Mr. Paul Parisotto reports

CALICO CLOSES FINAL TRANCHE OF PRIVATE PLACEMENT

Calico Resources Corp. has closed its second and final tranche of its non-brokered private placement announced on Sept. 10, 2014. In this tranche, the company issued 4.09 million units at a price of 15 cents per unit for gross proceeds of $613,500.

Each unit consists of one common share and one-half of one share purchase warrant. Each whole warrant is exercisable to acquire an additional common share for a period of 12 months, at an exercise price of 18 cents per share for the initial six months and 21 cents for the final six months.

All securities issued by the company in connection with the private placement are subject to a statutory hold period which expires on Feb. 18, 2015.

"The proceeds of the two tranches closed in this private placement financing, totalling $1,808,000, net of related fees and expenses, will be used to advance two of the company's major goals. First, in the near term, the company will be moving ahead with a preliminary economic assessment (PEA) for its Grassy Mountain project to quantify its economic potential. Secondly, the financing will enable the company's technical team to continue to advance the permitting process towards a completed Division 37 application acceptable to the State of Oregon. A portion of the proceeds will also be used for general working capital purposes," stated Paul Parisotto, president and chief executive officer.

Calico owns a 100-per-cent interest in the advanced stage Grassy Mountain gold project in Oregon. The project hosts a high-grade NI 43-101-compliant resource consisting of an estimated 2,341,400 tonnes of measured grading 9.48 grams per tonne (713,400 ounces), 95,100 tonnes of indicated grading 8.75 g/t (26,700 ounces) and 14,700 tonnes of inferred grading 8.75 g/t (4,100 ounces), calculated using a 2.7 g/t cut-off grade. Please see the company's website for more information.

Michael F. McGinnis, CPG, 10914, is Calico's project manager and the company's qualified person pursuant to National Instrument 43-101, standards for disclosure for mineral projects. He has reviewed and approved the technical information disclosed in this news release.

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