Ms. Linda Brennan reports

EXPLORATION UPDATE AND WARRANT EXTENSION

Recent exploration has identified two target areas with gold mineralization potential on PJX Resources Inc.'s Dewdney Trail property in the Cranbrook area of British Columbia.

Dewdney Trail property

As announced Aug. 25, 2016, stream sediment sampling for heavy minerals, such as gold, identified a new, large target area that could host a bedrock source for the gold that placer miners are extracting down stream from the property. Recent additional heavy mineral sampling has narrowed the exploration search down to two drainages within the new target area. Each of the drainages is approximately 500 metres by 600 metres in size. Mapping and prospecting are being focused on these drainages to identify the bedrock source of gold that is found in the streams.

Gold mineralization on the Dewdney Trail property appears to be associated with quartz-carbonate-altered and locally brecciated sediments along a seven-kilometre-long anticline fold axis. The fold axis is intruded by Cretaceous and possibly Tertiary-age felsic to mafic intrusives. The broad distribution of anomalous gold mineralization associated with this type of geological environment suggests the potential for thermal aureole gold or sediment-hosted gold deposits such as Muruntau, Fort Knox or Sukhoi-Log.

Zinger property

Exploration for gold on the Zinger property is also under way. The Zinger property has numerous gold showings along an eight-kilometre strike length. The gold mineralization appears to be associated with quartz veining and/or flooding in folded and sheared siltstones and argillites. Soil sampling in one area has identified an anomaly approximately 100 metres wide and over 300 metres long with gold-in-soil values ranging from 100 parts per billion to 4,941 parts per billion (or 4.941 grams per tonne). Trenching, followed by drilling, is planned for this anomaly and other areas on the property.

PJX holds a 100-per-cent interest in the properties. They are all road accessible and are located close to rail, power, as well as a local work force in Cranbrook and Kimberley, B.C.

The foregoing geological disclosure has been reviewed by John Keating, PGeo, a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects. Mr. Keating is the president, chief executive officer and a director of PJX.

Warrant term extension

The company has extended the exercise period of a total of 5,839,245 outstanding share purchase warrants. The warrants were issued pursuant to a private placement announced on Aug. 22, 2014, amended on Oct. 9, 2014, and accepted for filing by the TSX Venture Exchange on Nov. 7, 2014. The warrants are due to expire on Sept. 22, 2016 (2.84 million warrants), and Nov. 4, 2016 (2,999,245 warrants), and are exercisable at 20 cents per share. The new expiration dates of the warrants are Sept. 22, 2017, and Nov. 4, 2017.

The TSX-V has provided condition approval of the warrant extension.

We seek Safe Harbor.