Canadian Premium Sand Undertakes a Capital Optimization Review and Updates Investor Website and Corporate Presentation

CALGARY, July 18, 2019 - Canadian Premium Sand Inc. (“CPS” or the “Company”) (TSXV: CPS) is pleased to announce that it is undertaking a comprehensive capital optimization review to identify cost reductions to the capital cost figures outlined in the Preliminary Feasibility Study and Mineral Resource Update (the "Technical Report") and in the Company's June 12, 2019 press release relating to its Wanipigow Sand Project (the "Project"). This review, which is anticipated to be completed by the end of September, is expected to result in lower capital cost requirements and a scaled market-entry strategy. In conjunction with the capital optimization review, management continues to engage in ongoing conversations with several potential customers, trucking providers and transload and railway operators in an effort to refine its business plan.

"The capital optimization review and business plan refinement will improve an already attractive investment opportunity, with the goal being to achieve meaningful reductions in initial capital cost,” said Glenn Leroux, President & CEO.

Management has also updated its investor website and corporate presentation (the "Presentation"). The updated website and Presentation contain information pertaining to the Project, including a market analysis, economic projections and a general overview of the sales and marketing and transportation logistics plan to develop the Wanipigow Sand resource. This updated information is the culmination of the Company achieving a number of significant milestones de-risking the Project to make it shovel ready including obtaining the independent Technical Report, Participation Agreements with stakeholders including Hollow Water First Nations and the Environmental Assessment License. The Presentation can be found on the Investor Relations page on the Company website at www.canadianpremiumsand.com.

About the Wanipigow Sand Resource

As per the Technical Report, press-released on June 12, 2019, prepared in accordance with National Instrument 43-101 (“NI 43-101”), the Wanipigow Sand Resource consists of 41.5 million tonnes of Measured Resource, 8.1 million tonnes of Indicated Resource and 97.3 million tonnes of Inferred Resource. Furthermore, the Technical Report indicates a Proven and Probable Reserve of 30.6 million tonnes, upon which the published economics, mine-life and business plan are based. Mineral resources are not mineral reserves and do not have demonstrated economic viability.

About Canadian Premium Sand Inc.

The Company is an exploration stage company and a reporting issuer in Ontario, Alberta and British Columbia, and its shares trade on the TSX Venture Exchange under the symbol "CPS".

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.

Technical Disclosure

The Technical Report, effective May 28, 2019 prepared by Roy Eccles, P. Geol. of APEX Geoscience Ltd. and Robert Farmer P. Eng. of John T. Boyd Company, each of whom is independent of CPS and a “qualified person” under NI-43-101, providing details of the Project including the quality assurance program and quality control measures applied and key assumptions, parameters and methods used to estimate the Mineral Resources and Reserves is available for review under the Company's profile on SEDAR at www.sedar.com.

Any disclosure of conclusions and or results materially different from those supported by the Technical Report as disclosed in the Company's June 12, 2019 press release will be supported by an updated PFS filed within 45 days of the announcement of conclusions and or results of the capital optimization review.

Cautionary Note Regarding Mineral Reserves and Mineral Resources

The terms "Mineral Reserve", "Proven Mineral Reserve" and "Probable Mineral Reserve" used in this press release are Canadian mining terms as defined in accordance with NI 43-101 under the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") Standards on Mineral Resources and Mineral Reserves, as may be amended from time to time by the CIM. The terms "Mineral Resource", "Measured Mineral Resource", "Indicated Mineral Resource", "Inferred Mineral Resource" used in this press release are Canadian mining terms as defined in accordance with NI 43-101 under the guidelines set out in the CIM Standards. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

For a detailed discussion of the Company's resource and reserve estimates and related matters see the Company's Technical Report filed under the Company's profile on SEDAR at www.sedar.com.

Forward Looking Information

Certain statements contained in this press release constitute forward-looking statements relating to, without limitation, expectations, intentions, plans and beliefs, including information as to the future events, results of operations and the Company’s future performance (both operational and financial) and business prospects. In certain cases, forward-looking statements can be identified by the use of words such as “expects”, “estimates”, “forecasts”, “intends”, “anticipates”, “believes”, “plans”, “seeks”, “projects” or variations of such words and phrases, or state that certain actions, events or results “may” or “will” be taken, occur or be achieved. Such forward-looking statements reflect the Company's beliefs, estimates and opinions regarding its future growth, results of operations, future performance (both operational and financial), and business prospects and opportunities at the time such statements are made, and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or circumstances should change. Forward-looking statements are necessarily based upon a number of estimates and assumptions made by the Company that are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Forward-looking statements are not guarantees of future performance. In particular, this press release contains forward-looking statements pertaining, but not limited, to: the ability to refine the Company's business plan through ongoing conversations with customers and interested parties, including the anticipated results, benefits and timing for completion of the capital optimization review including the ability to achieve meaningful capital cost reductions and improve the investment opportunity as a result of such review; the amount of raw sand to be extracted and produced from the Wanipigow Sand Project; the mine life of the Wanipigow Sand Project; the design and operation of the Wanipigow Sand Project and related operating, capital and sustaining costs; the ability to transport silica sand to market from the Wanipigow Sand Project and the ultimate uses of such sand; the number of jobs to be created from the development of the Wanipigow Sand Project; the anticipated effects on local sand beaches or the local water table or community wells from the Wanipigow Sand Project; the anticipated economic and social benefits and opportunities, including employment, contracting and training initiatives; the plans with respect to financing ongoing operating activities; the timing and approval or permitting process with respect to the Wanipigow Sand Project; the intention to use cash on hand and proceeds from future equity issuances to fund the Company's operations and future development plans; industry activity levels; industry conditions pertaining to the silica sand industry; the ability of and manner by which the Company expects to meet its capital needs; and the Company's objectives, strategies and competitive strengths.

