Metallis Resources Inc. (TSX-V: MTS) (OTCQB: MTLFF) (FSE: 0CVM) announces the Company has closed the first tranche (the “First Tranche”) of its previously announced non-brokered placement (the “Financing”) of up to $2 million (See News Release dated June 7th, 2022). The First Tranche has resulted in the issuance of 5,281,500 flow-through units for gross proceeds of $1,214,745 and 1,327,500 non-flow-through units for gross proceeds of $265,500.

Each Non-flow through unit consists of one common share and one-half of one non-transferable share purchase warrant with each full warrant exercisable at $0.30 per share for three years. Each Flow-through unit consists of one flow-through common share and one-half of one non-flow-through non-transferable share purchase warrant with each full warrant exercisable at $0.33 per share for three years. The flow-through shares will qualify as “flow-through shares” for the purpose of the Income Tax Act (Canada). The proceeds of the flow-through private placement will be incurred on “Canadian exploration expenses” (within the meaning of the Act). The Company will renounce these expenses to the purchasers with the effective date no later than December 31, 2022, and as required under the Act.

The proceeds from the non-flow-through units will be used for both exploration and general corporate purposes.

Shares and warrants issued on closing will be subject to a trading hold period expiring four months plus one day from the date of issuance.

Final closing of the Financing is subject to all necessary regulatory approvals, including the approval of the TSX Venture Exchange.

About Metallis

Metallis Resources Inc. is a Vancouver-based company focused on the exploration of gold, copper, nickel, and silver at its 100%-owned Kirkham Property situated in northwest British Columbia’s Golden Triangle. The Property is prospective for multiple mineral deposit types and is located along a strategic geological boundary – the “Red-line” exposed on the Western margin of the Eskay Rift system in the Golden Triangle, Northwestern British Columbia. The Property is contiguous to Garibaldi Resources Corp.’s E&L Nickel Mountain Project in the North and Eskay Mining Corp. to the East, is within 12 km of the Eskay Creek mine and 12 – 20 km west of Seabridge Gold’s KSM deposits and Newcrest Mining’s producing Brucejack mine.

Metallis trades under the symbols MTS on the TSX Venture Exchange, MTLFF on the OTCQB Exchange, and 0CVM on the Frankfurt Stock Exchange. The Company currently has 59,448,878 common shares issued and outstanding, which reflects the closing of the First Tranche.