Continental Gold Limited reported operating results for the third quarter of 2013. The company announced drilling results on July 9, 2013 and August 27, 2013 for a total of 14 drill holes in the Veta Sur and La Estera vein systems. All drill holes in the Veta Sur vein system were successful in infilling the deposit, extending existing veins and encountering new veins outside of the mineral resource envelope. BUSY343 successfully intercepted mineralization 250 metres to the southwest of, and 400 metres below, the current Veta Sur mineral resource envelope. The company's development pace improved at the Higabra Valley tunnel to a rate of 2-3 metres per day. Drilling at Veta Sur continued to successfully infill the deposit, extending existing veins and encountering new veins outside of the current block model. BUUY126 extended two broad high-grade subzones in Veta Sur by encountering 28.4 metres at 20.5 g/t gold and 135 g/t silver, which exhibited Stage II visible gold-bearing mineralization. BUSY343, which was drilled from La Estera towards the north, encountered multiple mineralized intervals at deep elevations including 0.58 metres at 35.1 g/t gold and 36 g/t silver. This intercept, along with a few additional intercepts at this elevation, are up to 250 metres to the southwest of, and 400 metres below, the current mineral resource envelope at Veta Sur and represent the furthest step-out and vertical extensions of the Veta Sur system to date. Drilling of the La Estera area produced a number of mineralized intersections. BUSY337 was drilled in the western La Estera area to test for extensions of the different east-west trending vein families into this area. After intersecting the La Estrella vein package, BUSY337 intersected a base metal-poor vein package, interpreted to represent westerly and vertical extensions of the Laurel vein family. In addition, BUSY346 was drilled to the south of Veta Sur towards the north and intersected mineralization interpreted to be easterly extensions of the Laurel vein family.

Drilling for the remainder of the fiscal year will focus primarily on infill and extension drilling at the Veta Sur and Yaraguá vein systems, where the company believes they can upgrade and grow the mineral resource estimate much faster and more economically than drilling new targets.