Galileo Resources PLC Regulatory News (GLR)

For immediate release

25 October 2016

Galileo Resources Plc

("Galileo" or "the Company")

Nevada Projects Update

HIGH-GRADE GOLD MINERALIZATION FROM INITIAL SAMPLING

AT FERBER PROJECT IN NEVADA - DRILLING COMMENCES ON SILVERTON

Highlights

· A significant number of rock-chip samples (11 out of 23 samples) return gold values exceeding 0.2 g/t

· Seven of these 11 samples exceed 1.0 g/t with a high of 10.8g/t

· Ferber Project mineralization, characteristic of productive gold skarn deposits, occurs marginal to a Late Eocene intrusion, with jasperoid mineralization characteristic of Carlin-type gold deposits occurring distal to the intrusion

· Our Silverton Project JV partner Orogen Gold plc ("Orogen') commences drilling

Galileo is pleased to announce that initial rock-chip sampling (23 samples) at its Ferber gold project ("Project') in north-eastern Nevada has returned significant gold values of up to 10.80 g/t. The Project comprises a land package of over 300 unpatented mining claims and 19 leased patented claims covering approximately 25 square kilometres. The Company also announces that Orogen, our farm-in partner on the Silverton gold-silver project, has commenced drilling on this property.

Colin Bird Chairman and CEO said: "Historical exploration including drilling encountered both gold and copper at Ferber. We have approached this Project with a clean sheet and the results of this preliminary sampling are very encouraging. We intend to follow this up with more detailed geochemical sampling with a view to identifying drilling targets. These encouraging results together with Orogen's announcement of commencement of drilling on Silverton are exciting for the Company since US exploration companies are showing much interest in the gold and copper potential in Nevada."

Galileo's consulting geologist on the project, Dr. Jacob Margolis, states: "The Ferber intrusion-centered gold system is broadly similar to productive gold deposits elsewhere in north-central Nevada, where Carlin-style gold mineralization and gold skarn mineralization are genetically related to Late Eocene intrusions similar in age to the Ferber stock. This large district requires a broad approach aimed at recognizing geochemical zoning, delineating district-scale structure and understanding the stratigraphy. Integrating these three components should serve as a vector to quality exploration targets".

Results

An initial suite of 23 samples collected over an area of 6 km by 2 km yielded significant gold, with assay results on additional samples pending (Table 1). Seven of the samples exceeded 1 g/t Au, reaching 10.8 g/t. The highest-grade sample contains greater than 1% Bi and 167 ppm Te, indicative of the mineral hedleyite, a characteristic mineral in productive gold skarn deposits, such as those at McCoy and Fortitude in north-central Nevada, which also flank Late Eocene intrusions. Preliminary analysis of the new data, together with historic results, indicate a geochemical zoning from more copper-rich gold mineralization with a high Ag-to-Au ratio (Ag:Au) marginal to the central stock to distal, copper-poor, gold mineralization with relatively low silver and a lower Ag:Au. One sample of jasperoid from this distal setting yielded 9.8 g/t Au with a Ag:Au of only 1.3; an historic sample from the same area assayed 11.7 g/t Au with a Ag:Au of 1.5. A sample of jasperoid over 1 km from the central stock yielded 325 ppb Au.

Table 1. Selected gold-mineralised samples

These initial results indicate that the project offers an opportunity for the discovery of intrusion-proximal gold skarn mineralization as well distal Carlin-style gold mineralization. In addition to mineralization marginal to the stock, silicification also occurs along district-scale structures at the edge of alluvial cover distal to the intrusion, offering the potential for concealed mineralization.

Ferber

The Ferber district contains jasperoids (silicified limestone) and siliceous skarns marginal to a Late Eocene, multi-phase intrusive complex. The Kinsley district, 21 km to the southwest and being explored by Pilot Gold, contains a similar geologic environment: a similar-aged intrusion with proximal skarn and distal Carlin-style gold mineralization. New gold mineralization with an average grade of 6 g/t, was discovered recently at Kinsley in stratigraphy well below that hosting lower-grade, shallow mineralization. Historic widely scattered and shallow drilling at Ferber failed to properly test mineralized structures with angle drilling or test stratigraphy for additional hosts to mineralization.

Dr. Jacob Margolis is the qualified person as defined by National Instrument 43-101 and has reviewed the technical content of this news release.

Silverton Drilling Programme

As envisaged under the Farm-Out Agreement, Orogen Gold plc has recently announced a proposed 1200m drilling programme at Silverton, funded by Orogen, and Galileo looks forward to announcing results of this programme as and when available.

Further details are available from the Company's website which details the Company's project portfolio as well as a copy of this announcement: www.galileoresources.com

You can also follow Galileo on Twitter: @GalileoResource

Approval

Andrew Sarosi, Director of Galileo, who holds a B.Sc. Metallurgy and M.Sc. Engineering, University of Witwatersrand and is a member of the Institute of Materials, Minerals and Mining, is a "qualified person" as defined under the AIM Rules for Companies and a competent person under the reporting standards. He has approved the release of this announcement.

Glossary

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