Alamos Gold Reports Additional High-Grade Intercepts at Island Gold Including Best Surface Directional Intersection to Date within Western Extension

TORONTO, Jan. 10, 2019 - Alamos Gold Inc. (TSX:AGI; NYSE:AGI) (“Alamos” or the “Company”) today reported new results from surface and underground exploration drilling at the Island Gold Mine. Drilling throughout 2018, including new intercepts from the fourth quarter, continues to extend high-grade gold mineralization across each of the Main, Western and Eastern Extensions. All reported drill widths are true width of the mineralized zones, unless otherwise stated.

• Western Extension: high-grade mineralization extended 200 metres (“m”) down-plunge from existing Inferred Mineral Resources with the best surface directional intersection to date in Western extension (MH16-03). New highlights include:
  
  
  • 152.07 g/t Au (35.74 g/t cut) over 5.00 m (MH16-03);
  • 12.98 g/t Au (12.98 g/t cut) over 6.35 m; and
  • 9.64 g/t Au (9.64 g/t cut) over 4.15 m.
    
• Main Extension: high-grade mineralization extended 90 m above the nearest previously reported intersection (MH13) with another one of the best surface directional intersections to date (MH17-01). This has extended high-grade mineralization up-plunge and closed the gap with Inferred Mineral Resources in the Eastern Extension. High grade mineralization has also been extended nearly 1,000 m east of current mine workings and remains open to the east and down-plunge. New highlights include:
  
  
  • 56.60 g/t Au (44.03 g/t cut) over 4.81 m (MH17-01);
  • 45.14 g/t Au (34.73 g/t cut) over 3.14 m; and
  • 12.02 g/t Au (12.02 g/t Au cut) over 3.68 m.

Note: Drillhole composite intervals reported as “cut” may include higher grade samples which have been cut to 225 g/t Au for Main and Extension 1 areas, and 100 g/t Au for Extension 2 Area.

“Island Gold has been a tremendous success story, both in terms of the growth of the operation and its mineral reserve and resource base. With excellent ongoing exploration success including several of the best surface directional holes ever coming in the latter part of 2018, we see strong potential for this growth to continue,” said John A. McCluskey, President and Chief Executive Officer.

2018 Drilling Program – Island Gold Mine

The focus of the 2018 exploration drilling program was to expand the down-plunge and lateral extensions of the Island Gold deposit with the objective of adding new near mine Mineral Resources across the two-kilometre long Island Gold Main Zone (Figure 1).

Drilling completed in 2018 was successful in extending high grade gold mineralization across all three areas of focus, including the Main, Western and Eastern Extensions. This has already translated into significant growth in both Mineral Reserves and Resources as detailed in the mid-year (June 30, 2018) update (see press release dated September 5, 2018). Since the acquisition of Island Gold in November 2017, Mineral Reserves have increased 28%, or 207,000 ounces, net of mining depletion, and Mineral Reserve grades have increased 17% to 10.69 g/t Au. Measured and Indicated Mineral Resources have also increased 142%, or 130,000 ounces, and Inferred Mineral Resources have increased 18%, or 184,000 ounces.

A total of 140,896 m of drilling in 719 holes was completed in 2018, including 75,441 m since the mid-year Mineral Reserve and Resource update. Drilling in 2018 included 48,942 m of surface directional exploration drilling, 8,783 m of regional exploration drilling, 25,378 m of underground exploration drilling, 20,752 m of underground definition drilling and 37,041 m of underground delineation drilling. New highlight intercepts since the most recent Island Gold exploration press release (November 5, 2018) can be found in Figures 1 to 4 and Tables 1 to 3 at the end of this release.

A significant portion of the surface exploration drilling in the second half of 2018 focused on significant step-out holes and is too broadly spaced to define Inferred Mineral Resources. These areas will be infilled during 2019.

