Altamira announces receipt of first Environmental Permit for Trial Mining at the Cajueiro gold project, Brazil

Vancouver, British Columbia--(Newsfile Corp. - October 16, 2019) - Altamira Gold Corp.'s (TSXV: ALTA) (FSE: T6UP) (OTC Pink: EQTRF), ("Altamira" or the "Company") is pleased to announce that it has received the first Environmental Permit for the Trial Mining Licenses with respect to permit 866.160/2007 for its advanced Cajueiro gold project in northern Mato Grosso state in western Brazil. Highlights are as follows:

• The environmental process LOPM No 320459 within permit 866.160/2007, was published on October 7, 2019 and is valid for three years until October 6^, 2022. This permit covers the southern part of the key Crente resource. The Environmental Permit has now been presented to the National Mining Agency ("ANM") in Brazil and the Company is awaiting the approval of the first Trial Mining License

• The first Trial Mining license will allow Altamira and its partner FMS Investimentos e Participacoes Ltda. ("FMS") to commence the construction of the 1000 tonne / day processing facility and will liberate the southern half of the Crente resource for feed for the plant (see press release dated August 8, 2019 for additional information)

• Altamira is also pursuing Trial Mining Licenses over three additional claim blocks which cover the resources in the northern part of the Crente deposit as well as the Baldo, Matrincha and Marines deposits within the Cajueiro project area

Altamira's 2019 NI 43-101 Mineral Resource Estimate was recently completed by Global Resource Engineering Ltd. ("GRE"), and totals 5,661,000 tonnes @ 1.02 g/t gold for a total of 185,000 oz of gold (Indicated) and 12,665,000 tonnes @ 1.26 g/t gold for a total of 515,000oz of gold (Inferred). (see press release dated October 10, 2019 for additional details). The resources are confined to an area of approximately 285 ha whilst the total area comprising the Cajueiro concession area amounts to 39,053 ha.

As part of the permitting process allowing for Trial Mining at the Cajueiro proect, Altamira is in the process of obtaining four Trial Mining Licenses for which Environmental Permits are required on all four. Plant construction, however, may commence prior to the issuance of the remaining three licenses.

Figure 1. Map showing location of the Trial Mining Area spanning four claim blocks including claim 866.160/2007

To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/4500/48799_ce48bd45f4902ae0_001full.jpg

The Trial Mining process will enable Altamira to expose the weathered microgranites and rhyolites which host a set of Northeast (NE) and East-West (E-W) trending conjugate structures / veins exhibiting late brittle deformation. These were the primary structural controllers of hydrothermal alteration and associated gold mineralization and are generally higher-grade. Gold and pyrite in the bedrock sulphide domain is contained within hydrothermal alteration envelopes of sericite-epidote-chlorite-quartz within and adjacent to the structures. Weathered material generally extends to a maximum depth of 25m depth at Cajueiro and will be the initial focus of trail mining.

The production decision is not based on a feasibility study of mineral reserves demonstrating economic and technical viability, and as a result there is increased uncertainty and multiple technical and economic risks associated with this production decision. These risks, among others, include areas that are analyzed in more detail in a feasibility study, such as applying economic analysis to resources and reserves, more detailed metallurgical testing and specialized studies in areas such as mining and recovery methods, market analysis, and environmental and community impacts. In accordance with NI 43-101 and the accompanying policy to that instrument, Altamira cannot provide any guidance either in terms of anticipated gold production or net cash flows.

Michael Bennett, Altamira Gold's President and CEO, commented, "The publication of the first Environmental Permit on our flagship Cajueiro project is another very important milestone for the Company as we advance towards trial mining and gold production during 2020. In addition to achieving short term cash flow, trial mining will allow the Company to better understand the structural controls on gold mineralization and is expected to help identify a number of additional and as yet unrecognized gold-bearing structures which will contribute to explaining the extent of the historic placer gold production."

Guillermo Hughes, P. Geo., a consultant to the Company as well as a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.

Neither the 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.

About Altamira Gold Corp.

The Company is focused on the exploration and development of gold projects within western central Brazil. The Company holds 11 projects comprising approximately 300,000 hectares, within the prolific Juruena gold belt which historically produced an estimated 7 to 10Moz of placer gold. The Company's advanced Cajueiro project has NI 43-101 resources of 5.66Mt @ 1.02 g/t gold for a total of 185,000 oz in the Indicated Resource category and 12.66Mt @ 1.26 g/t gold for a total of 515,000oz in the Inferred Resource category.

On Behalf of the Board of Directors,

ALTAMIRA GOLD CORP.

"Michael Bennett"

Michael Bennett
President & CEO

Tel: 604.676.5660
Toll-Free: 1-833-606-6271
info@altamiragold.com
www.altamiragold.com

Forward-Looking Statements

Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Except as required by law, we do not undertake to update these forward-looking statements.

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