Select Sands Reports Results for First Quarter 2020

FIRST QUARTER 2020 AND RECENT HIGHLIGHTS

- Sold 59,089 tons of frac and industrial sand during Q1 2020, compared to 10,017 tons in Q4 2019.

- Generated revenue of $3.6 million and a gross loss of $0.8 million in Q1 2020, versus $0.3 million of revenue and a gross loss of $1.2 million in Q4 2019.

- Reported a Q1 2020 net loss of $1.5 million, or $0.02 loss per diluted share, in Q1 2020, compared to a net loss of $3.4 million, or $0.04 loss per diluted share, in Q4 2019.

- Posted an adjusted EBITDA(1) loss of $1.1 million for Q1 2020, versus a loss of $1.5 million in Q4 2019.

- Announced on January 15, 2020 the start of a plant reconfiguration project to optimize and consolidate processing assets to improve costs. In addition, the Company announced completion of the purchase of the Diaz Rail Loading Facility in Diaz, Arkansas ("Diaz"). During the first quarter, Select Sands made significant progress on the reconfiguration project, which is scheduled for completion in the third quarter of 2020. More discussion is included in the "Plant Reconfiguration Project" section later in this release.

- As of March 31, 2020, cash and cash equivalents were $0.5 million, accounts receivable was $2.1 million, inventory was $2.6 million and working capital was $0.2 million. Cash position was $1.7 million during the last week of May. In April 2020, the Company received $0.4 million under the U.S. Small Business Administration's Paycheck Protection Program.

1. (1) Adjusted EBITDA is a non-IFRS financial measure and is described and reconciled to net loss in the table under "Non-IFRS Financial Measures".

Zig Vitols, President and Chief Executive Officer, commented, "The first quarter was highlighted by success on multiple fronts and a direct result of our focused efforts in 2019 to strategically expand our footprint of operations and drive continued further enhancements in our production processes and cost structure. Leveraging our close proximity to the Eagle Ford Basin and the industry's clear need for premium 100-mesh Northern White Sand given the lower quality of in-basin offerings, we began transload operations at an established facility in George West, Texas in December and started delivering in January under a long-term agreement to a large E&P operating in the basin. The result was a significant increase in both sales volumes and pricing from the fourth quarter of 2019, and we were poised for even higher sales volumes for the second quarter until the current pandemic environment curtailed activity.

"During the first quarter, we also started and made significant progress on our Plant Reconfiguration Project in Arkansas. While our first quarter cost of goods sold per ton was impacted by expected temporary production inefficiencies as a result of the construction process, the opportunity to significantly improve our long-term cost profile clearly outweighed the short-term impact. We look forward to completing the full project in the next few months, which will place the Company in a stronger position for improved margins and long-term success once industry conditions improve."

FINANCIAL SUMMARY

The following table includes summarized financial results for the three months ended March 31, 2020, December 31, 2019, and March 31, 2019:

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SALES VOLUMES

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BUSINESS UPDATE

COVID-19 Pandemic

Beginning in the middle of March, the oil and gas industry was impacted by a substantial drop in global oil demand and resulting oversupply related to the COVID-19 global pandemic. The result was a significant decrease in global crude oil prices, which drove a sharp decline in drilling and completions activity in all basins across U.S. onshore and the current industry consensus is for depressed activity levels through the remainder of the year. Given the dynamic nature of events surrounding the pandemic, Select Sands cannot reasonably estimate how long related market conditions will exist or the full extent of the impact on the Company's business, liquidity and financial results.

Current Operations

Select Sands is continuing operations both in Arkansas, where product is mined, processed and shipped, as well as in George West, Texas where its 100% owned subsidiary, Select Sands America Corp., operates a transload facility that supplies product to the Eagle Ford Basin. In April, the Company's largest contract customer curtailed frac operations and temporarily halted receipt of sand shipments given current industry conditions. Select Sands' contract with the customer contains provisions for purchasing minimum quantities that may generate some levels of revenues for the Company in the coming months, depending on a number of contractual factors that are confidential. At this time, we are not able to confirm the exact amount of minimum revenue, if any, that will be generated from such contract.

