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Teuton Resources Announces 2016 Drill Program Results from Clone Gold Property

Teuton Resources Corp. ("Teuton") is pleased to report results of the 2016 drilling at the Clone Gold property located 20 km southeast of Stewart in the Golden Triangle region of northwestern British Columbia.

Assays are as follows:

Drill
Hole
Interval
(metres)
Length
(metres)
Gold
(g/t)
CL16-01* 46.33 to 52.76 6.43 17.83
CL10-02 81.08 to 86.26 5.18 3.77
CL10-03 31.39 to 32.30 0.91 28.05
CL10-04 8.23 to 14.94 6.71 2.53
24.69 to 26.21 1.52 16.84
CL10-05 17.37 to 19.81 2.44 3.51
CL16-07 13.41 to 20.42 7.01 10.38

*Previously reported per News Release dated December 19, 2016

The last five holes of the seven-hole program were spotted at the southeastern end of a local widening in the H-1 structure from which several bulk samples have been taken in the past. About a hundred meters to the southeast, the first two holes of the program were drilled below a trench excavated in 1995 which returned a grade of 11.65 g/t gold and 0.18% cobalt across 9.0 metres. True widths of the intervals are not known. No significant cobalt values were encountered in the holes.

The mineralized intercepts exhibit distinctive signs of hydrothermal brecciation, with gold occurring as fine disseminations localized within intensely chloritized, highly silicified semi-massive to massive hematite-specularite.

The Clone gold and gold-cobalt bearing shear zones were first discovered in 1995. Since that date almost $6 million has been spent exploring a series of occurrences lying along a 2km package of volcanic and sedimentary rocks. The so-called Main Zone, situated in the southeast portion of this system, has produced elevated gold grades both in trenches and in diamond drill core. One bulk sample of 102 tons had an average grade of 137.1 g/t gold.

Present ownership of the property is Makena Resources 50%, Silver Grail Resources Ltd. 25% and Teuton Resources 25%.

Quality control procedures in place include the field insertion of blanks and standards into the sample stream. Analytical work was done by Pioneer Laboratories of Richmond, BC., an accredited facility. Gold was analyzed by 30 gram fire assay with AA finish. The Qualified Person for this news release is Dino Cremonese, P.Eng., who as President of Teuton is not independent of the Company.

2016 Treaty Creek and Del Norte Property Drill Programs-Remaining Holes

Holes drilled by operator Tudor Gold Corp. on the western side of Treaty Creek Glacier all reported gold values, with the best occurring in Hole CB-16-03 which returned 338 metres of 0.7 g/t gold from 88 to 426 metres (previously reported in a News Release dated Oct. 26, 2016). Five additional holes were drilled on the eastern side, three of which targeted magnetotelluric ("MT") anomalies. Although these three holes did not disclose significant mineralization, they did provide critical information useful for interpreting both the geology and the MT survey. Two further holes, including one in the Eureka zone, also provided critical information useful for interpreting the MT survey and did reveal mineralization as follows: Hole E-16-05 intersected intermittent values from near surface to a depth of 276 metres, including 0.459 g/t gold over 15 metres from 27 to 42 metres, 0.473 g/t gold over 16.5 metres from 172.5 to 189 metres and 0.438 g/t gold over 12 metres from 264 to 276 metres. The technical data for the Treaty Creek drilling was reviewed by James Hutter, P.Geo., Tudor Gold's Qualified Person. Teuton's Qualified Person, D. Cremonese, P.Eng., has not verified the accuracy of the technical data but has no reason to believe it is unreliable.

None of the additional holes to those previously reported on the Del Norte property (per News Release dated Nov. 8, 2016) encountered significant mineralization.

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