Sparton Announces Private Placement of up to C$500,000

Sparton Announces

Private Placement of up to C$500,000

Not for distribution to United States Newswire Services or for dissemination in the United States

TORONTO, December 1, 2022 – Sparton Resources Inc. (TSXV-SRI) (“Sparton” or the “Company”)

is pleased to announce a non-brokered private placement (the “Offering”) for gross proceeds of up to

C$500,000 from the sale of up to 6,250,000 flow-through units of the Company (each, a “FT Unit”) at a

price of C$0.08 per FT Unit. Red Cloud Securities Inc. will be acting as a finder in connection with the

Offering.

Each FT Unit will consist of one common share of the Company to be issued as a “flow-through share”

within the meaning of the Income Tax Act (Canada) (each, a “FT Share”) and one half of one common

share purchase warrant (each whole warrant, a “Warrant”). Each Warrant will entitle the holder thereof

to purchase one common share of the Company (each, a “ Warrant Share”) at a price of C$0.12 for a

period of 24 months following the issue date.

The Company intends to use the proceeds of the Offering for the exploration of the Company’s projects

in Ontario and elsewhere in Canada as necessary . The gross proceeds from the issuance of the FT

Shares will be used to incur resource exploration expenses which will constitute “Canadian exploration

expenses” as defined in subsection 66.1(6) of the Income Tax Act and "flow through mining

expenditures" as defined in subsection 127(9) of the Income Tax Act (the “Qualifying Expenditures”),

which will be renounced with an effective date no later than December 31, 202 2 to the purchasers of

the FT Units in an aggregate amount not less than the gross proceeds raised from the issue of the FT

Shares. If the Qualifying Expenditures are reduced by the Canada Revenue Agency, the Company will

indemnify each subscriber of FT Units for any additional taxes payable by such subscriber as a result

of the Company’s failure to renounce the Qualifying Expenditures.

The closing of the Offering is subject to receipt of all necessary regulatory approvals including the TSX

Venture Exchange. Finder’s fees will be payable in accordance with the policies of the TSX Venture

Exchange. The FT Shares, Warrant Shares and any common shares of the Company that are issuable

from any finder’s warrants will be subject to a hold period ending on the date that is four months plus

one day following the issue date in accordance with applicable securities laws.

The securities offered 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 U.S. state securities laws, and may not be

offered or sold in the United States or to, or for the account or benefit of, United States persons absent

registration or an applicable exemption from the registration requirements of the U.S. Securities Act

and applicable U.S. state securities laws. This press release does not constitute an offer to sell or the

solicitation of an offer to buy securities in the United States, nor in any other jurisdiction.

For more information, contact:

A. Lee Barker, M.A.Sc., P.Eng.

President & CEO

Tel./Fax: 647-344-7734 or Mobile: 416-716-5762

Email: [email protected]

Website: www.spartonres.ca

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

Information set forth in this news release involves forward -looking statements under applicable

securities laws. The forward -looking statements contained herein include, but are not limited to,

financings and transactions being pursued, and all such forward-looking statements are expressly

qualified in their entirety by this cautionary statement. The forward -looking statements included in

this news release are made as of the date hereof and the Company disclaims any intention or

obligation to update or revise any forward-looking statements, whether as a result of new information,

future events or otherwise, except as expressly required by applicable securities legislation. Although

the Company believes that the expectations represented in such fo rward-looking statements are

reasonable, there can be no assurance that such expectations will prove to be correct and,

accordingly, undue reliance should not be put on such forward -looking statements. This news

release does not constitute an offer to sell or solicitation of an offer to buy any of the securities

described herein.

We Seek Safe Harbour