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Continental Gold Drills 200-Metre High-Grade Step-Out Hole at La Estera, Buritica Project, Colombia

TORONTO, ONTARIO -- (Marketwired) -- 04/03/13 -- Continental Gold Limited (TSX:CNL)(OTCQX:CGOOF) ("Continental" or the "Company") is pleased to announce results for 11 diamond drill-holes and near-surface sampling in the La Estera and Yaragua areas, as part of the Company's ongoing exploration program at the Buritica Project in Antioquia, Colombia. Ten drills are currently on site as part of the Company's Phase IV, minimum 95,000-metre diamond drill program for 2013.

Highlights

La Estera Area (Figures 1 and 2)

--  Step out drilling in the La Estera area has extended the Laurel family
    of veins approximately 200 metres to the west. High-grade intercepts in
    BUSY332 include:
    
    --  9.83 metres @ 16.1 g/t gold and 50 g/t silver, including 3.34 metres
        @ 38.9 g/t gold and 111 g/t silver (elevation of 1,036 metres); and 
    --  1.75 metres @ 36.7 g/t gold and 182 g/t silver (elevation of 1,063
        metres).
        
--  BUSY333 and BUSY338 are interpreted to have intersected the Laurel
    family of veins 400-500 metres to the east of and at higher elevations
    than in BUSY332. Intercepts include: 
    
    --  0.3 metres @ 20.6 g/t gold and 29 g/t silver (BUSY333, elevation of
        1,313 metres); 
    --  0.4 metres @ 18.2 g/t gold and 7 g/t silver (BUSY338, elevation of
        1,574 metres); 
    --  1.23 metres @ 10.8 g/t gold, 97 g/t silver and 5.3% zinc (BUSY338,
        elevation of 1,459 metres); and 
    --  2.36 metres @ 9.2 g/t gold, 135 g/t silver and 9.0% zinc (BUSY338,
        elevation of 1,439 metres).
        
--  These drilling results are consistent with a lateral extent of the
    Laurel vein family of more than 500 metres and vertical extents of 500-
    1,000 metres, open to depth and to the east and west.
    
--  Further south, BUSY332 has extended mineralization in the La Estrella
    vein family to the west of previous drilling, whereas BUSY333 has
    intersected this vein system more than 1,000 vertical metres below
    related surface mineralization. 
    
--  In the northeast portion of the La Estera area, located just south of
    the Yaragua vein system, significant gold-silver mineralization has been
    encountered from both sampling of the Veta Sur decline ("Rampa Sur") and
    surface sampling in the vicinity of the decline portal. Assay results
    include: 
    
    --  1.5 metres @ 13.9 g/t gold and 5 g/t silver (Surface, elevation of
        1,729 metres); and 
    --  1.0 metres @ 7.9 g/t gold, 12 g/t silver and 8.5% zinc (Rampa Sur,
        elevation of 1,705 metres).
        
--  In the southeastern La Estera area, BUSY330 intersected several broad
    intervals of base metal-rich, gold-silver mineralization in the vicinity
    of the La Mano vein family, including:
    
    --  12.95 metres @ 3.8 g/t gold and 10 g/t silver, including 0.95 metres
        @ 13.4 g/t gold, 21 g/t silver and 2.5% zinc (elevation of 1,213
        metres); and 
    --  9.5 metres @ 2.7 g/t gold and 24 g/t silver (elevation of 1,182
        metres).
        
--  In the central-east part of the La Estera area, individual samples from
    two historic and narrow workings on the east-west trending La Mano vein
    family assayed 15.7 g/t gold, 254 g/t silver, 17.3% zinc and also 25.2
    g/t gold, 27 g/t silver and 2.7% zinc. These results, together with
    BUSY319 (see December 13, 2012 news release) confirm a minimum strike-
    length of 150 metres for this vein family, open laterally and to depth. 

