VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sep 26, 2017) - San Marco Resources Inc. (TSX VENTURE:SMN) ("San Marco") announces the results and recommendations of recent exploration on its 1068 Project. The Project is an undrilled copper, molybdenum and gold porphyry system discovered from San Marco's generative program (see news release dated January 19, 2017).

During construction of a preliminary access road to potential drill site areas, mineralization was noted in the roadway with copper values up to 0.76%, gold up to 0.17g/t and molybdenum up to 2050 ppm over 3 - 4 metre channel samples. Drilling is recommended after additional surface mapping and sampling is completed. Preparation for such work will commence immediately.

Exploration Highlights

Highlights of the exploration include;

• Surface alteration and mineralized footprint has increased to 1.6 kilometres X 1.5 kilometres ("km") and is open for expansion in at least two directions.
• Poorly exposed erosional window into potassically altered mineralized intrusive (100 metres by 200 metres) is an obvious drill target.
• Extensive phyllically altered and stockwork-quartz-veined volcanic lithocap (as above, 1.6 km X 1.5 km and open) may have created favourable conditions for sealing the system acting as a trap for fluids, enhancing the mineralizing process. Drilling through this volcanic cap is another obvious drill target.
• Oxide copper occurs mainly in fractures and veinlets. Fresh sulphides (pyrite, chalcopyrite and molybdenite) were observed below the volcanic rock cap in potassic alteration.
• Semi-continuous channel sampling over part of a newly constructed road cut ran 62 metres of 0.1% copper; 215 ppm molybdenum and 0.044 g/t gold. Sampling was limited to where the bulldozer was able to build the road and not necessarily cutting the best outcrop exposures.
• Geochemical zonation suggests use of pathfinder elements as well as mapping alteration mineralogy can be utilized to vector to the best drill targets.

Exploration Plans

Recent work has resulted in the following strategy and recommendations for continued exploration of the 1068 Project:

• Extend geological mapping over the northeast and southeast sections of the Project, up to 1 kilometre in each direction.
• Expand the previous rock-chip sample grid by a minimum of 500 metres to the southeast and northeast.
• Detail mapping of the phyllic alteration over the volcanic cap (lithocap) using pathfinder alteration minerals and the relative amounts of porphyry copper system vein types, to define specific drill targets.
• Commence drilling into the deeper core of the potassic alteration window (where current road cut sampling exists), as well as selected locations within the volcanic cap to test for mineralization suspected to occur beneath.

The Company plans to initiate the exploration programs as indicated. A more precise timetable of events will be disclosed over the next few weeks.

About San Marco

San Marco Resources Inc. is a Canadian mineral exploration company with a portfolio of promising projects in mining-friendly Mexico, including the Chunibas, Mariana and 1068 Projects in Sonora State.

San Marco actively pursues strategic project generation program focused on high-caliber, low acquisition cost opportunities in the North-western Mexico. The Company has a committed management team with extensive experience in Mexico and a proven track record of building shareholder value. San Marco currently has 56,201,832 issued and outstanding shares.

On behalf of the Board of Directors,

Robert Willis, P. Eng., President & CEO

National Instrument 43-101 Disclosure

This news release has been approved by San Marco's CEO, Robert D. Willis, P. Eng. a "Qualified Person" as defined in National Instrument 43-101, Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators. He has verified the data disclosed, including sampling, analytical and test data, underlying such technical information by reviewing the assay reports provided to San Marco by its independent testing laboratory.

The Company has implemented quality assurance ("QA") and quality control ("QC") programs to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. All sampling programs are carried out in a careful and diligent manner using scientifically established sampling practices designed and tested to ensure that the results are representative and reliable. Quality control programs appropriate to the type of sample and the mineralization are implemented, including such measures as external blanks, standards and duplicate samples. The security of samples from sample acquisition to analysis is a vital component of the sampling process. Procedures include the use of secure core logging, sampling, storage and preparation facilities as appropriate and the prompt, secure and direct shipping of samples to the laboratories. Appropriate sample security procedures are employed given the geographic and topographic conditions and the logistics created by the site location.

Forward Looking Information

Information set forth in this document may include forward-looking statements. While these statements reflect management's current plans, projections and intents, by their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the control of San Marco Resources Inc. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on these forward-looking statements. San Marco's actual results, programs, activities and financial position could differ materially from those expressed in or implied by these forward-looking statements.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.