China Goldcorp Provides Corporate Update

TORONTO, ONTARIO--(Marketwired - July 25, 2016) - China Goldcorp Ltd. (NEX:CAU.H) ("China Goldcorp" or the "Company") is pleased to provide the following corporate update.

Maurice Colson has resigned as a director of the Company, but remains in his executive officer roles. Gordon Campbell has been appointed to the Company's Board of Directors to fill the vacancy created by Mr. Colson's resignation.

China Goldcorp also confirms that it has terminated the share exchange agreement dated December 18, 2013 with, among others, International Explorers & Prospectors Inc. and Explorers Alliance Inc., which was to serve as the Company's "Qualifying Transaction" as defined by TSX Venture Exchange ("TSXV") Policy 2.4.

The Company further reports that it has been advised that it is not meeting the NEX and the TSXV requirements for distribution. Accordingly, the NEX and TSXV have placed the Company on notice for distribution requirements, which the Company must remedy as a condition of completing any future Qualifying Transaction.

Additionally, the Company would like to advise that it has scheduled its annual meeting of shareholders (the "Meeting") for 9:00 a.m. on July 28, 2016. The Meeting will be held at 77 King Street West, Suite 400, Toronto.

The Company has applied for a reinstatement to trading and NEX / TSXV has advised that soon after the dissemination of this news release that they will be issuing a bulletin reinstating the trading of the Company.

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.