Paran Fails to Honour Commitment to Provide Continuous Access to Invicta

VANCOUVER, British Columbia, March 21, 2019 (GLOBE NEWSWIRE) -- Lupaka Gold Corp. ("Lupaka Gold" or the “Company") (TSX-V: LPK, FRA: LQP) announces that discussions between the Company and community leaders from the nearby community of Paran (“Paran”) have been abandoned by the President of Paran. Once again Paran has resumed their illegal demonstration, preventing the Company from accessing the Invicta Gold Development Project (“Invicta”). In doing so Paran has failed to honour the agreement signed earlier in March, which included the commitment to provide continuous and safe access to Invicta as well as the commencement of a dialogue process.

“We are very disappointed in Paran’s decision to abandon our recent agreement, including the cancelation of the established dialogue table. We have worked very hard to engage with Paran, in order to find a long-term solution that meets the needs of all of our community partners.

Unfortunately, they have demanded that all social and economic benefits from Invicta should go exclusively to the community of Paran, which contradicts the existing community agreements that the Company has in place with Lacsanga and Santa Domingo. Lupaka has put forward alternate proposals, including investment strategies, however Paran remains adamant that all benefits must accrue solely to their community.  When we insisted Lupaka will continue to honour the Company’s existing community agreements, the President of Paran abruptly left the dialogue table and reinstated the blockade.”

Will Ansley, President and CEO of Lupaka

As previously announced on October 25, 2018, access to Invicta had been restricted due to a blockade by community members from the nearby community of Paran. As disclosed on March 4, 2019 Paran formally agreed to open up the blockade and granted access to the Invicta site.  As a result, the Company agreed to enter into a formal dialogue table in order to re-establish a positive working relationship with the community.

On March 19, 2019 representatives from the Company met with the community leaders from Paran to continue negotiations regarding the Invicta project. Paran abruptly abandoned the meeting, indicating to their community members that the dialogue table they had agreed to would be canceled, and they would restart the illegal blockade preventing the Company from accessing Invicta. The Company has reported this action to the Peruvian authorities and will continue to work with the authorities to end this illegal activity and to restore access to Invicta.  We remain open to negotiations and further dialogues with the Community of Paran, under a framework of respect for all stakeholder’s interest.

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

About Lupaka Gold

Lupaka is an active Canadian-based company focused on creating shareholder value through discoveries and strategic development of its assets in some of the most prolific mining regions of Peru.

FOR FURTHER INFORMATION PLEASE CONTACT:

Will Ansley, President & C.E.O.
wansley@lupakagold.com
Tel: (416) 862-5257

or visit the Company’s profile at www.sedar.com or its website at www.lupakagold.com

Cautionary Statements Regarding Forward Looking Information
This press release contains forward-looking statements which constitute "forward-looking information" within the meaning of applicable securities laws, including all statements, trend analysis and other information relative to anticipated future events or results. All statements, other than statements of historical fact, included herein are considered forward-looking statements, including, without limitation, statements relating to: discussions with the Paran and the Peruvian authorities regarding the lifting of the blockade; the size and timing of the processing of material from Invicta; the relationship with partner communities.

Forward-looking statements are based on assumptions, estimates and opinions of management at the date the statements are made and which the Company believes are reasonable. Such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking information are the following: that discussions with the communities are not productive; that toll mills do not achieve planned production. This forward-looking information may be affected by risks and uncertainties in the regular course of business and due to market conditions. Additional risks are described in the Company’s annual information form, which is available on SEDAR at www.sedar.com.

Although the Company 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 to not be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking information due to the inherent uncertainty thereof. Lupaka Gold does not undertake any obligation to update forward-looking statements except as required by applicable securities laws. Investors should not place undue reliance on forward-looking statements.