California Gold Mining Inc. announces the first set of assay results from the recently commenced resource drilling program at the Queen Specimen zone at its flagship Fremont Project in Mariposa County, California.

Today’s results advance the Company’s main objective of generating a second mineral resource on the Property covering the newly identified Queen Specimen mineralized zone. This zone is located in the north-west portion of the Property, and constitutes roughly 750m of strike length, out of the total four kilometers strike of the Mother Lode shear zone (the “Shear Zone”) on the Property.

The Company’s current NI 43-101 open pit-constrained mineral resource of 515,000 ounces grading 1.71 g/t gold in the Indicated category, and an additional 364,000 ounces grading 1.44 g/t gold in the Inferred category, only encompasses the Pine Tree-Josephine zone within the Property (the NI 43-101 Technical Report is available on SEDAR and at the Company’s website www.caligold.com). The Pine Tree-Josephine zone hosts two historical underground gold mines, and covers a strike length of roughly one kilometre, out of a total strike of four kilometres over which the Shear Zone is interpreted to extend on the Property.

Vishal Gupta, California Gold’s President and CEO, said, “These results are exactly what we were hoping to see. We are extremely pleased with the substantial grades and sizeable widths intersected at the Queen Specimen zone that lies to the north of the Pine Tree-Josephine zone where the current NI 43-101 compliant mineral resource for Fremont is hosted. These latest results indicate the continuation of the near-surface gold mineralization along the strike of the Shear Zone and support our thesis that there is potential to significantly expand the current open pit-constrained mineral resource at Pine Tree-Josephine along strike at Queen Specimen. Having already demonstrated positive metallurgical results in 2014, California Gold aims to distinguish Fremont as one of the best emerging gold projects in North America by incrementally adding to its sizeable current mineral resource. In addition to the Pine Tree-Josephine and Queen Specimen deposits, the Fremont Project hosts numerous other very promising mineralized targets that will be the Company’s focus following the completion of the second mineral resource.”

Highlights from the first three holes of the current campaign at Queen Specimen are displayed in the following table. A map depicting the location of the major mineralized zones at Fremont, the plan-view collar locations for all three drill holes, and the corresponding interpreted geological cross-sections can be viewed in Appendices A, B and C of this press release, respectively.

** Notes: Composite grades are length weighted to interval width. Composite true widths for QS-DD-18-009, 008 and 005 are approximately 90%, 95% and 75% of the reported intervals, respectively. To view the graphic in its original size, please click here

Discussion of the Queen Specimen Drill Holes

The three holes discussed in this press release were drilled as part of the resource drilling campaign at the Queen Specimen mineralized zone that commenced on December 2, 2017. The program is estimated to consist of 60 to 65 HQ-sized (2.5” diameter) diamond drill holes, totalling 10,500m-12,000m of drilling, with an average drill hole length of 180m.

The same lithological sequence was observed in these drill holes as with previously analyzed drill holes in the Pine Tree–Josephine deposit, including a sequence of metavolcanic mafic rocks overlying a melange of serpentinized ultramafic rocks. These are separated from the underlying meta-sedimentary rocks of the Mariposa Formation by a zone of highly sheared and serpentinized phyllonite that is characteristic of the Shear Zone.

In addition to the sequence stated above, a zone of fault-emplaced Mariposa Formation sediments is apparent within the hanging-wall mafic metavolcanic rocks. This stratigraphic repetition may be due to thrust faulting or folding associated with dextral movement along the Shear Zone that has been observed in airborne magnetic data acquired for the Fremont Project in 2016.

QS-DD-18-009

Drill hole QS-DD-18-009 was drilled with an azimuth of 235° and an inclination of -48° to a total depth of 122.8m. This hole intersected significant mineralization over 30.2m averaging 1.21 g/t Au between a depth of 68.0m and 98.2m containing two distinct high-grade zones.

The first zone is a 9.3m interval with an average grade of 2.37 g/t Au intersected between a depth of 68.0m and 77.3m across the contact between the metasedimentary unit, the structural melange unit, and a dioritic dyke. Mineralization within this interval is associated with faulting, shearing, folding, disseminated and stringer style sulfide mineralization, and quartz veining.

