Pan Open Pit Mine Ramped Up Towards Higher Gold Production

VANCOUVER, BC - Fiore Gold Ltd. reported results for the first fiscal quarter (Q1) of 2020 for its Pan open pit mine in White Pine County, Nevada, and providing full-year production guidance for fiscal year 2020. Highlights: Quarterly gold production of 8,750 ounces, including 3,989 ounces in December 2019; Gold sales of 9,093 ounces; Mined ore production in Q1 above plan at approximately 15,290 tons per day with the stripping ratio at 1.8:1.0; 26,861 man-hours worked in Q1, achieving our goal of zero reportable incidents, zero reportable accidents, and zero lost-time injuries. As of December 31, 2019, the operation is at 1,322 consecutive days of attaining this Triple-Zero achievement; Transition from Run of Mine ("ROM") to crushed ore placement largely complete; & Preliminary Economic Assessment (PEA) on the federally permitted Gold Rock project nearing completion, with expected release in calendar Q1 2020.

The Pan mine ramped up towards the higher gold production levels expected from the installation of the primary crusher. Gold production in the first two months of Q1 were below plan as the operating team worked to optimize crusher throughput and fine-tune the reagent mix and operating procedures. As with all heap leach operations, there was also a natural timing delay between placing crushed ore on the leach pad and gold reporting to the process plant. However, the positive impact of the operational improvements began to be seen in December 2019 with gold production of 3,989 gold ounces and similar production levels continuing through January 2020. Despite the ramp-up challenges, our operating team was able to identify and resolve issues efficiently and safely.

Tim Warman, CEO, said, "While the changeover at the Pan Mine from ROM to crushing took longer than anticipated, our experienced operating and technical teams have addressed and corrected the key issues we encountered. As a result, gold production has increased steadily over the quarter, reaching almost 4,000 ounces in December. Although total ounces recovered in Q4 2019 and the first two months of the current quarter were lower than expected, management believes these ounces are simply delayed, and will likely be recovered over the coming months. Our full-year guidance for FY2020 shows a significant increase in gold production over the previous year as the benefits of the crushing circuit are fully felt. Higher guided cash costs are related to the temporarily higher stripping ratios, which are expected to decline significantly in the second half of the year."

For more information, contact: (416) 639-1426, www.fioregold.com