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San Marco Announces Executive Appointment and Warrant Exercise

Financings Management Changes Share Capital & Compensation

San Marco Announces Executive Appointment and Warrant Exercise

Vancouver, B.C. – January 31st, 2018: San Marco Resources Inc. (SMN: TSX-V) ("San Marco"

or “the Company”) announces the appointment of Christian T. Grijalva as Vice President of San

Marco and San Marco Resources, Mexico SA de CV. Previously, Christian was Manager of

Projects for the Company, overseeing all Mexico operations.

Robert Willis, San Marco’s CEO stated; “A significant part of building a strong exploration team

is recognition of leadership skills. Chris has not only assembled an experienced, quality

geological team, but he has been instrumental in successfully advancing our 1068 Project to

drill readiness, and responsible for our recent copper/silver discovery at our Chunibas Project. “

During the period January 9th – 26th, 2018, a total of 1,390,250 warrants were exercised at $

0.15 each for proceeds of $ 208,537.50. Any unexercised warrants associated to the financing

completed January 29th, 2015 expired on January 28, 2018.

Ongoing exploration includes;

• Review of the results of the recently completed I.P. survey at the Company’s 100%

owned 1068 porphyry copper/gold/moly project. This undrilled property is expected to

have drilling arranged in Q1.

• Continued exploration at the Company’s 100% owned Chunibas property. Focus will

initially be on the recent copper/silver discovery, a surface footprint which continues to

expand. Results of preliminary metallurgical analysis will be released shortly.

• Release of assay results of recently completed continuous chip/channel sampling at the

new Chunibas copper/silver discovery, expected in a few weeks.

• Detailed rock chip sampling to be initiated on two targets identified from the Company’s

Globetrotters partnership. Rock chip samples are intended for both geochemical and

SWIR spectroscopy studies.

• New property acquisition opportunities being evaluated.

About San Marco

San Marco Resources Inc. is a Canadian mineral exploration company with a portfolio of

promising projects in mining-friendly Mexico, including the Chunibas, Mariana and 1068

Projects in Sonora State.

San Marco actively pursues strategic project generation program focused on high -caliber, low

acquisition cost opportunities in northwestern Mexico. The Company has a committed

management team with extensive experience in Mexico and a proven track record of building

shareholder value.

On behalf of the Board of Directors:

2

Robert Willis, P. Eng.

President & CEO

For further information, contact:

Nancy Curry

[email protected]

National Instrument 43-101 Disclosure

This news release has been approved by San Marco's CEO, Robert D. Willis, P. Eng. a "Qualified

Person" as defined in National Instrument 43-101, Standards of Disclosure for Mineral Projects of the

Canadian Securities Administrators. He has verified the data disclosed, including sampling, analytical and

test data, underlying such technical information by reviewing the assay reports provided to San Marco by

its independent testing laboratory.

The Company has implemented quality assurance (“QA”) and quality control (“QC”) programs to ensure

sampling and analysis of all exploration work is conducted in accordance with the best possible practices.

All sampling programs are carried out in a careful and diligent manner using scientifically established

sampling practices designed and tested to ensure that the results are representative and reliable. Quality

control programs appropriate to the type of sample and the mineralization are implemented, including

such measures as external blanks, standards and duplicate s amples. The security of samples from

sample acquisition to analysis is a vital component of the sampling process. Procedures include the use

of secure core logging, sampling, storage and preparation facilities as appropriate and the prompt, secure

and direct shipping of samples to the laboratories. Appropriate sample security procedures are employed

given the geographic and topographic conditions and the logistics created by the site location.

Forward Looking Information

Information set forth in this document may include forward-looking statements. While these statements

reflect management's current plans, projections and intents, by their nature, forward-looking statements

are subject to numerous risks and uncertainties, some of which are beyond the contro l of San Marco.

Readers are cautioned that the assumptions used in the preparation of such information, although

considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue

reliance should not be placed on these forward-looking statements. San Marco's actual results, programs,

activities and financial position could differ materially from those expressed in or implied by these forward-

looking statements.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada

accepts responsibility for the adequacy or accuracy of this release.