GFG Resources Inc. (TSX-V: GFG) (OTCQB: GFGSF)  announces that it has closed the previously announced (see news releases dated December 7 and 14, 2018) non-brokered private placement of flow-through common shares of the Company at a price of C$0.29 per FT Share. Pursuant to the Tranche A Offering, the Company issued a total of 4,950,000 FT Shares for gross proceeds of C$1,435,500.

Gross proceeds raised under the Tranche A Offering will be used for exploration activities at the Company’s Pen and Dore Gold Projects in Ontario that will qualify as “Canadian Exploration Expenses” (within the meaning of the Income Tax Act (Canada)).

The Tranche A Offering is subject to the receipt of final approval of the TSX Venture Exchange.  The Tranche A Offering was made by way of a private placement in Canada and no FT Shares were sold in the United States. All FT Shares issued pursuant to the Tranche A Offering are subject to a hold period expiring four months and one day from their issuance.

As previously announced, the Company anticipates completing the sale of approximately 2.2 million FT Shares at C$0.25 per share (previously referred to as Tranche B FT Shares) for gross proceeds of approximately C$560,000 on or about December 27, 2018.

This news release does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. 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 unless an exemption from such registration is available.

About GFG Resources Inc.

GFG Resources is a North American precious metals exploration company focused on district scale gold projects in tier one mining jurisdictions, Ontario and Wyoming. In Ontario, the Company owns 100% of the Pen and Dore gold projects, two large and highly prospective gold properties west of the prolific gold district of Timmins, Ontario, Canada. The Pen and the Dore gold projects have the same geological setting that hosts most of the gold deposits found in the Timmins Gold Camp which have produced over 70 million ounces of gold. In Wyoming, the Company has partnered with Newcrest Mining Ltd. through an option and earn-in agreement to advance the Rattlesnake Hills Gold Project. The geologic setting, alteration and mineralization seen in the Rattlesnake Hills are similar to other gold deposits of the Rocky Mountain alkaline province which, collectively, have produced over 50 million ounces of gold.