Mr. Lyle Davis reports

COMMUNITY AGREEMENT FOR EXPLORATION AT THE OCROS PROJECT

At a general assembly of the local community held on June 12, 2016, the community approved a long-term exploration and exploitation agreement for the Condor Resources Inc.'s Ocros project, Ancash department, Peru.

Condor Resources, through its subsidiary, is expected to file its DIA (Declaracion de Impacto Ambiental) application within the next few days.

Per the company's news release of April 20, 2016, Condor Resources concluded a comprehensive agreement with Compania Minera Casapalca SA on the Ocros project, whereby Casapalca may earn a 51-per-cent interest, with an option to increase its interest to 70 per cent.

Condor Resources holds an 85-per-cent interest in the 20-square-kilometre Ocros project, subject to the earn-in agreement with Casapalca.

The Ocros property is host to the historical underground Eldorado mine, which operated until the early 1950s, with several access adits with lengths of up to one kilometre. Detailed channel sampling of the 200-level adit in 2014 yielded 326 metres of 0.68 per cent copper over the 326-metre length of the adit. Subsequent channel sampling of the 150-level adit yielded 325 metres of 0.56 per cent copper.

We seek Safe Harbor.