PLATINEX INC. AND TREASURY METALS INC. TO CONSOLIDATE ADJOINING PROJECTS TO ADVANCE SHINING TREE GOLD PROPERTY

TORONTO, March 11, 2020 (GLOBE NEWSWIRE) -- Platinex Inc. (CSE: PTX) ("Platinex") and Treasury Metals Inc. (TSE:TML) (“Treasury”) have entered into a non-binding heads of agreement between the two companies (the "Transaction"), namely:

1. Treasury will transfer a 100% interest in its 280 claim unit 5,045 Ha. (12,466 ac.) Shining Tree Fawcett East property (the “Shining Tree East Property”) to Platinex, to create the largest combined gold focused property package in the Shining Tree District, Northern Ontario (the “Shining Tree Property”). The Shining Tree Property is located on 21km of the Tyrrell-Ridout Deformation Zone which also hosts both IAMGOLD’s Côté Lake gold deposit and Pan American’s Juby deposit;
   
   
2. Treasury will transfer to Platinex royalties comprising four Ontario and Chile based exploration projects covering gold, PGM’s and base metal opportunities (the "Royalties") to enhance Platinex’s existing royalty portfolio;
   
   
3. In consideration for acquiring the Shining Tree East Property and the Royalties, Platinex will issue to Treasury 12,500,000 common shares ("Consideration Shares") of Platinex and 5,000,000 non-transferable common share purchase warrants ("Consideration Warrants") of Platinex.  Each Consideration Warrant will be exercisable at a price of $0.05 per share for a period of three years from the date of issuance, provided that if the closing price of the common shares of Platinex ("Platinex Shares") is equal to or greater than $0.30 for a period of 20 consecutive trading days, Platinex will have the right to increase the exercise price of the Consideration Warrants by giving a written notice to Treasury that the exercise price shall be increased to $0.15 per share on the date that is 10 days from the date of such notice. In addition, Treasury shall not exercise the Consideration Warrants if such exercise would result in Treasury owning 20% or more of the issued and outstanding Platinex Shares;
   
   
4. Treasury will contribute operational efficiencies between the two companies with a view to provide effective management going forward to advance the Shining Tree Property;
   
   
5. Treasury will undertake to support Platinex's management for a two-year period in shareholder votes;
   
   
6. Platinex will grant Treasury a first right of refusal to participate in further financings of Platinex shares for a period of two years to maintain its percentage interest; and
   
   
7. Treasury will have the right to appoint a nominee to the board of directors of Platinex.

Completion of the Transaction is subject to further due diligence and the parties entering into a formal agreement on or before March 31, 2020.