Mr. Bahman Yamini of Canasil Resources reports

CANASIL RECEIVES NOTICE OF 55% OPTION EARN-IN FROM OREX TO FORM 55:45 JOINT VENTURE AT THE SANDRA-ESCOBAR PROJECT IN DURANGO, MEXICO

Canasil Resources Inc. has received from Orex Minerals Inc. a notice of exercise of the first option for earn-in of 55-per-cent interest in Canasil's Sandra Escobar project in Durango, Mexico. Orex also notified Canasil that it would not be proceeding with the second option to earn an additional 10-per-cent interest in the project for a total of 65 per cent. As a result, the project will proceed as a 55/45 Orex-Canasil joint venture. Orex has paid Canasil $500,000 and incurred more than $2-million (U.S.) in expenditures to exercise the first option under the terms of an option agreement with Canasil announced on Sept. 15, 2015. Orex's exploration programs included over 10,303 metres of core drilling in 65 drill holes, a helicopter-borne magnetic and radiometric survey, and extensive surface sampling and mapping in the southeast of the project area.

Sandra Escobar silver-gold project, Durango, Mexico

Sandra Escobar is located 200 kilometres northwest of the city of Durango, Mexico, in the heart of the Mexican silver trend, with excellent access and infrastructure. This prolific trend hosts some of the world's largest silver camps and deposits, with many past- and present-producing mines and significant silver-gold deposits. The project area covers over 6,976 hectares of mineral concessions and multiple mineralized epithermal quartz veins and breccia structures. These veins and structures form high-level silver-gold-base-metal systems, hosted in andesitic and rhyolitic rocks, and are centred on a large rhyolite dome complex in the north and silver-dominant systems around smaller rhyolite dome complexes to the southeast.

The technical information contained in this news release is based upon the technical information provided by Orex, and has been reviewed and approved by J. Blackwell (PGeo), a technical adviser to Canasil and a qualified person as defined by National Instrument 43-101.

We seek Safe Harbor.