VANCOUVER, BC--(Marketwired - November 18, 2014) - CANGOLD LIMITED (TSX VENTURE: CLD) (the "Company") reports that continued geological mapping and rock sampling along several structures on the Guadalupe de los Reyes ("GDLR") Gold-Silver Project in Sinaloa State, Mexico has again returned high grade gold and silver assays (click here to see map). Highlights of this final portion of the Phase 1 field work included 6.32g/t gold and 106g/t silver over 3.0m, 21.95g/t gold and 777g/t silver over 0.5m, 4.01g/t gold and 46g/t silver over 4.5m, 23.0g/t gold and 55g/t silver over 1.1m, 15.1g/t gold and 532g/t silver over 0.4m, and 14.85g/t gold and 24g/t silver over 0.7m.

In the Las Primas area two narrow (approximately 0.5m width) sub-parallel banded silica to quartz breccia veins were geologically mapped and sampled on surface. Erratic high grade samples include 0.4m assaying 15.1g/t gold and 532g/t silver, and 0.7m assaying 14.85g/t gold and 24g/t silver. Of 122 rock samples taken 41 had values greater than 1.0g/t gold. The veins are WNW-ESE trending with steep dips to the north in the eastern part of the veins, shifting to steeply south dipping further to the WNW. To the SSE the veins are covered by post-mineralization rhyolitic volcanic rocks. 

The Mariposa structure is a well-developed zone of banded silica veining, silica breccia and quartz stockwork across widths up to 50m and trending NW-SE with steep SW dips. There has been minor development of the vein on three levels of historic workings and, in 1994, 10,000 tonnes grading 5.2g/t gold were reportedly mined, according to government records. One cross-cut accesses the zone at depth and exposes 130m of development along the structure. Best grades from underground include 3.0m assaying 5.33g/t gold and 10g/t silver. Along approximately 600m of Mariposa exposure on surface the best sample results included a 4.8m width assaying 2.44g/t gold and 4g/t silver. Of 66 rock samples taken 15 had values greater than 1.0g/t gold.

The Guadalupe de los Reyes Project comprises 6,302 hectares, and covers a past-producing district dating back to 1772. A Technical Report and Mineral Resource Estimate carried out on the project by Tetra Tech in 2013 were re-issued for Cangold on May 20, 2014. The resource comprises 6.8 million tonnes at a grade of 1.73g/t gold and 28.71g/t silver (380,100 oz gold and 6,315,300 oz silver) in the Indicated category and 3.2 million tonnes at a grade of 1.49g/t gold and 34.87g/t silver (155,200 oz gold and 3,639,000 oz silver) in the Inferred category, all at a cut-off grade of 0.50g gold per tonne. Cangold has an option to earn up to a 100% interest (subject to certain underlying royalties) in the mining rights to the Project.

Robert Brown, P. Eng., Director and VP Exploration for Cangold is the Qualified Person for the Company. He has reviewed the technical information referenced above and has approved this news release. The Company's QA/QC program includes the regular insertion of blanks, duplicates, and standards into the sample shipments; diligent monitoring of assay results; and necessary remedial actions. Sample assaying was completed at the independent SGS-GTO lab in Guanajuato, GTO, Mexico. Silver was completed with AAS12B technique, with over-limits (300g/t) completed by FAG323. Gold was completed with FAA313 technique, with over-limits (10g/t) completed by FAG323.

Cangold Limited is a junior exploration company engaged in the exploration and development of gold projects in Mexico and Canada. The Company's primary focus is advancing the Guadalupe de los Reyes Gold-Silver Project in Sinaloa, Mexico towards the pre-feasibility stage. The Company also owns a 100% interest in the past-producing Argosy Gold Mine in northwestern Ontario and the prospective Plomo Gold Project in Sonora State, Mexico.

For further information, please visit the Company's website at www.cangold.ca.

ON BEHALF OF THE BOARD

"Robert A. Archer"

Robert A. Archer, P. Geo.,
President & CEO

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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