Erdene Resource Development Corp. announced commencement of an independent Bankable Feasibility Study (“BFS”) and Front-End Engineering and Design (“FEED”) work for the Khundii Gold Project (“Project”), to be delivered by a consortium of International and Mongolian consultants. Furthermore, the Company is pleased to provide an update on recent technical, permitting and exploration initiatives. In late December 2019, Erdene launched the FEED and BFS required for permitting, project finance, and board approval to construct. The independent BFS will be prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and will incorporate an updated mine design study, FEED for the processing plant and associated infrastructure, a hydrogeological study, detailed waste management plans, and an updated economic model. The Company expects to deliver the BFS in mid-2020. These studies are being completed by Canadian and Australasian firms with Mongolian experience: Roma Group Ltd. will manage preparation of the NI 43-101 BFS Technical Report as well as the hydrology-hydrogeological and geotechnical studies, cost estimation and financial modelling workstreams. Roma is listed on the Hong Kong Stock Exchange and has significant experience leading technical studies and valuation projects for major regional and Mongolian mining and financial firms. Several Mongolian companies are providing in-country services and support for the BFS and FEED Study, including: Soil Trade LLC (“Soil Trade”), a geotechnical engineering firm, LOBO Erdene LLC (“LOBO”), an engineering and construction firm, Project Mining LLC (“Project Mining”), a mining engineering consulting firm; and Eco Trade LLC (“Eco Trade”), an environmental consulting firm. Erdene works closely with local specialists to ensure compliance with Mongolian regulations. O2 Mining Ltd. (“O2”) will assist with the BFS mine design and planning (including closure) and co-lead the FEED Study for non-process infrastructure and Mongolian construction permitting workstreams. O2 is a Hong Kong-based engineering firm with significant experience in mine development in Australasia, including the commissioning and operation of three gold and coal mines in Mongolia. Auralia Mining Consulting (“Auralia”), have been engaged to confirm final mineral reserve modelling and mine design optimization. Auralia are a Perth, Australia-based consulting firm with expertise in mine engineering and resource modelling and extensive experience with gold projects with companies such as Barrick and Gold Road Resources. 360-Global Inc. (“360-Global”) will carry out process plant design and engineering for the BFS and FEED Studies. 360-Global is a consulting firm with offices in the Philippines and Australia, specialized in full cycle design services and experienced with gold processing infrastructure globally. ATC Williams Pty Ltd, (“ATCW”) will undertake mineral waste and tailings facility design and management and mine closure planning. ATCW is based in Melbourne, Australia and has extensive experience in mineral waste and tailings transport, storage, closure and water management, including at the Oyu Tolgoi project in Mongolia. Blue Coast Research Ltd. (“BCR”) will continue to provide metallurgical testing support for the Khundii Gold Project. BCR have extensive experience with gold deposits and have carried out all of the Bayan Khundii and Altan Nar metallurgical test work to date. Sustainability East Asia, Ramboll, and Eco Trade LLC will continue to work together to deliver the Environmental and Social Impact Assessment and the Mongolian Detailed Environmental Impact Assessment for the Project. Technical Studies Projects: Roma, with support from Soil Trade, completed drilling for a geotechnical program including field based packer and load testing for rock strength testing and laboratory strength and shear strength analysis. This data will be incorporated into mine planning in First Quarter for use in the slope optimization for the proposed Bayan Khundii open pit; A metallurgical program, managed by BCR, is currently underway to optimize Cyanidation, dewatering, comminution circuit and provide data for final design and equipment sizing. Completion is expected in mid-first quarter following which the final results can be incorporated into the process plant design work being undertaken by 360 Global; and In late fourth quarter Soil Trade carried out an extensive soil engineering geotechnical drilling program. Data from the test work will be used to design foundations for process and non-process infrastructure for the Bayan Khundii mine site. As well, a detailed topographical survey was completed to aid in the site development and Mongolian permitting work.