Mr. Warren Stanyer reports

ALX RESOURCES CORP. DEFINES DRILL TARGETS AT FALCON NICKEL PROJECT, SASKATCHEWAN

ALX Resources Corp. has released the results of a reconnaissance soil sampling program and has carried out a new geophysical interpretation study on its 100-per-cent-owned Falcon nickel project, located in the northern Athabasca region of Saskatchewan, Canada. The integration of the new exploration data with the known geology mapped at the project has led to the definition of a compelling new target area for drilling in the winter of 2020.

"Our initial prospecting program in 2019 showed that Falcon has the potential to host high-grade nickel deposits," said Warren Stanyer, chief executive officer and chairman of ALX. "The addition of the results from our use of a leading-edge soil survey method shows a significant nickel-copper anomaly over the trace of a geophysical conductor that was never tested by historical exploration."

Results of 2019 geophysical and geochemical work

The Currie Lake East (CLE) airborne conductor was modelled by Condor Consulting Inc. of Lakewood, Colo., as part of a detailed interpretation of historical digital data from three airborne surveys flown over the Falcon area between 1991 and 2008. Condor is recognized internationally as expert in the field of airborne electromagnetics. The CLE conductor was first detected by a 2005 versatile time domain electromagnetic (VTEM) airborne survey, but the results were not processed with modern computer modelling techniques until ALX commissioned its 2019 study. Condor describes the CLE conductor as a deeper, late-time, high-priority EM conductor approximately 1.2 kilometres in length that is associated with a magnetic anomaly. This conductor is located approximately four kilometres north of the historic Axis Lake East nickel-copper-cobalt deposit and ranks as one of the most significant geophysical anomalies described in the Condor interpretation report to ALX.

In October, 2019, ALX collected a total of 45 soil samples from a land-based grid aligned over the surface trace of the CLE conductor, which were submitted to Activation Laboratories Ltd. (Actlabs) in Ancaster, Ont., for conventional and spatiotemporal geochemical hydrocarbons (SGH) analysis. This initial soil survey program represents ALX's first test of the SGH process, which is reported to detect buried mineralization at depths up to 500 metres. A nickel-copper anomaly was detected within the grid over the western end of the CLE conductor trace. According to the SGH report, the results could indicate the presence of a Redox zone, which may be associated with the presence of nickel-copper mineralization beneath this anomaly. The nickel and copper anomalies at Falcon directly coincide with one another, giving further confidence that this result might represent a surface indication of nickel-copper-type mineralization.

2020 Falcon SGH sampling program

ALX is about to commence a helicopter-supported SGH survey from the surface ice of a lake located directly east of the October, 2019, soil survey grid over the eastern end of the CLE conductor trace. In 1993, a single sediment sample taken from the same lake by the Geological Survey of Canada returned a value of 153 parts per million (ppm) nickel, 107 ppm copper and 118 ppm cobalt, with the nickel and cobalt results ranking in the 99th percentile of the 1,664 samples collected in the regional survey. ALX plans to collect up to 90 lake sediment samples from a grid consisting of nine lines spaced approximately 100 metres apart, which should provide ample coverage over the CLE conductor trace. Results from the SGH survey are expected in late February, 2020, and will be integrated into the targeting matrix for ALX's inaugural drilling program at Falcon planned to begin in March, 2020.

About the Falcon nickel project

The centre of Falcon is located approximately 14 kilometres (8.7 miles) northwest of Stony Rapids, Sask., within the Tantato domain, which forms a segment of the Snowbird tectonic zone. ALX acquired claims at Falcon beginning in May, 2019, by way of staking and through three separate land purchases, bringing the size of the project to approximately 20,002 hectares (49,427 acres) (see ALX news releases dated June 12, 2019, Oct. 7, 2019, and Oct. 24, 2019).

Falcon hosts a magmatic nickel-sulphide mineralizing system that has been underexplored by modern methods until its acquisition by ALX. A long history of exploration beginning in 1929 discovered numerous nickel-copper-cobalt showings within Falcon's boundaries, including the Axis Lake deposit ("Axis Lake"), the Rea Lake deposit ("Rea Lake") and the Currie Lake deposit ("Currie Lake").

Axis Lake is the most significant nickel-copper-cobalt deposit within the Falcon area and was the subject of historical mineral resource estimates variously reported as:

• 3.75 million tonnes of 0.60 per cent nickel, 0.60 per cent copper and 0.15 per cent cobalt;
• 3.4 million tonnes of 0.60 per cent nickel and 0.60 per cent copper.

Historical mineral resource estimates for Rea Lake of 70.4 million tonnes grading 0.10 per cent copper and 0.10 per cent nickel, plus traces of gold and silver, are reported in the Saskatchewan Mineral Deposit Index (SMDI) 1627. Historical mineral resource estimates for Currie Lake of 47,536 tonnes grading 0.79 per cent nickel are reported in SMDI 1585.

National Instrument 43-101 disclosure

The technical information in this news release has been reviewed and approved by Sierd Eriks, professional geoscientist, president and chief geologist of ALX, who is a qualified person in accordance with the Canadian regulatory requirements set out in NI 43-101. Readers are cautioned that some of the technical information described in this news release is historical in nature; however, the historical information is deemed credible and was produced by professional geologists in the years discussed.

Soil samples described in this news release were analyzed by the SGH method developed by Activation Laboratories Ltd. (Actlabs) in Ancaster, Ont. Upon receipt, samples are air dried and then sieved with the minus-80-mesh sieve fraction collected. From the collected pulp, compounds are separated by gas chromatography and detected by mass spectrometry at a reporting limit of one part per trillion.

About ALX Resources Corp.

ALX's mandate is to provide shareholders with multiple opportunities for discovery by exploring a portfolio of prospective mineral properties, which include nickel-copper-cobalt, gold and uranium. The company executes well-designed exploration programs using the latest technologies and holds over 200,000 hectares in Saskatchewan, a stable Canadian jurisdiction which demonstrates strong potential for economic base metals deposits, and hosts a producing gold mine, as well as the highest-grade uranium mines in the world.

We seek Safe Harbor.