Yaragua Vein System (Figures 1 and 3)

--  In eastern Yaragua, four drill-holes transected the central and northern
    vein families. Intercepts to the north of the October 2012 mineral
    resource estimate, prepared in accordance with National Instrument 43-
    101 ("NI 43-101"), include: 
    
    --  6.3 metres @ 7.0 g/t gold and 60 g/t silver, including 0.8 metres @
        35.2 g/t gold, 366 g/t silver and 9.3% zinc (BUUY099, elevation of
        1,325 metres); 
    --  0.7 metres @ 22.3 g/t gold, 750 g/t silver and 4.6% zinc (BUUY099,
        elevation of 1,279 metres); and 
    --  0.6 metres @ 10.8 g/t gold and 117 g/t silver (BUUY100, elevation of
        1,242 metres). 
        

These and other results add further definition to extensions of the Vein A, Vein AD and Vein D packages, the most northerly in the Yaragua vein system.

--  The eastern Yaragua drill-holes otherwise intersected veins with grades
    and thicknesses generally consistent with the current mineral resource
    model, with the exception of the following intercepts, which exhibited
    substantially greater apparent grades and thicknesses than in the
    current mineral resource model, including: 
    
    --  1.0 metres @ 34.6 g/t gold and 4 g/t silver (BUUY099, PRE vein,
        elevation of 1,376 metres); 
    --  1.7 metres @ 2.1 g/t gold and 350 g/t silver, (BUUY099, VNC,
        elevation of 1,369 metres); and 
    --  2.0 metres @ 12.5 g/t gold and 9 g/t silver (BUUY100, HWV, elevation
        of 1,351 metres). 
        
--  BUUY101, drilled southwards through the central and southern Yaragua
    vein families into Yaragua South, encountered intercepts in the VNB, VNE
    and Murcielagos vein packages with apparent grade and thicknesses
    substantially greater than those in the current mineral resource model,
    including: 
    
    --  1.1 metres @ 66.7 g/t gold and 8 g/t silver (VNB, elevation of 1,504
        metres); 
    --  4.5 metres @ 6.2 g/t gold and 15 g/t silver (VNE, elevation of 1,491
        metres); and 
    --  34.7 metres @ 2.7 g/t gold and 10 g/t silver, including 0.5 metres @
        8.9 g/t gold and 18 g/t silver (MU2 and MU, elevations of 1,481
        metres and 1,468 metres, respectively). 
        

Otherwise, BUUY101 intersected veins with grades and thicknesses generally consistent with the current mineral resource model until terminating in the Yaragua South area with vein intersections outside of the current mineral resource envelopes.

"Step-out drilling along strike and at depth and surface sampling continues to deliver encouraging results in the La Estera area," commented Ari Sussman, CEO. "Drilling at Yaragua continues to increase the confidence level in the mineral resource estimate and encounter mineralization outside of the current resource envelope. We are excited that our exploration program has recently increased with the addition of three new drill rigs as part of our Phase IV drill program. Our aim is to continue to drill the Yaragua and Veta Sur vein systems and to aggressively test the new exploration targets in 2013."

Details

Continental's 100%-owned, 57,588-hectare project, Buritica, contains several known areas of high-grade gold and silver mineralization, of base metal carbonate-style ("Stage I") variably overprinted by texturally and chemically distinctive high-grade ("Stage II") mineralization. The two most extensively explored of these areas, the Yaragua and Veta Sur systems, are central to this land package. The Yaragua system has been drill-outlined along 900 metres of strike and 1,300 vertical metres and partially sampled in underground developments. The Veta Sur system has been drill intersected along 570 metres of strike and 1,180 vertical metres. Both systems are characterized by multiple, steeply-dipping veins and broader, more disseminated mineralization and both remain open at depth and along strike, at high grades. See "About Continental Gold" (below) for a precis of the updated mineral resource estimates for the Buritica project prepared in accordance with NI 43-101. This release documents the results of infill and extension drilling of the Yaragua vein system and also results of additional drilling and near surface sampling in the La Estera area to the south of the Yaragua and Veta Sur vein systems.

La Estera Area

Significant new drill intercepts are listed below in Table I and are referenced in Figures 1 and 2.

