Altamira Discovers Two New High-Grade Structures with up to 1 Meter @ 106.31 g/t Gold at the Cajueiro Project, Brazil

Vancouver, October 17, 2018 - Altamira Gold Corp. (TSXV: ALTA) (FSE: T6UP) (OTC Pink: EQTRF), ("Altamira" or the "Company") is pleased to announce that it has discovered an easterly extension to the previously recognised Baldo 2 structure and two new previously unmapped high-grade gold bearing structures to the south of the Baldo target on the northern flank of the Matrincha target within the Cajueiro project located in the north of the Alta Floresta Belt, in the states of Mato Grosso and Para, Brazil.

Highlights are as follows: -

• Trenches TCBL-36 and TCBL-33 at Matrincha cut 5m @ 5.31 g/t gold (incl. 1m @ 24.0 g/t gold) and 2m @ 5.03 g/t gold + 1m @ 8.82g/t gold on a previously unknown E-W trending structure immediately south of the Baldo East target area, which has been named Matrincha 1. The total strike length of the Matrincha 1 structure thus far is 430m and it is open to the west and east.

• A second E-W trending structure was identified 75m south of Matrincha 1 and returned 3.6m @ 30.19 g/t gold (including 1m @ 106.31 g/t gold) in trench TCBL-33 and 1m @ 18.9 g/t gold in trench TCBL-36. The total strike length of the Matrincha 2 zone to date is 445m and it is similarly open both to the west and the east.

• 4m @ 8.42g/t gold was returned in Trench TCBL-38 from the Baldo East 2 zone and was excavated 100m west of TCBL-28 which previously cut 29m @ 3.03 g/t gold including 7m @ 5.42 g/t gold and 4m @ 8.07 g/t gold. The Baldo 2 structure is now known to extend 950m along strike and remains open to the east and west

Matrincha

The Matrincha area at Cajueiro is located approximately 1km SSW of the Baldo East area (Figure 1) and is an important gold-in-soil anomaly where high-grade rock samples have been previously obtained from limited surface exposures. Limited historic drilling on this target has previously defined a small inferred resource of 0.16Mt @ 2.72g/t gold (for 14,000oz) in oxides and 1.6Mt @ 0.80g/t gold (for 41,000oz) in sulphides. The most recent trenching was developed approximately 300m north of the resource.

Figure 1 — Map of central part of Cajuiero area showing location of Baldo and Matrincha target areas and surface trenching program

To view an enhanced version of Figure 1, please visit:
http://orders.newsfilecorp.com/files/4500/40410_a1539722393540_49.jpg

Trenches TCBL 36 and TCBL 33 were developed 275m apart in a N-S direction (Figure 2) and were aimed at identifying additional high grade structures similar to those identified to the north at Baldo East. Trench TCBL-33 cut 1m @ 8.82g/t gold + 2m @ 5.03g/t gold on a previously unknown structure (now called Matrincha 1) and the follow up trench TCBL-36 which was developed 275m to the west (Figure 2), cut the same structure and returned 5m @ 5.31 g/t gold (incl. 1m @ 24.0 g/t gold). In addition, there is evidence of an additional mineralized structure in TCBL-36 which cut another structure 100m to the north and returned 2m @ 4.7g/t gold. The total strike length of the Matrincha 1 structure thus far is 430m and it is open to the west and east.

A second parallel zone was cut in both trenches TCBL 36 and TCBL 33 (Figure 2) and returned 1m @ 18.9g/t gold in trench TCBL-36 and 3.6m @ 30.19g/t gold incl. 1m @ 106.31g/t gold in TCBL-33 located 275m to the east. The same structure was similarly cut in trench TCBL-34 which is located 150m east of TCBL-33 and returned 3m @ 2.99g/t gold. The total strike length of the Matrincha 2 zone to date is 445m and it is similarly open both to the west and the east.