Surface and Underground Exploration Drilling

Western Extension

Surface drilling in the Western Extension area (Figure 3) ramped up in the second half of 2018 with only two holes completed during the first half of the year. Several notable intersections completed since the mid-year Mineral Reserve and Resource update have continued to extend high-grade mineralization laterally and down-plunge from existing Inferred Mineral Resources. Highlights from the new drill results include (Table 1):

• 152.07 Au (35.74 g/t cut) over 5.00 m (MH16-03);
• 12.98 g/t Au (12.98 g/t cut) over 6.35 m (MH16-01); and
• 9.64 g/t Au (9.64 g/t cut) over 4.15 m (MH16-02).

Drill holes MH16-01, MH16-02, and MH16-03 all intersected and extended high-grade gold mineralization up to 200 m down-plunge from a previously defined Inferred Mineral Resource block. Hole MH16-03 (152.07 Au (35.74 g/t cut) over 5.00 m) is significant as the deepest and best surface directional intersection drilled to date in the Western Extension.

Drilling will continue in 2019 in the Western Extension area using 75 to 100 m spaced step-out drilling with the objective of expanding the high-grade mineralization where it remains open both laterally and down-plunge.

Main Extension

Surface directional drilling continues to target the lateral and down-plunge continuation of gold mineralization below existing Mineral Reserves and outside of Inferred Mineral Resources. As reported in the mid-year 2018 Mineral Reserve and Resource update a total of 390,000 ounces of Inferred Mineral Resources were added within the Main Extension area.

Drilling since the mid-year 2018 update has been successful in further extending gold mineralization with drill hole spacing ranging from 75 to 100 m (Figure 2). Underground exploration drilling also commenced in the fourth quarter of 2018 from drilling platforms established on the 840 level. Gold mineralization has been extended nearly one kilometre to the east of existing mine workings and this east-plunging high-grade ore shoot remains open both laterally and down-plunge. New highlights from the new surface and underground drill results include (Tables 1 and 2):

• 56.60 g/t Au (44.03 g/t cut) over 4.81 m (MH17-01);
• 45.14 g/t Au (34.73 g/t cut) over 3.14 m (MH12-4);
• 11.11 g/t Au (11.11 g/t cut) over 2.98 m (MH13-1);
• 12.02 g/t Au (12.02 g/t cut) over 3.68 m (MH17-02); and
• 8.35 g/t Au (8.35 g/t cut) over 3.62 m (840-542-58).

Drill hole MH17-01 (56.60 g/t Au (44.03 g/t cut) over 4.81 m), one of the best surface directional intersections to date, extended high-grade gold mineralization 90 m above the nearest previously drilled intercept, MH13 (118.58 g/t Au (39.99 g/t cut) over 6.66 m). MH13 was recently reported in the November 5, 2018 exploration update as the best surface directional intercept drilled to date. MH17-01 and MH17-02 (12.02 g/t Au (12.02 g/t Au cut) over 3.68 m) are significant in that they have extended high-grade mineralization up-plunge towards the Eastern Extension and closed the gap with existing Inferred Mineral Resources to approximately 500 m. Very limited drilling has been completed to date in this area between the Eastern and Main Extensions. A focus of the 2019 program will be testing the potential continuity of high-grade mineralization between these two areas.

Drill hole MH12-4 (45.14 g/t Au (34.73 g/t cut) over 3.14 m) continued to expand mineralization vertically below a currently known Inferred Mineral Resource block containing 372,600 ounces grading 10.22 g/t Au. This builds confidence upon the recently reported intersections, MH12-1 (15.08 g/t Au (15.08 g/t cut) over 2.66 m) and MH12-2 (21.50 g/t Au (13.70 g/t cut) over 7.80 m), which are located 130 m and 40 m to the east, respectively (see press release November 5, 2018).

The 2019 exploration program will focus on further extending high-grade mineralization with the objective of defining additional Mineral Resources in this area. Four diamond drill rigs will continue to be active in the Main Extension target area.

