Mr. Richard Atkinson of Fjordland reports

FJORDLAND OPTIONS ATHABASCA BASIN CLAIMS WITH POTENTIAL KIMBERLITE TARGETS, FROM CANALASKA

Fjordland Exploration Inc. has executed an option-to-purchase agreement with Canalaska Uranium Ltd. whereby Fjordland has the option to purchase a 100-per-cent interest in two claim groups recently staked by Canalaska in the northwestern Athabasca basin, Saskatchewan (see map at Fjordland's website).

Under the terms of the agreement, and subject to TSX Venture Exchange approval, Fjordland has optioned two claim groups of 449 hectares and 2,045 hectares, respectively. These claims cover anomalous magnetic response targets identified in the 2011 Saskatchewan government airborne magnetics survey. Claim MC00004307 has two prominent magnetic targets. Claim MC00004306 has seven prominent targets.

Consideration is a cash payment of $50,000, of which $5,000 was paid on execution of the agreement, with the balance payable on the anniversary date of the agreement. Fjordland will issue to Canalaska four million shares on TSX-V approval. Canalaska reserves a 4-per-cent gross overriding royalty (GOR) for diamonds and a 2-per-cent net smelter returns royalty (NSR) for other minerals. Fjordland has the right to purchase up to a 2-per-cent GOR for $500,000 for each 0.5 per cent of GOR, thereby reducing Canalaska's GOR to 2 per cent. Total work commitments are $100,000 by Dec. 31, 2017; not less than 40 per cent of expenditures shall qualify as allowable assessment work.

Richard Atkinson, PEng, president, commented, "The acquisition of these two claim groups advances Fjordland's exploration phase in this emerging exploration project which seeks to identify diamondiferous kimberlites." (Refer to Fjordland's news releases dated March 16, 2016, and May 19, 2016, and to Canalaska's news release dated May 18, 2016.)

Victor Tanaka, PGeo, a director of Fjordland and a non-independent qualified person within the context of National Instrument 43-101, has reviewed the content of this news release.

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