Figure 2 — Map of Matrincha target area showing location of recently developed trenches and location of the Matrincha 1 and 2 zones

To view an enhanced version of Figure 2, please visit:
http://orders.newsfilecorp.com/files/4500/40410_a1539722393853_17.jpg

Baldo East

Four additional trenches were developed within the Baldo East area in an effort to further extend the Baldo East 1 and Baldo East 2 structures (Figure 3).

Three trenches were developed on the Baldo East 2 structure TCBL-30, TCBL-31 and TCBL-38 (Figure 3). Trench TCBL-38 returned 4m @ 8.42g/t gold and was excavated 100m west of TCBL-28 which previously cut 29m @ 3.03 g/t gold including 7m @ 5.42 g/t gold and 4m @ 8.07 g/t gold. Trenches TCBL-30 and TCBL-31 cut 4m @ 0.87g/t gold and 2m @ 1.35g/t gold respectively and were 200m and 400m step outs from trench TCBL-28 which represents the most easterly trench previously developed on the Baldo East 2 structure. The Baldo 2 structure is now known to extend 950m along strike and remains open to the east and west

Additionally, trench TCBL-32 was developed on the eastern extension of Baldo East 1 and failed to cut the mineralized zone which appears to be cut off by a WNW-trending mafic dyke which may have displaced the mineralized zone (Figure 3). The current strike length of Baldo East 1 is 1,022m and previous trench results include 6m @ 21.74 g/t gold, 3m @ 5.83g/t gold and 1m @13.33g/t gold. A re-interpretation of the airborne magnetic data is expected to provide information on the possible eastern extension beyond the mafic dyke.

No further work has been done on the Baldo East 3 structure which is located 200m south of Baldo East 2 (Figure 3) where trench TCBL-25 previously cut 2m @ 8.30g/t gold. The Baldo East 4 and 5 structures form part of the existing Baldo resource which comprises 0.31Mt @ 3.03g/t gold (for 30,000oz) in oxides and 1.32Mt @ 0.78g/t gold (for 33,000oz) in sulphides.

Figure 3 — Map of Baldo East target area showing location of recently developed trenches and location of the Baldo East zones 1-5.

To view an enhanced version of Figure 3, please visit:
http://orders.newsfilecorp.com/files/4500/40410_a1539722394087_69.jpg

Commenting on these results, Mike Bennett, President & CEO stated "the discovery of two new high-grade mineralized zones in the Baldo - Matrincha area of the Cajueiro project now brings the total number of sub-parallel east-west trending high grade structures to seven, with a cumulative strike length of more than 4km. We are delighted by the progress to date which suggests a much higher average grade to the Cajueiro deposit and leads us to believe that similar east-west mineralized structures will be found in the other target areas within the project area."

The company follows industry standard procedures with a quality assurance/quality control (QA/QC) program. 2 Blank, 2 duplicate and 2 standard samples were inserted in each batch of 40 samples. Sample preparation and analysis was done at SGS GEOSOL in Vespasiano, Minas Gerais State, Brazil. Analysis is performed by fire assay with 50g fusion and Atomic Absorption Spectroscopy.

About Altamira Gold Corp.

The Company is focused on the exploration and development of gold deposits within western central Brazil. The Company holds 12 projects comprising approximately 200,000 hectares, within the prolific Juruena gold belt which historically produced an estimated 7 to 10Moz of placer gold. The Company's advanced Cajueiro project has an NI 43-101 compliant resources of 8.64Mt @ 0.78 g/t Au (for 214,000oz) in the Indicated Resource category and 9.53Mt @ 0.66 g/t Au (for 204,000oz) in the Inferred Resource category and an additional 1.37Mt @ 1.61 g/t Au in oxides (for 79,000oz in saprolite) in the Inferred Resource category.

On Behalf of the Board of Directors,

ALTAMIRA GOLD CORP.

"Michael Bennett"

Michael Bennett
President & CEO

Tel: 604.676.5660
Toll-Free: 1-833-606-6271
info@altamiragold.com

Guillermo Hughes, P. Geo., a consultant to the Company as well as a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.

Neither TSX Venture Exchange nor it Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Except as required by law, we do not undertake to update these forward looking statements.