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Fundamental Research Corp. Publishes Equity Analyst Research Report Initiation of Coverage of Telson Resources Inc

Marketing Announcement

Fundamental Research Corp. Publishes Equity Analyst Research Report

Initiation of Coverage of Telson Resources Inc

Vancouver, British Columbia, August 11, 2017 – Telson Resources Inc. (“Telson” or the “Company”) (TSX

Venture – TSN.V) is pleased to announce that Fundamental Research Corp. (“FRC”) — an Vancouver, Canada

based investment research company, generating and distributing research to a global audience, including,

investment banks, institutional investors, as well as professional investors and relevant members of the global

investment community —published its equity analyst research rep ort dated August 9, 2017, entitled, ‘ Telson

Resources Inc. (TSXV: TSN / OTCBB: SOHFF) - Initiating Coverage – Commencing Production at Two

Projects in Mexico’.

FRC’s research report on Telson was written and produced by sen ior analyst Siddharth Rajeev, B.Tech

(Electronics Engineering), MBA (Finance), CFA, Vice-President – Head of Research with assistance from

Analyst, Anthony de Ruijter, BA (Econ). FRC’s research department, headed by Sid Rajeev has covered over

300 small and micro-cap companies and 150 exempt market/private issues from a broad array of industries

including Energy, Mining, Real Estate and Technology. Sid Rajeev regularly provides media commentary on

the valuation of small cap stocks and industries he covers. He also manages the FRC list of Top Picks, which

are the stocks under FRC’s coverage which he has the highest co nviction level about. These picks have

historically helped FRC to a high rating in various third-party analyst performance rankings. He is also co-

author of two online courses including the very successful “Eva luation of Junior Mining Companies for

Investment Purposes” which has evolved into classroom courses, seminars, and is in demand at investment

conferences across North America.

The FRC report is currently available to view, or to download, from FRC’s website - www.researchfrc.com or

upon written request from FRC:

Fundamental Research Corp.

Analysts: Sid Rajeev and/or Anthony de Ruijter

Suite 308 – 1155 West Pender Street

Vancouver, BC, Canada V6E 2P4

telephone: 604-682-7050, fax: 604-682-7001, email: [email protected]

The opinions expressed in the Research Report referenced above are the true opinions of the analyst about

Telson and its industry. Any “forward looking statements” are FRC’s best estimates and opinions based

upon information that is publicly available and that analysts believe to be correct, but have not independently

verified with respect to truth or correctness. There is no guarantee that the analyst’s forecasts will

materialize. Actual results will likely vary. The analysts and Fundamental Research Corp. “FRC” do not

own any shares of Telson, do not make a market or offer shares for sale of Telson, and do not have any

investment banking business with the Telson. Although the Company has paid a fee to FRC to subsidize

the high costs of research and monitoring (just as fees are paid to bond-rating agencies and auditors for their

opinions), the Company is not responsible for the content, accuracy or timelines contained in an analyst’s

report and the fee was not dependent on the opinion provided. In addition, readers should be aware, and are

cautioned, that opinions, estimates, or forecasts contained in research analyst reports are not subject to the

requirements of Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects” (“NI

43-101”) and have not received any endorsement or approval by Telson. As such, Telson does not imply or

in any way represent that any of the reports, opinions, estimates, or forecasts regarding Telson made by

research analysts complies with NI 43-101 or represent the opinions or beliefs of Telson or its management

or representatives. In addition to information filed by Telson as found on SEDAR (www.sedar.com), readers

Telson Resources Inc.

TSX.V: TSN OTCBB: SOHFF

Shares Issued: 104,149,005

should only refer to the technical report(s) of Telson relating to its projects for information about the projects

prepared in accordance with NI 43-101. FRC takes steps to ensure independence including setting fees in

advance and utilizing analysts who must abide by CFA Institute Code of Ethics and Standards of

Professional Conduct. Additionally, FRC analysts may not trade in any security under coverage. FRC’s full

editorial control of all research, timing of release of the reports, and release of liability for negative reports

are protected contractually. To further ensure independence, Telson has agreed to a minimum coverage term

including an initial report and three updates. Coverage cannot be unilaterally terminated.

