Awalé Resources Intersects 13.1 grams per tonne Gold over 15 meters at the Empire Discovery, Côte d'Ivoire

The current diamond drill program for Empire Main is now complete with 13 holes drilled for 1695 meters. Including the 3 holes in this release 5 holes have now been reported, with assay pending for the remainder. Highlights from these 3 holes are as follows.

HIGHLIGHTS

• OEDD-24: 15 meters (m) at 13.1 grams per tonne gold (g/t Au) from 69m including 2m at 20g/t Au from 69m, 7.6m at 20.1 g/t Au from 74.7m, and 1m at 129.8 g/t Au from 76m.
• OEDD-18: 11 m at 4.9 g/t Au from 40m downhole including 1m at 4.8g/t Au and 1m at 40.2 g/t Au from 40 and 41m, respectively.
• OEDD-19: 2m at 3.2 g/t Au from 70m, and 6 meters at 1.7 g/t Au from 103m

These high grade assay results continue to complement the discovery drilling sections and the previously reported Phase 2 program being:

• OEDD-16: 17 m at 3.5 g/t Au from 86m downhole including 1m at 11.9 g/t Au and 1m at 11.7 g/t Au from 87 and 90m respectively. (see release dated 7^th October 2020)

(Drill intervals are reported as down hole, true widths are approximately 75 to 80% of the downhole interval)

Since the previous release, RC Drilling over the eastern extension targets from Empire Main has progressed exceptionally well after some initial weather and drilling issues, 28 RC and 4 diamond holes have been completed for 2771 meters over 2 of the 3 extension anomalies (figure 4). Approximately 1200 meters in 13 holes remain to complete the first pass drill program over these new anomalies. The crews have been placed on standby from the 25^th of October in anticipation of the October 31st election and work will recommence as soon possible after the election period. The company expects steady results flow from empire Main and the extension targets over the ensuing weeks.

LINK: SEE FIGURES 1 TO 6:
http://www.awaleresources.com/_resources/maps/2020_10_27_NR_Figures_OEDD18_19_24.pdf

Company CEO Glen Parsons commented today:

"More fantastic results from the phase 2 drill program at the Empire Discovery. The postulated high-grade plunge is proving correct with the spectacular intercept of 15m at 13.1 grams gold from OEDD0024, which is a step east of known mineralisation. Furthermore, OEDD0018 has reported 11m at 4.5 grams gold which represents a potential second zone of mineralisation that was also seen in OEDD0009 from the discovery program.

Turning the rig to drill from south to north on this program has proven successful, as our knowledge continues to grow on optimal orientation. This orientation has further revealed a new NNE-NE gold mineralised vein orientation. The final 2 holes of the diamond program (OEDD0031 and 32) are drilled from north to south and to the southeast to test this new orientation. More visible gold has been seen in these 2 holes than any of the previous drilling with much of the gold being hosted in the new vein orientations. This new orientation opens interpretation to steep plunging lodes as well as the current shallower plunge tested in this program.

Further to the spectacular results and opening of new mineralisation orientations at Empire Main, it has been pleasing to see the RC drilling gain momentum with the program almost at completion, with 2 of the 3 extension targets now drilled.

Encouragingly, target Geology has been intercepted by RC and Diamond drilling at both these anomalies with similar alteration, sulphide species, and host rock geology as at Empire Main. Visible gold bearing brittle ductile zones were logged in hole OEDD0020 at Anomaly 2.

We are excited by the continuation of geology and alteration seen in drill chips and DD core from the extension drilling and look forward to receiving results from these anomalies and potentially moving toward discovering more high-grade mineralization at the current known 3km mineralized Empire target area. These 3 targets have potential to build significant resources at the Odienné project.

I reiterate that we are just scratching the surface with the Empire discovery and the current footprint has tested only 3km strike of the >20km long Empire structure. This will also be systematically explored and extended with targets being generated along this exciting shear zone and mineralised system.

The pipeline of assays from completed holes is now in motion and we look forward to reporting results as and when they are received."

Technical Background

The first 5 holes (OEDD-16 to19 and OEDD-24, drill plan and section P1 and P2 figures 2, 3 and 5) of this program were designed to test for potential down-plunge extensions to the gold mineralization from the previous discovery drill program. In drill section P1, OEDD-16 and 17 have successfully intersected target geology and alteration, and the 59 gram-meters gold intercept (defined as downhole intercept length multiplied by gold grade) in OEDD-16 conforms with the +48 gram-meter shallow plunge interpreted from previous drilling (long section in figure 6). OEDD-17 also intercepted target geology and alteration with visible gold but appears to have clipped the top of the mineralized plunge.

Drill Section P2 (figure 3, holes OEDD-18, OEDD-19, and OEDD-24), a step eastward to extend mineralization from the previous program has returned exceptional results with 15m at 13.1 g/t Au from 69m in OEDD-24 and 11m at 4.9 g/t Au in OEDD-18. These three holes have traversed expected geology with higher grades occurring within visible gold bearing brittle ductile deformation zones.

