Mr. Neil Novak reports

BWR EXPLORATION INC. PROVIDES UPDATE ON LITTLE STULL LAKE GOLD PROJECT

BWR Exploration Inc. has provided an update on exploration and permitting activities for its Little Stull Lake gold project, located in northeastern Manitoba. BWR mobilized an exploration crew to the project area in late September, 2018, for the purpose of preparing the project for a winter 2018/2019 diamond drilling program. Included in the crew was BWR's president and chief executive officer, Neil Novak, PGeo, along with three other geologists, a diamond drill supervisor and two camp workers (advance team).

The camp was opened and supplied for the arrival of the geological team on Oct. 1, 2018. The geological work included initial structural mapping of outcrops in the vicinity of the West zone as well as accurately identifying the location of several historical (1985 to 1989 (Westmin Resources Inc.), 2000 (Wolfden Resources Inc.) and 2007 (Puma Exploration Inc.)) drill collars within the West zone, using a Trimble Geo-7 (with accuracy of under one metre) so that the holes co-ordinates could be imported into the 3-D model that BWR is currently preparing. This facilitates planning of future drilling while partially addresses the consultation process for local first nation communities that have traditional land entitlement selections in the immediate area and require accurate collar location for their traditional use assessments. Previously, the positions of the historical holes had only been surveyed with an accuracy of about 10 metres. It was necessary that this short program be completed prior to the onset of winter, when the historical hole collars and outcrops would be covered by snow. It is anticipated that drilling will commence in early January, 2019.

While there, Dr. Chris Beaumont-Smith, PhD, PGeo, of CBSGeoscience, a structural/economic geologist from Winnipeg (and former director of mines and geological survey for Manitoba), examined numerous outcrops in the West zone, comparing surface structural observations with those that are observable in the historical core stored at the base camp. This work advances the understanding of the structurally controlled Little Stull Lake gold occurrence.

Historical drilling (recap)

As previously reported (Dec. 6, 2016), historical drilling was carried out in three separate exploration campaigns between 1984 and 2008, including: Westmin Resources (1984 to 1989), Wolfden Resources (2000 to 2001) and Puma Exploration (2006 to 2007). A total of 219 drill holes representing an aggregate of 37,421 metres were completed by these three explorers, the analysis of which resulted in the delineation of five separate zones of gold mineralization along a 6.2-kilometre geological structure. Most of the drilling focused on the West zone that was reported by Westmin in 1991 to containing a potential resource estimate of 750,000 tonnes averaging 10.5 grams per tonne gold as recorded in Open File 90-2 by Manitoba Department of Energy and Mines (page 58); this was also reported in Canadian Intergovernmental Working Group on Mineral Industry in 2008. The Westmin resource estimate is considered by BWR to be historical in nature as it was done prior to the implementation of National Instrument 43-101 reporting requirements and adoption of CIM (Canadian Institute of Mining, Metallurgy and Petroleum) guidelines for estimation of mineral resources and reserves; however, the reported resource estimate is considered by BWR to be relevant as it has been used as reference to the gold potential of the region in various technical reports about the area by government agencies. A qualified person has not done sufficient work to classify this historical estimate and the company is not treating this historical estimate as a current mineral resource estimate. BWR is currently planning a drill program to start the verification and validation of this historical resource in order to update the resource to current reporting standards; part of the planned program involves the logging and resampling of historical holes so that the lithological description of units can be normalized from the previous operators to BWR's current nomenclature of rock units that may vary from earlier operator's nomenclature.

Logging and sampling of historical hole 2000-03

One historical hole (Wolfden 2000-03) was relogged in its entirety by Minroc Management staff: Mark Wellstead, MGeol, PGeo, and Francis Newton, BSc, PGeo. This drill hole was selected since it is fairly representative of the West zone and the core was readily retrievable. Briefly, this hole started in undeformed mafic volcanics then transitioned into a strongly altered (sericite/calcite) mafic tectonite (tectonically deformed rock unit), transitioning to red ankerite corresponding with the appearance of sulphides (5 per cent pyrite, less than 1 per cent chalcopyrite and arsenopyrite). This ankeritic-sulphide-bearing unit has been referred to as the Little Stull formation by previous operators and hosts most of the mineralization reported to date on the project. This formation transitions into more thickly bedded mafics and a prevalence of calcite over ankerite. Mineralization continues through these subunits, the interval from 170 metres to 174 metres had given 5.59 grams per tonne gold over four metres (historical assay). The hole ended in sericitic intermediate tuff with trace arsenonpyrite.

Resampling of hole 2000-03 was completed as part of the relogging exercise; 26 samples covering the interval from 157.1 metres to 183.3 metres were selected in order to duplicate and expand upon the original Wolfden sampling. In addition, four samples were selected by BWR covering the interval from 192.1 metres to 196.1 metres, completing the examination of the sericitic unit that the hole ended in. Interesting enough, of this last four metres, one sample reported by Wolfden between 194.1 metres and 194.9 metres gave an assay of 2.68 grams per tonne over 0.8 metre; the rest of the unit was unsampled by Wolfden; and this hole may have ended in mineralization.

Assay results from the resampling of hole Wolfden 2000-03 will be reported upon receipt (expected over the next few weeks), along with other samples selected to test potentially unsampled mineralization in other West zone drill holes. A total of 51 samples have been submitted for assay for gold as a result of this geological site visit. A structural interpretive report that reviews the field observations and new assay data are expected by late November, to be used in planning the 2019 winter drilling project.

Work permit update

BWR has had many meetings over the past eight months with Manitoba government staff from Manitoba Growth Enterprise and Trade as well as chief and council of the two first nation communities that have traditional interests in the project area. The meetings were regarding the issuance of a work permit that provides conditional access for early-stage exploration (like diamond drilling). New government-government protocols intended to facilitate and streamline the Crown-aboriginal consultation process in Manitoba were proposed in late 2017 and finally received approval in June, 2018. These new protocols have been incorporated into the discussions and work permitting process. The work permit, once issued by Manitoba Growth Enterprise and Trade, will provide for any conditions agreed to, with specific reference to BWR's plans to explore the selected treaty land entitlements held by the two communities over the next few exploration seasons.

Qualifications

This press release has been prepared by management of BWR Exploration, represented by Neil D. Novak, PGeo, president and chief executive officer of BWR Exploration. The technical information contained herein was reviewed and approved for release by Dr. Chris Beaumont-Smith, PhD, PGeo, of CBSGeosciences with office in Winnipeg, Man., along with Mark Wellstead, MGeol, PGeo, and Francis Newton, BSc, PGeo, both of Minroc Management Ltd. of Oakville, Ont. Dr. Beaumont-Smith, Mr. Wellstead and Mr. Newton are independent qualified persons as per NI 43-101 guidelines.

BWR Exploration is a public company focused on exploring for base and precious metals, with its flagship Little Stull Lake gold project in northeastern Manitoba, along with other exploration projects in Northern Ontario and Northern Quebec, Canada.

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