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SPA.V ·

Spanish Mountain Gold Announces Closing of Private Placement

Financings

1120‐1095 West Pender Street

Vancouver, British Columbia, V6E 2M6

Tel: 604.601.3651 

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR

DISSEMINATION IN THE UNITED STATES

September 29, 2017

Spanish Mountain Gold Announces Closing of Private Placement

VANCOUVER, B.C. - Spanish Mountain Gold Ltd. (“ Spanish Mountain ” or the

“Company”) (TSX-V: SPA) is pleased to an nounce that it has closed on 9,615,384

common share units (the “ Units”) of its non-brokered private placement offering (the

“Offering”) for gross proceeds of approximately $1,250,000.

Each Unit issued consisted of one common share of the Company and one common share

purchase warrant (a “ Warrant”). Each Warrant entitles its holder to purchase one

common share at a price of $0.20 per share for a period of two years. All of the securities

issued in connection the Offering are subj ect to a statutory four-month hold period

expiring on January 28, 2018.

No finders’ fee or commission was paid in connection with the Offering. The Company

expects to use all of the proceeds from the Offering to advance the Company’s Spanish

Mountain gold project. The Offering is subj ect to final acceptance by the TSX Venture

Exchange upon filing of final documentation.

Certain directors and an o fficer of the Company had s ubscribed to a total of 1,424,193

Units in connection with the private placement. Such participation is considered to be a

"related party transaction" as defined under Multilatera l Instrument 61-101 ("MI 61-

101"). The transaction was exempt from th e formal valuation and minority shareholder

approval requirements of MI 61- 101 as neither the fair mark et value of any securities

issued to nor the considerat ion paid by such persons ex ceeded 25% of the Company's

market capitalization.

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

any of securities in the United States. The securities have not been and will not be

registered under the Unite d States Securities Act of 1933, as amended (the “ U.S.

Securities Act”) or any state securities laws and ma y not be offered or sold within the

United States or to U.S. Persons unless re gistered under the U.S. Securities Act and

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

About Spanish Mountain Gold

Spanish Mountain Gold Ltd is focused on a dvancing its flagship Spanish Mountain gold

project in southern central British Columb ia. The Company has adopted a two-zone

project approach in which the pit-delineated high grade core (the First Zone) of the multi-

million ounce resource is expected to sustain a robust stand-alone operation exceeding 24

years. The positive economics of the First Zone have been demonstrated in a Preliminary

Economic Assessment. Furthermore, the Second Zone could potentially expand and

extend the project’s production profile for decades. Additional information about the

Company is available on its website: www.spanishmountaingold.com.

On Behalf of the Board,

SPANISH MOUNTAIN GOLD LTD.

Larry Yau

Chief Executive Officer

Inquiries:

SPANISH MOUNTAIN GOLD LTD.

Phone: (604) 601-3651

E-mail: [email protected]

Website: www.spanishmountaingold.com

Neither TSX Venture Exchange nor its Regulations Services Pr ovider (as that term is

defined in policies of the TSX Venture Exc hange) accepts responsibility for the adequacy

or accuracy of this release.

This news release contains forward-looki ng information, which involves known and

unknown risks, uncertainties and other factors that may cause actual events to differ

materially from current expecta tion. Important factors that c ould cause actual results to

differ materially from the Company's exp ectations are disclosed in the Company's

documents filed from time to time on SEDAR (see www.sedar.com). Readers are

cautioned not to place undue reliance on thes e forward-looking statements, which speak

only as of the date of this press release. The company discla ims any intention or

obligation, except to the extent required by la w, to update or revise any forward-looking

statements, whether as a result of new information, future events or otherwise.