Southern Arc Provides Update on Japan Exploration Strategy

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 13, 2015) - Southern Arc Minerals (TSX VENTURE:SA) ("Southern Arc" or "the Company") is pleased to announce that the Company has received notice that all 80 of its prospecting rights license applications in Northern Japan have been accepted for further review. Southern Arc has applied for prospecting rights licenses through its newly formed subsidiary, Southern Arc Minerals Japan KK ("SAMJ"). This application acceptance effectively reserves the application areas for SAMJ pending completion of a multi-step process of government consultation and review that may result in a decision by the Japanese Ministry of Economy Trade & Industry to grant prospecting rights licenses to Southern Arc.

Further to its diversification strategy announced in December 2012, Southern Arc has been searching for resource exploration and investment opportunities in stable jurisdictions. The Tertiary volcanic arc terrains of Japan host five one-million-plus-ounce gold and silver deposits including one of the world's highest-grade gold mines. The Hishikari Mine, located on Kyushu Island, has been in production since 1985 with an estimated 7.6 million ounces of gold reserves and grades averaging 40 g/t gold.¹ Despite a history of significant gold production and known mineral occurrences, however, management considers Japan to be largely underexplored.

Based on a desktop review of historical gold production and Japan's extensive geoscientific database, Southern Arc was able to pinpoint areas that are very compelling from a geological perspective. SAMJ lodged 38 contiguous exploration applications in Northern Hokkaido targeting high-grade epithermal gold "Hishikari-type" deposits (see Southern Arc news release dated May 20, 2015). Subsequently, SAMJ lodged another 42 prospecting rights license applications throughout Hokkaido and Northern Honshu targeting other prospective epithermal gold areas and areas of gold-bearing advanced argillic alteration, which could indicate the presence of a porphyry mineral environment. The combined area under application by SAMJ currently comprises 27,153 hectares over eight target areas (Figure 1).

To view Figure 1. SAMJ Application Area Locations: Northern Honshu and Hokkaido, please visit the following link: http://media3.marketwire.com/docs/Figure1-SA.pdf.

Since all 80 of its prospecting rights license applications have been accepted by the concerned prefectural government offices, SAMJ may now commence low impact forms of exploration such as mapping, surface sampling and geophysics. This will enable SAMJ to prioritize its activities and exploration budget on the most prospective areas. More advanced forms of exploration such as drilling may commence once the prospecting licenses are granted.

"With a well-established regulatory framework, extensive geological database, easy access to government officials, and a stable, mining-friendly jurisdiction, Japan fits well with Southern Arc's diversification strategy," said John Proust, Chairman and CEO of Southern Arc. "That Japan is underexplored also fits with Southern Arc's strategy of identifying overlooked prospective areas and moving quickly to control large parcels of prospective land.

"We are pleased with our progress to date, and look forward to working closely with Japanese officials as the review process proceeds," continued Mr. Proust. "In the interim, Southern Arc continues to keep administrative costs to a minimum to protect the Company's treasury and preserve Southern Arc's ability to move quickly should new business opportunities arise that can add value for Southern Arc's shareholders."

¹ Konomai Mine: 2.1 Moz, Sado Mine: 2.2 Moz, Kushikino Mine: 1.6 Moz, Taio Mine: 1.0 Moz, Hishikari Mine: 7.6 Moz. Data collected from the Metal Mining Agency of Japan database and the Sumitomo Metal Mining Co., Ltd. website.

On behalf of the Board of Southern Arc Minerals Inc.

John Proust, Chairman & CEO, Director

About Southern Arc

Southern Arc Minerals Inc. is a Canadian mineral exploration company focused on gold and copper-gold exploration. The Company holds two properties in Indonesia: West Lombok, a resource-stage property with several gold-rich copper porphyry and epithermal gold vein prospects, and East Elang, a grassroots exploration property that will be advanced in partnership with Vale International SA. Southern Arc also owns more than 6% of Oban Mining Corporation, which is advancing the high-grade Windfall Lake Gold Project in Quebec, Canada, and has applied for 80 prospecting rights licenses in Northern Japan in an underexplored area with known gold occurrences and a history of mining. More information is available at www.southernarcminerals.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The technical information in this news release has been reviewed by Southern Arc's President & Chief Operating Officer, Dr. Mike Andrews, PhD, FAusIMM, who is a Qualified Person as defined by National Instrument 43-101.

This news release contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, the uncertainties resulting from potential delays or changes in plans, the uncertainties resulting from working in a new political jurisdiction, the occurrence of unexpected events, and the Company's capability to execute and implement future plans. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.