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Taku Gold Agrees to Purchase Keynote Property in Mayo Mining District

Taku Gold Corp. is pleased to announce that it has agreed to purchase a 100% interest in the 77-claim (1,518-hectare) Keynote property located in the Mayo Mining District of Yukon.

The Property was acquired by an agreement executed with two arm's length parties for total consideration of $35,000 and 300,000 shares in the capital of the Company. The Vendors will retain a 2.5% net smelter returns royalty in the Keynote claims. The purchase agreement is subject to approval by regulatory authorities. The share consideration will be subject to a hold period of four months plus one day from the date of regulatory approval.

The Property is located adjacent to the prolific Keno Hill silver camp where 222.5-million ounces of silver have been produced up to the end of 2013. Alexco Resource Corp. has consolidated and continues to explore the camp for silver. Taku however acquired Keynote for its gold potential. The Keno Hill area is currently very busy for gold exploration with several projects ongoing. The most advanced is the Eagle Gold deposit where Victoria Gold Corp has identified a proven and probable reserve of 2.66-million ounces of gold, and has forecast average gold production of 200,000 ounces of gold per year over an 11-year mine life. (Victoria Gold News Release of October 27, 2016). Other companies with active gold projects include Zonte Metals Inc. and Banyan Gold Corp. http://bit.ly/2ufk9tF

Previous work completed by the Vendors on the Property has located an anomalous gold-in-soil zone with up to 292 ppb Au on the east side of the Property. Surface rock grabs ranging from 175 to 553 ppb Au have been collected from this zone. The gold values are associated with sheeted quartz veins and elevated arsenic values. This style of mineralization appears to fit the Intrusion Related Gold System-type deposit model proposed by Hart (2005).

Mark Fekete, P.Geo is the designated "qualified person" as defined in Section 1.2 in and for the purposes of National Instrument 43-101 that reviewed and approved the technical content of this release.

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