Erdene Resource Development Corp.'s fourth quarter of 2015 drill program at the Bayan Khundii gold discovery in southwest Mongolia returned multiple, high-grade intersections over a 475 m area, including; 7 m of 27.5 g/t gold, including 1 m of 187 g/t gold (hole BKD-01); 35 m of 5.7 g/t gold from surface, including 12 m of 16.0 g/t gold (hole BKD-10); and 26 m of 6 g/t gold, including 15 m of 9.9 g/t gold (hole BKD-09). Visible gold was observed in 10 of the 15 drill holes, with no significant sulphide material present. All mineralized zones were intersected within 50 m of surface and remain open along strike and at depth.

Additional exploration of this high-grade gold discovery is in the planning stage and is expected to include a second phase of diamond drilling and metallurgical testing during the first half of 2016. Altan Nar Gold-Polymetallic Project (100% Erdene), Erdene's third quarter of 2015 drilling, trenching and metallurgical program at its Altan Nar gold-polymetallic project, 20 km northwest of Bayan Khundii, was focused on the Discovery Zone (DZ) and Union North (UN) mineral resource areas. Infill drilling at DZ supported continuity of a high-grade mineralized zone with 9 m of 7.3 g/t Au, 25 g/t Ag, 1.20% Pb and 1.65% Zn within 50 m of surface (hole TND-92).

Infill drilling at UN returned multiple mineralized zones including 8.9 m of 5.0 g/t Au, 17 g/t Ag, 1.49% Pb and 0.28% Zn within 36 m of surface (hole TND-81), while trenching at UN extended the mineralized zone by approximately 200 m to the east with a step-out trench (trench ANT-21) that returned 28.5 m of 1.9 g/t Au, 4.3 g/t Ag, 0.78% Pb and 0.35% Zn. Metallurgical test work at DZ North returned high gold recoveries of up to 88% from leaching. Going forward, work at Altan Nar is expected to include additional metallurgical process test work, evaluation of the mining, engineering, transportation, and marketing options, exploration and development related programs, and work required for a mining license application.