Table I: Drilling Highlights, La Estera Area                                
                                                                            
----------------------------------------------------------------------------
                     From       To  Interval    Gold  Silver  Zinc Elevation
Drill-hole            (m)      (m)       (m)   (g/t)   (g/t)   (%)       (m)
----------------------------------------------------------------------------
BUSY323            314.50   316.00      1.50    1.16     2.6   0.0      1622
                   404.54   405.75      1.21    0.83    48.0   1.2      1545
                   427.78   428.30      0.52    0.15    90.5   0.3      1526
                   439.50   441.11      1.61    0.17    36.0   0.7      1516
BUSY330            162.20   167.45      5.25    2.08    30.2   4.5      1247
                   177.40   180.20      2.80    1.86    28.3   6.6      1234
                   203.55   216.50     12.95    3.77     9.8   0.9      1213
  incl.            203.55   204.50      0.95   13.40    21.4   2.5      1213
  and              212.00   213.00      1.00   10.83    11.3   2.7      1205
                   233.00   233.80      0.80    3.60    16.9   3.3      1188
                   240.50   250.00      9.50    2.67    24.0   0.6      1182
                   367.50   368.36      0.86    2.06     1.0   1.2      1080
                   459.00   459.75      0.75    2.31     6.2   1.5      1010
                   461.22   461.70      0.48    2.36     3.9   0.6      1008
                   476.00   476.46      0.46    1.38     0.8   0.2       997
                   526.00   526.40      0.40    5.05     5.0   0.0       961
                   551.00   552.00      1.00    1.20     2.3   0.0       943
BUSY332            546.35   547.60      1.25    0.95    23.5   0.7      1400
                   863.10   863.45      0.35    1.66    13.1   1.1      1101
                   902.60   904.35      1.75   36.71   181.7   0.6      1063
                   923.65   924.50      0.85    2.43    48.0   0.1      1044
                   928.99   929.80      0.81    3.66    17.8   0.1      1039
                   932.17   942.00      9.83   16.12    49.6   0.0      1036
  incl.            938.66   942.00      3.34   38.92   111.4   0.0      1031
  incl.            939.00   940.60      1.60   66.65   184.0   0.0      1031
                  1129.45  1130.60      1.15    2.37     8.3   0.0       850
                  1152.80  1153.30      0.50    1.00     0.5   0.0       828
BUSY333            467.00   467.30      0.30    3.33     6.1   1.4      1368
                   533.50   533.80      0.30   20.60    29.1   1.3      1313
                   537.87   538.50      0.63    2.91    10.1   0.0      1307
                   715.60   715.90      0.30    1.08     7.3   2.2      1156
                   743.20   743.50      0.30    1.35     4.0   2.4      1133
                   763.40   763.80      0.40    7.62    38.3   1.2      1116
                  1176.70  1177.10      0.40    1.20     3.2   1.0       784
BUSY334            176.80   177.60      0.80    1.20     3.3   0.0      1232
BUSY338            202.80   203.20      0.40    4.67    34.3   5.8      1591
(incomplete)       215.90   216.30      0.40    2.90    13.3   0.0      1580
                   221.00   221.40      0.40   18.15     7.0   0.0      1574
                   273.00   273.30      0.30    1.52    25.0   1.3      1528
                   281.70   282.00      0.30    4.77    15.3   0.5      1520
                   349.95   351.18      1.23   10.83    96.5   5.3      1459
  incl.            350.28   350.88      0.60   17.40   141.5   7.7      1459
                   352.60   354.70      2.10    4.17    68.8   2.2      1456
                   372.09   374.45      2.36    9.23   134.7   9.0      1439
  incl.            373.45   374.45      1.00   14.39   233.9  15.2      1438
----------------------------------------------------------------------------
(i)Intercepts calculated at 1 g/t gold + 30 g/t silver cut-off grades for   
minimum intervals of 0.3 metres, with up to 30% internal dilution. True     
widths not accurately known but generally are between 30% and actual true   
width of the down-hole interval. Drill-holes designated "BUUY" were collared
from underground, whereas drill-holes designated "BUSY" were collared at    
surface. Assay results for BUSY338 received thus far are only for intervals 
between 183.5 metres to 416.65 metres down-hole.                            