By their nature, forward-looking statements involve numerous current assumptions, known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from those anticipated by the Company and described in the forward-looking statements.

With respect to the forward-looking statements contained in this press release, assumptions have been made regarding, among other things: the ability to obtain the necessary stakeholder, regulatory and environmental approval to advance the development of the Wanipigow Sand Project; the ability to continue to consult with, and address feedback received from interested stake holders including the Hollow Water First Nation and surrounding communities; environmental risks and regulations; future global economic and financial conditions; future commodity prices; operating, capital and sustaining costs; that the regulatory environment in which the Company operates will be maintained in the manner currently anticipated by the Company; future exchange and interest rates; geological and engineering estimates in respect of the Company's silica sand quantities; the recoverability of the Company’s silica sand and its quality; the accuracy and veracity of information and projections sourced from third parties respecting, among other things, future industry conditions and product demand; demand for horizontal drilling and hydraulic fracturing and the maintenance of current techniques and procedures, particularly with respect to the use of silica sand; the Company's ability to obtain qualified staff and equipment in a timely and cost-efficient manner; the regulatory framework governing royalties, taxes and environmental matters in the jurisdictions in which the Company conducts its business and any other jurisdictions in which the Company may conduct its business in the future; future capital expenditures to be made by the Company; future sources of funding for the Company's capital program; the Company's future debt levels; the impact of competition on the Company; and the Company's ability to obtain financing on acceptable terms.

A number of factors, risks and uncertainties could cause results to differ materially from those anticipated and described herein including, among others: the effects of competition and pricing pressures; effects of fluctuations in the price of proppants; risks related to indebtedness and liquidity, including the Company's capital requirements; risks related to interest rate fluctuations and foreign exchange rate fluctuations; changes in general economic, financial, market and business conditions in the markets in which the Company operates; changes in the technologies used to drill for and produce oil and natural gas; the Company's ability to obtain, maintain and renew required permits, licenses and approvals from regulatory authorities; the stringent requirements of and potential changes to applicable legislation, regulations and standards; the ability of the Company to comply with unexpected costs of government regulations; liabilities resulting from the Company's operations; the results of litigation or regulatory proceedings that may be brought against the Company; uninsured and underinsured losses; risks related to the transportation of the Company's products, including potential rail line interruptions or a reduction in rail car availability; the geographic and customer concentration of the Company; the ability of the Company to retain and attract qualified management and staff in the markets in which the Company operates; labour disputes and work stoppages and risks related to employee health and safety; general risks associated with the oil and natural gas industry, loss of markets, consumer and business spending and borrowing trends; limited, unfavourable, or a lack of access to capital markets; uncertainties inherent in estimating quantities of mineral resources; sand processing problems; and the use and suitability of the Company's accounting estimates and judgments.

Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in its forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will materialize or prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Readers should not place undue reliance on forward-looking statements. These statements speak only as of the date of this press release. Except as may be required by law, the Company expressly disclaims any intention or obligation to revise or update any forward-looking statements or information whether as a result of new information, future events or otherwise.

Any financial outlook and future-oriented financial information contained in this press release regarding prospective financial performance, financial position or cash flows is based on assumptions about future events, including economic conditions and proposed courses of action based on management’s assessment of the relevant information that is currently available. Projected operational information contains forward-looking information and is based on a number of material assumptions and factors, as are set out above. These projections may also be considered to contain future oriented financial information or a financial outlook. The actual results of the Company's operations for any period will likely vary from the amounts set forth in these projections and such variations may be material. Actual results will vary from projected results. Readers are cautioned that any such financial outlook and future-oriented financial information contained herein should not be used for purposes other than those for which it is disclosed herein. The forward-looking information and statements contained in this document speak only as of the date hereof and the Company does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable laws.

CONTACT INFORMATION:

Canadian Premium Sand Inc.
Glenn Leroux
President and Chief Executive Officer
587.350.5772
glenn.leroux@cpsmail.com

Investor Relations
IR@cpsmail.com

www.canadianpremiumsand.com