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MTS.V ·

Metallis Arranges $1.25 Million Financing

Financings

METALLIS ARRANGES $1.25 MILLION FINANCING

September 19, 2017

Vancouver, British Columbia : Metallis Resources Inc. (TSX-V: MTS) (the “Co mpany” or “Metallis

Resources”) is pleased to announce that it has arranged a non -brokered private placement to r aise gross

proceeds of up to $1,250,000. The financing is expected to close shortly.

Private Placement Details

One (1) million units will be issued at $0.55 cents while one (1) million flow-through units will be issued at

$0.70 cents. Each unit, non -flow-through and flow -through, will consist of one (1) common share of the

Company and one -half of one (1/2) of a non -transferable share purchase warrant. Each whole warrant

will entitle the holder to purchase one additional comm on share of the Company at a price of $0.80 cents

per share for a period of two years, subject to the following acceleration provision (the “Acceleration

Provision”): if the closing price for the common shares of the Company as traded on the TSX Venture

Exchange is equal to or greater than $1.20 per common share for ten (10) consecutive days (the

“Threshold Period”) occurring any time after the expiry of the 4 month hold period, then the Purchaser

shall have until 4:00 pm (Vancouver, BC Time) of the 30th calendar day after the Company’s news

release announcement of the occurrence of the Threshold Period to exercise the share p urchase

warrants (the “Accelerated Expiry Date”). The share purchase warrants shall expire on the earlier of the

last day of the two (2) year exercise term or the Accelerated Expiry Date. The Company shall issue no

other notice other than such news release.

Any finders’ fees and/or agents’ fees will be paid in accordance with the policies of the TSX Venture

Exchange. The private placement is subject to Exchange approval.

Proceeds from the flow-through private placement will be us ed for further explorati on including drilling at

the company’s 100%-owned Kirkham Property situated in the heart of the Golden Triangle’s Eskay Camp

in northwest British Columbia. Proceeds from the non -flow through private placement will be used for

general working capital purposes.

About the Kirkham Property

The 10,600 hectare Kirkham Property , prospective for gold -copper porphyry, high -grade gold and base

metal mineralization, is located about 65 km north of Stewart within the pro lific Golden Triangle. Th e

northern border of Kirkham is contiguous to Garibaldi Resources’ E&L Nickel Mountain Project ,

approximately 12 km southwest of the Eskay Creek mine. T he eastern border is within 15 to 20 km of

Seabridge Gold’s KSM deposit and Pretium Resources’ Brucejack mine which is now in commercial

production.

About Metallis

Metallis Resources Inc. is a Vancouver -based company focu sed on the exploration of preci ous metals

and base metals at its 100% -owned Kirkham Property in northwest British Columbia’s Golden Triangle.

Metallis trades under the symbol MTS on the TSX Venture Exchange and currently has 23,523,617

shares issued and outstanding.

On behalf of the Board of Directors:

/s/ “Fiore Aliperti”

Chief Executive Officer, President and Director

For further information:

Tel: 604-688-5077

Email: [email protected]

Web: www.metallisresources.com

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This Press Release may contain statements which constitute ‘forward -looking’ statements, including

statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors,

or its offi cers with respect to the future business activities and operating performance of the

Company. The words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”,

“expect” and similar expressions, as they relate to the Company, or its management, are intended to

identify such forward -looking statements. Investors are cautioned that any such forward -looking

statements are not guarantees of future business activities or performance and involve risks and

uncertainties, and that the Company’s future business activities may differ materially from those in the

forward-looking statements as a result of various factors. Such risks, uncertainties and factors are

described in the periodic filings with the Canadian securities regulatory aut horities, including quarterly and

annual Management’s Discussion and Analysis, which may be viewed on SEDAR at

www.sedar.com Should one or more of these risks or uncertainties materialize, or should assumptions

underlying the forward -looking statements pro ve incorrect, actual results may vary materially from those

described herein as intended, planned, anticipated, believed, estimated or expected. Although the

Company has attempted to identify important risks, uncertainties and factors which could cause act ual

results to differ materially, there may be others that cause results not to be as anticipated, estimated or

intended. The Company does not intend, and does not assume any obligation, to update these forward -

looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of

the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX-

V Stock Exchange has neither approved nor disapproved the contents of this news release.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the

securities in the United States. The securities have not been and will not be registered under the United

States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may

not be offered or sold within the United States or to U.S. Persons unless registered under the U.S.

Securities Act and applicable state securities laws or an exemption from such registration is available.