Highlights:

• 8 new channels were cut across the Upper Intermediate Zone (UIZ) with up to 28m grading 4.41% Li2O in continuous channels 23 to 25.
• All Channels returned consistent grades between 4.25% and 4.67% Li2O over widths no less than 6.2m1 and;
• The stripping and washing of the outcrop area has exposed a continuous zone of high-grade lithium (UIZ) up to 28m wide over a 115m strike length.

Sudbury, Ontario -January 12, 2016- Houston Lake Mining Inc. (TSX.V: HLM). HLM is pleased to announce the results the 2015 stripping and in-fill channel sampling of the Upper Intermediate Zone (UIZ) on the Pakeagama Lake pegmatite. The program was completed in September along strike to the north-west of the 300 tonne bulk sample site (see March 23, 2015 news release) to better define the geometry and grade at surface. The objective of the channel sampling was to increase the confidence level of the high-grade lithium zone's surficial exposure and to incorporate this data in the Resource Estimate update as announced Thursday, December 17, 2015.

The assay and Channel data for the 8 channels reported are presented in Tables I and II, respectively.The intersection summaries are outlined in Table I below including the lithium, cesium, tantalum and rubidium grades for the channels by mineralogical zones for the pegmatite.

Table I - Channel Sample Intercepts (Pakeagama Lake pegmatite)

(1) Channels 23, 24 and 25 are slightly off-set from each other and represent a continuous section across the UIZ. Channels 26, 27, 28 and 29 are also off-set and represent a continuous sequence of UIZ and LIZ combined.
n/a = Not applicable

The UIZ represents a high grade lithium zone within the pegmatite and is dominated by 'SQUI', a term used to describe an oriented spodumene + quartz intergrowth after primary petalite, with lesser grey K-feldspar and primary white spodumene in quartz. Phosphate minerals and lithian mica are the common accessory minerals. Channels 23, 24 and 25 with a composite grade of 4.41% Li2O represent a 28 metre section across the UIZ in the north-western part of the exposed pegmatite. Channel 22 is located approximately 105 metres northwest along strike from Channel 9 which was cut in 2013.

'We are extremely pleased with these results from the stripping and channel sampling program as they prove consistently high lithium grades throughout the UIZ at surface and will be beneficial to the Resource Estimate update anticipated to be completed this month', commented Trevor R. Walker, President of HLM. 'The stripping has uncovered additional high-grade zone which is quite wide, ranging from six to twenty-eight metres for a total strike length of approximately 115 metres and is consistent with drilled intersections in holes PL-13-003 and PL-011-14 below'.

Table II- Channel Locations

Due Diligence
All scientific and technical information in this release has been reviewed and approved by Peter J. Vanstone, P.Geo., the qualified person (QP) under the definitions established by National Instrument 43-101. Under HLM's QA/QC procedures, channels are cut with a motorized circular diamond saw, and are 4 cm wide and 10 cm deep. The channels are oriented perpendicular to the strike of the pegmatite internal mineralogical zones and are cut continuously across the zones. The samples are removed using a hammer and chisel. The length of a channel is determined by the width of the pegmatite zone. Offset channels are cut where deemed appropriate. Sample lengths typically are 1 metre but can be less depending on zone mineralogy and boundaries. Samples are described, placed into a poly sample bag with a numbered sample tag and then shipped to the assay lab for quantitative analysis for select elements.

All samples were assayed by AGAT Laboratories Ltd. ('AGAT'), an ISO accredited laboratory in Rosslyn, Ontario. Sample blanks along with tantalum, lithium, rubidium and cesium certified reference material was routinely inserted into the sample stream in accordance with industry recommended practices. Field duplicate samples were also taken in accordance with industry recommended practices.

Extension of Warrants and Options
The Company announces that effective January 8, 2016 the expiry date of 1,075,000 Warrants and 150,000 Options issues on January 8, 2014 and held by an insider will be extended from January 8, 2016 to May 8, 2016 (the 'Amendment'), subject to regulatory approval. The exercise price of the warrants and options remains unchanged at $.11.

About the PAK Lithium Project
The PAK Lithium Project lies close to the boundary between two geological sub-provinces of the western Superior geologic province in northwestern Ontario and hosts a rare metals pegmatite deposit. The deposit is an LCT (lithium- cesium- tantalum) type pegmatite. These types of pegmatites have been the principal source of hard rock lithium, tantalum, rubidium and cesium ores mined in the world but there are comparatively few commercially-viable deposits.

HLM is actively exploring its 100% owned and optioned project which contains the Pakeagama Lake pegmatite. The deposit is one of the highest grade lithium deposits in North America which has a current Indicated Resource of 2.45 million tonnes of 1.81% LiO Eq. and Inferred Resource of 5.91 million tonnes of 2.01% LiO Eq. which has a technical/ceramic grade spodumene with low inherent iron (below 0.1% FeO). The deposit has adjacent zones that are enriched in rubidium and tantalum. HLM is also evaluating the phased co-production of rubidium and tantalum concentrates once lithium mineral production has been commercialized.

The deposit now has a known 480m strike length with an estimated true width varying from 10m to 125m with a sub-vertical orientation. The resource remains open to depth and along strike to the northwest and southeast. The Phase III and IV, diamond drill programs and the 2015 Channel sampling were conducted with the objectives to extend the known strike length and to upgrade the lithium Indicated mineral resource to a Measured category, and to possibly upgrade the Inferred mineral resource to a Measured and Indicated category.

About Houston Lake Mining Inc.
HLM's goal is to become a fully integrated lithium, rubidium and tantalum producer through the development of the PAK Rare Metals Project in Ontario, Canada . The Company's strategy is to take advantage of the global shift towards electric/hybrid vehicles and high quality consumer electronics by becoming a raw material supplier of the elements required for the pursuit of sustainable energy and other applications in high-tech electronics and metal alloys.

HLM has a total of 114,172,069 common shares issued and outstanding. For additional information, please visit the company website at www.houstonlakemining.com.

Company Contact Information
Trevor R. Walker, President Henry J. Kloepper, CEO
2736 Belisle Drive T. +001 416.520.0187
Val Caron, ON.
P3N 1B3 CANADA

T.+001 705.897.7622
F.+001 705.897.7618

Forward-looking Statements
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 release. This release includes certain statements that may be deemed 'forward-looking statements'. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at www.sedar.com.