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Canstar Resources Provides Drill Program Update for Kenora Gold Project

Canstar Resources Inc. (TSX VENTURE:ROX) ("Canstar") wishes to provide an update on the recently announced drilling program for the Kenora Gold Project (see press release dated March 23rd, 2017).

Due to contractor delays that may continue until spring breakup, the Company has determined to delay the commencement of the next Phase of drilling on the Kenora Gold Project. Drilling will commence in June and will be combined with other drilling planned for the spring as well as additional surface exploration work.

This additional surface exploration work includes the trenching of 3 new showings. Of particular interest are the surface exposure associated updip to the recently announced 22-meter intersection containing 0.5 g/t gold, including 7 meters containing 0.7 g/t gold (see Company's press release dated March 15, 2017), as well as a 360 meter trend from which several grab samples yielding multigram samples containing up to 4 g/t gold (see Company's press release dated November 17th, 2016) occurring on the same trend as a historic mining operation (ca. 1898) known as the Treasure Mine.

The Company is also pleased to announce that it is developing an exploration program for the Mary March Project located near Buchans, Newfoundland. Past exploration at Mary March Project has demonstrated a presence of polymetallic volcanogenic massive sulphide-style mineralization with emphasis on zinc, lead, copper, silver and gold.

"The Mary March Project has always remained a centerpiece of Canstar's stable of projects," said Danniel Oosterman, President and CEO. "With the recent improvement in the prices of base metals, notably zinc, further exploration of Mary March is warranted."

Some of the historic highlights of the Mary March Project include:

  • A 1996 Phelps Dodge drillhole intercept (MM‐294‐7 ) that intersected 9.63 metres of mainly massive sulphides with an average grade of 10.1% zinc, 1.68% lead, 0.64% copper, 122.1 g/t silver and 4.2 g/t gold (Mary March Zone);
  • 2013 drilling by Canstar semi-massive sulphides intercepting 11.6 meters of 3.6% zinc, 0.1% copper, 0.8% lead, 25 g/t silver and 2 g/t gold, as well as 5.0 meters of 4.8% zinc, 0.4% copper, 1.0% lead, 71 g/t silver and 2 g/t gold (Mary March Zone);
  • 2013 drilling by Canstar of a stockwork sulphide zone intercepting 18.5 meters of 1.6% zinc, 0.1% copper, 0.2% lead, and 2 g/t silver and another intercept of 18.9 meters of 1.6% zinc, 0.1% copper, 0.5% lead and 4 g/t silver (Nancy April Zone);
  • 2014 drilling by Canstar of semi-massive sulphides intercepting 5.5 meters of 2.5% copper, 9 g/t silver and 0.7 g/t gold (Nancy April Zone);
  • 2014 drilling by Canstar westward continuation of the stockwork sulphide zone intercepting 93.7 meters of 1.0% zinc, 0.1% copper, 0.2% lead and 3 g/t Ag (Nancy April Zone).

The Mary March Project is a joint venture between Canstar and Glencore Plc wherein Canstar holds 56% interest.

Danniel Oosterman, P.Geo is President and Chief Executive Officer and is a Qualified Person as defined by NI 43-101 and is responsible for and has approved the technical information in this release.

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