Balmoral Commences 25,000 Metre Drill Program Focussed on Expanding the Bug Lake Gold Deposits, Martiniere Property, Quebec

VANCOUVER, BC--(Marketwired - February 09, 2017) - Balmoral Resources Ltd. ("Balmoral" or the "Company") (TSX: BAR) (OTCQX: BALMF) announced today that its 2017 drilling program is now underway with the primary focus being the continued expansion and delineation of the Bug Lake gold deposits and other recent high-grade, near surface gold discoveries on its Martiniere Property, part of the Detour Gold Trend Project, in Quebec. It is anticipated that a minimum of 25,000 metres of drilling will be completed this year along the Bug Lake Gold Trend, with expansion of the size of the program as the year progresses being a strong possibility given the excellent results from the fall 2016 program.

"Our summer/fall 2016 drill program more than doubled the known footprint of the Bug South and Bug Lower Steep gold deposits and continued to extend the Bug North deposit down-plunge," said Darin Wagner, President and CEO of Balmoral. "Those results included some of the broadest gold mineralized intercepts from the property to date from our expansion drilling of the Bug South deposit, which is the initial focus of drilling this winter."

The Bug South gold deposit (see Figure 1) is one of three deposits now recognized along the length of the Bug Lake Gold Trend located central to the Martiniere Property. The summer/fall program led to the identification of a broad central core to the Bug South deposit located at depths of less than 275 vertical metres and highlighted by intercepts of:

• 115.45 metres grading 1.40 g/t gold including 10.75 metres grading 3.73 g/t gold (see NR16-19)
• 88.36 metres grading 1.07 g/t gold including 7.77 metres grading 2.99 g/t gold (see NR17-02)
• 78.17 metres grading 1.65 g/t gold including 17.00 metres grading 4.50 g/t gold (see NR16-24)
• 41.95 metres grading 3.24 g/t gold including 11.58 metres grading 6.30 g/t gold (see NR17-02)
• 35.16 metres grading 2.16 g/t gold including 9.08 metres grading 7.10 g/t gold (see NR16-24)
• 32.29 metres grading 3.39 g/t gold including 18.26 metres grading 5.41 g/t gold (see NR16-19)
• 25.90 metres grading 2.73 g/t gold including 10.75 metres grading 4.17 g/t gold (see NR16-19)

To date the Bug South deposit has been intersected for approximately 300 metres along strike, to a vertical depth of approximately 275 metres and down-plunge for approximately 425 metres. It remains open to depth and down plunge. One drill is currently testing the Bug South deposit with a second slated to begin turning over the next several days.