The current drilling was planned to intercept at right angles to the dominant east west gold bearing vein set recognized in the maiden drill program (holes drilled from north to south) and has been a success in traversing perpendicular to gold bearing mineralization. However, the new orientation has traversed previously poorly or unrecognized NNE to NE veins that dip to the NW. These veins were also gold bearing. The final 2 holes of this diamond program (OEDD-31 and 32) were drilled from north to south or toward the Southwest to test the new vein array. These holes intercepted a high density of N to NE gold bearing veins. The visible gold reported in these 2 holes is reported to be more abundant than previous drill holes at Empire.

This new orientation opens the geometry of mineralization to steep westerly plunges which are likely additional to the shallow plunges tested in this program. These steep plunges will be the focus of future drilling at Empire main. The Empire discovery is summarized in a release dated 29^th January 2020, along with other releases dated the 19^th of November and 23^rd of December 2019.

Further to the plunge targets at Empire Main, the company has completed drilling 2 of the 3 high order (>100ppb) auger anomalies along strike from the discovery area (figure 5). Each of these >100ppb targets are of similar size to the discovery zone at Empire Main and represent compelling targets to rapidly expand gold mineralisation at the prospect. These three targets have potential to extend mineralization at Empire by a further 1200m.

Both anomaly two (2) and three (3) exhibit similar host rock geology to Empire main, with silica-sulphide veining hosted within brittle/ductile deformation of competent host rocks.

At anomaly 2, pyrrhotite-chalcopyrite-pyrite are the most abundant sulphide species with rare galena associated with visible gold. Chlorite rather than biotite is the abundant alteration mineral that is overprinted by the silica sulphide mineralization phase. This is developed as quartz veins, veinlets and stringers that form within brittle ductile zones in a diorite host, with locally intense calc-silicate alteration proximal to the zone.

At Anomaly 3, similar brittle deformation is observed in a medium grained quartzite, within clastic, fine grained sedimentary rocks. Silica-sulphide veinlets and veins are associated with a hematite selvage that gives the rocks a pink hue with pyrrhotite-chalcopyrite-pyrite the main sulphide species. This is also developed with silica, at lithological contacts between fine to medium grained Intermediate intrusive and volcanic rocks.

These extension targets add a potential 1200 metres to the discovery zone. The company has completed 28 RC holes and 4 diamond holes for 2771 of a planned 50 holes for c4500m over these extension targets.

The program has been suspended over the election period, and all remaining RC and DD holes have now been submitted and the company looks forward to reporting results as they come through.

Table 1: Significant gold Intercepts in grams per tonne gold for all assayed holes in the current program.

Note: Drill intervals are reported as down hole, true widths are approximately 75 to 80% of the downhole interval. Results are reported at a 0.5 g/t Au trigger with 2m of included internal waste.

Quality Control and Assurance

Analytical work for drill core and RC percussion samples is being carried out at the independent Intertek Laboratories Ghana Ltd. an ISO 17025 Certified Laboratory. Samples are stored at the company's field camps and put into sealed bags; they are stored securely until collected by Intertek for transportation to Ghana.

Drill holes reported in this release are HQ core and have been sampled as ¾ core (approximately 6 kg/ meter) with ¼ 'sliver' of the core sample being reserved as a library sample at the company offices. The remaining ¾ core samples are logged in the Intertek tracking system, weighed, dried and finely crushed to better than 70%, passing a 2 mm screen of which 50% is pulverized to 85%, passing a 75-micron, the remaining 50% is reserved. The pulverized sample is then cyanide leached by the LeachWELL method with a further 2 Fire Assays are completed on the tail samples from the leach to monitor leach efficacy. Total gold is reported from leach and fire assays, at grades of >0.2 g/t gold the leach is recovering 95.5% of all gold.

Blanks, core duplicates, crush duplicates and certified reference material (standards) are being used to monitor laboratory performance during the analysis. Due to the presence of free gold the lab was requested to run a quartz wash between each sample during preparation, a selection of the quartz wash samples is also routinely analyzed.

Qualified Person
The technical and scientific information contained in this news release has been reviewed and approved for release by Andrew Chubb, the Company's Qualified Person as defined by National Instrument 43-101. Mr Chubb is the Company's Chief Operating Officer and holds an Economic Geology degree, is a Member of the Australian Institute of Geoscientists (AIG), and is a Member of the Society of Economic Geologists (SEG). Mr Chubb has 18 years of experience in international minerals exploration and mining project evaluation.

ON BEHALF OF THE BOARD

AWALE RESOURCES LIMITED.

"Glen Parsons"

Glen Parsons, President and CEO

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws. Readers are cautioned not to place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by such information. The statements in this news release are made as of the date hereof. The Company undertakes no obligation to update forward-looking information except as required by applicable law.

Cautionary Statement

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE

SOURCE Awale Resources



Contact
For additional information you are invited to visit the Awalé Resources Ltd. website at www.awaleresources.com, or contact Karen Davies, Head of Investor Relations at Tel: 604.314.6270