Four holes were drilled to clarify the distribution of mineralization in the La Estera area. The most westerly of these is south-drilled BUSY323, which intersected (from 314.5 to 441 metres down-hole, Table I) several veins, mainly with relatively high silver/gold. These vein sets are interpreted to represent extensions, at high elevations (1,500-1,600 metres above sea-level), of the Veta Sur system, some 300 metres to the southwest of the current Veta Sur resource envelope (Figure 1). Deep intersections (850 and 828 metres above sea-level) with high gold/silver in north-drilled BUSY332 may also be extensions of the Veta Sur system (Figure 2).

BUSY332 encountered a high silver/gold vein at an elevation of 1,400 metres (Table I), extending the La Estrella vein system 50 metres to the west of previous intersections, whereas BUSY333 intersected the La Estrella system at an elevation of 784 metres above sea-level, around 1,000 metres below surface mineralization in this system. The La Estrella system remains open to the east.

Further down-hole, BUSY332 intersected multiple veins in the Laurel family, extending this vein system approximately 200 metres to the west of previous drilling. High-grade intercepts include:

--  1.75 metres @ 36.7 g/t gold and 182 g/t silver (from 902.6 metres down-
    hole, elevation of 1,063 metres); and 
--  9.83 metres @ 16.1 g/t gold and 50 g/t silver, including 3.34 metres @
    38.9 g/t gold and 111 g/t silver (from 932.17 metres down-hole,
    elevations of 1,036 metres). 
    

Both of these intercepts are sulphide-rich, the former exhibiting moderate zinc and lead contents, the latter exhibiting low base-metal values but abundant pyrrhotite plus pyrite, similar to other deep intercepts at the Buritica project.

BUSY333 and BUSY338 are interpreted to have intersected the Laurel vein family 400-500 metres to the east of and at higher elevations than in BUSY332, with high-grade intercepts including:

--  0.3 metres @ 20.6 g/t gold and 29 g/t silver (BUSY333, from 533.50
    metres down-hole, elevation of 1,313 metres); 
--  0.4 metres @ 18.2 g/t gold and 7 g/t silver (BUSY338, from 221.0 metres
    down-hole, elevation of 1,574 metres); 
--  1.23 metres @ 10.8 g/t gold, 97 g/t silver and 5.3% zinc (BUSY338, from
    349.95 metres down-hole, elevation of 1,459 metres); and 
--  2.36 metres @ 9.2 g/t gold, 135 g/t silver and 9.0% zinc (BUSY338, from
    372.09 metres down-hole, elevation of 1,439 metres).
    

These drilling results are consistent with a lateral extent of the Laurel vein family of more than 500 metres and vertical extents of 500-1,000 metres, open at depth and to the east and west. Demonstration of the continuity of individual vein sets within the Laurel vein family requires more closely spaced drilling and the vein family appears to contain both circa east-west and north-south striking gold-silver vein mineralization.

Surface sampling in and nearby Rampa Sur, the decline advancing towards the Veta Sur vein system, encountered previously unknown gold-silver vein mineralization in the northeastern La Estera area located south of the Yaragua vein system. Sampling highlights are summarized in Table II (below) and referenced in Figures 1 and 2.

Table II: Sampling Highlights, Rampa Sur and nearby surface results         
                                                                            
----------------------------------------------------------------------------
                             Width(i)                              Elevation
Location           SampleID       (m)  Au (g/t)  Ag (g/t)  Zn (%)        (m)
----------------------------------------------------------------------------
Surface              225984       1.5     13.85      4.72    0.04       1729
Surface              225985       1.0     0.535      3.46    0.06       1729
Rampa Sur            227703       1.2      0.86       212    0.10       1712
Rampa Sur            227783       0.8      0.78      62.4    2.11       1708
Rampa Sur            227786       0.7      0.23      48.5    0.02       1707
Rampa Sur            227796       1.0      7.91     12.05    8.52       1705
Rampa Sur            227799       0.7      1.83       128    0.43       1702
----------------------------------------------------------------------------
(i)Intercepts calculated at 1 g/t gold + 30 g/t silver cut-off grades for   
minimum intervals of 0.3 metres, with up to 30% internal dilution. Tabulated
widths approximate true widths.                                             

Vein sets exhibit both high and low gold/silver and are steeply dipping with circa east-northeast and also north-northwest strikes. The surrounding area is largely undrilled, but is geochemically anomalous in gold, silver and zinc. Further work is required to establish vein extents and continuity.