Select Sands has adjusted its employee staffing levels at the George West transload facility and is currently operating with a minimal crew to serve operational and maintenance needs as appropriate. The Company is working closely with the customer and looks forward to resuming sand shipments as conditions improve. In Arkansas, given the current lull in production Select Sands has redeployed its workforce to focus on completion of the reconfiguration project that will introduce significant cost savings (the "Plant Reconfiguration Project") once operations normalize.

Plant Reconfiguration Project

The Company is currently executing a reconfiguration project that will reduce the number of interplant sites from four to two and allow all truck transport between facilities in open top dump trailers while discontinuing the necessity of interplant transport in closed hopper trailers. The savings include reducing load/unload points by approximately half, a significant decrease in interplant transportation mileage and allowing the use of simpler dump trailers for transport.

The Company has completed the construction of the new drying plant at its Diaz property. The Diaz facility also hosts Select Sands' bulk rail loading facility. A wet plant continues to be assembled at the Company's Sandtown Quarry near Cave City, Arkansas. The wet plant is targeted for completion in the third quarter at which time product will be mined and wet processed at Cave City and transported to Diaz where it will be dried, stored and shipped.

As previously announced, all the above referenced facility improvements for Diaz and the Plant Reconfiguration Project are being funded by a secured bank loan.

OUTLOOK

Mr. Vitols concluded, "While we have been pleased to see a trend of improved crude oil pricing over the past weeks, we anticipate the remainder of 2020 to be highlighted by continued volatility given the uncertainty associated with the ongoing COVID-19 situation. In this environment, we remain focused on what we can control and ensuring we best leverage opportunities as they present themselves. First and foremost, we will promote the health and safety of our employees. We are fortunate to have an outstanding team of highly dedicated professionals working for the Company, and we will continue to provide a safe operating environment not only for employees, but also our customers, business partners and contractors.

"We also look forward to completion of our Plant Reconfiguration Project in this year's third quarter. The operational efficiencies and related cost reductions will prove invaluable as shipments restart once industry conditions improve. While the near-term disruptions to the market from COVID-19 are undeniable, the underlying long-term fundamentals for Select Sands remain the same - we can provide customers a premium Northern White Sand product that is strategically located much closer to key oil and gas basins in the Southern U.S. as compared to traditional sources in the Upper Midwest. As such, we believe we are in a good position for long-term success once onshore well completions activity ramps up again."

Elliott A. Mallard, PG of Kleinfelder is the qualified person as per National Instrument-43-101 and has reviewed and approved the technical contents of this news release.

ADDITIONAL MANAGEMENT COMMENTARY

An audio recording of management's additional comments related to its results and outlook will be posted to the Company's website (https://www.selectsands.com/) under the Investors section prior to market open on Tuesday, June 2, 2020. Investors interested in having a follow-up discussion with management are encouraged to arrange a specific time for a call by contacting Arlen Hansen at Kin Communications at (604) 684-6730.

ABOUT SELECT SANDS CORP.

Select Sands Corp. is an industrial silica product company, which wholly owns a Tier-1 (Northern White), silica sands property and related production facilities located near Sandtown, Arkansas. Select Sands' goal is to become a key supplier of premium industrial silica sand and frac sand to North American markets. Select Sands' Arkansas properties have a significant logistical advantage of being significantly closer to oil and gas markets located in Oklahoma, Texas, Louisiana and New Mexico than sources of similar sands from the Wisconsin area. Select Sands' also operates a transload facility in George West, Texas in Live Oak County that serves customers operating in the Eagle Ford Shale Basin. The facility has a capacity for 180 rail cars and is equipped with two offload/loading stations with dedicated silos for a high throughput capacity.

The Tier-1 reference above is a classification of frac sand developed by PropTester, Inc., an independent laboratory specializing in the research and testing of products utilized in hydraulic fracturing & cement operations, following ISO 13503-2:2006/API RP19C:2008 standards. Select Sands' Sandtown project has NI 43-101 compliant Indicated Mineral Resources of 42.0MM tons (TetraTech Report; February, 2016). The Sandtown deposit is considered Northern White finer-grade sand deposits of 40-70 Mesh and 100 Mesh.

