Blue Sky Expands Mineralized Zone at Amarillo Grande Project, Argentina

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 5, 2017) - Blue Sky Uranium Corp. (TSX VENTURE:BSK)(FRANKFURT:MAL2)(OTCQB:BKUCF) ("Blue Sky" or the "Company") is pleased to report that the initial results from the Phase 2 exploration program indicate that the known two-kilometre long, strongly-mineralized corridor may extend up to an additional two kilometres to the south at the Ivana target on its 100% owned Amarillo Grande uranium-vanadium project, in Rio Negro Province, Argentina. The mineralization is also open to expansion to the north.

"The second phase of the program is progressing well, with clear indications that the system is much bigger than previously identified," stated Nikolaos Cacos, Blue Sky President & CEO. "We look forward to receiving the latest assays to quantify the size and scale of the expansion, and we continue to drill to test just how large the system is. We remain very optimistic on the size potential of this discovery."

The current program is focused on the Ivana area, where the previous drilling program defined a strongly mineralized corridor extending more than two kilometres in a northeast direction, between 200 and >400 metres wide, up to 20 metres thick, with grades as high as 3,136 ppm U₃O₈ over one metre (see news release dated September 18^th, 2017). The corridor was interpreted as open to expansion to the southeast and to the north and results from geophysical surveys completed in the current program confirmed new targets in both directions with the potential for significant mineralization. Phase 2 Reverse Circulation (RC) drilling completed to date includes holes 159 through 193, for a total of 428 metres in 35 holes. Logging of the RC chips and radiometric surveying of the drill holes suggests that the mineralized zone has been extended to the south for almost two kilometres based on radiometric signatures in holes AGI-163, AGI-169, AGI-170, AGI-186 & AGI-187 as shown in the map available here: https://www.blueskyuranium.com/assets/news/2017-Oct-5-NR-Map.pdf. Analytical results for the drill holes completed in the Phase 2 program to date are expected by the end of October. Phase 2 drilling at Ivana will be resuming shortly and will consist of approximately 3000 metres focused on resource delineation. Metallurgical testwork is also underway on material from Ivana.