In the southeastern La Estera area, BUSY330 intersected several broad intervals of base metal-rich, gold-silver mineralization including:

--  5.25 metres @ 2.1 g/t gold, 30 g/t silver and 4.5% zinc (from 162.2
    metres down-hole, elevation of 1,247 metres); 
--  12.95 metres @ 3.8 g/t gold and 10 g/t silver, including 0.95 metres @
    13.4 g/t gold, 21 g/t silver and 2.5% zinc (from 203.55 metres down-
    hole, elevation of 1,213 metres); and 
--  9.5 metres @ 2.7 g/t gold and 24 g/t silver (from 240.50 metres down-
    hole, elevation of 1,182 metres). 
    

These intercepts appear to exhibit both circa east-west and north-south vein orientations and contribute further to the view that the vicinity of the La Mano vein system may contain areas of potentially bulk mineable mineralization.

Assays of samples from narrow openings on an east-west trending, high-grade vein in the La Mano vein family are tabulated below. Together with BUSY319 (see December 13, 2012 news release), these results confirm a minimum strike length of 150 metres for this vein, which remains open laterally and at depth.

Table III: La Mano near-surface vein samples                                
                                                                            
----------------------------------------------------------------------------
                             Width(i)                              Elevation
Location           SampleID       (m)  Au (g/t)  Ag (g/t)  Zn (%)        (m)
----------------------------------------------------------------------------
Surface                                                                     
La Mano              227552       0.1     15.65     254.0   17.30       1524
Surface                                                                     
La Mano              227716      0.15     25.20      27.4    2.71       1526
----------------------------------------------------------------------------
(i) Tabulated widths approximate true widths for veins.                     

Yaragua Vein System

Significant new drill intercepts are listed below in Table IV and are referenced in Figures 1 and 3.

