Mr. Trent Mell of First Cobalt reports

COBALTECH AND FIRST COBALT SIGN DEFINITIVE AGREEMENT

First Cobalt Corp. and Cobaltech Mining Inc., following the signing of a binding letter of intent June 23, 2017, have entered into a definitive merger agreement.

Highlights

• Creates a leading pure-play cobalt exploration company with a portfolio of high-quality exploration assets, 11 former producing mines and a mill facility in the Cobalt, Ont., mining camp;
• Experienced management team based in Toronto, with a proven record of discovery, development and finance, and located in close proximity to the Cobalt camp;
• Increased scale of the combined company will enhance its capital markets profile, liquidity, provide greater access to capital across the exchanges and provides for rerating potential.

Cobaltech chief executive officer Bruce Bragagnolo commented:

"This transaction creates immediate value for Cobaltech shareholders and allows them to participate in further upside within a larger, more liquid company. Our shared vision of exploring for bulk cobalt mining opportunities in the Ontario Cobalt camp will be facilitated with this merger."

Trent Mell, First Cobalt president and CEO, commented:

"I am pleased to see our two companies coming together. The Cobalt camp has been underexplored for its cobalt potential and has never seen the meaningful land consolidation achieved through this merger and the proposed merger between First Cobalt and Cobalt One. These transactions are expected to create the largest pure-play cobalt explorer in the world and offers an opportunity to revisit this camp on a district scale for open-pit mining potential."

Under the terms of the agreement, First Cobalt will acquire all issued and outstanding common shares of Cobaltech by way of a court-approved plan of arrangement. Cobaltech shareholders will receive 0.2632 of a First Cobalt common share for each Cobaltech common share, representing the equivalent of 20 cents per Cobaltech common share.

Completion of the transaction is subject to a number of conditions including approval by the shareholders of Cobaltech and receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange. The transaction cannot be completed until these conditions are satisfied and the required approvals are obtained.

Update to First Cobalt trading

First Cobalt also announces that it is continuing discussions with Canadian regulators with a view to resuming trading of its common shares as soon as possible. Trading was originally halted pending an ordinary course review by the TSX Venture Exchange of filings relating to the acquisition by First Cobalt of Cobalt One Ltd., announced June 26, 2017. The resumption of trading remains subject to the approval of the TSX Venture Exchange and First Cobalt will provide a further update once a trading date has been confirmed.

About First Cobalt Corp.

First Cobalt is focused on building a diversified global portfolio of assets that are highly leveraged to the cobalt market. The company's current assets include almost 3,000 hectares of the Cobalt camp in Ontario, Canada, including an option for the former producing Keeley-Frontier mine, a high-grade mine that produced over 3.3 million pounds of cobalt and 19.1 million ounces of silver from 301,000 tonnes of ore, as well as a joint venture on a fully permitted cobalt refinery in Cobalt, Ont. The company also has interests in seven prospective copper-cobalt properties covering 190 square kilometres in the Democratic Republic of the Congo all with known surface mineralization.

About Cobaltech Mining Inc.

Cobaltech is a North American cobalt company with assets in Cobalt, Ont., an area known for its geological setting responsible for unique mineralization composed of quartz-carbonate veins enriched in silver-cobalt-nickel-bismuth-arsenic.

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