Mr. Brian Fowler reports

BCGOLD CORP. ANNOUNCES SHARES FOR DEBT AND PROVIDES CORPORATE UPDATE

BCGold Corp. intends to settle $156,344.88 of debt through a combination of debtor forgiveness ($68,117.67) and the issuance of 1,764,544 common shares of the company for debt at a price of five cents per share ($88,227.21). The company previously announced a 1:5 share consolidation as part of the Wels property purchase agreement with Gorilla Minerals Corp. (please see BCGold news release dated Jan. 25, 2016). BCGold and Gorilla have amended the terms of the Wels property purchase agreement to include the issuance of 1.7 million BCGold common shares to Gorilla, as a mutual consideration, subject to exchange approval.

This transaction addresses unpaid fees to related and unrelated parties and is subject to regulatory approval. Shares are being issued to preserve cash committed to project development and working capital and will be subject to a four-month hold period from the date of issuance.

Engineer mine update

BCGold is pleased to announce that it has reached a settlement with respect to the obligation of the company to Engineer Mining Corp. in connection with the purchase of the Engineer mine mill complex, ancillary equipment and a 30-per-cent net-profit-interest royalty on a high-grade-gold shoot on the Double Decker vein, as more particularly detailed in the notes to the company's financial statements.

Under the terms of the settlement, the company has issued Engineer Mining a promissory note in the amount of $250,000 payable Feb. 23, 2017, and secured by a charge over the assets and property comprising the Engineer mine. This promissory note, for the first time, provides BCGold the opportunity to sell or option the company's high-grade gold production opportunity and the fully permitted mill complex at Engineer mine, to a qualified party.

"BCGold fully appreciates Engineer Mining's willingness to work with the company to achieve both companies' goals at Engineer mine. The company intends to fulfill the requirements of the promissory note through the option or sale of the Engineer mine property and will not use any proceeds from the ongoing $600,000 private placement for this commitment. The current private placement is earmarked to advance the Wels gold property through a deliberate phase I program of ground geophysics, hammer drill rock XRF [X-ray fluorescence], and geochemical sampling and trenching, and for general working capital purposes. The objective of the phase I program is to define drill targets on the broad Saddle, North Ridge and Southwest Spur zones gold-in-soil geochemical anomalies for a follow-up phase II diamond drill program. Phase I exploration qualifies for a 2016 Yukon mining incentives program exploration grant for up to $40,000, and BCGold's grant application for the full amount is in progress.

"The current climate of a steadily rising gold price, declining fuel prices and Canadian/U.S.-dollar exchange rates, greatly enhances profit margins for Canadian small-tonnage, high-grade gold production opportunities such as Engineer mine. BCGold continues to receive qualified investor interest for the option and purchase of Engineer mine and fully expects to meet the obligations of the Engineer Mining promissory note with proceeds from the option or sale of Engineer mine within the coming year. BCGold remains committed to obtain the best-possible deal terms on the Engineer mine and maximize shareholder value," stated BCGold president and chief executive officer Brian Fowler, PGeo.

We seek Safe Harbor.