Mr. Patrick Highsmith reports

PURE ENERGY MINERALS SUCCESSFULLY REACHES TARGET DEPTH IN CV-7

Pure Energy Minerals Ltd. has provided an update. Exploration borehole CV-7 has been successfully drilled to its target depth (TD) of 2,000 feet (610 metres) below ground level at its Clayton Valley South lithium brine project, located near Silver Peak, Nev. Licensed Nevada well drillers from Harris Exploration Drilling & Associates Inc. employed a variety of techniques to complete the exploration borehole, but diamond core drilling covered the lithium-prospective stratigraphy from approximately 500 feet (152 m) to TD at 2,000 feet (610 m). Core recovery was excellent throughout the target interval (averaging well over 90 per cent). After completing the core hole, the drillers subsequently reamed the borehole to a diameter of 12.25 inches (31 centimetres) to allow for installation of temporary casing.

Pure Energy geologists collected representative samples of drill core from aquifers of interest for testing of physical and hydrogeological properties at accredited laboratories. Preliminary observations of fluid conductivity, lithology and other geological properties of the sediments are encouraging and consistent with other successful lithium brine exploration boreholes drilled at the CVS project.

Given the encouraging geology encountered, the team has decided to convert the borehole into a temporary exploration well for brine sampling and possible later pumping tests. After the temporary well casing is installed and well development is complete (air lifting to remove drilling fluids from the well), the company expects to conduct downhole geophysical logging to investigate fluid and geological properties. Hydrogeologists will commence detailed sampling of brine from the well as soon as possible in early to mid-January. Sampling should be completed in two to three weeks. The data from CV-7 will be incorporated into the forthcoming update of the mineral resource for the CVS project, and a full discussion of the hydrogeology and chemistry of CV-7 will be included in the subsequent technical reports.

Patrick Highsmith, Pure Energy Minerals chief executive officer, commented: "The drilling crew and geologists did a great job on CV-7. Drilling progressed very efficiently and core recovery continues to be high. CV-7 is positioned just west of an interpreted fault, so this hole fills an important gap in the drill pattern to support the resource update. A little over one kilometre to the west-northwest, core drilling is also progressing well on CV-8. These important drill holes are the final ingredients needed for the resource update and preliminary economic assessment that we plan to deliver in the first quarter of 2017."

Quality assurance and quality control

Mr. Highsmith, certified professional geologist (AIPG CPG No. 11702), is a qualified person as defined by National Instrument 43-101, and has supervised the preparation of the scientific and technical information that forms the basis for this news release. Mr. Highsmith is not independent of the company as he is an officer and director.

Pure Energy retains Focus Communications for investor relations services

The company is also pleased to announce that it has retained Leo Karabelas of Focus Communications Ltd. in Toronto to provide investor relations services to the company pursuant to a consulting agreement dated Jan. 3, 2017. Focus will provide services to the company including initiating and maintaining contact with the financial community, the company's shareholders, investors and other stakeholders for the purpose of increasing awareness of the company and its activities. The consulting agreement is for a term of one year.

In accordance with the terms of the consulting agreement, Focus will receive a monthly fee of $5,000 plus applicable taxes from the company as well as eligibility to receive incentive stock options to be awarded based on performance. The consulting agreement is subject to TSX Venture Exchange approval and the company's stock option plan.

About Pure Energy Minerals

Pure Energy is a lithium resource developer that is driven to become a low-cost supplier for the burgeoning lithium battery industry. While the company is currently focused on the development of the CVS lithium brine project and the adjoining Glory lithium clay project in Clayton Valley, Nevada, it is actively evaluating new lithium targets in North America and South America.

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