X-Terra Resources Inc. (TSX-V: XTT) (FRANKFURT: XTR) is pleased to announce that it has held a first closing of a non-brokered private placement at which it issued 6,451,613 units at a price of $0.155 per unit, for aggregate gross proceeds to X-Terra of $1,000,000. Each of the 6,451,613 units is comprised of one federal “flow-through” common share and one-half of a common share purchase warrant. Each whole warrant entitles its holder to acquire one additional common share of X-Terra at a price of $0.20 for a period of 24 months from the closing date.  X-Terra intends to use the proceeds from the private placement for exploration on certain of its mining exploration properties in Québec and New Brunswick.

Additional closings of the private placement may be held until December 30, 2020, subject to a maximum of 3,225,807 additional units at a price of $0.155 per unit, for total maximum gross proceeds of $500,000.

In connection with the private placement, X-Terra paid cash commissions to a securities dealer in an aggregate amount of $64,750. In addition, X-Terra granted finders’ options to Marquest Asset Management Inc. and Roche Securities Limited entitling them to acquire, respectively, up to 158,064 and 259,676 additional common shares of X-Terra at a price of $0.155 per share for a period of 24 months.

As a result of the first closing of the private placement, there are 77,953,267 common shares of X-Terra issued and outstanding. Under applicable securities legislation, the securities issued in the private placement are subject to a four-month hold period, expiring on April 22, 2021.

About X-Terra Resources Inc.

X-Terra Resources is a resource company focused on acquiring and exploring precious properties in Canada.