Kestrel Gold Inc. Announces Exploration Plans for the 2018 Exploration Season and Corporate Developments

VANCOUVER, British Columbia, May 15, 2018 (GLOBE NEWSWIRE) -- Kestrel Gold Inc. (“Kestrel”) has recently made the 2018 option payments, has applied for Yukon Mining Land Use permits and is in the process of finalizing 2018 exploration plans for its projects.

Option payments for the Val-Jual, Ten Mile, Clear Creek and Dease Porphyry projects have been made to the property vendor Bernie Kreft. Kestrel will not be continuing with the option on Barney Ridge and the property has been returned to Mr. Kreft.

Kestrel has completed and submitted Yukon Mining Land Use permits for Val-Jual, Ten Mile and Clear Creek. Both Class 1 and more encompassing Class 3 permits have been applied for; receipt of the Class 1 permits are anticipated by the end of May, 2018 and receipt of the Class 3 permits are anticipated by early August, 2018. The receipt of these permits will allow Kestrel to complete the required soil sampling, mechanized trenching, road building and drilling necessary to advance these projects.

Proposed 2018 exploration will focus on further definition and expansion of anomalies existing on the various projects, particularly Val-Jual and Clear Creek, with a view towards defining drill targets for a proposed late season drill test.

Exploration at Val-Jual will primarily focus on expanding the Teckphel and Cupid East targets. At Teckphel peak values of 1,456 ppb Au from soil samples and 0.53 g/t Au from rock samples help define an approximate 650m by 800m gold anomaly located in an area of variably quartz veined, carbonate altered and arsenopyrite mineralized metasedimentary rocks proximal to an intrusive body. Historical work in this area by Solomon Resources included three drill holes which were centred in the middle of a lobe of this anomaly and drilled out towards the fringes. The holes were of insufficient depth to fully test the targeted gold soil anomaly but did return 55.0 metres of 335 ppb Au which suggests good potential for bulk tonnage gold mineralization in this area. Cupid East consists of a 175 metre x 200 metre gold soil anomaly, strongly open to the south, within which samples averaged 122 ppb Au with a peak value of 1,335 ppb Au. Follow up work at Cupid East late in the 2017 field season yielded rock samples with peak values of 6.686 g/t Au from clay-ankerite altered granite with quartz-silica stockwork and peak values of 12,400 ppb Au from soil sampling. Work at both targets will consist of detailed soil sampling and prospecting to be followed up by a proposed excavator trenching, road building and drilling program later in the 2018 season.

Exploration at Clear Creek will focus on further defining intrusion related gold mineralization existing at the Eiger and Saddle Zones in preparation for a proposed trenching and drill program later in the season. Historic results at Eiger including reverse-circulation drill intersections of up to 88.0 metres of 0.65 g/t Au bottoming in 3.0 metres of 1.29 g/t Au and individual grab samples with peak values to 319.5 g/t Au. Historical values from the Saddle Zone range from 70 ppb to 2,023 ppb Au in soil, 0.4 g/t Au over 55.0 metres and 2.11 g/t Au over 25.0 metres from trench rock chip sampling and 1.24 g/t Au over 22.86 metres from reverse circulation drilling, suggestive of an approximately 300 metre x 950 metre east-west trending gold bearing mineralized zone open along strike in both directions.

Kevin Nephin, President and CEO of Kestrel Gold, states: “2018 is shaping up to be a busy season for Kestrel. Obtaining the Mining Land Use Permits will allow us to conduct the exploration needed to rapidly advance the Clear Creek and Val-Jual projects. Exploration will also be conducted at the Dease Porphyry Project to follow up high grade copper values from our 2017 program. Readers are encouraged to visit our website and view more detailed information contained within the news release section.”

Jean Pautler, P.Geo., is the Qualified Person, in accordance with NI 43-101 of the Canadian Securities Administrators, and has reviewed and approved the technical content of this press release.

For additional information please contact Kevin Nephin at 1-604-799-2456.

On behalf of the Board of Directors,
“Kevin Nephin”
President and CEO
Kestrel Gold Inc.

Forward-Looking Caution:

This news release contains forward-looking statements that are not historical facts. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including statements regarding the mineral potential of the various properties and projects. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company’s inability to reach satisfactory agreements with First Nations to facilitate its exploration and development plans for the properties and projects, the Company's inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company's inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company's public disclosure record which is available on SEDAR (www.sedar.com). Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except as required by securities laws and the policies of the TSX Venture Exchange, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

This news release does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States of America. No securities of the Company have been or will, in the foreseeable future, be registered under the United States Securities Act of 1933 (the “1933 Act”) or any state securities laws and may not be offered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

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