Austral Gold: Amended Q1 2018 Report

Sydney, Australia--(Newsfile Corp. - May 8, 2018) - Austral Gold Limited (ASX: AGD) (TSXV: AGLD) ('the Company') is providing an amended Quarterly Activity Report for March 2018 originally lodged on 30 April 2018.

The Company advises of typographical errors on pages 1,3,4 and 14 of its March 2018 Quarterly Activity Report in relation to the cash cost and All-in Sustaining cost at its Guanaco/Amancaya and Casposo mines. The disclosure of these costs has been corrected as follows:

Page 1-the average selling prices across all operations at US$1,324 per ounce of gold

Page 3 and 14-C1 Cash Cost (US$/AuEq oz)** at Casposo Mine (100% basis) 1,427

Page 4-Cash Cost (US$/AuEq oz)** at Guanaco/Amancaya Mines 990; Casposo Mine (100% basis) 1,427

Page 4-All-in Sustaining Cost (US$/AuEq oz)# at Guanaco/Amancaya Mines 1,120; Casposo Mine (100% basis) 1,903

Neither 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.

On behalf of Austral Gold Limited:

"Andrew Bursill"

Corporate Secretary

For additional information please contact:

Jose Bordogna                                                                                                                                                      
Chief Financial Officer                                                                                                                                              
Austral Gold Limited                                                                                                                                                 
Jose.bordogna@australgold.com
+54 (11) 4323 7558

Andrew Bursill
Company Secretary
Austral Gold Limited
info@australgold.com.au
+61 (2) 9299 9690