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Cantex provides financing and drill program update for North Rackla claims, Yukon

Exploration Programs

Cantex provides financing and drill program update for

North Rackla claims, Yukon

KELOWNA, BC

,

July 12, 2018

/CNW/ -

Cantex Mine Development Corp.

(CD: TSXV) (the "Company") is pleased to announce that

its financing is fully subscribed and will close tomorrow. The drill program will commence next week on the North Rackla claims.

Drill Program

Crews will begin mobilizing to the project on

July 16

th

and drilling is expected to start shortly thereafter as the core drill is already on

site.

Drilling will commence at the northeastern end of the massive sulphide zone. This area has not previously been drill tested but

trenching of oxidized mineralization at surface returned

15.7m

of 36 g/t silver, 7.04% lead and 1.85% zinc and a second parallel

mineralized horizon approximately ten metres away containing

5.6m

of 54 g/t silver, 1.95% zinc and 0.48% copper.

The drill will then be moved two kilometres to the southwestern end of the mineralized zone. In previous drilling here Cantex

encountered oxidized mineralization that increased in grade and width with depth (see cross sections on

www.cantex.ca

). The

deepest intervals occur in hole YKDD-0006 which include

4.05m

(from

22.95m

) of 21.1 g/t silver, 2.12% lead and 1.79% zinc;

5.7m

(from

33.0m

) of 137 g/t silver, 2.8% lead and 0.83% zinc; and

4.4m

(from

43.7m

) of 49 g/t silver, 5.35% lead and 5.99% zinc. Cantex

will be testing the mineralization at greater depth, to determine whether the mineralization grade and thickness continue to increase.

The final proposed target for this phase of drilling will be the northern gold area where mineralization outcrops within a

120m

by

150m

area where a stromatolitic dolomitic unit is exposed beneath a sandy bedded dolomitic unit. Prospecting, rock sampling and

trenching have returned results as high as 15.75 g/t gold, 377 g/t silver, 11.0% lead and 32.5% zinc.

Financing

Cantex is pleased to report that the

$1.75M

financing, as announced on

May 31, 2018

, is fully subscribed and will close tomorrow,

July

13, 2018

.

The technical information and results reported here have been reviewed by Mr.

Chad Ulansky P.Geol

., a Qualified Person under

National Instrument 43-101, who is responsible for the technical content of this release.

Signed,

Charles Fipke

Charles Fipke

Chairman

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. Information set forth in this news release includes

forward-looking statements under applicable securities laws. Forward-looking statements are statements that relate to future, not

past, events. In this context, forward-looking statements often address expected future business and financial performance, and

often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event

"may", "might", "could", "should", or "will" be taken or occur, or other similar expressions. All statements, other than statements of

historical fact, included herein including, without limitation; statements about the terms and completion of the proposed sale

transaction are forward-looking statements. By their nature, forward-looking statements involve known and unknown risks,

uncertainties and other factors which may cause the actual results, performance or achievements, or other future events, to be

materially different from any future results, performance or achievements expressed or implied by such forward-looking

statements. Such factors include, among others, risks identified in the management discussion and analysis section of the

Company's interim and most recent annual financial statement or other reports and filings with Canadian securities regulators.

Forward looking statements are made based on management's beliefs, estimates and opinions on the date that statements are

made and the respective companies undertakes no obligation to update forward-looking statements if these beliefs, estimates and

opinions or other circumstances should change, except as required by applicable securities laws. Investors are cautioned against

attributing undue certainty to forward-looking statements.

SOURCE

Cantex Mine Development Corp.

View original content: http://www.newswire.ca/en/releases/archive/July2018/12/c5602.html

%SEDAR: 00010333E

For further information:

Cantex Mine Development Corp, Tel: +250-860-8582; Email: [email protected]

CO: Cantex Mine Development Corp.

CNW 16:53e 12-JUL-18