VANCOUVER, B.C. - Pure Gold Mining Inc. (PGM - TSX-V) ('Pure Gold' or the 'Company') is pleased to announce a significant expansion to its 2016 exploration program, including an additional 35,000 metres of diamond drilling at the Company's 100% owned Madsen Gold Project ('Madsen'). The expansion will increase the total drilling planned for 2016 to approximately 51,000 metres.

'Given our continued success, I am excited to announce the continuation of drilling at Madsen along with an increased exploration program,' stated Darin Labrenz, President and CEO of Pure Gold. 'Drilling to-date has confirmed our exploration model and has intersected gold mineralization within the McVeigh horizon along a one kilometre long corridor to a depth of 300 metres where it remains open to depth. Our expanded and accelerated drill program will primarily focus on testing down plunge extensions to high grade gold mineralization within the McVeigh horizon where we believe there is strong potential to grow the resource and improve any possible future economics.'

The planned $9.1 million expansion of the 2016 Program will include:

• An additional 30,000 metre diamond drill program focused on the potential expansion of the McVeigh horizon. Two rigs are currently active at McVeigh and the Company is moving to accelerate this drilling through the mobilization of a third rig;
• Approximately 5,000 metres of drilling at Russet South and other satellite targets with a goal of expanding the near surface, high-grade mineralization discovered to date;
• Development of a plan to re-open the existing McVeigh portal and decline, allowing for inspection of the underground, as well as completion of detailed underground geological mapping and sampling to refine structural setting, characterize mineralization and aid in additional targeting at McVeigh, and;
• Continued surface geology mapping, soil and rock sampling, scientific review of historic data sets and multidisciplinary analysis and refinement of targeting.

The Madsen Mine produced 2.5 million ounces of gold from surface to a depth of 1,200 metres at a historic production rate of approximately 2,000 ounces of gold per vertical metre. Of this, the Austin horizon was the principal source of mine feed, with historic mining at the parallel McVeigh horizon limited to a maximum mining depth of 230 metres. The results of our drilling program to date in 2016 confirm that the McVeigh is a fold continuation of the Austin horizon with the mineralized shoots of the McVeigh horizon sharing the same characteristics and similar widths and grades as the parallel Austin horizon. The expanded program will focus on the McVeigh horizon and potential resource expansion by testing the downward plunge of the high grade shoots below the historical mining. A limited portion of this expanded drill program will also be allocated towards near surface expansion of satellite targets, including the Russet South discovery which is located 1.5 kilometres from the McVeigh horizon.

Further results are pending from the on-going drill program and will be released as received.

For a complete list of 2016 drill results to date, please click here:
http://puregoldmining.ca/sites/default/files/2016-DH-Intercepts-Table-May-17.pdf

ABOUT MADSEN
The Madsen Mine operated for over 36 years with historic production of 2.5 million ounces at an average grade of 9.9 g/t gold. The Madsen Gold Project hosts an operational head frame, a permitted mill and tailings facility, and access to power, water and labour. The Madsen Gold Project has an Indicated Resource of 928,000 ounces gold at 8.93 g/t Au (in 3.24 million tonnes) and an Inferred Resource of 297,000 ounces gold at 11.74 g/t Au (in 0.79 million tonnes). The mineral resource is based on 13,624 drill holes, evenly dispersed throughout the mineral resource. A robust geologic model based on 27 levels of geological mapping and chip sampling provides a solid understanding of continuity of mineralization.

In addition to the mineral resource, the Madsen Gold Project hosts a number of highly prospective new discoveries including the Fork Zone and Russet South targets. Pure Gold believes the opportunity exists to advance these near-surface, high grade exploration targets through the application of modern exploration science and a new understanding of the district.

(1) See the National Instrument 43-101 technical report entitled 'Technical Report on the Preliminary Economic Assessment For the Madsen Gold Project,' prepared by Nordmin Engineering Ltd., dated effective April 20, 2016. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.

QA/QC and Core Sampling Protocols
Drill core samples are submitted to ALS Minerals in Thunder Bay, Ontario for sample preparation by crushing to 70% less than 2mm, a rotary split of 1kg, and pulverization of the split to better than 85% passing 75 microns. Sample pulps are shipped to the ALS assay laboratory in North Vancouver, B.C. for gold analysis with a 30g fire assay and AAS finish (code Au-AA23). Samples returning >5 g/t Au are re-assayed with a gravimetric finish (code GRA21). Mineralized zones with visible gold are also analyzed by a 1kg screen fire assay with screening to 100 microns. A duplicate 30g fire assay is conducted on the screen undersize with assaying of the entire oversize fraction (code Au-SCR21). Control samples (accredited standards and non-accredited blanks) were inserted on a regular basis. Results are assessed for precision on an ongoing basis.

Qualified Persons and 43-101 Disclosure
Phil Smerchanski, P. Geo., Vice President, Exploration for the Company, is the designated Qualified Person for this news release within the meaning of National Instrument 43-101 ('NI 43-101') and has reviewed and verified that the technical information contained herein is accurate and approves of the written disclosure of same.

ABOUT PURE GOLD
Our mandate is pure and simple. To dream big. To colour outside the lines. To use smart science and creativity to unlock the next major discovery at the Madsen Gold Project in Red Lake, Ontario. And become Canada's next iconic gold company.

Additional information about the Company and its activities may be found on the Company's website at www.puregoldmining.ca and under the Company's profile at www.sedar.com.

ON BEHALF OF THE BOARD
'Darin Labrenz'
Darin Labrenz, President & CEO

Investor inquiries:
Tel: 604-646-8000
[email protected]

All statements in this press release, other than statements of historical fact, are 'forward-looking information' with respect to Pure Gold within the meaning of applicable securities laws, including, but not limited to statements with respect to those that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. Forward-looking information is often, but not always, identified by the use of words such as 'seek', 'anticipate', 'plan', 'continue', 'planned', 'expect', 'project', 'predict', 'potential', 'targeting', 'intends', 'believe', 'potential', and similar expressions, or describes a 'goal', or variation of such words and phrases or state that certain actions, events or results 'may', 'should', 'could', 'would', 'might' or 'will' be taken, occur or be achieved. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made including, among others, assumptions about future prices of gold and other metal prices, currency exchange rates and interest rates, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pure Gold and there is no assurance they will prove to be correct.

Such forward-looking information, involves known and unknown risks, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, risks related to the interpretation of results at the Madsen Gold Project; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; the costs and timing of the development of new deposits; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; the timing and success of exploration activities generally; delays in permitting;possible claims against the Company; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated June 4, 2015 in the section entitled 'Risk Factors', under Pure Gold's SEDAR profile at www.sedar.com.

Although Pure Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pure Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.