Capitan Mining Inc. Receives Drill Permit and Commences Drilling at Penoles

Vancouver, British Columbia--(Newsfile Corp. - September 29, 2020) -  Capitan Mining Inc. (TSXV: CAPT) ("Capitan" or the "Company") is pleased to announce that it has now received the necessary approvals for its drill program at the Peñoles Project (the "Project") in Durango, Mexico. A drill rig has been mobilized and the maiden drill campaign has commenced.

The first phase of the drill program will include 6,000 meters of reverse circulation drilling, focusing primarily on step-out holes on the gold mineralization at the Capitan Hill gold zone to test the expansion of the current inferred resource. Layne de Mexico has been contracted to perform the drill program with an expected 50% of the overall program to be completed by year end. The drill program will include step-out holes targeting the down-dip and on strike extensions to both to the northwest and to the southeast where the mineralization remains open.

Capitan's CEO, Alberto Orozco, stated: "I am very excited to commence drilling at the Peñoles Project, and to be doing it as scheduled despite the challenges faced by our industry pertaining to Covid. We have a great technical team at Capitan, with significant experience in heap leach projects in Durango, Mexico. I am also pleased to have Layne de Mexico contracted as our driller at the Peñoles Project. We have worked well with them on numerous past projects and they have always performed. This is a very exciting time for the Capitan management team and its shareholders, as we look forward to advancing the Peñoles Project."

About Capitan Mining Inc.:

Capitan Mining is a well-funded junior exploration company focused on its 100% owned gold and silver Peñoles Project in Durango, Mexico. The company is led by a management team that has successfully advanced and developed several heap leach operations in Mexico over the past 16 years. More information for the Company can be found at www.capitanmining.com.

ON BEHALF OF CAPITAN MINING INC.

"Alberto Orozco"

Alberto Orozco, CEO

For additional information contact:

Alberto Orozco
CEO
Capitan Mining Inc.
info@capitanmining.com
Phone: (778) 327-6671
Fax: (778) 327-6675
Web: www.capitanmining.com

Raffi Elmajian
Corporate Communications
Capitan Mining Inc.
info@capitanmining.com
Phone: (604) 358-2601
Web: www.capitanmining.com

Certain statements in this press release may be considered forward-looking information. These statements can be identified by the use of forward-looking terminology (e.g., "expect"," estimates", "intends", "anticipates", "believes", "plans"). Such information involves known and unknown risks -- including the availability of funds, the results of financing and exploration activities, the interpretation of exploration results and other geological data, or unanticipated costs and expenses and other risks identified by Capitan in its public securities filings that may cause actual events to differ materially from current expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.

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.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/64812

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