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San Marco Closes Oversubscribed $1.52 Million Private Placement

Financings

San Marco Closes Oversubscribed $1.52 Million Private Placement

Vancouver, B.C. – November 1st , 2017: San Marco Resources Inc. (SMN: TSX-V) ("San

Marco" or “the Company”) announces that it has completed its private placement financing

announced September 29th, 2017. A total of 8,444,444 units (Units”) were issued at $0.18 per

Unit for gross proceeds of $1,519,920, a greater than 20% increase over the original financing

target of $1,260,000. Insiders of the Company acquired 1,190,000 (over 14%) of the Units

issued in this financing.

Each Unit consisted of one common share of the Company (a “Share”) and one -half of one

common share purchase warrant. Each whole warrant (a “Warrant”) entitles the holder to

purchase one common share for $ 0.35 until April 30, 2019. The Shares issued and common

shares issuable on exercise of the warrants are subject to four month restrictions on resale until

March 1, 2018.

Finder’s fees were paid to Haywood Securities Inc. ($41,310) PI Financial Corp. ($4,860),

Echelon Wealth Partners ($1,620) and T-Bone Ventures Inc. ($4,493).

The monies raised will be immediately deployed to advance the Company’s properties including

the work required in preparation to drill both the Chunibas Project, where the Company recently

announced a newly discovered porphyry-related breccia gold system (see news release dated

September 21st, 2017) and the 1068 Project, where the Company also recently announced high

priority drill targets have been identified on this undrilled copper, molybdenum and gold

porphyry system discovered from San Marco’s generative program (see news release

September 26th, 2017).

The securities described in this press release have not been and will not be registered under the

United States Securities Act of 1933, as amended, (the “U.S. Securities Act”) or applicable state

securities laws, and may not be offered or sold in the United States or to U.S. Persons (as

defined in the U.S. Securities Act) without registration, or exemption from registration, under

such laws.

About San Marco

San Marco Resources Inc. is a Canadian mi neral 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 the North-western Mexico. The Company has a committed

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

shareholder value. San Marco currently has 64,716,276 issued and outstanding shares.

On behalf of the Board of Directors,

Robert Willis, P. Eng.

President & CEO

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For further information, contact:

Nancy Curry

[email protected]

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 c ontrol of San Marco

Resources Inc. 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.