Eastern Extension

As reported in the press release dated November 5, 2018 underground exploration drilling from the 620-level exploration drift continued to intersect high-grade mineralization at depth and to the east including hole 620-605-06 (46.13 g/t Au (44.17 g/t cut) over 2.83 m) which was the eastern most hole drilled from the 620-level. Based on the positive drill results, the decision was made to continue to extend the 620-level exploration drift 150 m further to the east to establish drill platforms for continued underground exploration drilling in 2019.

Underground exploration diamond drilling from the 620 level was targeting an area between two resources blocks. New highlights include hole 620-582-11 which intersected 10.65 g/t Au (cut) over 2.94 m and hole 620-582-08 which intersected 4.11 g/t Au (cut) over 4.97 m. This will allow for these two mineral resources blocks to be connected adding to mineral resources in this area (Figure 4).

In addition, 75 m to 100 m spaced step-out directional drilling is planned from surface in 2019 to test the area east of the underground exploration drift between the 850 and 1150 m vertical depths and previously reported high-grade intersections approximately 350 m further to the east (Figure 4).

Underground Delineation Drilling

Underground delineation drilling is also being carried out from the 450, 620, 730, and 840 levels with the focus on converting Inferred Mineral Resources to Indicated Mineral Resources.

New highlight drill intercepts include (Table 3):

• 45.64 g/t Au (45.64 g/t cut) over 2.09 m (450-467-66);
• 40.79 g/t Au (40.79 g/t cut) over 2.21 m (450-467-72);
• 33.45 g/t Au (33.45 g/t cut) over 2.49 m (450-467-80);
• 34.74 g/t Au (29.07 g/t cut) over 2.67 m (620-582-04);
• 29.89 g/t Au (18.48 g/t cut) over 3.81 m (620-582-12);
• 25.52 g/t Au (22.94 g/t cut) over 3.53 m (620-582-13);
• 17.74 g/t Au (17.74 g/t cut) over 3.00 m (840-542-27); and
• 47.61 g/t Au (33.33 g/t cut) over 2.24 m (840-542-52).

The results from the infill delineation drilling within existing Inferred Mineral Resource blocks continue to confirm the continuity of the high-grade gold mineralization and are expected to support the conversion of the Mineral Resources to Mineral Reserves in these areas.

Other Zones

The Island Gold Deposit consists of a number of subparallel mineralized zones, with the majority of Mineral Reserves and Resources being defined in the C Zone and E1E Zones which constitutes the main production horizons at the Island Gold mine. Highlights of new intersections in parallel zones and zones in which the lateral continuity is not yet established (“Unknown Zone”) include (reported composite intervals are core lengths):

• 51.80 g/t Au (37.80 g/t cut) over 7.10 m (MH14-2);
• 26.58 g/t Au (20.74 g/t cut) over 4.60 m (MH17-01);
• 11.98 g/t Au (10.01 g/t cut) over 5.85 m (MH17-01);
• 15.14 g/t Au (15.14 g/t cut) over 3.50 m (MH13); and
• 36.29 g/t Au (36.29 g/t cut) over 1.70 m (MH14-2).

Additional drilling will be required to further evaluate these high-grade intersections and their potential in both the footwall and hanging wall of the main C and E1E Zones.

Surface Regional Exploration Drilling

8,783 m of a planned 12,000 m regional exploration drilling program was completed between September and December to drill test targets along the Goudreau Deformation Zone to the west of the main Island Gold Mine deposit and at the Kremzar Gold Deposit.

New drill hole AR-390-01 intersected 7.03 g/t Au (7.03 g/t cut) over 5.50 m in a previously unknown gold-bearing structure with similar alteration and mineralization associated with gold mineralization at the Island Gold Mine within the Goudreau Deformation Zone. This zone is located approximately 600 m west of the existing Island Gold Mine Reserves and Resources blocks.

