Salazar Provides a Corporate Update On Its Wholly-Owned Portfolio

Vancouver, January 14, 2020 - Salazar Resources Ltd. (TSXV: SRL) (FSE: CCG.F) ("Salazar Resources" or the "Company",) a well-funded Ecuadorian and Colombian focused copper-gold explorer, is pleased to provide the following update on its wholly-owned portfolio:

Highlights

● Three projects to be drilled across the wholly-owned portfolio in 2020

● Well-funded Company, with strong treasury to be supplemented by income from joint ventures

● Multiple concession applications to be submitted on re-opening of national mining register

Fredy Salazar, CEO of Salazar Resources commented, "We are pleased to announce that the Company remains well-funded and that the Board has approved plans to drill Rumiñahui, Los Osos and Macara this year. Meanwhile, Salazar Resources continues to run a prospecting team field-checking targets generated by our specialists in Ecuadorean geology. We are aiming to grow our portfolio of highly prospective assets through our expertise and our unrivalled grass-roots network, and we eagerly await the reopening of the national mining register. Furthermore, as proud Ecuadoreans we remain committed to developing the natural resource endowment of our Country in partnership with our local communities and with our government.

The Company is focused on its strategy of advancing its 100%-owned projects prior to seeking partnership with major mining companies. In parallel, funded work at the Curipamba, Pijili and Santiago joint venture projects continues to progress well."

Strategy

Salazar Resources plans to drill Rumiñahui, Los Osos and Macara on a 100% basis in 2020 and evaluate strategic options as the projects advance. The Company also awaits the re-opening of the national mining register later this year with interest. Salazar Resources has four project applications pending, and it is hoped that at least one of these new projects will be awarded when the register reopens. In addition the Company will submit several further applications for new projects and concession areas when the mining register opens.

Responding to inbound strategic interest Salazar Resources intends to open formal discussion for farm-outs later in the year. The Company will be attending the Project Generators Hub at the Association for Mineral Exploration, Roundup 2020 conference in Vancouver later this month.

Budget

Salazar Resources has a funded US $2.6m budget for 2020 that incorporates the option to drill up to 8,500m on its 100% owned portfolio. At September 30, 2019, Salazar Resources had Cdn $4.27m in cash and the Company also receives income in the form of advance payments and management fees from its funded joint ventures. The guaranteed income from Curipamba is a minimum of US $600,000 per annum and Salazar Resources will earn additional management fees for exploration services provided to the Exploration Alliance for work on Pijili and Santiago.

Salazar Resources can generate further income from its wholly-owned subsidiary, Perforaciones Andesdrill S.A that owns three diamond drill rigs.

Drill Plan for 2020

At Rumiñahui and Macara, water-use permits are awaited prior to drilling. The initial plan is to allocate 3,000m of drilling at Rumiñahui and Los Osos, with 2,500m of drilling at Macara. Timing of the drill plans will depend on water permit issuance and the drilling will be carried out by Perforaciones Andesdrill S.A.

An exploration update on Los Osos will be provided shortly.

Other Work

Salazar Resources runs a prospecting team regularly field-checking targets, with a view to growing the property portfolio in a value-accretive manner. Salazar Resource also continues with community engagement as part of all day-to-day activity in order to work across all of our operations in the most socially and environmentally responsible way possible. The Company recognizes the importance of working safely and respecting the environment and communities we are privileged to work in.

In Colombia, ratification of the Alisales licenses is ongoing, with a view to starting fieldwork in H2 2020. The Company continues to monitor options regarding access to the Ramos and La Verde license areas prior to starting the license ratification process.

About Salazar

Salazar Resources (SRL.V) (CCG.F) is a mineral resource company engaged in the exploration and development of mineral deposits in Ecuador and Colombia. The Company has a proven Ecuadorian discovery team led by ex-head of exploration for Newmont in Ecuador, Fredy Salazar; a team of 40 people including fifteen geologists; three drill rigs and an unrivalled Ecuadorian 'grass roots' network. The Salazar Resources team has been involved with many discoveries in Ecuador, including Curipamba (Adventus Mining and Salazar Resources), Fruta Del Norte (Lundin Gold), the Mozo deposit, Cangrejos (Lumina Gold), Rio Blanco (Junefield Mineral Resources and Hunnan Gold), and Gaby (ENAMI).

Salazar Resources aspires to be Ecuador's leading project generator with the right partners at the right time making the company self-funding.

Salazar Resources has a joint venture on the Curipamba VMS discovery, whereby its partner can earn 75% of the project by funding exploration and development expenditures of US $25 million before October 2022. A feasibility study is expected to be completed during 2021, after the partner is required to fund 100% of the development and construction expenditures to commercial production. In addition, Salazar Resources has a funded Exploration Alliance with the same partner that has incorporated the Pijili and Santiago projects to date.

Salazar Resources is advancing its 100% owned Rumiñahui, Macara, Los Osos and Alisales projects with the aim of making Ecuador's next significant copper-gold discovery.

ON BEHALF OF THE BOARD OF Salazar Resources Ltd.

Fredy Salazar
Salazar Resources (Chief Executive Officer)
fsalazar@salazarresources.com
Tel: +593 (0) 99 733 6152

Merlin Marr-Johnson
Salazar Resources (VP Corporate Development)
merlin@salazarresources.com
Tel: +44 20 7389 5023

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

This press release contains "forward -looking information" within the meaning of applicable Canadian securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends", "plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "should" "might", "will be taken", or "occur" and similar expressions) are not statements of historical fact and may be forward-looking statements.

Forward-looking information herein includes, but is not limited to, statements that address activities, events or developments that Salazar expects or anticipates will or may occur in the future. Although Salazars has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Salazar undertakes to update any forward-looking information except in accordance with applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/51427