Table IV: Drilling Highlights, Yaragua Vein System                          
                                                                            
----------------------------------------------------------------------------
                     From       To  Interval    Gold  Silver  Zinc Elevation
Drill-hole            (m)      (m)       (m)   (g/t)   (g/t)   (%)       (m)
----------------------------------------------------------------------------
BUUY099             11.00    12.00      1.00    8.37     1.1   0.0      1377
                    13.00    14.00      1.00   34.60     3.7   0.0      1376
                    29.30    31.00      1.70    2.11   350.2   0.0      1369
                    38.00    40.00      2.00    1.79     2.0   0.0      1365
                    57.00    59.10      2.10    0.77    29.8   0.4      1356
                    75.30    76.00      0.70    0.56   105.2   0.4      1349
                    97.00    99.00      2.00    4.41     9.7   0.0      1339
                   125.00   126.00      1.00    2.22    61.9   0.2      1327
                   130.80   137.10      6.30    7.03    59.8   3.2      1325
  incl.            130.80   131.60      0.80   35.20   366.0   9.3      1325
                   138.50   141.00      2.50    1.32    41.8   0.2      1321
                   154.00   155.00      1.00    0.94    17.2   0.4      1315
                   170.50   171.00      0.50    9.71   273.0   0.8      1308
                   236.30   237.00      0.70   22.32   749.9   4.6      1279
BUUY100              4.50     6.00      1.50    1.36     0.9   0.1      1380
                    36.00    37.00      1.00    1.13    31.7   0.1      1359
                    46.00    48.00      2.00   12.47     9.3   1.6      1351
  incl.             47.00    48.00      1.00   22.90     1.7   0.0      1350
                   112.25   113.00      0.75    3.28     1.7   0.1      1307
                   118.00   119.00      1.00    3.83   101.7   1.2      1303
                   163.00   163.50      0.50    1.00     9.9   0.1      1273
                   208.50   212.00      3.50    3.37   110.2   0.2      1242
  incl             209.45   210.05      0.60   10.80   116.5   0.2      1242
BUUY101              0.80     1.90      1.10   66.73     7.9   0.6      1504
                     2.80    11.00      8.20    2.47     7.4   0.5      1503
                    17.00    18.00      1.00    3.91    14.7   2.3      1495
                    25.50    30.00      4.50    6.17    14.7   1.1      1491
                    45.35    80.05     34.70    2.65     9.9   1.2      1481
  incl              70.00    70.50      0.50    8.92    18.0   2.7      1468
                   119.10   119.40      0.30   27.60    31.2   4.9      1441
                   134.45   135.00      0.55    2.58    17.7   0.2      1433
                   146.00   147.50      1.50    1.59    58.2   0.3      1427
                   161.50   162.20      0.70    5.32     6.2   0.0      1419
                   163.70   164.90      1.20    2.03    78.7   0.3      1417
                   172.20   174.00      1.80    1.39     7.1   0.5      1413
                   199.30   199.70      0.40    3.82    81.4   0.2      1399
                   205.30   205.70      0.40    3.02   112.0   0.1      1396
                   211.00   213.00      2.00    1.25    15.2   0.4      1392
                   241.60   242.10      0.50    7.90     3.8   0.0      1377
                   264.70   265.80      1.10    2.62     5.3   0.0      1365
BUUY102              4.00     4.80      0.80    1.32     3.1   0.1      1378
                    54.40    54.70      0.30    2.67     1.5   0.5      1337
                   100.00   100.50      0.50    2.26     1.1   0.1      1301
                   111.40   111.70      0.30    5.41   161.0   1.2      1291
                   114.50   114.95      0.45    1.90     2.8   0.2      1288
                   120.65   121.60      0.95    2.35   121.6   0.2      1284
                   213.37   213.77      0.40    9.91    15.3   0.6      1210
                   216.00   217.00      1.00    7.06     5.9   0.2      1207
                   234.40   236.50      2.10    1.11    89.8   0.3      1192
                   242.90   243.70      0.80    7.81    15.7   0.4      1186
                   246.60   247.85      1.25    0.55    22.9   0.1      1185
                   254.08   254.38      0.30    0.19   166.0   0.0      1178
                   307.00   307.40      0.40    3.92    16.0   0.9      1136
                   405.80   406.20      0.40    0.46    78.5   0.2      1060
BUUY103              4.50     5.10      0.60    2.78     9.0   0.0      1378
                    92.00    92.50      0.50    3.84     1.4   0.2      1301
                   101.10   101.45      0.35    3.28     1.5   0.2      1293
                   103.00   104.40      1.40    1.19    14.9   0.1      1290
                   120.10   120.45      0.35    7.29   104.0   0.2      1276
                   128.25   128.65      0.40    1.52     4.5   0.0      1269
                   143.67   144.10      0.43    3.64    10.6   0.0      1256
                   208.90   209.42      0.52    1.25     0.3   0.0      1199
                   262.20   262.50      0.30    1.33     3.1   0.0      1153
                   275.50   275.90      0.40    0.51    74.4   0.4      1142
                   284.00   284.30      0.30    0.49    37.7   0.1      1134
                   303.20   303.60      0.40    3.07    31.8   1.8      1118
                   323.20   323.70      0.50    1.11     5.2   0.5      1101
                   409.30   409.70      0.40    0.89     9.3   1.7      1028
----------------------------------------------------------------------------
(i)Intercepts calculated at 1 g/t gold + 30 g/t silver cut-off grades for   
minimum intervals of 0.3 metres, with up to 30% internal dilution. True     
widths not accurately known but generally are between 30% and actual true   
width of the down-hole interval. Drill-holes designated "BUUY" were collared
from underground, whereas drill-holes designated "BUSY" were collared at    
surface.                                                                    

In eastern Yaragua, four drill-holes transected the central and northern vein families. Intercepts to the north of the current Yaragua mineral resource envelope include:

--  6.3 metres @ 7.0 g/t gold and 60 g/t silver, including 0.80 metres @
    35.2 g/t gold, 366 g/t silver and 9.3% zinc (BUUY099, from 130.80 metres
    down-hole, elevation of 1,325 metres); 
--  0.7 metres @ 22.3 g/t gold, 750 g/t silver and 4.6% zinc (BUUY099, from
    236.30 metres down-hole, elevation of 1,279 metres); 
--  0.6 metres @ 10.8 g/t gold and 117 g/t silver (BUUY100, from 209.45
    metres down-hole, elevation of 1,242 metres); and 
--  1.0 metres @ 7.1 g/t gold and 6 g/t silver (BUUY102, from 216 metres
    down-hole, elevation of 1,207 metres). 
    

