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Pangolin Receives Positive Soil Sample Results for Malatswae Diamond Project

Pangolin Diamonds Corp. (the "Company" or "Pangolin") is pleased to announce it has received positive soil sample results for the Company's wholly-owned Malatswae Diamond Project ("Malatswae"), located 90 km southeast of the Orapa kimberlite field in Botswana.

In sample MSC DG-40, an octahedral fragment was recovered with dimensions of 1.0 x 0.7 x 0.5mm. Sample MSC DG-117 also contained an octahedral fragment, with dimensions of 1.5 x 1.0 x 0.7mm. Both diamonds have remnants of iron-oxide minerals in recesses of the stones. Four other diamonds have previously been reported from the MSC Grid area (see news release, July 1, 2015 and September 29, 2015). With the exception of one brown stone, all the diamonds reported from the MSC grid appear to be colorless. The area where the recent diamonds were recovered will be covered by detailed groundmagnetic and gravity surveys to define drill targets.

The diamonds were recovered from soil samples collected as part of a detailed grid soil sampling programme to identify the source area of the diamonds. The unscreened 100 litre samples were collected within 10 square metres of a GPS controlled sample site. This material was dry screened in the field to recover the +0.425-2.0 millimetre size fraction. The samples were then transported to Francistown, Botswana and processed through Pangolin's 1-tph DMS plant. The diamonds were recovered from sample concentrates with the aid a binocular microscope. The entire process was conducted under the scrutiny of Mr. Miracle Muusha (MSc, MAIG, SACNASP), appointed as independent QP in Botswana. The recovered minerals were then delivered to MCC Geoscience Inc. (Vancouver, B.C.) for examination and the observations reported in this news release were provided to Pangolin by MCC Geoscience. In addition to the diamonds, several kimberlite indicator minerals were recovered and are being assessed for morphology. Upon completion they will be sent to CF Minerals Research Ltd. (Kelowna, B.C.) for microprobe analysis. All results will be reported as received in the coming weeks.

Quality Control and Quality Assurances

Quality assurance procedures, security, transport, storage, and processing protocols conform to chain of custody requirements. Grains were examined at MCC Geoscience Inc. by Tom E. McCandless, Ph.D. P.Geo. (B.C.).

The technical disclosure in this news release has been reviewed and approved by Dr. Tom McCandless, Ph.D., P.Geo. (B.C), independent consultant to Pangolin and a Qualified Person as defined by National Instrument 43-101.


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