FORWARD-LOOKING STATEMENTS

This news release includes forward-looking information and statements, which may include, but are not limited to, information and statements regarding or inferring the future business, operations, financial performance, prospects, and other plans, intentions, expectations, estimates, and beliefs of the Company. Information and statements which are not purely historical fact are forward-looking statements. The forward-looking statements in this press release relate to comments that include, but are not limited to, statements related to the level of sales volumes for 2020, anticipated benefits resulting from the Plant Reconfiguration Project, facility improvements and use of the Company's own trucking fleet, opportunity for revenues due to contractual requirements with the Company's largest customer, and expected current and future state of operations in light of the COVID-19 global pandemic. Forward-looking information and statements involve and are subject to assumptions and known and unknown risks, uncertainties, and other factors which may cause actual events, results, performance, or achievements of the Company to be materially different from future events, results, performance, and achievements expressed or implied by forward-looking information and statements herein. Although the Company believes that any forward-looking information and statements herein are reasonable, in light of the use of assumptions and the significant risks and uncertainties inherent in such information and statements, there can be no assurance that any such forward-looking information and statements will prove to be accurate, and accordingly readers are advised to rely on their own evaluation of such risks and uncertainties and should not place undue reliance upon such forward-looking information and statements. Any forward-looking information and statements herein are made as of the date hereof, and except as required by applicable laws, the Company assumes no obligation and disclaims any intention to update or revise any forward-looking information and statements herein or to update the reasons that actual events or results could or do differ from those projected in any forward-looking information and statements herein, whether as a result of new information, future events or results, or otherwise, except as required by applicable laws.

COMPANY CONTACT

Please visit www.selectsandscorp.com or call:

Zigurds Vitols

President & CEO

Phone: (844) 806-7313

INVESTOR RELATIONS CONTACT

Arlen Hansen

SNS@kincommunications.com

Phone: (604) 684-6730

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.

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NON-IFRS FINANCIAL MEASURES

The following information is included for convenience only. Generally, a non-IFRS financial measure is a numerical measure of a company's performance, cash flows or financial position that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with IFRS. Adjusted EBITDA is not a measure of financial performance (nor does it have a standardized meaning) under IFRS. In evaluating non-IFRS financial measures, investors should consider that the methodology applied in calculating such measures may differ among companies and analysts.

The Company uses both IFRS and certain non-IFRS measures to assess operational performance and as a component of employee remuneration. Management believes certain non-IFRS measures provide useful supplemental information to investors in order that they may evaluate Select Sands' financial performance using the same measures as management. Management believes that, as a result, the investor is afforded greater transparency in assessing the financial performance of the Company. These non-IFRS financial measures should not be considered as a substitute for, nor superior to, measures of financial performance prepared in accordance with IFRS.

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The Company defines EBITDA as net loss (income) before depreciation and depletion, non-cash share-based compensation, finance costs and income taxes. The Company defines Adjusted EBITDA as net (loss) income before depreciation and depletion, non-cash share-based compensation, finance costs, income taxes, gain on extinguishment of debt, share of loss of equity investee, and provision for impairment and loss on sale of property, plant and equipment. Select Sands uses Adjusted EBITDA as a supplemental financial measure of its operational performance. Management believes Adjusted EBITDA to be an important measure as it excludes the effects of items that primarily reflect the impact of long-term investment and financing decisions, rather than the performance of the Company's day-to-day operations. As compared to net income according to IFRS, this measure is limited in that it does not reflect the periodic costs of certain capitalized tangible and intangible assets used in generating revenues in the Company's business, the charges associated with impairments, termination costs or proposed transaction costs. Management evaluates such items through other financial measures such as capital expenditures and cash flow provided by operating activities. The Company believes that these measurements are useful to measure a company's ability to service debt and to meet other payment obligations or as a valuation measurement.

INDICATED RESOURCES DISCLOSURE

The Company advises that the production decision on the Sandtown deposit (the Company's current "Sand Operations") was not based on a Feasibility Study of mineral reserves, demonstrating economic and technical viability, and, as a result, there may be an increased uncertainty of achieving any level of recovery of minerals or the cost of such recovery, including increased risks associated with developing a commercially mineable deposit. Historically, such projects have a much higher risk of economic and technical failure. There is no guarantee that production will occur as anticipated or that anticipated production costs will be achieved.

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