Canagold Resources Ltd. (CRCUF)

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Canagold Optionee Getchell Gold Extends Gold Mineralization Zones at Fondaway Canyon Project, Nevada

VANCOUVER, BC / ACCESSWIRE / February 10, 2021 / Canagold Resources Ltd. (TSX:CCM)(OTCQB:CRCUF)(Frankfurt:CANA) is pleased to announce the results from the last three holes by Getchell Gold Corp. from their six-hole 1,995 metre diamond drill program at the Fondaway Canyon Gold Project in Nevada. (See Figure 1 Fondaway Central Area Plan Map)

Getchell has an option to acquire 100% interest in Fondaway Canyon from Canagold by paying US$4 million in cash payments and share issuances and incurring annual exploration expenditures on the property (See news release of January 7, 2020). Upon exercise of the option Canagold will retain a 2% NSR on the Project.

Key Highlights

Assay results have been returned for the last three holes from the 2020 drill program at Fondaway (See Table 1 Fondaway 2020 Drill Interval Highlights);
These final three holes all intersected broad zones of gold mineralization and have significantly extended the previously defined gold domains;
Holes FCG20-05 and FCG20-06 successfully extended the mineralized Colorado structural zone, initially intersected by holes FCG20-02 and FCG20-03, 150 metres down dip towards the southwest (See Figure 2 - Colorado-Pack Rat Long Section);
1.8 g/t Au over 90.0m including 4.4 g/t Au over 11.1m was returned from the Colorado SW Extension in FCG20-05;
1.5 g/t Au over 37.7m and 1.1 g/t Au over 38.3m were returned from the Colorado SW Extension in FCG20-06; and
8.6 g/t Au over 9.8m high grade gold intercept and 2.5 g/t Au over 58.0m including 10.3 g/t Au over 5.2m, was intersected by FCG20-04 within the newly identified North Fork Gold Zone that extended known gold mineralization 200 metres (See Figure 3 - North Fork Zone Long Section);
Highlighted gold zones remain open laterally and down-dip. There is currently insufficient information available to determine the true widths of the mineralized intervals.

Sampling and Assay Methods

The 2020 drill core was cut at Bureau Veritas Laboratories' ("BVL") facilities in Sparks, Nevada, with the samples analyzed for gold and multi-element analysis in BVL's Sparks, Nevada and Vancouver, BC laboratories respectively. Gold values were produced by fire assay with an Atomic Adsorption finish on a 30-gram sample (BV code FA430) with over limits re-analyzed using method FA530 (30g Fire Assay with gravimetric finish). The multi-element analysis was performed by ICP-MS following aqua regia digestion on a 30g sample (BV code AQ250). Quality control measures in the field included the systematic insertion of standards and blanks.

USA Gold Land Package

Fondaway Canyon is one of 11 gold-silver properties in the USA acquired by Canagold in 2017. Four of these properties are currently optioned out to third parties. Canagold continues to receive expressions of interest in the remaining 7 properties in Nevada, including the Corral Canyon project.

Canagold is focused on creating shareholder value by advancing its flagship New Polaris Gold Project and acquiring new gold properties with compelling discovery potential.