Providence Gold Mines Arranges Private Placement

PROVIDENCE GOLD MINES INC.

Suite 750 – 580 Hornby Street, Vancouver, B.C. V6C 3B6 Telephone: 604-602-4935

July 31, 2017 Trading Symbol: PHD-TSXV

NEWS RELEASE

PROVIDENCE GOLD MINES ARRANGES PRIVATE PLACEMENT

Vancouver, British Columbia – Providence Gold Mines Inc. (the “Company” or “Providence Gold”) is pleased to announce that it has closed its recently announced private placement, raising $145,000 in gross proceeds (the “Financing”) through the issuance of 1,450,000 units (the “Units”) at a price of $0.10 per Unit. (See press release of July 20, 2017.) Each Unit is comprised of one common share and onequarter of one common share purchase warrant (“Warrant”), with each whole Warrant entitling the holder to purchase one common share of Providence Gold at a price of $0.25 per share for a period of one year.

An aggregate of 98,000 common shares and 98,000 warrants containing the same terms as the Warrants attached to the Units were issued as finder’s fees to Mackie Research Capital Corporation for the portion of the private placement attributable to their efforts. All securities issued are subject to a hold period of four months and one day in accordance with the rules and policies of the Exchange and applicable Canadian securities laws.

The net proceeds of the private placement will be added to working capital.

About the Providence Gold Property

The Providence Group of Mines is located in the Summerville Mining District, Tuolumne County, California, upon the eastern belt of the “Mother Lode” District. A number of high grade, well known Motherlode gold mines are found within this belt. The Property has a rich history of gold mineralization. A NI 43-101 compliant report entitled Technical Report on the Providence Gold Mines Property, Tuolumne County, California” dated April 24, 2017 by John P. Kowalchuk, BSc., P. Geo. can be viewed on SEDAR and on the Company’s website at www.redhutmetals.com.

ON BEHALF OF THE BOARD

Signed “Robert Eadie”

Robert Eadie, Chairman and Director

FOR FURTHER INFORMATION PLEASE CONTACT:

Telephone: 1-604-602-4935 Facsimile: 1-604-602-4936 Contact: Robert Eadie

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.