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Blue Sky Provides Update on Drilling Program at Amarillo Grande Uranium Project, Argentina

Exploration Programs

Terminal City Club Tower, Suite 411 - 837 West Hastings Street TSX Venture Exchange: BSK

Vancouver, BC CANADA V6C 3N6 Frankfurt Stock Exchange: MAL2

Tel: 604-687-1828 • Fax: 604-687-1858 • Toll Free: 1-800-901-0058 OTCQB Venture Market (OTC): BKUCF

www.blueskyuranium.com • [email protected]

NEWS RELEASE – February 16, 2017

Blue Sky Provides Update on Drilling Program at Amarillo Grande

Uranium Project, Argentina

Vancouver, BC / Marketwired / February 16 , 2017 / Blue Sky Uranium Corp. (TSX -V: BSK, F SE: MAL 2;

OTC: BKUCF), "Blue Sky" or the "Company") is pleased to provide an update on the progress of the reverse

circulation (“RC”) drilling program at the Amarillo Grande uranium project, in Rio Negro Province, Argentina. To

date, 46 holes have been completed at the Ivana area on targets defined by the previous geophysics pr ogram

and older pit sampling. Holes range from three to 21 metres, averaging 13.6 metres in extent. The first batch of

samples has been sent to the laboratory for analysis.

In addition to the on- going exploration work, the field team has hosted the Mining Secretary of Rio Negro, Señor

Juan Pablo Espínola, at site at the end of January. Sr. Espínola reported being pleased with both the working

standards and the Company’s relationships with landowners. Also in January, Dr. Jon Thorson, a well-respected

geological consultant specializing in exploration for mineral deposits in sedimentary basins , conducted an on-site

review of the Amarillo Grande project along with C ompany Technical Advisor, Jorge Berizzo . The review

provided additional insight into controls to uranium mineralization at the project which will be incorporated into

the current program.

"We are pleased to have both government support and third party validat ion for our program at Amarillo Grande.

The 3,000 metre program is continuing, and w e are looking forward to our first batch of results in the upcoming

weeks,” stated Nikolaos Cacos, Blue Sky President & CEO.

For additional details on the program please refer to the Company news release dated January 26, 2017.

About the Amarillo Grande Project

This new uranium district was first identified, staked and underwent preliminary exploration by Blue Sky from

2007 to 2012 as part of the Grosso Group’s strategy of adding alternative energy focus to its successful portfolio

of metals exploration companies. The close proximity of several major targets suggest that if resources are

delineated a central processing facility would be envisioned. The area is flat -lying, semi-arid and accessible year

round, with nearby rail, power and port access.

Mineralization identified to date represents a Surficial Uranium style of deposit, where carnotite mineralization

coats loosely consolidated pebbles of sandstone and conglomerates. Carnotite is amenable to leaching, and

early m etallurgical work indicates that the mineralized material can be upgraded using a very simple wet

screening method. The near-surface mineralization, ability to locally upgrade, amenability to leaching and central

processing possibility suggest a potentially low-cost development scenario for a future deposit.

Rio Negro is host to several facilities related to the nuclear industry. Furthermore, the Provincial government is

amenable to mining as a means of socio- economical development. In addition, the Federa l government has

expressed support for building domestic resources of uranium. In particular, the Argentina Atomic Energy

National Commission (CNEA) published its Strategic Plan 2015- 2025, which includes a strategic objective "To

ensure the supply of domestic uranium for nuclear power plants in operation, under construction and planned."

For additional details on the project and properties, please see the Company’s

website: www.blueskyuranium.com

News Release February 16, 2017

Blue Sky Uranium Corp. Page 2

Qualified Person

The contents of this news release have been reviewed and approved by David Terry, Ph.D., P.Geo. Dr. Terry is

a Director of the Company and a Qualified Person as defined in National Instrument 43- 101.

About Blue Sky Uranium Corp.

Blue Sky Uranium Corp. is a leader in uranium discovery in Argentina. The Company's objective is to deliver

exceptional returns to shareholders by rapidly advancing a portfolio of surficial uranium deposits into low -cost

producers. Blue Sky holds has the exclusive right to over 428,000 hectares of property in two provinces in

Argentina. The Company’s flagship Amarillo Grande Project was an in-house discovery of a new district that has

the potential to be among the first domestic suppliers of uranium to the growing Argentine market. The Company

is a member of the Grosso Group, a resource management group that has pioneered exploration in Argentina

since 1993.

ON BEHALF OF THE BOARD

“Nikolaos Cacos”

______________________________________

Nikolaos Cacos, President, CEO and Director

For further information please contact:

Corporate Communications

Tel: 1-604-687-1828

Toll-Free: 1-800-901-0058

Email: [email protected]

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

responsibility for the adequacy or accuracy of this release.

This news release may contain forward -looking statements including but not limited to comments regarding the timing and content of upcoming work

programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Fo rward-looking statements address future

events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in

such statements. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may

impact expected future results. The Company undertakes no obligation to publicly update or revise any forward -looking statements. We advise U.S.

investors that the SEC's mini ng guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that

mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.