Opawica Explorations Inc. Closes First Tranche Of Private Placement (Updated)

Vancouver, B.C. – December 14, 2020 – Opawica Explorations Inc. (the “Company”) (TSX.V: OPW) is pleased to announce that it has closed the first tranche of a non-brokered private placement to raise gross proceeds of up to $1,000,000 (the “Offering”) through the sale of up to 10,000,000 common shares of the Company (each, a “Share”) at a price of $0.10 per Share that was originally announced on October 5, 2020.  The Company has completed the sale of 4,360,000 Shares at a price of $0.10 per Share for gross proceeds of $436,000 (the “First Tranche”).  A final tranche of the Offering is expected to close on or before December 24, 2020.

All Shares issued in connection with the Offering will be subject to resale restrictions, expiring beyond the customary statutory hold period of four months and one day after closing of the Offering.  The Shares of the First Tranche will be issued and represented by three certificates (or DRS statements) of equal amount, each with a different resale restriction endorsed thereon as follows: (i) one Share certificate will bear a legend expiring four months plus one day from the Closing Date (April 15, 2020); (ii) one Share certificate will bear a legend expiring eight months from the Closing Date (August 14, 2021); and (iii) one Share certificate will bear a legend expiring twelve months from the Closing Date (December 14, 2021).

The proceeds from the Offering will be used for project acquisition and exploration, payment of trade payables and debt and working capital.

No finders’ fees were paid in connection with the First Tranche.

Christopher Reynolds, a director of the Company, subscribed for 300,000 common shares; Owen King, a director of the Company, subscribed for 100,000 common shares; and Sandra Wong, the CFO of the Company, subscribed for 150,000 common shares. This participation constitutes a “related party transaction” for the purposes of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying upon exemptions from the requirement to obtain a formal valuation and seek minority shareholder approval for the Offering on the basis that the fair market value of the participation by related parties in the Offering is less than 25% of the Company’s current market capitalization.


Blake Morgan

President and Chief Executive Officer

Opawica Explorations Inc.

Telephone: 604-681-3170

Fax: 604-681-3552

Disclaimer for Forward-Looking Information

This news release includes certain “forward-looking statements” under applicable Canadian securities legislation that are not historical facts. Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements with respect to the expectations of management regarding the proposed Offering, the expectations of management regarding the use of proceeds of the Offering, closing conditions for the Offering, and Exchange approval of the proposed Offering. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements including that: the Company may not complete the Offering on terms favorable to the Company or at all; the Exchange may not approve the Offering; the proceeds of the Offering may not be used as stated in this news release; the Company may be unable to satisfy all of the conditions to the Closing; and those additional risks set out in the Company’s public documents filed on SEDAR at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.