Mr. Darin Wagner reports

BALMORAL RESOURCES LTD. (TSX:BAR) RESUMES DRILLING ON DETOUR TREND PROJECT

Drilling has resumed on Balmoral Resources Ltd.'s Detour trend project in Quebec. The initial focus of drilling will be on testing a number of recent gold/base metal discoveries and targets on the company's wholly owned Grasset and Fenelon properties. A second drill will begin turning on the company's Martiniere property, home to the Martiniere West and Bug Lake gold trends, as soon as weather conditions and staffing permit.

Grasset and Fenelon

Balmoral's H3 nickel-copper-platinum-group-element deposit occurs within the southern portion of the Grasset ultramafic complex on the Grasset property. An initial resource estimate for the H3 deposit remains on track for delivery during the first quarter of 2016. Additional testing of the H3 deposit will await the results of continuing resource modelling. Drilling of strongly deformed volcanic rocks in the hangingwall and footwall to the H3 deposit has intersected several occurrences of anomalous gold mineralization, with individual intercepts ranging between one and 18 grams per tonne gold. The deformation and gold mineralization appear to be related to the movements along the Sunday Lake deformation zone which hosts the large Detour gold deposit in Ontario. At least one of these occurrences will be targeted during the winter drill program.

The adjacent Fenelon property hosts the Fenelon gold deposit, numerous nickel-copper-PGE discoveries within the GUC and a new 216 g/t (6.30 ounces per ton) gold discovery (see news release dated May 26, 2015). The latter was intersected at the base of the GUC, along with anomalous nickel-copper-PGE mineralization, over a width of 0.72 metre. These discoveries extend for up to eight kilometres northwest from the H3 deposit. Drilling will target expansions to these recent discoveries and, budget permitting, new gold targets spatially related to the Sunday Lake deformation zone.

Martiniere

The Martiniere West and Bug Lake gold trends on the Martiniere property, both of which can be traced for over 1,000 metres along strike, host numerous individual zones of high-grade gold mineralization (defined as those intercepts/zones of greater than three g/t gold, including individual intercepts as high as 1,138 g/t gold over 4.87 metres from the Bug Lake footwall zone, as previously reported by the company) within broader haloes of lower-grade mineralization. The property also hosts a number of other near-surface high-grade gold discoveries which provide targets for continuing exploration, and the recently discovered auriferous Lac du Doigt deformation zone.

The warm winter weather in Eastern Canada has delayed winter road construction into the Martiniere area, which is now anticipated to get under way later this week. This would allow for drilling to begin at Martiniere toward the end of the month. The company is also considering surface geophysical work on a selection of gold exploration targets on the Martiniere and Detour East properties to prepare them for first pass drill testing during the second or third quarters. The budget for the 2016 winter exploration program is currently set at between $1.5-million and $2.0-million.

"We are excited to get the program under way and the drills turning again on the Detour trend project," said Darin Wagner, president and chief executive officer of Balmoral. "With the near-surface potential of the H3 deposit in large part evaluated, and the initial resource imminent, drilling during the winter program will focus on testing other nearby precious and base metal targets and the continued evaluation of the extensive gold system in the Martiniere area of the project."

Darin Wagner, PGeo, president and chief executive officer of the company, is the non-independent qualified person who has approved the scientific and technical information contained in this news release. Mr. Wagner has supervised the work programs on the Grasset and Martiniere properties, visited the properties on multiple occasions, reviewed the results with senior on-site geological staff and reviewed the available analytical and quality control results.