-looking statements. The impact of any one factor on a particular forward-looking statement is not determinable with certainty as such factors are dependent on other factors, and the Company's course of action would depend on its assessment of the future considering all information then available. All forward-looking statements in this press release are expressly qualified in their entirety by these cautionary statements. Except as required by law, the Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

THESE SECURITIES HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS.

Image Available: http://www.marketwire.com/library/MwGo/2016/6/14/11G102759/Images/Oyadao_South_Prospect_Map-2f37faa9c6fd93588109a30a8bcf5309.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/6/14/11G102759/Images/Andong_Meas_Map-2e6e80984322b06eb405d1161229d168.jpg

FOR FURTHER INFORMATION PLEASE CONTACT:
ANGKOR GOLD CORP.
Stephen Burega, Vice President of Corporate Development
Telephone: (647) 515-3734
Email: sb@angkorgold.ca



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