Orla Mining and Pershimco Resources Announce Merger - Seite 3

Alain Bureau, President and Chief Executive Officer of Pershimco stated: "Being myself a large shareholder of Pershimco, I am excited to participate in the foundations of an exceptional new gold company. We are proudly welcoming Marc and his team from whom we will all benefit from their previous successes. The Board, Management and major shareholders of Pershimco fully support the planned combination between our two companies. Additionally, we are pleased to have Mr. Pierre Lassonde, a well-known personality of the mining industry, as one of our main shareholders and supporters. Our merger is an optimized combination of experienced mining professionals who share common values of protecting the environment and actively supporting the communities we operate in."

Commenting on the transaction, Sean Boyd, Vice-Chairman and CEO of Agnico Eagle Mines Limited stated, "We have been investors in Pershimco since 2013 and believe in the long term geological potential of the region. Given our history with Orla management and their track record of creating value for shareholders, we intend to maintain our investment in the newly merged company."

Andrew Pullar, CEO of The Sentient Group, added "Sentient is delighted to support the proposed transaction. Orla brings with it an experienced team of mining professionals and we are confident in their ability to deliver the significant potential we all see at Cerro Quema."

Pershimco Private Placement

Concurrently with entering into the Arrangement Agreement, Orla will subscribe for approximately 12,121,212 Pershimco Shares at a price of C$0.33 per share in a private placement for total gross proceeds to Pershimco of C$4 million, representing approximately 4% of the Pershimco Shares on a pro forma basis. The private placement financing is not conditional on the completion of the Arrangement Agreement but is subject to the approval of the TSXV. Pershimco will use the proceeds of the private placement to continue exploration activities at its Cerro Quema project and for working capital purposes. There are no finder's fees payable in connection with this private placement.