Goldsource Mines Inc. (TSX-V: GXS) (FSE: G5M) is pleased to announce the completion of its previously announced non-brokered private placement whereby the Company issued a total of 26,000,000 units of the Company at a price of Cdn$0.05 per Unit for gross proceeds of Cdn$1,300,000. Each Unit consisted of one common share and one common share purchase warrant of Goldsource. Each warrant is exercisable to acquire one common share of Goldsource at an exercise price of Cdn$0.09 until January 17, 2021.

Proceeds from the private placement will be used for the Company’s Eagle Mountain resource expansion, pre-feasibility study costs and general corporate purposes.

The Company has agreed to pay a commission of up to 6% in cash, in respect of a portion of the private placement. Subject to regulatory approval, the Company expects to pay finder’s fees of $28,500 in cash.

One of Goldsource’s insiders purchased or acquired direction and control over Units under the private placement. The placement to that person constitutes a “related party transaction”, within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101. The Company has relied on the exemptions from the formal valuation and minority approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of that related party participation. Further details will be included in the Company’s material change report to be filed within 10 days of the date hereof. Such material change report was not filed more than 21 days prior to closing of the placement due to there being less than 21 days between the date of related party subscription agreements and closing.

The common shares and warrants issued in connection with the private placement and the common shares issuable upon exercise of warrants are subject to a hold period expiring May 18, 2019. The private placement is subject to final approval of the TSX Venture Exchange.

The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or the securities laws of any state and may not be offered or sold in the United States absent an exemption from registration.

ABOUT GOLDSOURCE MINES INC.

Goldsource Mines Inc. is a Canadian resource company working aggressively to develop its advanced-stage, 100%-owned Eagle Mountain saprolite and hard-rock gold project in Guyana, South America. Through a pilot plant initiative, the company achieved low cost, Phase I gold production at the project in 2016. Goldsource is now focused on delivering feasibility studies to achieve large-scale gold production at Eagle Mountain. Goldsource is led by an experienced management team, proven in making exploration discoveries and in project construction.