Mr. Patrick Laracy reports

VULCAN MINERALS INC. - SUBSIDIARY RED MOON POTASH INC REPORTS HIGH GRADE NEPHELINE IN LABRADOR

Vulcan Minerals Inc.'s subsidiary, Red Moon Potash Inc., has released sample analysis results from its recently conducted field mapping and sampling program on the Red Bay Nepheline deposit in southern Labrador. The relevant text of Red Moon's news release is provided as follows.

The purpose of the program was to map the deposit, delineate its boundaries and assess the compositional variation within the deposit. Mapping demonstrates that the deposit occurs over a continuous length exceeding two kilometres and a width averaging approximately 200 metres. Based on exposure of the deposit over a range of elevations, it is inferred to have a depth projection exceeding 200 metres, subject to drill verification.

Twenty-seven samples were collected by company geologists, packaged and sent to Actlabs in Ancaster, Ont., for whole-rock geochemical analysis. Of these samples, 22 consist of nepheline syenite and five consist of the surrounding country rock. The area with most outcrop, and therefore highest sampling density, occurs in the east zone with 13 samples. The east zone is exposed for approximately 800 metres by 200 metres. The central zone has the least amount of outcrop with only two samples recovered. The west zone was sampled at seven locations. The distribution of the samples was determined solely by the availability of the outcrop and does not reflect any attempt to oversample any one zone of the deposit. As a result, the sampling is preliminary and is not conclusive about the ultimate geochemical variation within the deposit. Only further systematic sampling by trenching or drilling will be able to determine that. At this stage of the evaluation, the most relevant components of raw (unprocessed) nepheline syenite are silica (SiO2), alumina (Al2O3), soda (Na2O), potash (K2O) and iron (Fe2O3). The results for each zone are set out in the attached table.

Sample               Zone      SiO2 (%)    Al2O3 (%)    Fe2O3 (%)      CaO (%)     Na2O (%)      K2O (%)

PC16031A             East        58.94        22.13         4.61         0.81         9.93         2.33
PC16031C             East        59.51        21.41         3.39          0.6         9.16         3.21
PC16032A             East        60.42        20.55         4.66         0.48         9.33         1.91
PC16034A             East         58.2        22.61         4.31         0.57         8.96         4.55
PC16034B             East           58        20.61         5.62         0.54          9.1            4
PC16035              East        58.34        22.89          3.2          0.2         9.97         4.89
PC16039              East         58.3        22.33         3.67         0.16         9.19         5.17
PC16044A             East        59.03        23.65         2.77         0.74         9.62         4.02
PC16045              East        58.45         23.3         2.31         2.77         6.02         4.53
PC16059              East        59.39         21.9         3.03          0.4         8.68         4.74
PC16060              East        56.23        24.21         2.12         0.37        10.47         4.36
PC16061              East        60.42        21.17          2.6         0.34         8.34         4.69
PC16062              East        55.43        24.38         2.73         0.26        10.26         5.14
PC16046           Central        63.49         19.6          3.5         0.49         8.14         3.85
PC16055           Central        58.34        21.65         2.76         0.81         5.79         5.81
PC16048              West         58.7        21.85         3.32         1.53         6.86         5.06
PC16050B             West        57.33        19.93         7.44         1.02         9.85         3.73
PC16052              West        56.34        19.49         5.66         4.63         4.98         4.91
PC16054              West        58.23        21.76         3.72         0.56          5.7         5.16
PC16068              West        58.57         22.4          3.2         0.48         9.21         4.84
PC16070              West        61.13         20.6         3.99         0.47         8.86         4.05
PC16072              West        57.16        21.61         4.34         0.82         5.13         5.32

Based on these results, the east zone compares favourably with the typical raw composition at the Blue Mountain mine in Ontario (from published sources) as follows: SiO2 -- 59.18 per cent, Al2O3 -- 23.06 per cent, Na2O -- 10.48 per cent, K2O -- 3.94 per cent and Fe2O3 -- 2.15 per cent.

Commenting on the results, president Patrick Laracy said: "We are very encouraged by these initial sampling results. Clearly, the alumina and alkali numbers warrant further evaluation of this deposit to gain more sampling density in the central and west zones, and to better map out the high-grade east zone. Our preliminary mapping of the east zone indicates it covers a significant surface area. Drilling will be required to sample it at depth. In addition, we plan to carry out further analysis and beneficiation studies of the samples obtained from our 2016 field program to determine if the raw rock can be concentrated to meet industrial specifications."

The property is situated along the southern Labrador highway 10 kilometres from Red Bay and six kilometres from tidewater at Black Bay. The Blanc Sablon, Que., airport is a 90-minute drive from the property (visit Red Moon's website for further information).

Patrick J. Laracy, PGeo, president, and Patrick Collins, PGeo, are qualified persons responsible for the contents of this news release as defined in National Instrument 43-101.

Red Moon is an exploration company advancing the Captain Cook salt deposit toward development in western Newfoundland. Vulcan Minerals owns approximately 67 per cent of the common shares of Red Moon.

We seek Safe Harbor.