Drilling at the Kremzar Gold Deposit targeted below and laterally from a previously reported high-grade intercept of 9.71 g/t Au over 5.95 m. Drilling was successful in intersecting significant deformation zones with strong biotite alteration and quartz veining, which returned anomalous gold values such as 2.15 g/t Au over 5.15 m (13.90 m core length) in hole KZ-18-02 and 0.6 g/t Au over 3.34 m (8.50 m core length), warranting further exploration drilling. Assays are pending for two other Kremzar drill holes.

Qualified Persons

Chris Bostwick, FAusIMM, Alamos Gold’s Vice President, Technical Services, has reviewed and approved the scientific and technical information contained in this news release. Chris Bostwick is a Qualified Person within the meaning of Canadian Securities Administrator’s National Instrument 43-101 (“NI 43-101”).

Exploration programs at the Island Gold Mine are directed by Raynald Vincent, P.Eng., M.G.P., Chief Geologist at the Island Gold Mine and a Qualified Person within the meaning of NI 43-101.

Quality Control

Assays for the delineation and exploration drilling were completed at LabExpert in Rouyn-Noranda, Quebec. The Corporation inserts at regular intervals quality control (QC) samples (blanks and reference materials) to monitor laboratory performance. Cross check assays are done on a regular basis in a second accredited laboratory. The Quality Assurance / Quality Control procedures are more completely described in the Technical Report filed on Sedar by Richmont Mines, July 13, 2017.

Upcoming Catalysts and News Flow

• January 14, 2019 – Q4 2018 Production and 2019 Guidance
• January 15, 2019 – Investor Day
• Q1 2019 – Q4 2018 Earnings and 2018 Mineral Reserve and Resource Update
• Q2 2019 – Lynn Lake Optimization Study
• H1 2019 – End of 5% NSR Royalty at Mulatos
• Q2 2019 – Island Gold Exploration Update
• Q2 2019 – La Yaqui Grande EIA Approval

About Alamos

Alamos is a Canadian-based intermediate gold producer with diversified production from four operating mines in North America. This includes the Young-Davidson and Island Gold mines in northern Ontario, Canada and the Mulatos and El Chanate mines in Sonora State, Mexico. Additionally, the Company has a significant portfolio of development stage projects in Canada, Mexico, Turkey, and the United States. Alamos employs more than 1,700 people and is committed to the highest standards of sustainable development. The Company’s shares are traded on the TSX and NYSE under the symbol “AGI”.

FOR FURTHER INFORMATION, PLEASE CONTACT:

All amounts are in United States dollars, unless otherwise stated.

The TSX and NYSE have not reviewed and do not accept responsibility for the adequacy or accuracy of this release.

Cautionary Note

This News Release includes certain statements that constitute forward-looking information within the meaning of applicable securities laws "forward-looking statements". All statements in this news release, other than statements of historical fact, which address events, results, outcomes or developments that Alamos expects to occur are “forward-looking statements”. Forward-looking statements are generally, but not always, identified by the use of forward-looking terminology such as "expects", is expected", "anticipates", "plans" or “is planned”, “trends”, "estimates", "intends" or “potential” or variations of such words and phrases and similar expressions or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved or the negative connotation of such terms. Forward-looking statements in this news release include the statements with respect to planned exploration programs, costs and expenditures, changes in Mineral Resources and conversion of Mineral Resources to Proven and Probable Mineral Reserves, and other information that is based on forecasts and projections of future operational, geological or financial results, estimates of amounts not yet determinable and assumptions of management.

Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of Mineral Resource. A Mineral Resource that is classified as "Inferred" or "Indicated" has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an "Indicated Mineral Resource" or "Inferred Mineral Resource" will ever be upgraded to a higher category of Mineral Resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into Proven and Probable Mineral Reserves.

