Treasury Metals Inc. (TSX: TML) is pleased to announce that it has closed the previously announced bought deal private placement, led by PI Financial Corp. including Haywood Securities Ltd.  and that the over-allotment option granted to the Underwriters was exercised in full.

Pursuant to the Offering, the Company issued 9,807,800 flow-through units, at a price per Flow-Through Unit of $0.285, for gross proceeds of C$2,795,223.

Each Flow-Through Unit is comprised of one common share of the Company issued on a flow-through basis and one-half of one common share purchase warrant issued on a non-flow-through basis. Each whole Warrant entitles the holder thereof to acquire one common share of the Company at a price of $0.45 for a period of 24 months following the closing of the Offering (the “Expiry Date”), which, at the discretion of the Company, may be subject to acceleration in the event that the closing price of the Common Shares is $0.75 or more for 20 consecutive trading days, to a date that is 30 days following the date of delivery of the Company’s notice to exercise its right to accelerate the Expiry Date via press release. The Flow-Through Shares qualify as “flow-through shares” within the meaning of subsection 66(15) of the Income Tax Act (Canada).

The gross proceeds from the sale of the Flow-Through Shares will be used for general exploration expenditures on Treasury’s properties located in Ontario. The exploration program will fund approximately 10,000-metre infill and expansion drilling program with the initial 5,000 metres focused on the C Zone Resource Area where several significant gold intersections have been found and the additional 5,000 metres will drill test both down dip and along strike targets identified in the downhole IP Survey and recent mine scheduling modelling work (see press release dated October 24, 2019).

The Offering remains subject to the final approval of the Toronto Stock Exchange.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. 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 or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

About Treasury Metals

Treasury Metals Inc. is a gold focused exploration and development company with assets in Canada and is listed on the Toronto Stock Exchange and on the OTCQX® Best Market. Treasury Metals Inc.’s 100% owned Goliath Gold Project in northwestern Ontario is slated to become one of Canada’s next producing gold mines. With first-rate infrastructure currently in place, Treasury Metals plans on the initial development of an open pit gold mine to feed approximately 2,500 tonne per day processing plant with subsequent underground operations in the latter years of the mine life. The Environmental Assessment has been completed for the Goliath Gold Project, a major step in the permitting process.