Galantas Gold Announces Upsize to Non-Brokered Private Placement Financing and Terms of Shares-for-Debt Transaction

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TORONTO, March 20, 2023 (GLOBE NEWSWIRE) -- Galantas Gold Corporation (TSX-V & AIM: GAL; OTCQX: GALKF) ("Galantas" or the "Company") is pleased to announce that, in order to accommodate additional interest in its previously announced non-brokered private placement (as amended, the "Offering"), the Offering will be upsized to up to 7,638,888 units of the Company ("Units") at a price of C$0.36 per Unit for aggregate gross proceeds of up to approximately C$2.75 million.

Each Unit will consist of one common share of the Company (a "Common Share") and one Common Share purchase warrant (a "Warrant"), with each Warrant entitling the holder thereof to purchase one Common Share at a price of C$0.55 per share for a period of 60 months from the closing date.

The net proceeds of the Offering are expected to be used for exploration, including follow-up drilling targeting the high-grade dilation zones to depth at the Joshua Vein and the recently identified Kerr Vein target, development at Galantas' gold project in Northern Ireland, as well as exploration at the recently announced gold-rich volcanogenic massive sulphide project in Scotland, and for general working capital purposes.

Certain persons may be eligible to receive finder's fees, payable in cash, representing up to 7% of the proceeds generated by such finders, in connection with the Offering. In addition, the Company may also issue to certain finders non-transferable compensation warrants (the "Finder's Warrants") to purchase that number of Common Shares as is equal to 7% of the number of Units sold to subscribers identified by such finders pursuant to the Offering, with each Finder's Warrant entitling the holder thereof to purchase one Common Share at a price of C$0.36 per share for a period of 24 months from the closing date.

In addition to the foregoing, the Company has received strong support from stakeholders and also announces the terms of a proposed shares-for-debt transaction (the "Debt Settlement") with several arm's length creditors of the Company to settle approximately C$299,020 of indebtedness through the issuance of an aggregate of 830,611 Units at a deemed price of C$0.36 per Unit on the same terms as the Units issued under the Offering.