Telson Resources Inc. is a Canadian based resource development company advancing two gold, silver and

base metal projects towards production over the coming months of 2017 and early 2018. Telson's Tahuehueto

Project, located in north-western Durango State, Mexico and its recently acquired Campo Morado Mine in

Guerrero, Mexico purchased from Nyrstar Mining are both polymet allic deposits containing significant gold,

silver, lead, zinc and copper. Subject to securing funding, Tel son plans to recommence mining operations at

Campo Morado within 3 to 5 months while at the same time develop it's Tahuehueto Project through the mine

construction phase with an anticipated timeline to be producing at the project site in its own mineral processing

facility by the first quarter of 2018 or earlier.

On behalf of the board of directors

(signed) “Ralph Shearing”

Ralph Shearing, P.Geol

President

Qualified Person

This press release was prepared under the supervision and revie w of Ralph Shearing, P.Geol., President and

Director of Telson Resources Inc., a Professional Geologist reg istered in Alberta as a member of the

professional organization APEGA, and a Qualified Person as defined by NI 43-101. Mr. Shearing has reviewed

the subject Research Report’s technical disclosure with respect to published Pre-Feasibility Study results,

reserves and resource statements and current operations on its project sites and verifies the accuracy of this

information that has been obtained from Telson’s public disclos ure. The economic analysis, where not

previously publicly disclosed by Telson within published NI 43 – 101 compliant technical reports is solely that

of the FRC analysts. There are no guarantees that the analysts forecasts will materialize and future results will

likely vary.

Cautionary Note Regarding Forward-Looking Statements

Statements contained in this news release that are not historical facts are “forward-looking information” or

“forward-looking statements” (collectively, “Forw ard-Looking Information”) within the meaning of

applicable Canadian securities laws. Forward Looking Information includes, but is not limited to, disclosure

regarding possible events, conditions or financial perfor mance that is based on assumptions about future

economic conditions and courses of action; the timi ng and costs of future activities on the Company’s

properties; success of exploration, development and bulk sample processing activities; anticipated results of

check assay results; and processing plans at the Atocha Mineral Processing Plant for mineralized material

from the Company’s Tahuehueto project. In certain cases, Forward-Looking Information can be identified by

the use of words and phrases such as “plans”, “expects” , “scheduled”, “estimates”, “forecasts”, “intends”,

“anticipates” or variations of such words and phrases. In preparing the Forward-Looking Information in this

news release, the Company has applied several material assumptions, including, but not limited to, that the

current exploration, development, environmental and other objectives concerning the Tahuehueto Project can

be achieved; that the implementation of the selective mining method will prove feasible based on the results of

the bulk sample; that the mineral processing plant recen tly acquired by the Company will be successfully

installed and commissioned, the con tinuity of the price of gold and other metals, economic and political

conditions and operations. Forward- Looking Information involves know n and unknown risks, uncertainties

and other factors which may cause the actual results, p erformance or achievements of the Company to be

materially different from any future results, perform ance or achievements expressed or implied by the

Forward-Looking Information. There can be no assurance that Forward-Looking Information will prove to be

accurate, as actual results and future events could differ materially from those anticipated in such statements.

Accordingly, readers should not place undue reliance on Forward-Looking Information. Except as required

by law, the Company does not assu me any obligation to release publicly any revisions to Forward-Looking

Information contained in this news release to reflect events or circumstances after the date hereof or to reflect

the occurrence of unanticipated events.

Cautionary Note Regarding References to Resources and Reserves

This news release uses the terms "measured and indi cated resources" and "inferred resources". We advise

U.S. investors that while these term s are defined in, and permitted by, Canadian regulations, these terms are

not defined terms under SEC Industry Guide 7 and not normally permitted to be used in reports and

registration statements filed with the SEC. "Inferred resources" have a great amount of uncertainty as to their

existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any

part of an inferred mineral resource will ever be upgrade d to a higher category. Under Canadian rules,

estimates of inferred mineral resources ma y not form the basis of a feasibility study or prefeasibility studies,

except in rare cases. The SEC normally only permits issuers to report minera lization that does not constitute

SEC Industry Guide 7 compliant "reserves", as in-place tonnage and grade without reference to unit measures.

U.S. investors are cautioned not to assume that any par t or all of mineral deposits in this category will ever

be converted into reserves. U.S. in vestors are cautioned not to assume that any part or all of an inferred

resource exists or is economically or legally minable.

Contacts

Glen Sandwell, Telson Resources Inc.

Corporate Communications

[email protected]

Tel: +1(604)684-8071