Mr. Lyle Davis reports

CONDOR RESOURCES INC.: DIA RECEIVED FOR OCROS PROJECT, ANCASH, PERU

Further to the company's news release of April 20, 2016, regarding the earn-in agreement with Compania Minera Casapalca SA on the Ocros project, Casapalca and Condor Resources Inc. today received written confirmation of the granting of the Declaracion de Impacto Ambiental (DIA) from the Peruvian Ministry of Energy and Mines for the Ocros project. The DIA is the primary environmental permit, and allows for up to 24 drill holes.

"We would like to acknowledge the excellent work by Casapalca since concluding the Ocros earn-in agreement just four months ago. Subsequently, the local community approved a long-term exploration and exploitation agreement (see our June 15, 2016, news release), and that community approval has led to the timely issuance of the DIA. Casapalca continue to impress as a company that gets things done," stated Lyle Davis, president and chief executive officer. Casapalca has commenced ground preparation at Ocros and expects to mobilize a drill rig within a few weeks.

Condor owns 85 per cent of the Ocros copper project, where the historic Eldorado mine in the 1950s exploited a late-phase, high-grade copper sulphide vein, which was mined westward into wallrocks consisting of the potassic-altered portion of a well-mineralized porphyry copper system. To the best of the company's knowledge, exploratory diamond drilling has never been completed on the copper porphyry system in the area of the adits. Systematic sampling of the old adits by the company in 2014 and 2015 yielded greater than 0.55 per cent copper over a horizontal length up to 326 metres on two separate levels (see the company's July 7, 2015, news release).

Casapalca may earn a 51-per-cent interest in the Ocros project by completing 6,000 metres of diamond drilling and making cash payments totalling $250,000 (U.S.) over the next three years, with a further option to increase its interest at Ocros to 70 per cent by completing an additional 4,000 metres of diamond drilling (or work equivalent) and by making a further payment of $300,000 (U.S.).

We seek Safe Harbor.