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Cobalt Power Group Releases Sample Results ON the Smith Cobalt Property

Sampling & Geoscience Results

142-1146 Pacific Blvd.

Vancouver, BC V6Z 2X7

Tel: 604.620.7737

www.cobaltpowergroup.com

NEWS RELEASE

TSX.V: CPO January 9, 2017

COBALT POWER GROUP RELEASES SAMPLE RESULTS ON THE SMITH COBALT PROPERTY

January 9, 2017 Vancouver, British Columbia – Cobalt Power Group Inc. (TSX.V: CPO) is pleased to

announce positive resul ts from the follow -up sampling program conducted on its Smith Cobalt property

near Cobalt, Ontario.

Six samples were taken from a muck pile ( loose ore that has been fragmented as a result of drifting along

the veins) originating from historic underground workings . The muck pile covers an area approximately 50

x 20 m, with a thickness of 3 - 4 m and is estimated to contain 5,000 - 10,000 tonnes of crushed rock. The

samples were gathered using a semi -regular grid pattern by digging i nto the pile to a depth of roughly 30

cm and are considered to be representative of the bulk of the material with in the pile. As well, two rock

samples were collected from a vein uncovered while clearing vegetation around the historic Smith Cobalt

shaft. All samples were analyzed at SGS Canada Inc. (Burnaby, British Columbia) using 4- acid digestion

with an atomic emission spectroscopy finish.

Results are summarized bel ow: (Including four muck pile sampl es previously reported- news release

November 17, 2016.)

SMITH COBALT PROPERTY SAMPLE RESULTS – COBALT, ONTARIO

Sample # Sample Type Cobalt (Co) % Silver (Ag) g/t Copper (Cu) % Nickel (Ni) %

289951 Muck 0.23 4.91 0.11 0.11

289952 Muck 0.68 6.98 0.24 0.28

289953 Muck 0.56 8.29 0.17 0.24

289954 Muck 0.09 1.69 0.12 0.04

289955 Muck 0.68 5.77 0.22 0.29

289956 Muck 0.50 4.39 0.19 0.17

341678* Muck 0.62 9.41 0.20 0.31

341679* Muck 0.33 3.83 0.18 0.12

341680* Muck 0.31 5.52 0.11 0.09

341681* Muck 0.99 4.70 0.01 0.34

Muck Average - 0.50 5.55 0.16 0.20

289958 Rock 7.85 118.00 0.06 5.46

289959 Rock 3.77 60.2 0.12 2.18

Rock Average - 5.81 89.1 0.09 3.82

Note: * previously reported sample (news release- November 17, 2016)

Dr. Andreas Rompel, President & CEO comments, “ We are pleased by these results which show high

cobalt c ontent in our recent sampling. T he ~0.5% Co average detected in the muck pile confirms the

concentration found during our 2016 phase one sampling program. The extraordinarily high grade results

from the vein samples are also very encouraging. This information, combined with increasing global cobalt

prices, compels us to pursue our exploration targets for 2017 with even greater vigour.”

Cobalt Power Group has completed the first round of airborne magnetics and awaits the final report. As

well, line cutting began on the Smith Cobalt property in December (see news release dated December 16,

2016) in preparation for an Induced Polarization (IP) survey, to be undertaken in Q1 2017.

About the Smith Cobalt Project

The Smith Cobalt project is underlain by a sequence of Archaean volcanics which are uncomformably

overlain by Huronian sediments. These formations have been intruded by the Proterozoic -age Nipissing

diabase sill. Faulting, on both a regional and local scale, has been found by surface mapping and in drill

cores. Polymetallic veining, and especially pinkish- white carbonate veins, has also been reported. Thus, all

the necessary geological components of accepted m ineralization models for cobalt -silver have been

identified on the properties.

About Cobalt Power Group Inc.

Cobalt Power Group Inc. is a publicly traded Canadian exploration company listed on the TSX -Venture

Exchange (TSX-V: CPO) focused on cobalt exploration and development.

The company has made a series of strategic property acquisitions over the past several months, seeking

cobalt mineralization near Cobalt, Ontario - a region with a long history of silver and associated cobalt

production. Property holdings total 720 ha (178 0 acres) in contiguous blocks. There are several historic

mining operations on the propert ies that are potentially accessible, including the Smith Cobalt shaft and its

underground workings.

Chris M. Healey, P. Geo, a Director of Cobalt Power Group is the qualified person responsible for the

technical content of this release, and consents to its release.

On behalf of the Board of Directors

“Andreas Rompel”

_________________

Dr. Andreas Rompel, President and CEO

Cobalt Power Group Inc.

www.cobaltpowergroup.com

We seek safe harbor.

For additional information, please contact Daniel Caamano, VP Corporate Communications or Judy A.

McCall, Corporate Secretary at: 604.620.7737. The company’s profile may also be viewed on

www.sedar.com.

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction

and has neither approved nor disapproved the contents of this press release.

Forward Looking Information

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the

content of this News Release. WARNING: The Com pany relies on litigation protection for “forward looking"

statements. Actual results could differ materially from those described in the news release as a result of numerous

factors, some of which are outside the control of the Company. This news release does not constitute an offer to sell

or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not

be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Ac t”) or any state

securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the

U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.