These and previous drilling results add further definition to extensions of the Vein A, Vein AD and Vein D packages, the most northerly in the Yaragua vein system.

The eastern Yaragua drill-holes otherwise intersected veins with grades and thicknesses generally consistent with the current mineral resource model. Drill-hole intercepts exhibiting substantially greater apparent thicknesses and/or higher grades than in the current resource model include:

--  1.0 metres @ 34.6 g/t gold and 4 g/t silver (BUUY099, PRE vein,
    elevation of 1,376 metres); 
--  1.7 metres @ 2.1 g/t gold and 350 g/t silver, (BUUY099, VNC, elevation
    of 1,369 metres); and 
--  2.0 metres @ 12.5 g/t gold and 9 g/t silver (BUUY100, HWV, elevation of
    1,351 metres). 
    

BUUY101, drilled southwards through the central and southern Yaragua vein families into Yaragua South, encountered intercepts in the VNB, VNE and Murcielagos vein packages with apparent grade and thicknesses substantially greater than those in the current mineral resource model, including:

--  1.1 metres @ 66.7 g/t gold and 8 g/t silver (VNB package, elevation of
    1,504 metres); 
--  8.2 metres @ 2.5 g/t and 7 g/t silver (VNB package, elevation of 1,503
    metres); 
--  4.5 metres @ 6.2 g/t gold and 15 g/t silver (VNE, elevation of 1,491
    metres); and 
--  34.7 metres @ 2.7 g/t gold and 10 g/t silver, including 0.5 metres @ 8.9
    g/t gold and 18 g/t silver (MU2 and MU, elevation of 1,481 metres and
    1,468 metres, respectively). 
    

Otherwise, BUUY101 intersected veins with grades and thicknesses generally consistent with the current mineral resource model. The drill-hole terminated in the Yaragua South area with vein intersections at 1,377 metres (0.5 metres @ 7.9 g/t gold and 4 g/t silver) and also 1,365 metres above sea-level, outside of the Yaragua and Veta Sur mineral resource envelopes.

Technical Information

Vic Wall, PhD, special advisor to the Company and a qualified person for the purpose of NI 43-101, has prepared or supervised the preparation of, or approved, as applicable, the technical information contained in this press release. Dr. Wall is a geologist with 35 years' experience in the minerals mining, consulting, exploration and research industries. Following a career in Australian and North American academes, he held senior positions in a number of multinational major and junior minerals companies. A Fellow of the Australian Institute of Geoscientists, Dr. Wall is Principal of Vic Wall & Associates, a Brisbane-based consultancy that provides geoscientific services to mineral companies and government agencies, worldwide.

The Company utilizes a rigorous, industry-standard QA/QC program. Core is sawn in half with one-half shipped to a sample preparation lab in Medellin run by ALS Colombia Limited ("ALS") in Colombia. Samples are then shipped for analysis to an ALS-certified assay laboratory in Lima, Peru. The remainder of the core is stored in a secured storage facility for future assay verification. Blanks, duplicates and certified reference standards are inserted into the sample stream to monitor laboratory performance and a portion of the samples are periodically check assayed at ACME Analytical Laboratories in Vancouver, British Columbia and/or Inspectorate America Corp. in Reno, Nevada.

The Company does not receive assay results for drill-holes in sequential order; however, all assay results are publicly reported. A complete listing of assay results to date for the Buritica project is available on the Company's website at www.continentalgold.com.

For additional technical information on the Buritica project, please refer to the Company's technical report (the "Technical Report") entitled "2012 Mineral Resource Estimate of the Buritica Gold Project, Colombia" dated November 15, 2012 with an effective date of October 22, 2012, prepared by Andrew J Vigar, BAppSc Geo, FAusIMM, MSEG, and Martin Recklies, BAppSC Geo, MAIG, each of Mining Associates Pty Limited, available on SEDAR at www.sedar.com, on the OTCQX at www.otcmarkets.com and on the Company website at www.continentalgold.com.

