Mr. Paul Gill of Lomiko reports

LOMIKO RECEIVES DRILL PERMIT FOR HIGH-GRADE ZONE AT LA LOUTRE FLAKE GRAPHITE PROPERTY

Lomiko Metals Inc. and Canada Strategic Metals Inc. have received a permit for a 2,000-metre, 25-drill-hole program at the Refractory zone of the La Loutre property.

Project highlights

• On Feb. 9, 2016, Lomiko Metals and Canada Strategic announced a resource for the La Loutre flake graphite property of 18.4 million tonnes of 3.19 per cent Cg indicated and 16.7 million tonnes at 3.75 per cent Cg inferred, with a cut-off of 1.5 per cent.
• The sensitivity table also features 4.1 million tonnes of 6.5 per cent indicated and 6.2 million tonnes at 6.1 per cent flake graphite inferred, with a cut-off of 3 per cent.
• The resource is calculated on the Graphene-Battery zone only and does not include high-grade intercepts of 31.50 metres of 13.09 per cent Cg, 44.1 m of 16.81 per cent Cg, 110.8 m of 14.56 per cent Cg, 22.3 m of 17.08 per cent Cg and 90.75 m of 9 per cent Cg reported from the Refractory zone.
• The Refractory zone mineralization appears to be 200 m wide with a current strike length of over 400 m in a northwest to southeast direction and is open in both directions. Please review all results by visiting the company's website.
• Lomiko currently owns 80 per cent of the property and can increase that holding to 100 per cent subject to a 2-per-cent net smelter returns royalty by issuing 750,000 shares and completing $1,125,000 of work, as set out in a May 3, 2016, news release.
• The La Loutre property consists of contiguous claim blocks totalling approximately 2,867.29 hectares (28.67 square kilometres) situated approximately 53 km east of Imerys carbon and graphite, formerly known as the Timcal graphite mine, North America's only operating graphite mine, and 117 km northwest of Montreal.

     2016 REFRACTORY ZONE DRILL RESULTS 
 
Hole No.      From       To   Length *    Gp
                (m)      (m)      (m)     (%) 
 
LL-16-001     3.90   139.50   135.60    7.74 
Includes      3.90    48.00    44.10   16.81
Includes    135.00   138.00     3.00   14.85
LL-16-002     3.90    26.20    22.30   17.08
Includes     113.9   129.00    15.10   14.80
LL-16-003    30.20   141.00   110.80   14.56
LL-16-004               NSV               
LL-16-005    55.80    57.40     1.60   13.35
LL-16-06     54.00   141.00    85.00    7.67 
Includes    109.50   141.00    31.50   13.09
LL-16-007    52.50   115.80    63.30    8.51 
Includes     69.00    85.50    16.50   15.75
LL-16-008   109.50   121.50    12.00    3.91 
LL-16-009               NSV               
LL-16-010    31.20    45.00    13.80    4.14 
             72.00   147.00    75.00    4.60 

* Length along the core. According to the society, 
the true width of the drill hole represents between 
80 per cent and 95 per cent along the core.

The drilling program at La Loutre will be managed by Consul-Teck Exploration of Val d'Or, Que., which designed the drilling campaign, supervised the program and logged and sampled the core.

Consul-Teck Exploration implemented quality assurance/quality control procedures to ensure best practices in sampling and analysis of the core samples. The drill core was logged and then split, with one-half sent for assay and the other retained in the core box as a witness sample. Duplicates and blanks were inserted regularly into the sample stream.

The samples, in secure tagged bags, were delivered directly to the analytical facility for analysis. In this case, the analytical facility was ALS minerals in Val d'Or, Que. The samples are weighed and identified prior to sample preparation. The samples are crushed to 70 per cent minus two millimetres, then separated and pulverized to 85 per cent passing 75 microns. All samples are analyzed for carbon graphite using C-IR18.

Jean-Sebastien Lavallee (OGQ No. 773), geologist, is a shareholder of both companies, president and chief executive officer of Canada Strategic, and a qualified person under National Instrument 43-101, has reviewed and approved the technical content of this release.

We seek Safe Harbor.