Surge Exploration Closes Financing

Suite 1220 ‐ 789 W Pender Street

Vancouver, BC V6C 1H2

Telephone: (778) 945‐2656

NEWS RELEASE

Surge Exploration Closes Financing

Vancouver, BC – July 19, 2018 – Surge Exploration Inc. (the "Company" or “Surge”) (TSX‐V: SUR,

OTCQB:SURJF) is pleased to announce a non-brokered private placement financing for aggregate

gross proceeds of $550,000 (“Offering”). As a result, the Company has issued 4,500,000 units at

a price of $0.10 per unit (“Unit”) for gross proceeds of $450,000. Each Unit consists of one

common share (“Share”) and one share purchase warrant (the “Warrant”) entitling the holder to

purchase an additional common share (“Warrant Share”) at a price of $0.15 for a period of two

years expiring July 19, 2020. Additionally, the Company has issued 1,000,000 flow-through units

at a price of $0.10 per flow-through unit (“FT Unit”) for gross proceeds of $100,000. Each FT

Unit consists of one flow-through share (“FT Share”) and one share purchase Warrant entitling the

holder to purchase an additional Share at a price of $0.15 for a period of two years expiring July

19, 2020. Proceeds received by the Company from the sale of the FT Units will be used to incur

Canadian exploration expenses on the Company’s properties that are qualified “flow-through

mining expenditures” (as such terms are defined in the Income Tax Act (Canada). Proceeds

received from the sale of the Units will be used in part for working capital purposes.

In connection with part of this Offering, the Company has paid cash finders fees of $47,500 to

qualified arm's length finders.

The securities issued pursuant to the Offering and any securities issued upon the exercise of

Warrants will be subject to a statutory four month and one day hold period expiring November 20,

2018.

About Surge Exploration Inc. https://surgeexploration.com/

The Company is a Canadian‐based mineral exploration company which has been active in the

resource sector in British Columbia and elsewhere in Canada. The Company has an exploration

office in Santiago, Chile to review mineral exploration opportunities in Chile and elsewhere in South

America.

Cobalt Ontario Properties

The Company has an option to earn an undivided 60% interest in the Glencore Bucke Property and

the Teledyne Property, located in Cobalt Ontario, subject to TSX Venture Exchange approval.

Hedge Hog Property, British Columbia

The Company has an option to earn an undivided 60% interest seven mineral tenure covering 2,418

hectares (5,972 acres) located approximately 80 km northeast of the town of Quesnel, BC and 20

km north of the historic gold mining towns of Wells and Barkerville.

2

On Behalf of the Board of

Directors

“Tim Fernback”

Tim Fernback

Director

Neither the 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.

This news release may contain forward‐looking statements which include, but are not limited to, comments that involve future events and

conditions, which are subject to various risks and uncertainties. Except for statements of historical facts, comments that address resource

potential, upcoming work programs, geological interpretations, receipt and security of mineral property titles, availability of funds, and others

are forward‐looking. Forward‐looking statements are not guarantees of future performance and actual results may vary materially from those

statements. General business conditions are factors that could cause actual results to vary materially from forward‐looking statements.