Mr. David Tafel of Portofino reports

PORTOFINO EXECUTES LOI PURSUANT TO TWO LITHIUM BRINE PROJECTS IN CATAMARCA, ARGENTINA; ANNOUNCES PRIVATE PLACEMENT; CENTURION MINERALS LTD. TO ACQUIRE INTEREST, ACT AS OPERATOR

Portofino Resources Inc. has executed a letter of intent agreement with a private Argentine concession owner to acquire up to an 85-per-cent interest in two lithium brine salar projects in Catamarca, Argentina. Each project is approximately 3,000 hectares in size. Catamarca, located within the Lithium Triangle, produces more lithium than any other province in Argentina:

• Project 1 is located directly southwest of the Salar del Hombre Muerto where FMC Lithium is producing lithium carbonate and Galaxy Resources is developing its Sal de Vida project, and is southeast of Albemarle's Antofalla project.
• Project 2 is located approximately 10 kilometres from the Chile border and north of Neo Lithium Corp.'s 3Q project.

Historical (2012) exploration work commissioned by the vendor of both projects included geological mapping, sampling of surface waters, auger sampling of brines, and compilation of the distribution of lithium and potassium grades within the basins. Eight surface water and 51 auger brine samples were analyzed and results averaged: 257 milligrams per litre of lithium and 8,710 milligrams per litre of potassium for project 1 and 274 milligrams per litre of lithium and 7,521 milligrams per litre potassium for project 2.

The company and its qualified professionals have been unable to verify the historical sample collection methodology or analytical results but believe the historical results are relevant. Future work by Portofino, including a surface water and auger brine sampling program, is required to verify the historical results.

Portofino has been introduced to the project owner by Centurion Minerals Ltd. Centurion has established a mining and exploration presence in Argentina by way of its interest in the Ana Sofia agri-gypsum fertilizer operation in Santiago del Estero province. Centurion will act as the operator of the Catamarca lithium brine projects. In exchange, Centurion is to be initially compensated up to $75,000 by Portofino, issued 500,000 shares of Portofino and be granted 10 per cent of Portofino's interest (carried to preliminary economic assessment) in both projects.

Portofino has agreed to pay the lithium project vendor a combination of cash, shares and expenditures over a four-year period as follows:

• An initial $10,000 (U.S.) deposit;
• By the first anniversary of TSX Venture Exchange approval, issue 500,000 shares and pay $50,000 (U.S.);
• By the second anniversary of approval, issue 500,000 shares, pay $100,000 (U.S.) and complete a cumulative of $500,000 in property expenditures;
• By the third anniversary, issue 500,000 shares, pay $200,000 (U.S.) and complete a cumulative minimum of $2-million in expenditures;
• By the fourth anniversary, issue 500,000 shares, pay $400,000 (U.S.) and complete a cumulative minimum of $4-million or a preliminary economic assessment.

Subject to completion of the fourth-year requirements, Portofino has the right to convert the vendor's remaining 15-per-cent interest to a 2-per-cent net smelter return royalty with an option to buy out 1 per cent for $1-million.

The transaction is subject to completion of due diligence, execution of definitive agreements and TSX-V approval.

Qualified person

The technical content of this news release has been reviewed and approved by Andrew J. Turner, BSc, PGeol, of Apex Geoscience Ltd., who is the company's geological consultant and is a qualified person as defined by National Instrument 43-101, standards of disclosure for mineral projects.

Private placement

Portofino announces it has arranged a non-brokered private placement for up to $600,000 priced at five cents per unit. Each unit consists of one common share and one two-year common share purchase warrant exercisable at eight cents. Closing will be subject to TSX Venture Exchange approval, and any shares issued will be subject to a four-month hold period. The company contemplates that various exemptions will be utilized pursuant to this financing, and it may rely upon the suitability advice exemption (B.C. Instrument 45-536) for a portion thereof. There is no material fact or material change that has not been generally disclosed. Proceeds from this financing shall be used by the company for projects due diligence and for general corporate purposes.

About Portofino Resources Inc.

Portofino is focused on acquiring, exploring and developing mineral resource projects in the Americas.

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