Eagle Hill Exploration Closes $1.0 Million Flow-Through Financing, Continues to Fill Orders in Private Placement for up to $2.5 Million - Seite 2

The Shares, Warrants and Shares issued upon exercise of the Warrants will be subject to a four-month hold from the date of closing of the Offering. Proceeds from the Offering will be used for exploration and development of the Windfall Lake Gold Project.

Southern Arc and Dundee's participation in the private placement is in compliance with Multilateral Instrument 61-101 ("MI 61-101"). Eagle Hill will rely on exemptions from the formal valuation and minority approval requirements under MI 61-101 based on a determination that neither the fair market value of the Units being issued to the related parties, nor the consideration being received for such Units, exceeds 25% of Eagle Hill's market capitalization. The Offering was approved by all independent directors of Eagle Hill. In August 2013, Southern Arc and Dundee invested an aggregate of $12 million to purchase a controlling interest in Eagle Hill. Upon closing of the Offering, it is anticipated that Dundee will own 28.9% of Eagle Hill on an undiluted basis, and 28.3% on a fully diluted basis. It is anticipated that Southern Arc will own 23.9% of Eagle Hill on an undiluted basis, and 27.6% on a fully diluted basis.

The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This news release does not constitute an offer to sell or the solicitation of any offer to buy nor will there be any sale of these securities in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such province, state or jurisdiction.

On Behalf of the Board of Directors

John Proust, Chief Executive Officer

About the Windfall Lake Gold Project

The Windfall Lake gold deposit comprises a number of lenses of pyritic stockwork and shear zones situated in the Archean Urban-Barry Greenstone Belt, approximately 200 km northeast of Val d'Or, Quebec. SRK Consulting (Canada) Inc. prepared a mineral resource statement for Eagle Hill in compliance with National Instrument 43-101 in February 2014 comprising 2,375,000 tonnes at 9.75 g/t gold (744,000 ounces) in the indicated category and 3,084,000 tonnes at 7.37 g/t gold (731,000 ounces) in the inferred category. The bulk of the mineralization occurs in the Main Zone, a southwest/northeast trending zone of stacked mineralized lenses, measuring approximately 600 metres wide and at least 1,400 metres long.