UrbanGold Minerals Inc. Completes IPO and Raises $2,479,935

OTTAWA, Dec. 28, 2018 - UrbanGold Minerals Inc. ("UrbanGold" or the "Company” | TSXV: UGM) is pleased to announce that it has closed its initial public offering (“the Offering”).

The investors subscribed for $2,479,935 representing approximately 83% of the maximum size of the total Offering. A total of 10,805,500 units were sold at a price of $0.10 per unit, each unit consisting of 1 common share and ½ common share purchase warrant exercisable for 1 year at a price of $0.13. A total of 10,764,500 flow-through common shares were sold at a price of $0.13.

In connection with the Offering, Industrial Alliance Securities Inc. (“the Agent”), together with other members of the selling group, received a $185,995 cash commission and compensation options entitling them to purchase 810,412 common shares at a price of $0.10 until December 27, 2020 and 807,337 common shares at a price of $0.13 until December 27, 2020.

UrbanGold’s common shares will start trading on December 31, 2018 on the TSX Venture Exchange (“the TSXV”) under the symbol “UGM”.

The Company intends to use the proceeds of the Offering to fund the phase one exploration work on its material property, the Monaco Property, as well as general corporate purposes. The phase one exploration work has been recommended by the author of the Technical Report obtained by UrbanGold on the Monaco Property.

The Monaco Property is located in the Province of Quebec, Canada, approximately 80km south-southwest of the town of Chibougamau and approximately 65 km south-southeast of Chapais and is comprised of 301 claims covering an area of approximately 16,658 hectares (41,163 acres). The Monaco Property claims are easily accessible via a series of new forestry roads.

UrbanGold’s Technical Report on the Monaco Property and final prospectus dated December 13, 2018 (the “Final Prospectus”) are available for review under the Company’s profile on SEDAR at www.sedar.com.

“Getting listed on the TSXV is a great accomplishment for UrbanGold, shareholders. Our focus will be the advancement of our Québec exploration opportunities,” said Trevor Richardson, Chief Executive Officer. “I am excited to be leading UrbanGold with its high-quality exploration projects and with our team we fully intend to build significant value for our shareholders”.

The securities described herein have not been registered under the United States Securities Act of 1933, as amended, or any United States state securities laws, and may not be offered or sold in the United States or to the account or benefit of a U.S. person absent an exemption from the registration requirements of such Act and applicable United States state securities laws. This release shall not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.


Qualified Person

Claude Larouche, B.Sc. Eng., M. Sc. Geol., P. Eng (OIQ), is the “Qualified Person” as defined by National Instrument 43-101 who prepared the Technical Report on the Monaco Property which was included in UrbanGold’s Final Prospectus. Mr. Larouche is independent of the Company.


About UrbanGold

UrbanGold is incorporated under the federal laws of Canada and has its principal office in Ottawa, Ontario, Canada. The Company is engaged in the evaluation, acquisition and exploration of mineral properties in Canada, and its current focus is Quebec. The Company plans to ultimately develop the properties, bring them into production, option or lease the properties to third parties, or sell the properties outright. The Company has not determined whether these properties contain mineral reserves that are economically recoverable, and the Company is considered to be in the exploration stage.


Forward Looking Information

This press release contains "forward-looking information” within the meaning of applicable securities laws that is intended to be covered by the safe harbours created by those laws. “Forward-looking information” includes statements that use forward-looking terminology such as “may”, “will”, “expect”, “intend”, “anticipate”, “believe”, “continue”, “potential” or the negative thereof or other variations thereof or comparable terminology.

Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made. Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of the Corporation to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by forward-looking information. See “Risk Factors” in the Corporation’s Final Prospectus dated December 13, 2018 filed on SEDAR at www.sedar.com for a discussion of these risks.

The Corporation cautions that there can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, investors should not place undue reliance on forward-looking information.

Except as required by law, the Corporation does not assume any obligation to release publicly any revisions to forward-looking information contained in this press release to reflect events or circumstances after the date hereof.

Neither the TSX Venture Exchange, nor its Regulation Service Provider (as that term is defined in the policies of the TSXV, accepts responsibility for the adequacy or accuracy of this release.



For further information

UrbanGold Minerals Inc.
Trevor Richardson, Chief Executive Officer
trichardson@urbangoldminerals.com

Laurie Meloche, Vice-President, Corporate Development
lmeloche@urbangoldminerals.com

Phone (613) 721-2919
www.urbangoldminerals.com