iMetal Raises $3 Million in Fully Subscribed Private Placement Led by Funds Managed by Sprott Asset Management LP

iMetal Resources Inc. (TSX.V: IMR)(OTCBB:ADTFF)(FRANKFURT:A7V2) ("iMetal" or the "Company") announces that it has closed its non-brokered private placement (the "Placement") for gross proceeds of $3,000,000. In connection with closing of the Placement, the Company issued 16,666,667 units (each, an "NFT Unit") at a price of $0.12 per NFT Unit, and 6,666,667 flow-through units (each, an "FT Unit") at a price of $0.15 per FT Unit

Each NFT Unit and FT Unit consists of one common share of the Company and one common share purchase warrant (each, a "Warrant") exercisable to acquire an additional common share at a price of $0.20 until April 7, 2024. The common shares forming part of the FT Units will qualify as flow-through shares within the meaning of Subsection 66(15) of the Income Tax Act (Canada). The Placement included participation by Funds Managed by Sprott Asset Management LP, which subscribed for FT Units and agreed to waive entitlement to 2,644,669 Warrants they would otherwise have been entitled to receive in connection with their subscription. As a result, a total of 20,688,665 Warrants were issued to subscribers in connection with the Placement.

Proceeds from the Placement will be used for the development of the Company's Gowganda West Project, as well as development of the Kerrs Gold Deposit and for general working capital purposes.

In connection with completion of the Placement, the Company paid $161,548 and issued 1,289,893 Warrants to certain arms-length third parties who assisted by introducing subscribers to the Company. All securities issued in connection with the Placement are subject to a statutory hold period until August 8, 2022 in accordance with applicable securities laws.

Option Grant

The Company also announces that it has granted 2,000,000 incentive stock options (the "Options") to certain directors, officers and consultants of the Company. The Options vest immediately and are exercisable at a price of $0.33 until April 8, 2027.

About iMetal Resources Inc.

A Canadian based junior exploration company focused on the exploration and development of its portfolio of resource properties in Ontario and Quebec. iMetal is focused on advancing its Gowganda West Project that borders the Juby Project, an advanced exploration-stage gold project located within the Shining Tree Camp area in the southern part of the Abitibi Greenstone Gold Belt about 100 km south-southeast of the Timmins Gold Camp.

ON BEHALF OF THE BOARD OF DIRECTORS,

Saf Dhillon
President & CEO

iMetal Resources Inc.
saf@imetalresources.ca
Tel. (604-484-3031)
Suite 550, 800 West Pender Street, Vancouver, British Columbia, V6C 2V6.
https://imetalresources.ca

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.

This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include results of exploration, variations in results of mineralization, relationships with local communities, market prices, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws.

SOURCE: iMetal Resources, Inc.