Mr. Gene Wusaty reports

COMPLETION OF ALTITUDE/JOGMEC PALISADES 2016 EXPLORATION AND COKING COAL MARKET UPDATE

Altitude Resources Inc. and its partner JOGMEC have provided an update on the 2016 exploration program at the Palisades project in west-central Alberta. The drilling program was completed during the second week of August and consisted of 26 rotary and eight core holes, with a total drilled length of 3,141. A significant amount of trenching was also completed. The 2016 program commenced on July 11 and was completed within the budget of $1.55-million. Dahrouge Geological Consulting (Dahrouge) of Edmonton oversaw the 2016 program.

Highlights:

• Altitude completes 2016 field drill program at Palisades coal project near Hinton, Alta.;
• Total of 26 rotary and eight core holes completed;
• Coking coal prices continue to rise with spot market prices over $130 (U.S.).

Samples from Palisades were shipped to Birtley Laboratory in Calgary for analysis. Samples will also be sent to Pearson Coal Petrography for coal rank classification. A total of 13 rotary hole samples were submitted for proximate and petrographic analysis. An additional three core hole samples were submitted for detailed coal quality analysis. Results are expected to be available later this year.

Commenting on the activities, president and chief executive officer Gene Wusaty said: "The fieldwork at Palisades in 2016 will provide information to support an updated National Instrument 43-101-compliant document, which will include new resource and coal quality data. We are encouraged to continue our positive exploration activities at Palisades during a period of continued upward pricing trends in the coking coal markets."

Seabourne-traded coking coal pricing has increased by almost 20 per cent during the last three quarters and is now at $92.50 (U.S.) for the July-September quarter of 2016. Spot prices continue to rise and have now exceeded $130 (U.S.) for Australian low volatile coal (Platts). Asian steel markets continue to be very active, and futures prices are reflecting increasing buoyancy into 2017.

The Palisades properties are located approximately 30 kilometres north of the Yellowhead highway (Highway 16) and Highway 40 North, near Hinton, Alta. Altitude's properties are in close proximity to CN rail, which services the Grande Cache mine to the northwest. Historical work in this area, reported as the Hoff property, included drilling programs first by Rio Tinto Canada (1969) and then Denison Mines (1982 to 1983). A National Instrument 43-101 study was carried out by Moose Mountain Technical Services in November, 2011, on the original Palisades property. Coal rank is low volatile bituminous coal. Altitude also owns the Palisades Extension, Moberly Creek and Altitude North properties, which are in the initial stages of exploration. Altitude is also part of a joint venture on the Elan coal project located in southwestern Alberta.

Mr. Wusaty, Altitude's chairman, a qualified person as defined by NI 43-101, supervised the preparation of the technical information in this release.

About Altitude

Altitude is focused on developing its portfolio of coking coal properties in west-central and southwestern Alberta. The Palisades, Elan and Altitude North properties are located near rail lines which have capacity to provide transport of coal to deepwater ports on the west coast of Canada to service the growing demand from world markets.

We seek Safe Harbor.