Mr. Jared Scharf reports

DESERT GOLD VENTURES INC. PROVIDES CORPORATE UPDATE ON SEGALA WEST PROPERTY IN MALI, WESTERN AFRICA

Desert Gold Ventures Inc. has provided the following update on its Segala West property in western Mali.

About Segala West

The Segala West permit is surrounded by several mines, which include Randgold's Loulo-Gounkoto mine complex to the west, where the company has declared resources of 51 million tonnes at 4.4 g/t (grams per tonne) for 5.7 million ounces of gold (measured and indicated), 20 million tonnes at 3.9 g/t for two million ounces of gold (inferred) and ore reserves of 32 million tonnes averaging at 4.6 g/t for 3.7 million ounces of gold (proven and probably). Adjacent to the east of Segala West are Endeavour Mining's Tabakoto and Segala mines, with the Kofi and Kefola prospects to the north and south, respectively. Within the Segala West permit exists a large soil geochemical anomaly covering an area of 24 square kilometres within, which three significant artisanal mines are active. The surface expression of the neighbouring mine, Tabakoto, which hosts approximately three million ounces of gold, is less than one square kilometre (18.5 million tonnes at 3.5 g/t for 1.8 million ounces of gold (measured and indicated), nine million tonnes at 3.6 g/t for one million ounces of gold (inferred) and 6.4 million tonnes at 3.5 g/t for 700,000 ounces of gold (proven and probable)). The mineralization hosted on the company's property is not necessarily indicative of the mineralization hosted on Loulo-Gounkoto and Tabakoto deposits. However, the extent and persistence of the soil geochemical gold anomaly are the surface expression of significant mineralization below ground. Combined with the extensive artisanal mining presence on sight, Desert Gold is actively seeking investors to finance a focused exploration program to prove the presence of mineralization at depth.

Previous exploration at Segala West focused on the northern sector of the permit. The company now intends to focus its exploration efforts in the southern area of the permit. The first area of interest is known as the Baroya area, where extensive artisanal mining operations exist.

Highlights:

• The company successfully renewed the Segala West permit in July, 2015, securing the permit until November, 2017.
• The company is actively seeking investors and joint venture partners to finance the $1.1-million (U.S.) exploration program at Segala West's southern target know as the Baroya area, where three large artisanal gold mining operations exist.
• Results from a grab sampling program at the Baroya pit in the southern sector of the permit indicated positive gold grades and positive structural indicators, necessitating the requirement for trenching and drilling in the area.

The relevance of the Baroya area

The soil geochemical survey performed in May, 2014, in which 2,342 soil samples were collected by GeoActiv Pty. Ltd. (a South African geological contracting and consulting company) and analyzed by ALS Chemex SA Pty. Ltd.'s laboratory in South Africa, completed a blanket geochemical analysis of the exploration permit. The results delineate an eight-kilometre-long and three-kilometre-wide corridor traversing the tenement in a northwesterly direction. The soil sample database comprises 6,032 lognormally distributed gold values with thresholds of 669 parts per billion, 204 parts per billion and 20 parts per billion, for the respective one, five and 50 percentiles. There are significant artisanal mining activities focused in three areas: one on the northwestern strike extension of Endeavour Mining's Segala mine and two in the southeastern part of the tenement near the village of Baroya. These mining sites target mineralized vein systems within the metasediment host rocks. Grab samples of the material being mined within the property were collected and assayed. Results are tabulated in the attached table and demonstrate high grades in the mineralized vein systems. Grab samples are selected samples and are not necessarily representative of the mineralization hosted on the property.

Sample        Sample ID     Depth        Au 
source                         (m)     (g/t)

Baroya pit      B534205     35.00      0.58 
Baroya pit      B534206     35.00     15.65 
Baroya pit      B534207     40.00      3.82 
Baroya pit      B534208     25.00      0.09 
Baroya pit      B534209     25.00     76.30 
Baroya pit      B534210     30.00      0.84 
Baroya pit      B534211     30.00      1.60 
Baroya pit      B534225     40.00     39.80 
Baroya pit      B534226     40.00      2.38 
Baroya pit      B534227     40.00      1.31 
Segala pit      B534215     20.00      8.82 
Segala pit      B534216     20.00      5.53 
Segala pit      B534217     50.00      1.05 
Segala pit      B534218     30.00      1.14 
Segala pit      B534221     25.00     26.60 
Segala pit      B534222      7.00      0.37 
Segala pit      B534223     10.00      0.58 

Note: The table shows assay results of selected 
      grab samples collected from the artisanal 
      mining operations. Approximate in situ 
      depths from which the samples were collected
      are given.

Given the mineralization in the district is hosted by geological structures, the company recently completed an analysis of structure both from remote sensing data as well as from previous drill core data. The results point to a coherent set of fractures congruent with the mineralized systems noted both at Tabakoto mine and at the Segala mine. The Segala and Baroya artisanal mining sites follow these structural orientations. The company is actively seeking investors to raise funds to drill both sites to confirm the continuity of the mineralization and will selectively trench some of the other significant soil geochemical anomalies to determine the source of these anomalies.

Exploration program -- Segala West

The exploration program at Segala West will take approximately six months to complete and has a budget of $1.1-million (U.S.). It will consist of key activities as shown in the attached table.

     
           SEGALA WEST PROGRAM BUDGET          
                 (U.S. dollars)                  

Operational overheads                 $  190,000
Field geologists                         108,000
Ground geophysics -- mag                  30,000
Geochem -- lab (6,500 at 23)             150,000
Trenching (five by 400 metres)           100,000
Core drilling (2,100 at 160)             336,000
RC drilling (2,000 at 100)               200,000
                                       ---------
Total                                  1,114,000
                                       =========

Geophysical

The northern part of the concession was surveyed but not the southern part. For completeness of analysis and the relative marginal cost to acquire further ground magnetic data, it is recommended the remainder of the tenement be surveyed.

Trenching

Long trench transects will serve to map bedrock and help toward the identification of important indicators of mineralization and outside lithology, such as alteration and structure. Because of the scale and cost-efficiencies, it is recommended to use an excavator rather than manual labour. The siting of the drill and trenches will be made during the start-up field phase. Trench locations are planned in the south around the Baroya artisanal mining sites and over significant geochemical anomalies not yet tested. This program calls for a minimum of 2,000 metres of trenching in the Baroya area.

Core drilling

Core drilling is fundamentally important to understand the geology and consequently is needed during the exploratory phases. Approximately 14 holes at an average depth of 150 metres are planned during this phase of exploration, totalling 2,100 metres.

RC drilling

Assuming the discovery of mineralization and the understanding of the controls of mineralization, evaluation by RC (reverse circulation) drilling is recommended to improve cost-efficiencies. An additional 2,000 metres of RC drilling are budgeted for this program.

Desert Gold chief executive officer Sonny Janda commented: "In my opinion, the Segala West property represents an excellent near-term opportunity to prove up a resource on the doorstep of two of the most prolific mine operators in West Africa. The Tabakoto and Segala mines were acquired by Endeavour Mining from Avion Gold in 2012 in a share deal that was worth nearly $360-million. This was done arguably at the bottom of the market. Through a well-thought-out exploration program, we want to prove that these same systems run through our property. There are many positive indicators in the southern area of our property. Extensive artisanal mining and a large surface geochemical anomaly of some 24 square kilometres all point to the potential of this property. The next step is to prove this by drilling these targets at depth."

Shaun Dykes, MSc (Eng), PGeo (No. 20044), a qualified person as defined in National Instrument 43-101, is responsible for the review of all scientific and technical information contained in this release.

We seek Safe Harbor.