The second zone is a 3.7m interval with an average grade of 2.71 g/t Au intersected between 94.5m and 98.2m, located at the footwall contact between the metasedimentary unit and the structural melange unit. Mineralization within this interval is associated with shearing, disseminated and stringer-style sulfide mineralization, quartz veining and quartz stock-work.

QS-DD-17-008

Drill hole QS-DD-17-008 was drilled with an azimuth of 235° and an inclination of -55° to a total depth of 314.9m. This hole intersected significant mineralization in two distinct zones associated with grades exceeding 0.9 g/t Au.

The first zone is a 5.3m interval with an average grade of 0.94 g/t Au intersected between a depth of 269.9m and 275.2m across the contact between the metasedimentary unit and the structural melange unit. This intersection is associated with disseminated mineralization, shearing, fracturing, and quartz stock-work veining.

The second zone is a 12.2m interval with an average grade of 1.42 g/t Au intersected between 285.9m and 298.1m. This intersection is associated with disseminated mineralization and sulfide replacement with quartz vein development within the structurally underlying sheared footwall Mariposa Formation meta-sediments. This includes a 4.6m interval grading 2.29 g/t Au.

QS-DD-17-005

Drill hole QS-DD-17-005 was drilled with an azimuth of 235° and an inclination of -72° to a total depth of 292.3m.

This hole intersected mineralization over 7.6m grading 1.23 g/t Au between a depth of 237.4m and 245.1m across the contact between the metasedimentary unit and the structural melange unit. Mineralization is associated with shearing, folding, sulfide replacement, and quartz vein/veinlet development, and includes a 1.5m intersection grading 3.01 g/t Au.

Previous exploration drilling at Queen Specimen has intersected significant mineralization, as highlighted in the table below:

** Notes: Composite grades are length weighted to interval width. Composite true widths for DD-16-052 are estimated at 70% of the reported interval. Composite true widths for all other holes in the table are unknown. To view the graphic in its original size, please click here

Description of Quality Assurance & Quality Control (QA/QC) Procedures

The laboratory being used for assay analyses is American Assay Laboratories Inc. (“AAL”) based in Sparks, Nevada (ISO/IEC 17025:2005 Certified).

Prior to transportation of core samples to AAL, all core processing is conducted at the Project site in an enclosed 6,000 sq. ft. office facility. All diamond drill core is logged, photographed and split using core saws. Core from entire holes is being sampled every five feet to compare with the historic RC hole assay intervals. Additionally, sub-samples are being collected within the planned five foot intervals where important geological or mineralization contacts occur to allow better discrimination within the geological model. The minimum sample interval is 1.5 feet.

One half of the split core is transported to AAL by Company employees for prep and analysis. The other half of the core is stored at the Company core storage facility for future inspection and assay verification. All gold analyses of strongly mineralized samples utilize the screened metallics fire (SMF) assay method with a gravimetric finish. At the laboratory, the entire sample is crushed to 90 percent minus ten-mesh. A rotary splitter is used to obtain a 500 gram sample for pulverising. The screened metallics are collected as the plus fraction from a 150-mesh screen at the lab. The plus 150-mesh fraction is fire assayed in its entirety. Two separate one-assay ton fire (1ATF) analyses of the minus 150-mesh fraction are performed and arithmetically averaged. The minus and plus 150-mesh results are then combined for a total screened metallics fire assay.

A full QA/QC program, involving insertion of appropriate blanks and standards is being employed with acceptable results.

Mr. Vishal Gupta, the Company’s President & CEO has reviewed and approved this press release. Mr. Gupta is a P.Geo. registered with the Association of Professional Geoscientists of Ontario (APGO), and a Qualified Person (QP) as defined under National Instrument 43-101. The exploration program at Fremont is being conducted under Mr. Gupta’s supervision.

About California Gold Mining Inc.

California Gold Mining Inc. is focused on developing its flagship Fremont gold project in Mariposa County, California. The project consists of a land package totaling 3,351 acres of historically producing gold mines. The Fremont Property lies within California’s prolific Mother Lode Gold Belt that has produced over 50 million oz of gold historically. The Company purchased the property in March 2013.