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KDK.V ·

Notch Kimberlite Yields Additional High Quality Commerical-Sized Diamonds

Corporate Updates

DUNNEDIN VENTURES INC.

Suite 1110, 1111 West Georgia Street

Vancouver, BC V6E 4M3

Tel: 778.327.5799 / Fax: 778.327.6675

For Immediate Release TSX-V: DVI

NOTCH KIMBERLITE YIELDS ADDITIONAL HIGH QUALITY COMMERICAL-SIZED DIAMONDS

January 18, 2017 – Vancouver, BC, Canada. – Dunnedin Ventures Inc. (the "Company" or "Dunnedin")

(TSX-V: DVI) is pleased to report additional diamond recoveries from the Notch kimberlite. A third, 43.78

kg sample of Notch returned 4 commercial -sized stones (+0.85 mm) tot alling 0.43 carats, for a sample

grade of 9.72 carats per tonne. The largest recovered diamond was a 0.16 carat clear and colourless

elongated octahedron. Results are provided in the table below along with Dunnedin’s previous results, and

an image of the largest diamond.

Table 1: Diamonds recovered from the Notch kimberlite

Sample

Weight

in Dry

Tonnes

Total

Number of

Diamonds

Recovered

(+0.425

mm)

Total

Carat

Weight

(+0.85

mm)

Endecott Sieve Size (mm)

0.425 0.60 0.85 1.18 1.70 2.36

Sample

Grade

(cpt)

Largest

Diamonds

(carats)

Notch

1 1.02 278 0.66 175 67 26 8 2 0 0.65 0.10, 0.08,

0.05

Notch

2 1.30 318 1.29 179 90 33 11 3 2 0.99 0.23, 0.17,

0.09

Notch

3 0.04 9 0.43 5 0 2 0 2 0 9.72 0.16, 0.08,

0.01

TOTAL 2.36 605 2.38 359 157 61 19 7 2 1.01 -

Figure 1: Image of the largest diamond recovered from the third Notch sample.

Chris Taylor, Dunnedin’s CEO, said, “Dunnedin has three main diamond exploration goals for 2017. First,

we aim to define 10 million carats of Inferred Resource at an average grade of more than 1.0 carat per tonne

through additional drilling of the Kahuna and Notch kimberlites. Second, we plan to bulk sample the

Kahuna, Notch and PST kimberlites to assemble a package of commer cial sized diamonds for valuation

purposes. Third, we plan to drill a number of new diamond indicator mineral sources that have been

identified through till analysis which may represent new diamond-bearing kimberlite pipes and dikes.”

Current Notch results are from a sample randomly partitioned for additional geochemical study, which was

visually similar to other samples of Notch, despite the very high sample grade. Most of the Notch diamonds

recovered by Dunnedin are clear and colourless variants of octa hedra. The Notch sample was treated

through an autogenous mill -fusion circuit located at CF Mineral Research Ltd. of Kelowna, British

Columbia, using a lower size cut-off of 0.425 mm. Unlike standard DMS recovery methods, the circuit can

recover nearly all diamonds present in a kimberlite to the predetermined cut-off size, along with associated

indicator minerals.

The Company has also granted an aggregate of 1,260,000 stock options to directors, advisors and

consultants of the Company, exercisable at $0.21 per share for a period of five years.

Mr. R. Bob Singh, P.Geo, Exploration Manager, is the qualified person responsible for the technical content

of this news release.

For further information please contact Mr. Knox Henderson, Investor Relations, at 604-551-2360.

On behalf of the Board of Directors

Dunnedin Ventures Inc.

Chris Taylor

Chief Executive Officer

About the Kahuna Project

Kahuna is an advanced stage high grade diamond project located near Rankin Inlet, Nunavut. Dunnedin is

now recovering diamonds and indicator minerals from a series of kimberlite and till samples collected

during two seasons of field work. An Inferred Resource released by Dunnedin showed over 4 million carats

of macrodiamonds (+0.85 mm) at a grade of 1.01 carats per tonne had been defined along the partial strike

length of the Kahuna and Notch kimberlite dikes through shallow drilling. The largest diamond recovered

was a 5.43 carat stone from the Kahuna dike which was a piece of a larger diamond that had been broken

during the sample preparation process and was reconstructed as having an original size of 13.42 carats.

Recent results include a 0.82 tonne sample of the PST kimberlite dike which returned 96 macrodiamonds

totalling 5.34 carats (+0 .85 mm) and a 2.36 tonne sample of the Notch kimberlite which returned 89

macrodiamonds totalling 2.38 carats (+0.85 mm). The Kahuna project is located adjacent to the

development-stage Meliadine gold project of Agnico Eagle Mines Ltd and also hosts gold mineralization

in metasedimentary units.

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.

Statements included in this announcement, including statements concerning our plans, intentions and

expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward-

looking statements". Forward -looking statements may be identified by words including "anticipates",

"believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that

forward-looking statements, including without limitation those relating to the Company's future operations

and business prospects, are subject to certain risks and uncertainties that could cause actual results to

differ materially from those indicated in the forward-looking statements.