About Continental Gold

Continental Gold Limited is an advanced-stage exploration and development company with an extensive portfolio of 100%-owned gold projects in Colombia. Spearheaded by a team with over 40 years of exploration and mining experience in Colombia, the Company is focused on advancing its high-grade Buritica gold project to production. On October 1, 2012, the Company announced an updated mineral resource estimate for the Buritica project prepared in accordance with NI 43-101 which covers two major vein systems, with combined Measured and Indicated mineral resource of 3,740,000 tonnes of mineralized material containing 1,640,000 ounces of gold grading 13.6 g/t gold, 4,600,000 ounces of silver grading 38 g/t silver, and 55,800,000 pounds of zinc grading 0.7% zinc. The combined Inferred mineral resource is 13,330,000 tonnes of mineralized material containing 3,760,000 ounces of gold grading 8.8 g/t gold, 14,200,000 ounces of silver grading 33 g/t silver and 156,500,000 pounds of zinc grading 0.5% zinc.

In August 2012, Continental achieved an important milestone, receiving formal approval for the modification of its existing Environmental Impact Assessment. The amendment allows the Company to build a six-kilometre switchback road and begin underground development by constructing a one-kilometre access tunnel. With a goal of being the newest hard rock gold producer in Colombia, Continental has commenced the construction of the access tunnel, which will initially provide access for underground drilling and eventually used for commercial production. A Phase IV drill program is underway at the Buritica project to further delineate the mineral resource and drill new target zones identified within its concessions.

An animation video providing an overview of the Buritica project and the exploration potential is available in the following link: http://bit.ly/Z6HBh9. Please note that any future production decision will be based on the positive outcome of a pre-feasibility study in 2014.

Additional details on the Buritica project and the rest of Continental's suite of gold exploration properties are available at www.continentalgold.com.

Forward-Looking Statements

This press release contains or refers to forward-looking information under Canadian securities legislation, including statements regarding the estimation of mineral resources, exploration results, potential mineralization, exploration and mine development plans, and timing of the commencement of operations, and is based on current expectations that involve a number of business risks and uncertainties. Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to convert estimated mineral resources to reserves, capital and operating costs varying significantly from estimates, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by law.

Differences in Reporting of Resource Estimates

This press release was prepared in accordance with Canadian standards, which differ in some respects from United States standards. In particular, and without limiting the generality of the foregoing, the terms "inferred mineral resources", "indicated mineral resources", "measured mineral resources" and "mineral resources" used or referenced in this press release are Canadian mining terms as defined in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects under the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") Standards on Mineral Resources and Mineral Reserves (the "CIM Standards"). The CIM Standards differ significantly from standards in the United States. While the terms "mineral resource", "measured mineral resources", "indicated mineral resources", and "inferred mineral resources" are recognized and required by Canadian regulations, they are not defined terms under standards in the United States. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian securities laws, estimates of inferred mineral resources may not form the basis of feasibility or other economic studies. Readers are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into reserves. Readers are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable. Disclosure of "contained ounces" in a resource is permitted disclosure under Canadian regulations; however, United States companies are only permitted to report mineralization that does not constitute "reserves" by standards in the United States as in place tonnage and grade without reference to unit measures. Accordingly, information regarding resources contained or referenced in this press release containing descriptions of our mineral deposits may not be comparable to similar information made public by United States companies.

To view Figure 1 - Plan View of New Drilling Highlights, Showing the Surface Projection of Veins in the October 2012 Mineral Resource Model on Geology-Topography, please visit the following link: http://media3.marketwire.com/docs/CNL_Fig1_040313.pdf.

To view Figure 2 - Long Section of the La Estera Area and Yaragua Vein System, Showing New Drilling Highlights, Near-Surface Sampling Results and Interpreted Vein Families, please visit the following link: http://media3.marketwire.com/docs/CNL_Fig2_040313.pdf.

To view Figure 3 - Long Section of the Yaragua Vein System, Showing New Drilling Highlights, Against the October 2012 Mineral Resource Envelope, please visit the following link: http://media3.marketwire.com/docs/CNL_Fig3_040313.pdf.

Contacts:
Continental Gold Limited
Nisha Hasan
Director, Investor Relations
+1.416.583.5611
[email protected]
www.continentalgold.com

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