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MG Capital Corp and DLP Resources Announce Receipt of Drill Permits and Appointment of New Director

Management Changes Permits & Approvals

MG Capital & DLP Resources

July 13, 2020 News Release 1

MG Capital Corp and DLP Resources Announce Receipt of Drill Permits and

Appointment of New Director

Cranbrook, British Columbia, (Newsfile Corp.–July 13, 2020)– DLP Resources Inc. (TSXV:DLP) the wholly

owned subsidiary of MG Capital Corporation is pleased to announce that approvals to commence work ,

including drilling , on the Aldridge 1, 2 and Hungry Creek properties have been received from the BC

Ministry of Energy, Mines and Petroleum Resources.

Ian Gendall, President of DLP commented “We are extremely excited to be able to start executing our

plan of drilling the Sullivan-type Pb-Zn-Ag targets on the Aldridge 1 and 2 Properties approximately 50 km

southwest of Cranbrook, this year. Targets identified from the MT geophysical survey (see news release

of March 23, 2020 and Figures below) and mapping done by Dave Pighin will now be tested by drilling”.

Ian Gendall further commented “With the recently announced option agreement with PJX Resources (see

news release of June 22, 2020) on the DD property adjacent to Aldridge 1 we have an exciting package of

ground along a si gnificant northeast structural trend and other north trending structures for exploring

Sullivan-type targets at the Lower to Middle Aldridge contact”.

Additional follow -up mapping and soil sampling to locate the source of the massive to semi -massive

sulphides, hosted by float boulders at Hungry Creek will commence before any drilling will be initiated .

Sixteen mineralized float boulders taken from the Hungry Creek drainage were assayed for cobalt and

copper. The 16 boulders sampled had an assay range of 0.008% to 5.0% for copper and 0.002% to 0.23%

for cobalt (see news release of January 09, 2020).

Once the recently announced (see July 09, 2020 news release) non-brokered private placement for gross

proceeds of $1,500,000 is completed the Company will mobilize crew and equipment for the summer drill

program which is expected to commence the last week of July, 2020.

APPOINTMENT OF NEW DIRECTOR

DLP would also like to announce the appointment of Ms Carol Li to the Board of Directors of DLP. Ms. Li

is a Canadian Chartered Professional Accountant with over 20 years of financial and executive

management experience, of which 14 years in mi ning. Ms. Li was appointed as Chief Financial Officer of

Ascot Resources Ltd. on November 2, 2017. Ms. Li was formerly Vice President, Finance for KGHM

International Ltd. from 2012 to 2017 and Corporate Controller for Quadra/QuadraFNX Mining Ltd. from

2004 to 2012. Ms. Li became a director of Strikepoint Gold Inc. on June 3, 2019 as a representative for

Ascot Resources as one of Strikepoint’s largest shareholders.

Covid-19 Update

DLP has taken proactive measures to ensure the health and safety of its employees, contractors and

communities from COVID-19. All exploration activities in 2020 will be conducted with additional safety

MG Capital & DLP Resources

July 13, 2020 News Release 2

measures in place related to COVID -19. Guidance is taken from the BC Restart Plan, Workers

Compensation Act and the BC Government Mineral Exploration and Mining Health and Safety, Guidance

for Covid-19 site.

David L. Pighin, consulting geologist and co -founder of DLP Resources, is the qualified person (“QP”) of

the Corporation as defined by National Instrument 43 -101. Mr. Pighin has reviewed and approved the

technical contents of this news release.

About DLP Resources Inc.

DLP Resources Inc. is a mineral exploration company operating in Southeastern British Columbia,

exploring for Base Metals and Cobalt. DLP is a wholly-owned subsidiary of MG Capital Corporation listed

on the TSX-V, trading symbol DLP. Please refer to our web site www.dlpresourcesinc.com for additional

information.

FOR FURTHER INFORMATION PLEASE CONTACT:

MG Capital Corporation

DLP Resources Inc.

Ian Gendall, President

Jim Stypula, Chief Executive Officer

Robin Sudo, Chief Financial Officer and Corporate Secretary

Telephone: 250-426-7808

Email: [email protected]

Email: [email protected]

Email: [email protected]

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.

Forward-Looking Information

This News Release contains forward -looking statements. Forward looking statements are statements

which relate to future events. Forward-looking statements include, but are not limited to, statements with

respect to exploration results, the success of exploration activities, mine development prospects,

completion of economic assessments, and future gold production. In some cases, yo u can identify

forward-looking statements by terminology such as “may”, “appears to”, “should”, “expects”, “plans”,

“anticipates”, believes”, “estimates”, “predicts”, “potential”, or “continue” or the negative of these terms

or other comparable terminology. These statements are only predictions and involve known and unknown

risks, uncertainties and other factors that may cause our actual results, level of activity, performance or

achievements to be materially different from any future results, levels of act ivity, performance, or

achievements expressed or implied by these forward-looking-statements.

MG Capital & DLP Resources

July 13, 2020 News Release 3

Although DLP has attempted to identify important factors that could cause actual actions, events or

results to differ materially from those described in 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 prove to be accurate, as actual results and future

events could differ materially from those anticipated in such statements. Accordingly, readers should not

place undue reliance on forward-looking statements.

MG Capital & DLP Resources

July 13, 2020 News Release 4

MG Capital & DLP Resources

July 13, 2020 News Release 5

MG Capital & DLP Resources

July 13, 2020 News Release 6