March 6, 2020, Vancouver, BC – Alio Gold Inc. (TSX, NYSE AMERICAN: ALO) (“Alio Gold” or the “Company”), announces that it has entered into a definitive share purchase agreement (the “Agreement”) to sell its wholly-owned subsidiary, Molimentales del Noroeste S.A. de C.V. (“Molimentales”), which owns a 100% interest in the San Francisco mine (“San Francisco” or the “Mine”) and the surrounding mineral concessions to Magna Gold Corp. (TSXV: MGR, OTCQB: MGLQF) (“Magna”) (the “Transaction”). Under the terms of the Agreement, Alio Gold will receive 9,740,000 shares of Magna upon closing of the Transaction, representing approximately 19.9% of the issued and outstanding shares of Magna, and an additional $5 million in cash within twelve months of closing of the Transaction. Alio Gold and Magna expect the Transaction to close in March 2020.