FILO MINING ANNOUNCES GRANT OF INCENTIVE STOCK OPTIONS

CES GRANT OF INCENTIVE STOCK OPTIONS

December 5, 2016: Filo Mining Corporation (TSX-V: FIL) (NASDAQ First North:
FIL) (“Filo Mining” or the “Company”) announces that the Board of Directors of
the Company has approved, in accordance with its stock option plan, the grant
of 2,335,000 incentive stock options (the “Options”) to certain directors,
officers, employees and other eligible persons of the Company on December 5,
2016 to purchase common shares in the capital of the Company (the “Shares”).
The Options are exercisable, subject to vesting provisions, over a period of
five years at an exercise price of C$2.00 per Share.

About Filo Mining

Filo Mining is a Canadian mineral exploration company which holds a 100%
interest in the Filo del Sol Project on the border of Argentina’s San Juan
Province and Chile's adjacent Region III. Filo Mining is listed on the TSX-V
and Nasdaq First North Exchange under the trading symbol “FIL”. Pareto
Securities AB is the Company's Certified Adviser on Nasdaq First North. Built
on a foundation of experienced management and focused on advancing exploration
projects in Chile and Argentina, Filo Mining is well positioned to build
shareholder value through discovery and resource development.

Additional Information

This information was submitted for publication, through the agency of the
contact person set out below, on December 5, 2016 at 2:30 p.m. Pacific Time.

On behalf of the Board of Directors of Filo Mining,

Wojtek Wodzicki,
President and CEO,
Filo Mining

For further information, please contact: Sophia Shane, Investor Relations (604)
689-7842.

Neither 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.