The risks and uncertainties that may cause actual results to differ materially from Alamos' expectations include, among others, risks related to obtaining the permits required to carry out planned exploration or development work, the actual results of current exploration activities, conclusions of economic and geological evaluations and changes in project parameters as plans continue to be refined, changes to the price of gold, as well as those factors discussed in the section entitled "Risk Factors" in Alamos' Annual Information Form and other disclosures by Alamos and its predecessors available on the SEDAR website at www.sedar.com or on EDGAR at www.sec.gov. Although Alamos has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned not to put undue reliance on forward-looking statements which are not guarantees of future events, and speak only as of the date made. All of the forward-looking statements made in this press release are qualified by these cautionary statements.

Cautionary Note to U.S. Investors – Mineral Reserve and Resource Estimates

All Mineral Resource and Reserve estimates included in this news release or documents referenced in this news release have been prepared in accordance with Canadian National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") and the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") - CIM Definition Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council, as amended (the "CIM Standards"). NI 43-101 is a rule developed by the Canadian Securities Administrators, which established standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. The terms "Mineral Reserve", "Proven Mineral Reserve" and "Probable Mineral Reserve" are Canadian mining terms as defined in accordance with NI 43-101 and the CIM Standards. These definitions differ materially from the definitions in SEC Industry Guide 7 ("SEC Industry Guide 7") under the United States Securities Act of 1933, as amended, and the Exchange Act. Under SEC Industry Guide 7 standards, a "final" or "bankable" feasibility study is required to report reserves, the three-year historical average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.

In addition, the terms "Mineral Resource", "Measured Mineral Resource", "Indicated Mineral Resource" and "Inferred Mineral Resource" are defined in and required to be disclosed by NI 43-101 and the CIM Standards; however, these terms are not defined terms under SEC Industry Guide 7 and are normally not permitted to be used in reports and registration statements filed with the U.S. Securities and Exchange Commission (the "SEC"). Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into Mineral Reserves. "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 rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or pre-feasibility studies, except in very limited circumstances. Investors are 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 Mineral Resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in place tonnage and grade without reference to unit measures.

Table 1: Island Gold – Previously Unreleased Select Composite Intervals from Surface Exploration Drilling

Composite intervals greater than 3 g/t Au weighted average, capping values:
Main Island and Extension 1 areas @ 225 g/t Au; Extension 2 Area @ 100 g/t Au.
Target area: Main Extension (Main Ext), Western Extension (Western Ext), Eastern Extension (Eastern Ext), Western Lateral.

Note: Unknown zone corresponds to gold intercepts outside known ore zones and for which continuity is not yet established and therefore true width has not been calculated.

Table 2: Island Gold – Previously Unreleased Select Composite Intervals from Underground Exploration Drilling

Composite intervals greater than 3 g/t Au weighted average, capping values:
Main Island and Extension 1 areas @ 225 g/t Au; Extension 2 Area @ 100 g/t Au.
Target area: Main Extension (Main Ext), Western Extension (Western Ext), Eastern Extension (Eastern Ext), Western Lateral.

Table 3: Island Gold – Previously Unreleased Select Composite Intervals from Underground Delineation Drilling.

Composite intervals greater than 3 g/t Au weighted average, capping values:
Main Island and Extension 1 areas @ 225 g/t Au; Extension 2 Area @ 100 g/t Au.
Target area: Main, Main Extension (Main Ext), Western Extension (Western Ext), Eastern Extension (Eastern Ext), Western Lateral.

Note: Unknown zone corresponds to gold intercepts outside known ore zones and for which continuity is not yet established and therefore true width has not been calculated.

Table 4: Surface exploration drill holes; azimuth, dip, drilled length, and collar location at surface (UTM NAD83).

Note: UTM mine surface elevation 382 m

Table 5: Underground drill holes; azimuth, dip, drilled length, and collar location (UTM NAD83)

Note: UTM mine surface elevation 382 m

Figure 1: Island Gold Mine Main Zone Longitudinal – 2018 Drilling Target Areas

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Figure 2: Island Gold Mine Main Zone Longitudinal – Main Extension

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Figure 3: Island Gold Mine Main Zone Longitudinal – Western Extension

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Figure 4: Island Gold Mine Main Zone Longitudinal – Eastern Extension

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