Andrew Thomson Early Warning Press Release

Toronto, Ontario--(Newsfile Corp. - September 9, 2020) - Andrew Thomson (the "Acquiror") has today filed an early warning report (the "Early Warning Report") advising of his acquisition of an aggregate of 72,500 common shares (the "Shares") of Palamina Corp. (the "Company") in the market on September 4, 2020. The Shares were purchased at an average price of $0.28 per Share for total aggregate consideration of $20,300. The Acquiror was also granted 75,000 stock options ("Options") at an exercise price of $0.30 which were issued on September 9, 2020 and expire 5 years from the date of grant.

Following the above-noted transactions, the Acquiror has beneficial ownership or exercises direction or control over, directly and indirectly: (a) 4,256,002 Shares; (b) 475,000 Options and (c) 490,167 Warrants, representing approximately 9.4% of the outstanding Shares of Palamina on an undiluted basis and 11.3% on a partially diluted basis.

The Shares were purchased for investment purposes. The Acquiror has a long-term view of the investment and may acquire additional Shares of the Company either on the open market or through private acquisitions or sell the Shares on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.

This news release is being issued as required by National Instrument 62-104 - Take-Over Bids and Issuer Bids and relates to the Company, whose head office is located at 145 King Street West, Suite 2870, Toronto, Ontario, M5H 1J8, and to the Acquiror. A copy of the Early Warning Report can be obtained at www.sedar.com under the Company's profile, or by contacting Andrew Thomson at 145 King Street West, Suite 2870, Toronto, Ontario, M5H 1J8, telephone: (416) 204-7536.

Not for distribution to U.S. newswire services or dissemination in the United States

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/63536