The Cerro Verde Mill is Nearing Completion – Interconnection Between the Federal Electricity Commission (CFE) Network and the San Javier Power Grid Has Begun and the Secretariat of the Environmment and Natural Resources Agency (Semarnat), Environmental Permits Are

ARCTIC HUNTER ENERGY INC.

Suite 1610 - 675 West Hastings Street · Vancouver · British Columbia · V6B 1N2 Telephone: (604) 681-3131

NEWS RELEASE

March 1, 2018 TSX-V Trading Symbol: AHU

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THE CERRO VERDE MILL IS NEARING COMPLETION – INTERCONNECTION BETWEEN THE FEDERAL ELECTRICITY COMMISSION (CFE) NETWORK AND THE SAN JAVIER POWER GRID HAS BEGUN AND THE SECRETARIAT OF THE ENVIRONMMENT AND NATURAL RESOURCES AGENCY (SEMARNAT), ENVIRONMENTAL PERMITS ARE PENDING

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VANCOUVER, B.C. - Arctic Hunter Energy Inc. (TSX-V: AHU) (“Arctic Hunter” or the “Company”) is pleased to announce that the Company management has received the recently completed January 2018 report, monitoring the rapid progress of the work being conducted on the Cerro Verde Flotation Mill situated in the Gold & Silver mining district of the Sierra Madre Gold belt, in the State of Sonora, Mexico. The Cerro Verde Mill is currently nearing completion and the newly re-furbished and upgraded equipment is expected to be a fully operational 100 Ton per day capacity flotation mill. Work is being conducted by experienced local Mexican electrical contractors, employing more local workers and skilled tradesmen who have been working around the clock in two, twelve hour shifts per day, seven days a week. The Cerro Verde Mill is currently maintaining schedule guidelines and is complying with all budgetary guidelines, and the Mill is expected to be commissioned as soon as all electrical testing is completed and all necessary environmental permits have been issued to the Company.

Cerro Verde Mill - Progress Report (January 2018) - Updates include the following:

• The Mexican Federal Electricity Company (CFE), the state-owned electric utility of Mexico, has begun circuit testing the interconnection between the area networks, with that of the San Javier Mill power grid. Minor modifications have been recommended and work on the network is nearing certification and completion.
• The Mexican Federal Agency of Environmental Protection, the Secretariat of Environment and Natural Resources (SEMARNAT), is expected to be issuing the required environmental permits sometime in mid-December. The Secretariat is charged with the mission of conserving the area’s rich ecosystems, while managing and implementing site guidelines, site specifications and overseeing the tailings dams located on the mill site with the goal of fostering sustainable development of natural mining resources expected to be utilized on the project.
• Real de Rebeico Gold S.A. de C.V. (“Rebeico Gold”) has re-named its flotation mill, formally known as the Government Riel Viejo /San Javier Mill. The Mill has now been re-named the Cerro Verde gold and silver Flotation Mill by management. The newly named facility, which has been fully upgraded and fully re-furbished, is situated in the heart of the San Javier mining district.
• Real de Rebeico Gold S.A. de C.V. (“Rebeico Gold”), in which the Company holds a 30% interest, has now received and been duly confirmed, as fully registered at the Foreign Investment Registar in Mexico City. This is the second approval received by the Company. February 12, 2018
• Real de Rebeico Gold S.A. de C.V. (“Rebeico Gold”), in which the Company holds a 30% interest, has now received and been duly confirmed, as fully registered at the Public Mining Registry of Property and Commerce at the Economy Secretariat located in Mexico City. February 7, 2018
• All conveyer belts have been upgraded with all new rubber and head pulleys. All new motors have been installed on the Mill’s crushing cones.
• All new electrical equipment has been installed in the Master control room, which includes all new magnetic switches and new control panels. All electrical updates have followed the strictest guidelines implemented by the Mexican Federal Electricity Company.
• The new Cell flotation area has been completely updated and re-furbished, and fully equipped with brand new agitators, impeller pumps and water delivery pipes. The units are now fully operational.
• The giant Ball Mill area has been installed with a new pulp sampler/crusher, stainless steel balls inserted that has been fully installed and is operational. All new motors’ have been installed to the crusher cones.
• New restroom facilities are fully operational, with fully updated water and shower facilities.
• All ancillary facilities, living quarters, sanitation facilities, fully operational metallurgy laboratory, managers offices have been fully updated and are operational.
• Concrete foundations have been re-excavated and all re-bar have been set in place with proper footings formed and set with newly poured concrete for added strength.
• The Grizzly on the coarse ore bin has been completely updated, with double reinforced welding updates and repairs to the surrounding floor decking. Roofing and cat walks have all been fully updated.
• Road access to the Cerro Verde Mill has been given continuous road care and is currently in excellent shape.
• The complete upgrade of the Mill facilities electrical system and structural lighting has been completed. The electrical system has been tested and deemed fully operational and is now waiting to be connected to the regional power grid.
• Newly installed concrete fire-resistant power poles have replaced all obsolete old wooden poles. The new poles have been installed along the 3 kilometer corridor connecting the Cerro Verde Mill with the regional main electrical grid, situated at the highway access point at Kilometer 145.
• All new electrical transformers have also been installed on site and are fully operational.
• An announcement will be made shortly regarding the Grand Inauguration and opening of the Mill.

