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Prophecy Clears All Bolivian Tax Liabilities

Corporate Updates

Prophecy Clears All Bolivian Tax Liabilities

Vancouver, British Columbia, December 4, 2019 – Prophecy Development Corp. (“Prophecy”

or the “Company”) (TSX: PCY, OTCQX: PRPCF, Frankfurt:1P2N) announces, further to the

Bolivian Tax Claim contingency discussed in the Company’s Q3 financial reports. On November 18,

2019 Prophecy received the 18-page Resolution No. 195/2018 issued by the Supreme Court of

Bolivia, signed by all of its nine judges. It declares that the contentious tax claim of US$ 6,556,787

(US$ 816,769.54 income tax on alleged 2003 profits and US$ 5,740,017.81 in interest s and

penalties) brought by Bolivia’s General Revenue Authority against a Prophecy’s Bolivian subsidiary

is not proven.

The Resolution is final and binding. Hence neither Prophecy nor Prophecy's Bolivian subsidiaries

owe any outstanding back taxes to the Bolivian General Revenue Authority.

About Prophecy

Prophecy is developing Pulacayo silver project in Bolivia and Gibellini vanadium project in Nevada.

Further information on Prophecy can be found at www.prophecydev.com.

PROPHECY DEVELOPMENT CORP.

ON BEHALF OF THE BOARD

Michael Doolin

CEO

For more information about Prophecy, please contact Investor Relations:

+1.604.569.3661 ext. 101

[email protected] www.prophecydev.com

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in

the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of

this release.

Cautionary Note Regarding Forward-Looking Statements

Certain statements contained in this news release, including statements which may contain

words such as “expects”, “anticipates”, “intends”, “plans”, “believes”, “estimates”, or similar

expressions, and statements related to matters which are not historical facts, are forward-looking

information within the meaning of applicable securities laws. Such forward-looking statements,

which reflect management’s expectations regarding Prop hecy’s future growth, results of

operations, performance, business prospects and opportunities, are based on certain factors

and assumptions and involve known and unknown risks and uncertainties which may cause the

actual results, performance, or achiev ements to be materially different from future results,

performance, or achievements expressed or implied by such forward-looking statements.

These factors should be considered carefully, and readers should not place undue reliance on

the Prophecy’s forward-looking statements. Prophecy believes that the expectations reflected in

the forward-looking statements contained in this news release and the documents incorporated

by reference herein are reasonable, but no assurance can be given that these expectations will

prove to be correct. In addition, although Prophecy 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. Prophecy undertakes no obligation to release

publicly any future revisions to forward-looking statements to reflect events or circumstances

after the date of this news or to reflect the occurrence of unanticipated events, except as

expressly required by law.