Mr. Robert Eadie reports

STARCORE DRILLS 10.25 METRES OF 65.17 G/T AU AND 128.26 G/T AG

Starcore International Mines Ltd. has completed drill hole 31-79 in area 31 at its San Martin mine in Queretaro, Mexico. This hole intercepted a zone of limestone breccia followed by manto mineralization. High-grade manto mineralization with visible gold was recovered between 48.65 metres and 58.9 metres. The weighted average grade of this 10.25-metre-wide intercept is 65.17 grams per tonne gold with 128.26 grams per tonne silver. Prior to the high-grade intercept, the limestone breccia contained elevated silver values over 10 metres, including a two-metre section grading 1.6 grams per tonne gold and 105 grams per tonne silver between 42.25 metres and 44.25 metres.

The intercept is within 15 metres of existing workings. Mining crews are expected to arrive at this drill hole intercept some time this week in order to evaluate the dimensions of the mineralization.

Drill core is assayed on site in a laboratory that successfully reconciles dore and plant samples. Assay values within the intercept have not been cut. Within this intersection, seven of the 13 samples graded over 25 grams per tonne gold and numerous pieces of core were seen to contain visible gold. The manto mineralization at San Martin has produced samples of this grade in the past.

"This is the best drill hole in our history at the mine," said Robert Eadie, president and chief executive officer of Starcore.

The company also reports production results at the San Martin mine for the fiscal 2016 third quarter ended April 30, 2016.

During the third quarter, a total of 74,070 tonnes were milled at an average grade of 1.66 grams per tonne gold and 13 grams per tonne silver resulting in the production of 3,476 gold-equivalent ounces. Mill recoveries averaged 83.5 per cent for gold and 46.9 per cent for silver. Gold-equivalent-ounce calculation is based on the average gold-silver ratio of 79:1 during the quarter.

The depletion of the 6-101 stope in January, 2016, resulted in difficulties in February meeting production targets; however, the development of the 6-112 stope has enabled the mine to return to profitability during March and April.

David Gunning, PEng, a director of the company and chief operating officer, is the company's qualified person on the project as required under National Instrument 43-101, and has prepared the technical information contained in this press release.