Tim Coupland, President & CEO stated, “We have made significant progress to date and continue meeting our installation and set-up timelines. We are still waiting for the required environmental permits which are expected to be issued by the Secretariat of Environment and Natural Resources (SEMARNAT) in mid-December. The Company is now nearing the complete re-furbishment and modernization of the mill. The Cerro Verde Mill is nearing final completion, set-up, and is now fully operational. The Company is making preparation for final equipment and electrical grid and power grid testing. The Cerro Verde Mill has now been fully modernized, with the intent to identify and capture all potential milling and direct-ship mining opportunities that are situated within this mining district with its many gold and silver mines.”

THE CERRO VERDE GOLD & SILVER FLOTATION MILL - SONORA STATE, MEXICO

The Company has paid the sum of USD $250,000 and has successfully acquired a 30% interest in Real de Rebeico Gold S.A. de C.V. (“Rebeico Gold”), which owns this interest in a State owned 100 ton per day flotation mill situated near the city of Hermosillo in Sonora State, Mexico. The formal option agreement with Rebeico Gold of Sonora, Mexico allows Arctic Hunter to earn the initial 30% interest for USD $250,000 (earned and vested), and an additional 20% interest (for up to a 50% interest) in Rebeico Gold for an additional USD $250,000. Rebeico Gold holds the right to operate the strategically located Cerro Verde Flotation Mill situated in the San Javier mining district and the right to receive its pro-rata production proceeds derived therefrom pursuant to an assignment agreement between Rebeico Gold and Exlporacion y Desarollo del Desierto, S.A de C.V. (“EDDSA”) dated April 24, 2017. EDDSA holds the operating rights and the right to receive all proceeds from the Cerro Verde Gold & Silver Mill, and the right to conduct ancillary activities on the project site pursuant to a 10 year lease agreement between EDDSA and the state of Sonora, Mexico, dated February 24, 2015. The Cerro Verde Flotation Mill and Project site is located within the heart of the prolific Sierra Madre Gold belt and mining district of northern Mexico and is easily accessed by paved highway from the City of Hermosillo, Mexico. The Cerro Verde Mill is a former working and operational State owned flotation mill that is surrounded by a region that has had widespread historical mining, dating back from colonial times through to the 21^st century. The Mill formerly serviced many of the working gold, copper and silver mineral concessions and mines located in this mining region in the past.

ABOUT ARCTIC HUNTER – OIL AND GAS PRODUCTION & MINING PRODUCTION

The Company is a Canadian Oil & Gas exploration and mining resource development Company that is now focused on developing its’ production capabilities, obtaining potential future production revenues, discovering and advancing high grade gold, silver and copper deposits and mining concessions situated within this large mining district in Sonora, Mexico. The Company has now successfully acquired a 30% interest in Rebeico Gold of Sonora, Mexico, and has been granted the option to earn up to 50% in Rebeico Gold. Rebeico Gold holds the right to operate the Cerro Verde Mill, strategically located in the Sierra Madre Gold Belt, and the right to receive gold & silver production proceeds pursuant to an assignment agreement dated April 24, 2017 between Rebeico Gold and Exploracion y Desarollo del Desierto, S.A. de C.V (“EDDSA”). The Company is now strategically positioned to identify and capture all potential milling and direct-ship mining opportunities situated in the region. The Company is continually reviewing future mining production and exploration opportunities, by identifying low risk exploration through selective acquisitions and development of mining, petroleum and natural gas resource assets situated in these favorable resource jurisdictions.

The Company has qualified management and has Oil & Gas and Mining teams of professionals seasoned in production, field exploration and drilling. The Company has the necessary manpower in place to develop its natural resource properties and manage its production properties. The Company is committed to minimizing risk through the selective acquisition, exploration and development of petroleum and natural gas resource and mining assets.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Tim Coupland, President and CEO Arctic Hunter Energy Inc.

Tel: (604) 681-3131 [email protected]

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