Osisko Metals Incorporated (TSX-V: OM) (OTCQX: OMZNF) (FRANKFURT: OB51) is pleased to announce that it has entered into an amending agreement with Eight Capital on behalf of a syndicate of underwriters who, as lead underwriter, has now agreed to purchase, on a “bought deal” private placement basis:

• No less than 16,296,500 flow-through units of the Corporation at a price of $0.54 per FT Unit, for gross proceeds of no less than $8.8 million, with each FT Unit comprised of one common share of the Corporation that will qualify as “flow-through shares” (within the meaning of subsection 66 (15) of the Income Tax Act (Canada)), and (ii) one-half-of-one common share purchase warrant of the Corporation; and
• up to 4,400,000 FT Shares at a price of $0.50 per FT Share, for gross proceeds of approximately $2.2 million.

Each whole FT Warrant will entitle the holder thereof to purchase one common share of the Corporation at a price of $0.57 per share until the close of business on the date which is 60 months from the closing date of the Offering.

The Corporation has also granted to the Underwriters an option, exercisable, in whole or in part, up to 48 hours prior to the closing of the Offering, to purchase up to an additional 2,440,000 FT Units at the FT Unit Issue Price and 660,000 FT shares at the FT Share Issue Price for additional gross proceeds of up to approximately $1.65 million.

The gross proceeds from the Offering will be used by the Corporation to, directly or indirectly, incur eligible “Canadian exploration expenses” that will qualify as “flow-through mining expenditures” (as such terms are defined in the Income Tax Act (Canada)). All Qualifying Expenditures will be renounced in favour of the subscribers of the FT Shares effective December 31, 2022.

The Qualifying Expenditures may be incurred on projects held, directly or indirectly, by the Corporation and also in respect of the past-producing Gaspé copper mine located near Murdochville, Québec owned by Glencore Canada Corporation, which property is subject to an option agreement between the Corporation and Glencore Canada Corporation.

The Offering is expected to close on or about June 16, 2022 and is subject to certain closing conditions including, but not limited to, the receipt of all necessary approvals including the conditional listing approval of the TSX Venture Exchange.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

About Osisko Metals

Osisko Metals Incorporated is a Canadian exploration and development company focused on creating value in the critical metal space. The Corporation owns one of Canada’s premier past-producing zinc mining camps, the Pine Point Project, located in the Northwest Territories for which the Pine Point Project PEA (2020) (as defined herein) has indicated an after-tax NPV of $500 million and an IRR of 29.6%. The Pine Point Project PEA (2020) is based on current Mineral Resource Estimates that are amenable to open pit and shallow underground mining and consist of 12.9Mt grading 6.29% ZnEq of Indicated Mineral Resources and 37.6Mt grading 6.80% ZnEq of Inferred Mineral Resources. Please refer to the technical report entitled “Preliminary Economic Assessment, Pine Point Project, Hay River, Northwest Territories, Canada” dated July 30, 2020 (with an effective date of June 11, 2020) (the “Pine Point Project PEA (2020)“), prepared by BBA Inc. and WSP Canada Inc., for Osisko Metals and Pine Point Mining Limited, a copy of which is available on SEDAR (www.sedar.com) under Osisko Metals’ issuer profile. The Pine Point Project is located on the south shore of Great Slave Lake in the Northwest Territories, near infrastructure, paved highway access, and has an electrical substation as well as 100 kilometres of viable haulage roads already in place.