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Melkior – Hemlo Update

Corporate Updates

Head Office: 66 Brousseau Ave., Suite 207, Timmins, ON P4N 5Y2 Canada

MELKIOR – HEMLO UPDATE

March 7, 2018 Trading Symbol: MKR

TSX Venture Exchange

Timmins, Ontario. Melkior Resources Inc. (“ Melkior”) is pleased to announce that the assays

from the 2017 soil sampling program on the White Lake Project ( Hemlo) have been received. The

White Lake Project is comprised of 373 contiguous claim units ( 13,745 acres). The White Lake

Project is located approximately 15 km northeast of the Hemlo G old Mine currently operated by

Barrick Gold Corporation.

Melkior undertook a soil sampling program over 4 square kilomet ers of the White Lake Project in

2017. The area sampled is centered on the Kakeeway claim group. These claims host a combination

of NW-SE trending: mafic-felsic geologic contacts locally with gold bearing veins; gold in soil

anomalies; IP chargeability anomalies; and VLF conductors. Soil samples were collected from the

A-horizon, at 25 m spacings, and submitted for trace analysis (ALS method, AuME-TL43).

A NW-SE trend in the distribution of anomalous gold in soil, pa rallel to geological contacts, was

anticipated. However, the distr ibution of anomalous gold in soi l over the sample area is more

complex.

Software based statistical evaluation of correlated elements wa s conducted using the Correlations

Report of Geosoft product Target for ArcGIS Geochemical Analysi s addon to Esri ArcMap. This

report indicates that germanium is the only element with a significant correlation to gold within the

soil dataset. A correlation was expected between gold and sever al other “normal pathfinder

elements”, but no other associations are substantiated based st rictly on the 2017 soil dataset.

Significant reliance was placed on the gold-germanium associati on in the interpretation of the soil

data.

The distribution of germanium in the A-horizon soil samples pro vides an unanticipated

interpretation through the distin ct and isolated nature of the anomalous areas. The anomalous

germanium distribution can generally be described as two inters ecting perpendi cular linear

anomalies.

The dominant germanium in soil anomaly is 2 km long, persistent across the entire width of the

sample area, oriented NE-SW, perpendicular to volcanic contacts, and co-incident with a prominent

topographical lineament. This dominant germanium in soil anoma ly is locally co-incident with

reported gold in soil anomalies in excess of 500 ppb that are located about 400 m from the edge of

the sample area (Royal Oak Mines, AFRI 42C13SE0069). If this an omalous trend was consistent

and continued to the northeast, the strike extension would continue through the Melkior claim group

for about 5 kilometers. A review of airborne data in the public domain indicates that an argument

could be made that there is a southwesterly extension of this potentially significant structure.

2

The secondary germanium in soil anomaly is also about 2 km long but less persistent across the

width of the sample area, orient ed NW-SE it parallels mafic-fel sic geologic contacts and historic:

gold in soil anomalies; IP chargeability anomalies; and VLF con ductors. The anomalous trend is

also locally co-incident with groups of EM conductors defined by historic airborne surveys.

The results of the soil geochemistry continue to be evaluated and will be used to help guide further

exploration. Melkior’s goal is to advance the White Lake Projec t to the drill stage. The Kakeeway

claim has an existing MNDM Exploration Permit in good standing that permits drilling.

Jim Deluce, CEO of Melkior has remarks, “The developing scenario for the White Lake Project is

highly encouraging. The volcanic contacts on the Kakeeway claim have been established as hosting

gold bearing quartz veins. We have gold and germanium soil anom alies over this geologic trend.

The soil sampling data may indicate that the volcanic rocks are crosscut by an undocumented

mineralized structure. It may be wishful thinking but ….. let’s hope that “X marks the spot!””.

Wade Kornik, P.Geo., has approved the information contained in this release. Mr. Kornik is the

Exploration Manager of the Company and is Qualified Person as d efined by National Instrument

43-101.

ON BEHALF OF THE BOARD

Keith James Deluce, CEO

For more information, please contact:

Melkior Resources Inc.

E-mail: [email protected]

Tel: 705-267-4000

The reader is invited to visit Melkior's web site www.melkior.com.

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.