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ROX.V ·

Canstar Resources Inc. Announces Completion of Share Consolidation and Share Deconsolidation

Corporate Actions

canstar resources inc.

56 Temperance St. TSX-V: ROX

Suite 1000 www.canstarresources.com

Toronto, ON M5H 3V5

Tel: 647-557-3442 Fax: 647-557-3448

______________________________________________________________________________________

NEWS RELEASE January 24, 2017

Canstar Resources Inc. Announces Completion of Share Consolidation and

Share Deconsolidation

Toronto, Ontario – January 24, 201 7. Canstar Resources Inc. (TSX-V: ROX) (the

“Company”) is pleased to announce that , following the approval of the Company’s

shareholders obtained on December 14, 2016, the Company has consolidated (reverse

split) its issued and outstanding common shares (the “Shares”) at a ratio of five hundred

(500) pre-consolidation common shares to one (1) post-consolidation common share (the

“Consolidation”), followed by an immediate deconsolidation (split) of common shares at

the ratio of one (1) pre-deconsolidation common share to five hundred (500) post-

deconsolidation common shares (the “Deconsolidation”).

The Company’s common shares commence d trading on the TSX Venture Exchange on a

post-deconsolidation basis on January 9, 2017. Letters of transmittal have been mailed to

all registered shareholders with instructions on how to exchange existing share

certificate(s) for new share certificate(s). After implementing the Consolidation and

Deconsolidation, the Company has 102,458,242 common shares issued and outstanding.

The Company’s new CUSIP number is 138081203 and its new ISIN number is

CA1380812034.

ON BEHALF OF THE BOARD OF DIRECTORS

Danniel J. Oosterman, P.Geo

President & CEO

Contacts:

Danniel J. Oosterman, P. Geo.

President & CEO

E: [email protected]

Karen Willoughby

Director Corporate Communications

T: 1-866-936-6766

E: [email protected]

Forward-Looking Statements

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. This News Release includes certain "forward -looking statements". These

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statements are based on inf ormation currently available to the Company and the Company

provides no assurance that actual results will meet management's expectations. Forward -

looking statements include estimates and statements that describe the Company's future plans,

objectives or goals, including words to the effect that the Company or management expects a

stated condition or result to occur. Forward-looking statements may be identified by such terms

as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "wi ll", or "plan".

Since forward -looking statements are based on assumptions and address future events and

conditions, by their very nature they involve inherent risks and uncertainties. Actual results

relating to, among other things, results of exploration, project development, reclamation and

capital costs of the Company's mineral properties, and the Company's financial condition and

prospects, could differ materially from those currently anticipated in such statements for many

reasons such as: changes in ge neral economic conditions and conditions in the financial

markets; changes in demand and prices for minerals; litigation, legislative, environmental

and other judicial, regulatory, political and competitive developments; technological and

operational difficulties encountered in connection with the activities of the Company; and other

matters discussed in this news release. This list is not exhaustive of the factors that may affect

any of the Company's forward-looking statements. These and other factors should be considered

carefully and readers should not place undue reliance on the Company's forward -looking

statements. The Company does not undertake to update any forward -looking statement that may

be made from time to time by the Company or on its beha lf, except in accordance with

applicable securities laws.