Canasil Arranges Mailing of Information Circular and Proxies for Special Meeting of Shareholders for Proposed Spin-off of B.C. Properties to Canmine Minerals Inc.

Suite 1760 – 750 West Pender Street

Vancouver, BC

Canada V6C 2T8

Tel: 604-708 3788

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Email: [email protected]

NEWS RELEASE TSX-V: CLZ

November 20, 2017 www.canasil.com

Canasil Arranges Mailing of Information Circular and Proxies for Special Meeting of Shareholders for

Proposed Spin-off of B.C. Properties to Canmine Minerals Inc.

Vancouver, November 20, 2017 - Canasil Resources Inc. ( TSX-V: CLZ, DB Frankfurt: 3CC, “Canasil” or the

“Company”) announces that it has arranged mailing of the Information Circular and Proxies for the Special

Meeting of Shareholders planned for December 12, 2017, to consider the spin-off transaction to segregate

its British Columbia properties into a separate company, Canmine Minerals Inc. (“Canmine”), as previously

announced on July 26 and October 24, 2017. Shareholders of Canasil will receive shares of Canmine in

proportion to their shareholdings of Canasil, and Canasil will continue to hold its Mexican assets. It is

proposed that the transaction will be carried out as a Plan of Arrangement under the Business Corporations

Act (British Columbia). Complete details of the proposed transaction are set out in the Information Circular

and voting proxies, which have been mailed to shareholders and are also available on SEDAR

(www.sedar.com) and on the Company’s website (www.canasil.com). The transaction is subject to approval

by the TSX Venture Exchange.

The transaction is intended to unlock value for Canasil shareholders by allowing the market to

independently value the British Columbia properties, and by providing greater flexibility to arrange funding

to actively advance exploration programs on these properties.

The consideration for the transfer of the BC Properties will be based on the issuance of common shares of

Canmine, which will be distributed to Canasil shareholders based on one share of Canmine for each two

shares of Canasil held, following approval of the transaction and other required procedures. Warrant

holders and Option holders of Canasil will receive warrants or options of Canmine which are proportionate

to, and commensurate with the terms of, their existing Canasil warrants or options.

About Canasil:

Canasil is a Canadian mineral exploration company with a strong portfolio of 100% owned silver-gold-

copper-lead-zinc projects in Durango and Zacatecas States, Mexico, and in British Columbia, Canada. The

Company’s directors and management include industry professionals with a track record of identifying and

advancing successful mineral exploration projects through to discovery and further development. The

Company is actively engaged in the exploration of its mineral properties, and maintains an operating

subsidiary in Durango, Mexico, with full time geological and support staff for its operations in Mexico.

For further information please contact:

Bahman Yamini

President & CEO

Canasil Resources Inc.

Tel: 604-709 0109

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 news release.

Canasil Resources Inc.

News Release, November 20, 2017 page 2/2

This release includes certain statements that may be deemed to be “forward-looking statements”. All statements in

this release, other than statements of historical facts are forward looking statements, including statements that

address future mineral production, reserve potential, exploration drilling, exploitation activities and events or

developments. These statements involve known and unknown risks, uncertainties and other factors that may cause

actual results or events to differ materially from those anticipated in such 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 the forward-looking statements. Factors that could cause actual results to differ materially

from those in forward-looking statements include, but are not limited to, changes in commodities prices, exploration

successes, continued availability of capital and financing, and general economic, market or business conditions. The

reader is referred to the Company’s filings with the Canadian securities regulators for disclosure regarding these and

other risk factors. There is no certainty that any forward-looking statement will come to pass and investors should not

place undue reliance upon forward-looking statements.