Gensource Announces Engagement Agreement for U.S. Agriculture Market Assessment and Joint Venture Project Financing

Gensource Potash Corporation ("Gensource" or the "Company") (TSX.V: GSP) is pleased to announce that it has entered into an engagement letter ("Engagement") with a team of Industrial Alliance Securities Inc. ("IA") and its syndication partner, US-based Heritage Capital Group ("Heritage"). Heritage is the Agriculture Practice Leader within the Oaklins Group, a close association of industry professionals spanning North America and the globe.

The IA/Heritage team will act as the Company's agent to lead an initiative to engage a US-based market partner for one of Gensource's small scale potash facilities and subsequently assemble the full financing package for the project.

The Engagement brings together a highly experienced and capable team consisting of Gensource as the project developer and IA/Heritage as the connection to the market partner as well as the group capable of assembling the required financing: the three key components for moving a project to production.

IA/Heritage brings a direct and intimate knowledge of the U.S. agriculture market and will make connections between Gensource and specifically targeted, highly qualified and credit-worthy potential market partners operating in the agriculture industry, predominantly within the US corn belt. Subsequently, the team will act, on a best efforts basis, to complete the full financing for a project that will serve the identified market partner.

Gensource's business model is based on small size and vertical integration. To-date, the Company has completed a feasibility study on its small scale selective solution mining technologies in Saskatchewan, which has confirmed excellent economics and low risk for such a project (see news release dated 31May2017, and the NI 43-101 Feasibility Study filed on www.SEDAR.com). Gensource has already engaged market partners to form joint ventures to implement a project and will continue to work with others to create additional joint ventures and therefore additional dedicated projects. The initiative announced today is, in every way, aligned with Gensource's intent to have several of its small-scale projects in place, each owned and operated under an independent joint venture, each supplying product directly to its intended market.

The Engagement is a strategic and focused move into the US market with Gensource's business model. The US potash market is large and shipping costs from Saskatchewan are much lower compared to overseas markets, making the US farmer a great candidate to benefit from direct access to a vital crop input at a controlled price.

Gensource President & CEO, Mike Ferguson, said "We are excited to begin our targeted move into the US market with our vertical integration business plan. While we are technically a "mining company" - we must mine to obtain the potash product - we see ourselves as an "agricultural input company". The world of potash production has historically had barriers to entry high enough to stop the natural vertical integration, or supply chain control, that is the normal evolution of business, particularly agricultural businesses. We have broken down those barriers and can now offer the opportunity of vertical integration, or input cost control, to agricultural producers. We look forward to offering this opportunity to the business savvy US farmer, and we are pleased to engage IA/Heritage who have the connections and track record to help bring this opportunity to fruition."

About Industrial Alliance Securities Inc

Industrial Alliance Securities Inc. is a wholly owned subsidiary of Industrial Alliance Insurance and Financial Services Inc. Founded in 1892, IA Financial Group celebrates its 125th anniversary this year. It is one of the four largest life and health insurance companies in Canada with over $132 billion of assets under management and is among the largest publicly-traded companies in the country. IA Financial Group stock is listed on the Toronto Stock Exchange under the ticker symbol IAG. More information is available at https://ia.ca/about-us

About Heritage Capital/Oaklins Agriculture

Heritage Capital Group is an independent investment banking and financial advisory firm serving middle-market and emerging growth companies in the U.S. and worldwide. For more than 40 years, Herita ge has provided objective advice to private companies in the areas of mergers, acquisitions and divestitures; business valuations; debt and equity capital raises; corporate restructurings; and financial and strategic advisory services focused on enhancing the value of business enterprises. Heritage Capital Group is a FINRA registered broker-dealer, and leads the Global Agricultural practice of Oaklins, the world's leading mid-market advisor. Oaklins has closed 1,500 deals in the past 5 years across the globe. To ensure the best results they always involve industry specialists, take a global view and leverage deep local connections spanning 63 offices in 40 countries. More information is available at www.heritagecapitalgroup.com and www.oaklins.com.

About Gensource

Gensource is based in Saskatoon, Saskatchewan and is focused on developing the next potash production facility in that province. Gensource's President and CEO, Mike Ferguson, P.Eng., has assembled a management and technical team with direct and specific expertise and experience in potash development in Saskatchewan.

Gensource operates under a business plan that has two key components - vertical integration with the market to ensure that all production capacity built is directed to a specific market, eliminating market-side risk; and, technical innovation which will allow for a small and economic potash production facility, the output of which can then be directed to a single, specific market. For more information, visit www.gensource.ca

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.

Caution Regarding Forward-Looking Statements

This news release may contain forward looking information and Gensource cautions readers that forward looking information is based on certain assumptions and risk factors that could cause actual results to differ materially from the expectations of Gensource included in this news release. This news release includes certain "forward-looking statements", which often, but not always, can be identified by the use of words such as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". These statements are based on information currently available to Gensource and Gensource provides no assurance that actual results will meet management's expectations. Forward-looking statements include estimates and statements with respect to Gensource's future plans, objectives or goals, to the effect that Gensource or management expects a stated condition or result to occur, including funding and development pursuant to investors identified pursuant to the Engagement and the definitive joint venture agreement with Essel Group Middle East Limited ("EGME"), the veracity of the reserve estimate and the ability to implement the feasibility study and undertake mineral production that is feasible on a technical or economic basis, and the establishment of vertical integration partnerships and the sourcing of end use potash purchasers. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, funding and development pursuant to investors identified pursuant to the Engagement and the definitive joint venture agreement with the EGME, results of exploration, the economics of processing methods, project development, reclamation and capital costs of Gensource's mineral properties, the ability to implement the feasibility study and undertake mineral production that is feasible on a technical or economic basis, Gensource's financial condition and prospects, the ability to establish viable vertical integration partnerships and the sourcing of end use potash purchasers, could differ materially from those currently anticipated in such statements for many reasons such as: failure to obtain funding and development pursuant to investors identified pursuant to the Engagement and the definitive joint venture agreement with the EGME, results of exploration, the economics of processing methods, project development; the inability to implement the feasibility study and undertake mineral production that is feasible on a technical or economic basis; changes in general economic conditions and conditions in the financial markets; the ability to find distributors and source off-take agreements; changes in demand and prices for potash; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with Gensource's activities; and other matters discussed in this news release and in filings made with securities regulators. This list is not exhaustive of the factors that may affect any of Gensource's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on Gensource's forward-looking statements. Gensource does not undertake to update any forward-looking statement that may be made from time to time by Gensource or on its behalf, except in accordance with applicable securities laws.

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