The San Javier Mill is Nearing Completion – Interconnection Between the Federal Electricity Commission (CFE) Network and the San Javier Power Grid Has Begun and the Secretariat of the Environmment and Natural Resources Agency (Semarnat), Environmental Permits Are
ARCTIC HUNTER ENERGY INC.
Suite 1610 - 675 West Hastings Street · Vancouver · British Columbia · V6B 1N2
Telephone: (604) 681-3131
NEWS RELEASE
December 5, 2017 TSX-V Trading Symbol: AHU
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THE SAN JAVIER MILL IS NEARING COMPLETION – INTERCONNECTION BETWEEN
THE FEDERAL ELECTRICITY COMMISSION (CFE) NETWORK AND THE SAN JAVIER
POWER GRID HAS BEGUN AND THE SECRETARIAT OF THE ENVIRONMMENT AND
NATURAL RESOURCES AGENCY (SEMARNAT), ENVIRONMENTAL PERMITS ARE
PENDING
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VANCOUVER, B.C. - Arctic Hunter Energy Inc. (TSX-V: AHU) (“Arctic Hunter” or the
“Company”) is pleased to announce that the Company management has received the recently completed
November report, monitoring the rapid progress of the work being conducted on the San Javier Flotation
Mill situated in the Gold & Silver mining district of the Sierra Madre Gold belt, in the State of Sonora,
Mexico. The San Javier Mill is currently nearing completion and the newly re -furbished and upgraded
equipment is expected to be a fully operational 100 Ton per day capacity flotation mill. Work is being
conducted by experienced local Mexi can electrical contractors, empl oying more than twenty-five (25)
local workers and skilled tradesmen who have been working around the clock in two, twelve hour shifts
per day, seven days a week. The San Javier Mill is currently main taining schedule guidelines and is
complying with all budgetary guidelines, and the Mill is expected to be commissioned as soon as all
electrical testing is completed and all necessary environmental permits have been issued to the
Company.
San Javier Mill - Progress report (November) - Updates include the following:
The Mexican Federal Electricity Company (CFE), the state-owned electric utility of Mexico, has
begun circuit testing the interconnect ion between the area network, with that of the San Javier Mill
power grid. Minor modifications have been recommended and work on the network is expected to be
completed later next week.
The Mexican Federal Agency of Environmental Protection, the Secretariat of Environment and
Natural Resources (SEMARNAT) is expected to be issuing the required environmental permits
sometime in mid-December. The Se cretariat is charged with the mi ssion of conserving the area’s
rich ecosystems, while managing and implementi ng site guidelines, si te specifications and
overseeing the tailings dams located on the mill site with the goal of fostering sustainable
development of natural mining resources expected to be utilized on the project.
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Tim Coupland, President & CEO stated, “We continue making great progress to date and continue
meeting our installation and set-up timelines. We are currently wait ing for the required environmental
permits which are expected to be issued by the S ecretariat of Environment and Natural Resources
(SEMARNAT) in mid-December. The Company is now nearing the complete re-furbishment and
modernization of the mill. The San Javier Mill is nearing final completion, set-up, and is making
preparation for final equipment a nd electrical grid and power grid testing. The San Javier Mill has now
been fully modernized, with the intent to identify and capture all potential milling and direct-ship mining
opportunities that are situated within this mining district with its many gold and silver mines.”
THE SAN JAVIER MILL - SONORA STATE, MEXICO
The Company has paid the sum of USD $250,000 and has successfully acquired a 30% interest in Real
de Rebeico Gold S.A. de C.V. (“Rebeico Gold”), wh ich owns an interest in a State owned 100 ton per
day flotation mill situated near the city of Herm osillo in Sonora State, Mexico. The formal option
agreement with Rebeico Gold of Sonora, Mexico allo ws Arctic Hunter to earn the initial 30 % interest
for USD $250,000 (earned and vested), and an additiona l 20% interest (for up to a 50% interest) in
Rebeico Gold for an additional USD $250,000. Rebeico Go ld holds the right to operate the strategically
located San Javier Mill and the right to receive its pro-rata production proceeds derived therefrom
pursuant to an assignment agreement between Rebeico and Exlporacion y Desarollo del Desierto, S.A de
C.V. (“EDDSA”) dated April 24, 2017. EDDSA holds the operating rights and the right to receive all
proceeds from the San Javier Mill, and the right to conduct ancillary activities on the project site
pursuant to a 10 year lease agreement between EDDSA and the state of Sonora, Mexico, dated February
24, 2015. The San Javier Mill Project site is located w ithin the heart of the prol ific Sierra Madre Gold
belt and mining district of northern Mexico and is easily accessed by paved highwa y from the City of
Hermosillo, Mexico. The San Javier Mill is a former working and operational State owned flotation mill
that is surrounded by a region that has had widespread historical mining, dating back from colonial
times through to the 21 st century. The Mill formerly serviced many of the working gold, copper and
silver mineral concessions and mines located in this mining region in the past.
ABOUT ARCTIC HUNTER – MEXICAN GOLD EXPLORATION AND MILLING
PRODUCTION CAPABILITY
The Company is a Canadian Oil & Gas exploration and mining resource development Company that is
now focused on acquiring production capabilities, ob taining potential future production revenues,
discovering and advancing high grad e gold, silver and copper deposits and mining concessions situated
within a large mining district in Sonora, Mexico. The Company ha s now acquired a 30% interest in
Rebeico Gold of Sonora, Mexico, which holds an in terest in the San Javier Mill, which gives the
Company the right to receive its shar e of proceeds from the San Javier Mill which is situated in the
Sierra Madre Gold Belt. The Company is now strategically positioned, to identify and capture all
potential milling and direct-ship mining opportunities situated in the region. The Company identifies,
acquires and finances the acquisiti on, exploration and development of mining and oil and gas assets
primarily situated in Western Canada and Mexico. The Company is continually reviewing future mining
production and exploration opportuniti es, through selective property ac quisitions and identifying low
risk exploration and drilling activities situated in Canada, the United States, Mexico and abroad.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Tim Coupland, President and CEO
Arctic Hunter Energy Inc.
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Tel: (604) 681-3131
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Policies of the TSX Ventur e Exchange) accepts respon sibility for the adequacy or accuracy of this
release.