Mr. Peter Swistak reports

CAVAN CLOSES FIRST TRANCHE OF FLOW THROUGH PRIVATE PLACEMENT

Cavan Ventures Inc. has closed a first tranche of its previously announced non-brokered flow through private placement (see news releases dated Oct. 16, 2017, and Nov. 17, 2017) issuing 2,985,000 units at a price of 10 cents per unit for aggregate gross proceeds of $298,500.

Each unit comprises one flow-through common share and one-half of one non-flow-through share purchase warrant of the company. Each full warrant will entitle the holder to purchase one share at a price of 18 cents per warrant share for an 18-month period after the closing date. The warrants are subject to an acceleration clause, which states that the issuer will have the right to accelerate the expiry date of the warrants if, at any time, the average closing price of the shares is equal to or greater than 30 cents for 10 consecutive trading days. In the event of acceleration, the expiry date will be accelerated to a date that is 30 days after the issuer issues a news release, announcing that it has elected to exercise this acceleration right. Finders' fees of $22,000 will be payable including 220,000 broker warrants.

Proceeds raised from this offering will also be used toward exploration expenditures on the company's St. Onge mineral property located in the Lac-Saint-Jean area in the province of Quebec which was announced on Aug. 2, 2017.