MONTREAL, Qu?(C)bec(FSCwire) - Argex Titanium Inc. (TSX: RGX) ("Argex") is pleased to announce that it has held a first closing of a private placement at which it issued an aggregate of 28,793,200 units to arm's-length "accredited investors" at a price of $0.054 per unit, for gross proceeds to Argex of $1,554,832.Each of the units is comprised of one common share and one-quarter of a common share purchase warrant; each full warrant entitles its holder to acquire one additional Argex common share at a price of $0.12 for a period of 18 months.In the event that the closing price of Argex's common shares on the Toronto Stock Exchange is at least $0.15 for a period of not less than 20 consecutive trading days, the warrants will expire, at the sole discretion of Argex, on the 30^th day after the date on which Argex sends a notice in prescribed form to the holders of the warrants.

Argex will use the net proceeds from the private placement to complete detailed engineering for its titanium dioxide project, to compile data for a bankable report, and for working capital.

"This financing will enable our engineering team to collect enough Front-End Loading (FEL) data to solidify negotiations with potential licensing and project financiers, which are already well underway," stated Mazen Alnaimi, Argex's Chairman and CEO."Discussions with potential partners and financiers have been underway for some months and to date have been positive.It is management's objective to license our technology and to secure non-dilutive project financing for Argex's first full-scale production plant."

At the first closing, Argex also issued an aggregate of 819,922 "broker warrants" to various securities dealers, representing an amount equal to 6% of the number of units sold through such dealers.Each of the "broker warrants" entitles the holder to purchase one additional unit, comprised of one common share and one-quarter of a common share purchase warrant, at a price of $0.07 for a period of 18 months.

Argex expects to hold additional closings of the private placement, subject to an aggregate maximum of $4 million (74,074,074 units).Any closing for an aggregate amount greater than approximately $1,767,000 will be subject to shareholder approval under the policies of the Toronto Stock Exchange.In that regard, Argex has called a special meeting of shareholders, to be held in Montreal, Qu?(C)bec in early April 2017, and expects to distribute a management information circular to shareholders shortly.The securities issued at the first closing are subject to a four-month "hold period" under applicable securities regulations.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein, and these securities will not be offered or sold in any jurisdiction in which their offer or sale would be unlawful.The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws of the United States.Accordingly, these securities will not be offered or sold to persons within the United States unless an exemption from the registration requirements of the 1933 Act and applicable state securities laws is available.

About Argex Titanium

Argex Titanium Inc. has developed an advanced chemical process for the volume production of high-grade titanium dioxide (TiO₂) for use in high-quality paint, plastics, cosmetics and other TiO₂ applications. The Corporation's unique proprietary process uses relatively inexpensive and plentiful source material from a variety of potential vendors to produce TiO₂, along with other valuable by-products. Argex's process provides a significant cost and environmental advantage over current legacy TiO₂ production methods.

Forward-Looking Statements

This news release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding future plans, costs, objectives or performance of Argex, or the assumptions underlying any of the foregoing. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" "target" and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits Argex will derive. Forward-looking statements and information are based on information available at the time and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond Argex's control. These risks, uncertainties and assumptions include, but are not limited to, those described under "Risk Factors" in Argex's Annual Information Form for the fiscal year ended December 31, 2015, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. Argex does not intend, nor does Argex undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.

Contact:

Ross Corcoran

Chief Financial Officer

Argex Titanium Inc.

1-450-902-4864

Ross.Corcoran@argex.ca

To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/argex02282017_1.pdf

Source: Argex Titanium Inc. (TSX:RGX)

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