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ALM.V ·

Alliance Initiates Phase Two DRILL PROGRAM

Exploration Programs

October 3, 2018 News Release TSX-V: ALM

Alliance Initiates Phase Two

DRILL PROGRAM

Bissett Gold Camp, Manitoba

Vancouver, British Colum bia: Alliance Mining Corp. ( TSX.V: ALM ) (“ Alliance” or the

“Company”) is pleased to announce that it will be undertaking a geological mapping and sampling

program followed by a drill program on its Packsack Gold property adjacent to Havilah Mining

HMC:TSXV (a spin off from Hecla Mining HL:NYSE) in the Bissett, Manitoba Gold Camp.

• Alliance’s Packsack Gold Property is 4 kilometres from Havilah Mining’s Mill.

• Havilah Mining is also currently drilling in the Bissett Gold Camp

• Two million ounces of gold historically produced in Bissett gold camp

• Packsack Property has never been explored by any major companies

• Bissett Gold Camp is on the geological extension of Ontario’s Red Lake Belt

Havilah Mining’s True North Mine/Mill Complex 4 kilometres from Alliance’s Packsack Property

Alliance intends to follow up on promising results from their March 2018, drilling on the Packsack

zone of the Red Rice Lake gold project (see April 26 and June 14, 2018, news releases). Drill hole

PK-18-4 intersected 21.2m grading 0.86 g/t Au, including 1.78 g/t over 8.7m in the Big Dome

vein, all within a large altered mafic dike. These drilling results have caused a re-interpretation of

the Packsack zone from a narrow vein target, to a wider, open -pittable zone encompassing the

entire Packsack group of veins, including the Big Dome, Hargraves, Golden Stairway, Central

Montcalm and South Montcalm veins, all within a mineralized sericite-alteration envelope.

Alliance intends to undertake a program of geologic mapping and sampling during the fall of 2018,

to better define the mineralization target within its host mafic di ke, followed by a 1000m drill

program in early 2019 to test the wider mineralized zone to a depth of 100m.

The Packsack property hosts several gold-bearing veins within a conjugate fracture set adjacent to

the Red Rice shear zone. Previous exploration on the Packsack zone has been focused on the Big

Dome Vein, with a shaft to 525 ft (160 m) and 2867 ft (874 m) of drifting and crosscutting on 4

levels down to 500 ft (152 m), all completed between 1936 and 1940. The structural control on

veining at the Packsack property is similar to that at the True North Mine, 4 km northeast, operated

by Havilah Mining Corporation (HMC:TSX.V), a spin -off from Hecla Mining’s (HL:NYSE)

takeover of Klondex Mines Ltd.

Alliance Mining has an option to acquire 100 per cent of th e Red Rice Lake property located in

the Bissett gold camp in Manitoba. The property is located four kilometres southwest from Havilah

Mining’s True North gold mine/mill complex at Bissett. Havilah Mining are presently reprocessing

old tailings while they a ctively explore for additional ore sources in the belt. This presents an

excellent opportunity for Alliance Mining to explore prospects within trucking distance of

Havilah’s mill. Alliance’s Red Rice Lake gold property claims are located within the Archean Rice

Lake greenstone belt in southeastern Manitoba. This belt forms part of the Uchi subprovince that

includes the Red Lake and Pickle Lake belts in Northwestern Ontario.

All technical information in this release has been reviewed and approved by William C. Hood,

PGeo, who is the qualified person on the Red Rice Lake gold project for the company.

Alliance has arranged a non-brokered private placement of 5 million flow-through units at a price

of Cdn$0.05 per unit for gross proceeds of $ 250,000. Each flow-through unit consists of one

common share that qualifies as a “flow -through share” as defined in subsection 66(15) of the

Income Tax Act and one [non-]transferable common share purchase warrant. Each whole warrant

will entitle the holder to purchase, for a period of 24 months from the date of issue, one additional

non-flow-through common share of the Issuer at an exercise price of Cdn$0.05 per share. The

proceeds of the private placement will be used for continued exploration work at the Company’s

Red Rice Lake property located in the centre of the Bissett gold camp in Manitoba.

A finder's fee may be paid to eligible finders in accordance to the TSX -V policies. All securities

issued pursuant to the offering will be subject to a hold period of four mon ths and one day from

the date of closing. The offerings and payment of finders' fees are both subject to approval by the

TSX-V.

ON BEHALF OF THE BOARD

Christopher R. Anderson, President, Ceo and Director.

FOR FURTHER INFORMATION PLEASE CONTACT:

Alliance Mining Corp.

(604) 488-3900

Investor Relations:

Antony Claydon: 604-488-3900

E-mail: [email protected]

This press release includes certain statements that may be deemed “forward -looking statements”. All statements in this release, other than

statements of historical facts, that address future exploration drilling, exploration activities and events or develo pments that the Company

expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are

based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ

materially from those in forward -looking statements. Factors that could cause actual results to differ materially from those in forward -looking

statements include exploitation and exploration successes, continued a vailability of financing, and general economic, market or business

conditions.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts

responsibility for the adequacy or accuracy of this release.

Alliance Mining Corp.

888 Dunsmuir Street - Suite 888, Vancouver, B.C., V6C 3K4