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War Eagle Announces Fiscal Second Quarter 2017 Results

V.KLDC

VANCOUVER, BC--(Marketwired - November 16, 2016) - War Eagle Mining Company Inc. (TSX VENTURE: WAR) ("War Eagle" or the "Company") has released its financial results for the six month period ended September 30, 2016.

The Company recorded net income of $2.3 million or $0.11 per basic and diluted share, for the six months ended September 30, 2016, compared to a loss of $267,000 or ($0.01) per share, in the six months ended September 30, 2015. For the three months ended September 30, 2016, the Company recorded net income of $2.1 million, which compares to a loss of $111,000 in the fiscal second quarter of 2016.

The Company recognized a US$1.7 million ($2.4 million) gain on the sale of its subsidiary, Tres Marias, a zinc-lead-germanium project in Chihuahua, Mexico, to Contratista y Operaciones Mineras SA de CV ("COMSA"). The Company received a US$200,000 payment in September, 2016, and derecognized the remaining US$1,500,000 previously impaired receivable due from COMSA.

The Company's operating expenses decreased in the six months of fiscal 2017 due to lower consulting and management fees. The lower fees were due to renegotiated agreement with an officer of the Company and termination of services of another individual.

At September 30, 2016, the Company had a working capital of approximately $2 million. The Company is continuing to focus its exploration activities on developing base and precious metal properties in Mexico and in other geologically attractive and mine friendly jurisdictions in the Americas.

This news release was prepared by management of War Eagle, which takes full responsibility for its contents. 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

For additional information please contact:

War Eagle Mining Company Inc.

Paul A. Carroll QC
Chairman, President and CEO
416-703-9120

Malcolm P. Burke
Director
604-220-2000

Email: info@wareaglemining.com
Website: www.wareaglemining.com



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