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SPA.V ·

The gross proceeds will be used by the Company to incur exploration expenditures on the Company’s Spanish Mountain gold project and will constitute “Canadian exploration expenses” and “flow through mining expenditures” (as defined in the Tax Act) which will be renounced to

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

De

cember 14, 2017

Sp

anish Mountain Gold Arranges Private Placement of Flow-through Shares

Vancouver, B.C. - Spanish Mountain Gold Ltd. (“Spanish Mountain” or the “Company”)

(TSX-V: SPA) is pleased to announce that it has arranged a non -br okered private placement

w

ith an institutional investor for gross proceeds of $500,006.

On c

losing, the Company will issue 3,846,200 flow -through common shares for $0.13 each.

The gross proceeds will be used by the Company to incur exploration expenditures on the

Company’s Spanish Mountain gold project and will constitute “Canadian exploration expenses”

and “flow through mining expenditures” (as defined in the Tax Act) which will be renounced to

the investor for the 2017 taxation year.

All shares issued on closing will be subject to a statutory four -month hold period. The closing,

which is expected to occur today, is subject to final acceptance by the TSX Venture Exchange.

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

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.

Abo

ut Spanish Mountain Gold

Spanish Mountain Gold Ltd is focused on advancing its flagship Spanish Mountain gold project

in southern central British Columbia. 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. Ad ditional 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 Provider (as that term is defined in

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of

this release.

This news release contains forward- looking information, which involves known and unknown

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

current expectation. Important factors that could cause actual results to differ materially from

the Company's expectations are disclosed in the Company's documents filed from time to time

on www.sedar.com. Readers are cautioned not to place undue reliance on these forward-

looking statements, which speak only as of the date of this press release. The company

disclaims any intention or obligation, except to the extent required by law, to update or revise

any forward- looking statements, whether as a result of new information, future events or

otherwise.