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File: 2016-05-18 Bayswater & PR Complete Debt Settlement.docx


Pacific Road and Bayswater Complete Debt Settlement

Vancouver, BC, May 18, 2016 {{─ ─} ─} Bayswater Uranium Corporation (TSX-V: BYU), (OTC: BYSWF) (the "Compa
--->ny") reports that Pacific Road Resources Funds ("PRRF"), Pacific Road Capital Management Pty Ltd. ("PRCM") and the Com
--->pany have agreed to a settlement of all outstanding indebtedness of the Company owed to PRRF and PRCM, under the inves
--->tment agreement dated April 7, 2010, as amended, between the Company, its subsidiary, Baywater Holdings Inc. ("BHI") a
--->nd PRRF and the shareholders agreement dated April 7, 2010, as amended (the "Shareholders Agreement"), between the Com
--->pany, BHI, PRRF and Reno Creek Holdings Inc. ("RCHI") which indirectly owns the Reno Creek uranium project ("the Proje
--->ct") located in the Powder River Basin of Wyoming, USA.  

Pursuant to a debt settlement agreement dated May 11, 2016, BHI transferred an aggregate of 4,047,321 common shares of
---> RCHI, which shares had previously been pledged to PRRF under prior amendments to the Shareholders Agreement, in settl
--->ement of an aggregate of approximately US$2,669,522 owed. Additionally, the Company waived certain rights of first ref
--->usal and first offer under the Shareholders Agreement.

As a result of the debt settlement, PRRF's interest in Reno Creek is now 96.91% and Bayswater's is 3.09%.

The Reno Creek ISR uranium project is nearby to several operating uranium ISR facilities. The Project has received its
---> Wyoming State Permit to Mine, its Aquifer Exemption from Wyoming and the EPA, and its Class I UIC Deep Disposal Well 
--->Permit from the State of Wyoming.  The remaining major permit is the Source Materials License, which is administered b
--->y the US Nuclear Regulatory Commission.  

About Bayswater Uranium Corporation 

Bayswater Uranium Corporation is a uranium exploration and development company. Bayswater has a 3.09%.interest in Reno
---> Creek Holdings Inc., the holding company of AUC LLC, which owns 100% of  the Reno Creek ISR uranium development proje
--->ct in Wyoming. The Company also owns a 100% interest in the Brudell property located in the Athabasca Basin in Saskatc
--->hewan.  Shares of Bayswater are listed on the TSX Venture Exchange under the symbol "BYU". For further information see
---> the Company's profile on SEDAR (www.sedar.com).

On behalf of the Board of: 

BAYSWATER URANIUM CORPORATION 

Victor Tanaka
President
  
For further information contact:  

John Gomez
Corporate Development
Telephone: (604) 687-2153

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Vent
--->ure Exchange) accepts responsibility for the adequacy or accuracy of this news release.