Foran Announces Closing Non-Brokered Flow-Through Financing for Proceeds of $1.6M

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 22, 2014) - Foran Mining Corporation (TSX VENTURE:FOM) ("Foran" or the "Company") is pleased to announce that it has closed the previously announced non-brokered private placement (the "Placement"; see the Foran news release dated December 12, 2014). The Placement was fully allocated and the Company raised proceeds of $1,600,000, which consisted 6,400,000 common shares in the capital stock of the Company (the "Shares") at a price of $0.25 per Share.

The proceeds of the Placement will be used to fund the exploration and development of the Company's projects in east-central Saskatchewan.

Each Share was issued on a flow-through basis in connection with which Foran will incur and renounce Canadian Exploration Expenses ("CEE")(within the meaning of the Income Tax Act (Canada)). The gross proceeds of the Placement will be used for CEE. The Company will use its best effort to ensure that such CEE qualify as a "flow-through mining expenditure" for the purposes of the Income Tax Act (Canada), related to the exploration of the Company's landholdings in east-central Saskatchewan. The Company will renounce such CEE with an effective date of no later than December 31, 2014 for Canadian exploration expenses prior to December 31, 2015.

A total of 100,000 Shares, representing gross proceeds of $25,000, were acquired by Directors and Officers of Foran, including Shares acquired by persons for accounts over which directors and/or officers of Foran have direction and control (the "Insider Purchases"). The Insider Purchases constituted a 'related party transaction' under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Placement was approved by all of the non-interested directors of the Company; the interested directors (and officers) abstained from approval of this matter. The Insider Purchases are exempt from the valuation and minority approval requirements of MI 61-101 on the basis that no securities of the Company are listed or quoted on any specified markets, namely the Toronto Stock Exchange, the New York Stock Exchange, the American Stock Exchange, the NASDAQ Stock Market, or a stock exchange outside of Canada and the United States other than the Alternative Investment Market of the London Stock Exchange or the PLUS market operated by PLUS Markets Group plc, and at the time the Placement was agreed to, neither the fair market value of the Shares nor the consideration to be received for those Shares, insofar as the Placement involved interested parties, exceeded $2,500,000.