Mr. Scott Caldwell reports

GUYANA GOLDFIELDS INC. PRODUCES 17,345 OUNCES OF GOLD IN NOVEMBER ACHIEVING POSITIVE CASH FLOW

Guyana Goldfields Inc. is providing an update on gold production activities at its Aurora gold mine in Guyana, South America.

Aurora gold mine ramp-up update

From Oct. 1, 2015, to Nov. 30, 2015, the company produced 21,093 ounces of gold of which 14,091 ounces was sold at an average realized price of $1,084 per ounce generating approximately $15.3-million (U.S.) in pretax revenue and achieving positive cash flow.

The company has processed approximately 11,500 tonnes of hard rock through the primary crushing circuit. During the month of November, the mill processed an average of 4,600 tonnes of ore per day at an average head grade of 3.64 grams per tonne gold, with gold recoveries averaging 94 per cent.

As of Nov. 30, 2015, the company has mined a total of 539,355 tonnes of ore grading 2.72 g/t Au and a total of 334,828 tonnes of ore were fed to the mill, and the remaining tonnes of ore were stored in the stockpile located near the mill. In addition, 1,335,989 tonnes of waste has been mined to date.

Scott A. Caldwell, president and chief executive officer, stated: "With the start-up of hard rock processing, we are one step closer to demonstrating successful implementation of full operations. November we saw significant momentum and we expect December to be another outstanding month. We do not anticipate the upcoming secondary rainy season to have any material effect on our operations as these brief bouts of inclement weather have been accounted for within the mine and mill production plan."

Production guidance for 2015 and 2016

The company believes it is still on track to achieve its production guidance for 2015 at approximately 30,000 ounces of gold. Total production guidance for 2016 is between 130,000 to 150,000 ounces of gold.

Overfinancing position

GGI continues to have an untouched $52-million (U.S.) overrun facility available, of which, $25-million (U.S.) is the tranche 2 cost overrun facility under the project loan facility (see press release dated June 9, 2014) and $27-million (U.S.) comprises GGI's own restricted cash. In the event of an unlikely circumstance, the company may draw on these accounts if needed.

Updated National Instrument 43-101 technical report

GGI plans to issue an updated NI 43-101 technical report feasibility study for the Aurora gold mine in early first quarter 2016, which will reflect an extended open-pit-mining scenario while deferring the underground production until later in the mine life, as well as updated cost parameters and reserves based on revised gold prices.

We seek Safe Harbor.