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STS.V ·

South Star Mining Corp. Announces the Engagement of Red Cloud Financial Services

Corporate Updates

NEWS RELEASE

South Star Mining Corp. Announces the Engagement of Red Cloud Financial Services

Toronto, ON, April 12, 2021 – South Star Mining Corp. (“South Star” or “the Company”) (TSX-V: STS) (OTCQB:

STSBF) is pleased to announce that it has contracted Red Cloud Financial Services (“Red Cloud”) to provide the

Company with a range of corporate advisory and investor relations services. Red Cloud is a Toronto -based

financial services company that provides assistance in accessing capital markets.

As the Company is pushing towards construction of the Phase 1 facilities and 2022 production, Red Cloud will

assist in broadening ou r shareholder base, pro vide improved access to in stitutional investors and provide

corporate advisory/investment banking services. Under the terms of the agreement, Red Cloud will be paid a

monthly fee of C$10,000 and has been granted 120,000 options with an exercise price of C$0.25 exercisable for

a period of two years. The agreement is for an initial period of six months and is renewable on a monthly basis

thereafter.

About South Star Mining Corp.

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

in Brazil. South Star is driven to create fundamental value in the battery metals sector for clients and investors

with real projects that have strong intrinsic financial and operating metrics, and that can be profitable throughout

the resource cycle. South Star has an experienced executive team with a strong history of discovering, developing,

building and operating profitable mines in Brazil.

The Santa Cruz Graphite Project (“the Project”), located in Southern Bahia, is the first of a series of battery metals

projects that will be put into production. Brazil is the second-largest graphite-producing region in the world with

more than 80 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 that

approximately 65% of Cg concentrate is +80 mesh with good recoveries and 95-99% Cg. With excellent

infrastructure and logistics, South Star is carrying its development plan towards Phase 1 production projected in

Q4 2022, pending financing. To learn more, please visit the Company website at http://www.southstarmining.ca.

On behalf of the Board,

Mr. Richard Pearce

Chief Executive Officer

For additional information, please contact:

CHF Capital Markets

Cathy Hume, CEO

Phone: 416-868-1079 x251

Email: [email protected]

Mr. Dave McMillan

Chairman

Email: [email protected]

Twitter: https://twitter.com/southstarmining

Facebook: https://www.facebook.com/southstarmining/

LinkedIn: https://www.linkedin.com/company/south-star-mining-corp/

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.

FORWARD-LOOKING INFORMATION

The information contained herein contains "forward -looking statements" within the meaning of applicable securities

legislation. Forward -looking statements relate to information that is based on assumptions of management, forecasts of

future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs,

plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be

"forward-looking statements".

Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to

differ from those reflected in the forward -looking statements, including, without limitation: risks related to failure to obtain

adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political

and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks

related to environm ental regulation and liability; the potential for delays in exploration or development activities or the

completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation o f drill

results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost

estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the

possibility that future exploration, development or mining results will not be consistent with the Company's expectations;

risks related to commodity price fluctuations; and other risks and uncertainties related to the Company's prospects, properties

and business detailed elsewh ere in the Company's disclosure record. Should one or more of these risks and uncertainties

materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in

forward-looking statements. Investors are cautioned against attributing undue certainty to forward -looking statements.

These forward -looking statements are made as of the date hereof and the Company does not assume any obligation to

update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the

Company's expectations or projections.