Kapuskasing Closes Private Placement

Vancouver, B.C., May 19, 2015 – KAPUSKASING GOLD CORP. (TSX-V: KAP) (the “Company” or “Kapuskasing”), reports that it has closed the private placement announced March 20, 2015 and in addition to the previously announced closing (news release April 16, 2015), an additional tranche of 150,000 flowthrough units (the "FT Units") at a price of $0.075 per FT Unit have been issued for gross proceeds of $11,250 and an additional 1,370,000 non flow-through units (the “NFT Units”) at a price of $0.0675 per NFT Unit have been issued for gross proceeds of $92,475.

In total the offering raised gross proceeds of $200,962.50 by issuing 803,000 FT Units and 2,085,000 NFT Units.

Net proceeds of the private placements will be used for the Company’s summer 2015 exploration program, which is underway, and general working capital. The initial focus is on the Borden North area followed by Rollo property, which returned a number of high-grade gold surface samples from work in late 2014. The company's Borden North property is located 46 kilometres northeast of the Borden Lake gold deposit recently acquired by Goldcorp in a similar geological setting. Mike Tremblay, who co-discovered the Borden gold deposit, will conduct KAP's exploration program (see news release May 14, 2015, “Kapuskasing Gold begins Second Phase Exploration at Borden North”)

Each NFT Unit will consist of one common share in the capital of the Company and one common share purchase warrant. Each purchase warrant will be exercisable into one common share at 10 cents for a period of 24 months from the closing of the financing.

Each FT unit will consist of one common share issued on a flow-through basis within the meaning of the Income Tax Act (Canada) and one purchase warrant exercisable at 10 cents into one common share of the Company for a period of 24 months from the closing of the financing.

All securities issued in connection with the Offering will be subject to a four month hold period in accordance with applicable Canadian securities laws.

The Offering remains subject to final acceptance by the TSX Venture Exchange.

In connection with the Offering, the Company paid certain finders (the "Finders") a cash commission equal to 8% of the proceeds of the sale of FT Units and NFT Units by such Finder and issued finder's compensation warrants (the "Finder's Warrants") equal to 8% of the number of Units sold by such Finder.

On behalf of the Board of Directors:

KAPUSKASING GOLD CORP.

“Dean Nawata”

Dean Nawata President & CEO, Director Phone 1-604-561-2821

Suite 350 – 885 Dunsmuir Street, Vancouver, B.C. V6C 1N5 Page 1 Qualified Person

Garry Clark, PGeo, the exploration manager and a director of the company, a Qualified Person (“QP”) as defined by National Instrument 43-101, has reviewed the technical content of this release.

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.

Forward Looking Statements and Cautionary Notes

Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward-looking statements contained in this document are based on certain key expectations and assumptions made by Kapuskasing, including, without limitation, receipt of final approval from the TSX Venture Exchange Although the forward-looking information contained in this press release is based upon what Kapuskasing’s management believes to be reasonable assumptions, the Company cannot assure investors that actual results will be consistent with such information. Forward-looking information reflects current expectations of management regarding future events and operating performance as of the date of this press release.

It is important to note that actual outcomes and the Company’s actual results could differ materially from those in such forward-looking statements. Risks and uncertainties include, but are not limited to, economic, competitive, governmental, environmental and technological factors that may affect the Company's operations, markets, products and prices. Readers should refer to the risk disclosures outlined in the Company’s Management Discussion and Analysis of its audited financial statements filed with the British Columbia Securities Commission.

The forward-looking information contained herein is expressly qualified in its entirety by this cautionary statement. Forward-looking information reflects management’s current beliefs and is based on information currently available to the Company. The forward-looking information is made as of the date of this press release and Kapuskasing assumes no obligation to update or revise such information to reflect new events or circumstances, except as may be required by applicable law.

Suite 350 – 885 Dunsmuir Street, Vancouver, B.C. V6C 1N5 Page 2