Mr. Greg Johnson reports

METALLIC MINERALS ANNOUNCES $6.3 MILLION STRATEGIC EQUITY INVESTMENT BY NEWCREST MINING

Metallic Minerals Corp. has arranged for a strategic equity investment by a wholly owned subsidiary of Newcrest Mining Ltd. in the form of a non-brokered private placement, with the goal of advancing the company's La Plata copper-silver-gold-platinum group element alkalic porphyry project in Colorado, United States.

Pursuant to the private placement, Newcrest will complete a financing of $6.34-million, consisting of 15,838,593 units of Metallic Minerals at a price of 40 cents per unit, with each unit comprising one common share and 0.75 of a common share purchase warrant. This represents a 13-per-cent premium to the 20-day volume-weighted average price of Metallic Minerals' shares on the TSX Venture Exchange on May 9, 2023. Each full warrant shall entitle Newcrest to purchase one common share at an exercise price of 55 cents, providing $6.5-million in additional financing, if exercised. The warrants shall be exercisable for three years from the date of issue and contain a customary acceleration provision, which shall be effective if the common shares trade for a period of 20 consecutive trading days at or above 82.5 cents on the TSX-V.

Following closing of the investment, Newcrest will hold 9.5 per cent of the issued and outstanding common shares of Metallic Minerals on a non-diluted basis and, including the warrants, 15.5 per cent of the issued and outstanding common shares on a partially diluted basis.

Metallic Minerals chief executive officer and chairman Greg Johnson stated: "As an industry leader with extensive expertise in precious-metals-rich, alkalic porphyry systems, Newcrest was quick to recognize the geologic significance of the drill results from our 2022 campaign at La Plata. We are very pleased to welcome them as a new major shareholder. Newcrest's investment is a strong endorsement of the technical merits and potential of the project and a vote of confidence in our experienced team. This funding will enable us to fast-track our planned expansion drilling to follow up the success from 2022. This year is shaping up to be one of the most exciting in our company's history, with an updated resource estimate in progress at La Plata and an inaugural resource at our Keno silver project also under way."

Metallic Minerals president Scott Petsel stated: "This is a transformational period for Metallic Minerals and the La Plata project. Newcrest brings key, relevant exploration and operational experience and success in deposits of very similar character to that of La Plata, particularly their Red Chris and Cadia-Ridgeway operations. Our technical team has developed a follow-up drill program for La Plata that we expect can rapidly begin to define the extent of the high-grade mineralization, which remains completely open to expansion from the discovery drilling in 2022. Hole 22-04 intersected 816 metres of continuous porphyry mineralization and ended in spectacular copper and precious minerals grades. We are eager to discover the extent to which that high-grade mineralization continues laterally and to depth and anticipate this new drilling will have a positive impact on the overall grade and value of the deposit. Our team is very much looking forward to working with Newcrest to advance these common exploration and development goals."

Fraser MacCorquodale, Newcrest's general manager of exploration, stated: "We are excited to become a cornerstone investor in Metallic Minerals and to be able to contribute towards this promising copper and precious metal project in the United States. We look forward to collaborating with the experienced management team at Metallic Minerals to leverage our combined skills."

In connection with the private placement, Metallic Minerals and Newcrest have entered into an investor rights agreement, pursuant to which Newcrest will be entitled to certain customary rights including participation in future equity issuances and a right to maintain its pro rata position in the company. Newcrest and the company have also agreed to certain customary standstill and transfer restrictions.

In addition, a technical committee will be formed with representatives from Metallic and Newcrest, providing access to Newcrest's substantial technical expertise in similar alkalic porphyry systems and underground bulk-tonnage, block-cave mining operations. Newcrest shall also have a right to appoint a director to Metallic Minerals' board, upon exercise of the private placement warrants, if it holds at least 13 per cent of the issued and outstanding shares of the company.

Live webinar

Metallic Minerals will be hosting a live webinar with guest, Byron King, on Thursday, May 11, at 10 a.m. PT/1 p.m. ET to discuss the outlook for battery and precious metals and the importance of exploration to be able to deliver the necessary critical minerals for the decade ahead, along with an overview on exploration plans for Metallic Minerals in 2023.

Net proceeds of the private placement are intended to be used for exploration and development activities at the company's La Plata project, future exploration and development activities, working capital and general and administrative expenses.

The private placement is expected to close, subject to customary conditions, upon acceptance by the TSX Venture Exchange. The common shares issued pursuant to the private placement will be subject to a four-month hold period from the date of issuance in accordance with applicable securities laws. No commissions or finder fees are payable in connection with the private placement.

About Metallic Minerals Corp.

Metallic Minerals is a leading exploration and development stage company focused on copper, silver, gold and other critical minerals in the La Plata mining district in Colorado, and silver and gold in the high-grade Keno Hill and Klondike districts of the Yukon. The company's objective is to create shareholder value through a systematic, entrepreneurial approach to making exploration discoveries, growing resources and advancing projects toward development.

At the company's La Plata project in southwestern Colorado the 2022 inaugural National Instrument 43-101 mineral resource estimate identified a significant porphyry copper-silver resource containing 889 million pounds copper and 15 million ounces of silver. Results from 2022 expansion drilling intercepted the longest and highest-grade interval ever encountered at La Plata and one of the top intersections for any North American copper project in the past several years. An updated NI 43-101 resource estimate for the La Plata project incorporating these results is expected in Q2 2023.

In Canada's Yukon, Metallic Minerals has consolidated the second-largest land position in the historic high-grade Keno Hill silver district, directly adjacent to Hecla Mining's operations, with more than 300 million ounces of high-grade silver in past production and current measured and indicated resources. Hecla Mining Company, the largest primary silver producer in the United States and third largest in the world, completed the acquisition of Alexco Resources and its Keno Hill operations in September, 2022. Hecla is targeting to start production at the Keno Hill operations by Q3 2023. Metallic is anticipating the announcement of inaugural mineral resource estimate at Keno silver in the second half of 2023.

Metallic Minerals is also one of the largest holders of alluvial gold claims in the Yukon and is building a production royalty business by partnering with experienced mining operators, including Parker Schnabel of Little Flake Mining from the hit television show Gold Rush on the Discovery Channel.

All of the districts in which Metallic Minerals operates have seen significant mineral production and have existing infrastructure, including power and road access. Metallic Minerals is led by a team with a record of discovery and exploration success on several major precious and base metal deposits in the region, as well as having large-scale development, permitting and project financing expertise. The Metallic Minerals team has been recognized for its environmental stewardship practices and is committed to responsible and sustainable resource development.

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