Damara and Helio merge Namibian interests into Osino Resources Corp.

May 31, 2016                                                                                          TSX-V: DMR

DAMARA GOLD CORP. (TSX-V:DMR) (“Damara” or the “Company”), is pleased to report that the transaction previously announced on February 18, 2016, whereby Helio Resources Corp. (TSX-V:HRC) (“Helio”), Damara and Osino Resources Corp. (“Osino”) (a private company)  agreed to merge their respective interests in Namibia, has been completed.

Damara for its expenditures to date received 22% of the issued shares in Osino Resources Corp.

Helio’s Namibian interest comprised two exploration licenses, mainly EPL 3738 (Wilhelmstal) and EPL 3739 (Otjimbojo) which together are referred to as the Damara Gold Project (“DGP”).

Helio and Damara have agreed to rescind their earn in agreement (see news release dated March 27, 2014), and have transferred their respective interests in DGP to Osino.

Larry Nagy, C.E.O. stated “we are pleased to have partnered with Osino to advance the Damara Gold Project. Osino’s management have a proven track record that includes the exploration and development of the Otjikoto gold deposit and selling the Otjikoto Gold Mine to B2Gold. This agreement allows Damara to focus on identifying, exploring, and developing projects in North America. 

About Damara
Damara Gold Corp. is a TSX Venture listed Canadian public company with a Board of Directors seasoned in the mineral exploration industry with extensive and successful international experience with a focus on identifying and acquiring prospective and under-explored gold properties worldwide.

ON BEHALF OF THE BOARD OF DIRECTORS OF DAMARA
“Larry Nagy”
Larry Nagy, Chief Executive Officer

For additional information visit Damara’s website at www.damaragoldcorp.com or contact:
Damara Gold Corp.
Larry Nagy
Chief Executive Officer or
Ph: (250-768-1168)
NR: 16-08

Neither the TSX Venture Exchange nor its 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.

Statements Regarding Forward-Looking Information

Certain statements contained in this news release may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information is identified by words such as “estimates”, “intends”, “expects”, “believes”, “may”, “will” and include, without limitation, statements regarding the company’s plan of business operations (including plans for progressing assets), estimates regarding mineral resources, projections regarding mineralization and projected expenditures. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty of mineral resource estimates, equipment and supply risks, title disputes, regulatory risks and environmental concerns. Most of these factors are outside the control of the company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.