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STS.V ·

South Star Mining Provides Update on its Advanced Testing

Corporate Updates

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

NEWS RELEASE

South Star Mining Provides Update on its Advanced Testing

Program with Urbix Resources

September 23, 2019 – Vancouver, B.C. - South Star Mining Corp. (“South Star” o r t h e

“Company”) (TSXV: STS) (OTCQB: STSBF) is pleased to provide an update for the advanced

testing program on concentrates from its Santa Cruz Graphite Project located in the state of Bahia,

Brazil. The test work is being carried out by Urbix Resources, LLC (“Urbix”) at its cutting-edge

R&D facility in Mesa, Arizona and incorporates Urbix’s advanced purification and exfoliation

technologies.

Last year, the Company submitted four different flake-size conc entrates, previously produced

during the Company’s pilot plant program, to Urbix for advanced testing. Phase 1 wa s a detailed

characterization of each sample, including QEMSCAN, XRay Diffra ction, Raman Spectroscopy

and SEM among others. The result s indicated a very high-qualit y graphite with minimum

impurities and excellent suitability for further purification a nd value-added processing. The

Second Phase has been focused on determining the ideal parameters for utilizing Urbix’s low-cost

and environmentally friendly purification methodologies to achi e v e b e s t r e s u l t s . A D e s i g n o f

Experiment (“DoE”) protocol with four key variables (time, temperature, chemical and reagent

ratio) was developed based on a Six Sigma approach.

A total of 17 individual purification runs were conducted with results quantified by both % Loss

on Ignition Carbon and Change in Burn Rate (dM%/dT) measurement s. With the DoE results

now in hand, the best combination of variables has been determined and samples from each of the

four concentrates (+50#, +80#, +140# and -140#) will be tested utilizing the optimum purification

procedure. Dr. Palash Gangopadhyay, CTO of Urbix, stated “We are thrilled to have completed a

key step in the purification process optimization with South St ar flakes and are happy to report

that with an optimized batch time of only 20 minutes, it is possible to produce up to 16,000 metric

tonnes a year of 99.9%+ pure +50 mesh flake in URBIXs commercia l production-sized reactor

currently in construction. This is extremely encouraging for the massively growing expanded and

expandable graphite market. Once purified, crytallinity and fl ake morphology of the Santa Cruz

graphite make them ideal candidates for lithium ion battery app lications.” Final results from the

four runs, along with the expandability characterization of one of the purified samples, will be

available in the coming weeks. In addition, one of the Santa Cruz samples has also qualified under

part of a US Department of Energy sponsored initiative at Urbix and these results continue to

confirm its potential use for nuclear grade graphite.

Company CEO Richard Pearce stated “The results from this independent testing with Urbix

supports our conviction that graphite potentially produced from Santa Cruz will be conducive for

use in many new and exciting high-tech growth areas including l ithium ion batteries. It also

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

confirms that our production will be very similar to the high-q uality flake graphite that has been

continuously produced from this region in Brazil for over 70 years.”

ABOUT SOUTH STAR MINING CORP.

South Star Mining Corp. is focused on the selective acquisition and development of near-term

mine production projects in Brazil to maximize shareholder value. STS has an experienced

executive team with a strong history of discovering, developing, building and operating

profitable mines in Brazil.

The Santa Cruz Graphite Project is located in Southern Bahia in the third largest graphite

producing region in the world with over 70 years of continuous mining. The Project has at

surface mineralization in friable materials, and successful large-scale pilot plant testing (>30t)

has been completed. The results of the testing show approximately 65% of Cg concentrate is

+80 mesh with good recoveries and 95-99% Cg.

To learn more, please visit the Company website at www.southstarmining.ca.

ABOUT URBIX RESOURCES, LLC

Urbix Resources, LLC is an advanced natural graphite processor with expertise ranging across

low-cost environmentally friendly graphite purification, nuclea r graphite, graphene, and other

advanced carbon derivatives. Urbix is also an expert in li-ion battery cell design and boasts next

generation high voltage electrolyte and fast charging electrode nanoarchitecture.

On behalf of the Board,

Mr. Richard Pearce

Chief Executive Officer

Ph: +1 (314)266-0793 (US)

Ph: +55 (11) 2308-6839 (Brazil)

Email: [email protected]

For additional information, please contact:

Mr. Dave McMillan

Chairman

Ph: +1 (778) 773-4560

Email: [email protected]

Mr. Eric Allison

Director

Ph: +1 203 918-3098

Email: [email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CAUTIONARY STATEMENT

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined

in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy

of this press release.

This news release and the PEA contain refere nces to inferred resources. The PEA is

preliminary in nature and includes inferred mineral resources that are considered too

speculative geologically to have the economic considerations applied to them that would enable

them to be categorized as mineral reserves. There is no certainty that the PEA will be realized.

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable

securities laws. Generally, any statements t hat are not historical facts may contain forward-

looking information, and forward-looking informati on can be identified by the use of forward-

looking terminology such as "plans", "expects " or "does not expect", "is expected", "budget",

"scheduled", "estimates", "forecasts", "intends ", "anticipates" or "does not anticipate", or

"believes", or variations of such words and phrases or indicates that certain actions, events or

results "may", "could", "would", "might" or "will be" taken, "occur" or "be achieved". Although

the Company believes in light of the experience of its officers and directors, current conditions

and expected future developments and other factors that have been considered appropriate, that

the expectations reflected in th is forward-looking information are reasonable, undue reliance

should not be placed on them because the Company can give no assurance that they will prove to

be correct. Readers are cautioned to not plac e undue reliance on forward-looking information.

Actual results and developments may differ materially from those contemplated by these

statements.