Mr. David Felderhof reports

ZEPHYR CLOSES PRIVATE PLACEMENT

Zephyr Minerals Ltd. has closed the recently announced non-brokered private placement raising $2.1-million through the issuance of 10 million units at a price of 21 cents per unit. Each unit consists of one common share and one-half warrant of the company. Each whole warrant of the company entitles the holder to acquire one common share of the company for 35 cents for a period of 18 months from the closing date.

The expiry date of the warrants may be accelerated by Zephyr at any time if the volume-weighted average trading price of the common shares is greater than or equal to 70 cents for any 20 consecutive trading days. If this occurs, the company may accelerate the expiry date of the warrants by issuing a press release announcing the reduced warrant term whereupon the warrants will expire on the 30th calendar day after the date of such press release.

Net proceeds from the funds raised will be used to advance the Dawson-Green Mountain project in Colorado, United States, and for general working capital purposes. All securities issued in connection with the private placement, including the shares and warrants comprising the units, are subject to a statutory four-month hold period that expires on June 21, 2020. The private placement is subject to acceptance by the TSX Venture Exchange and required regulatory approvals.

In connection with the closing, the company paid a cash finder's fee of $56,940 and issued 271,145 finder's warrants to Leede Jones Gable Inc.; a cash finder's fee of $25,284 and issued 120,400 finder's warrants to PI Financial Corp.; a cash finder's fee of $10,143 and issued 48,300 finder's warrants to Canaccord Genuity Corp,; a cash finder's of $9,408 and issued 44,800 finder's warrants to Haywood Securities Inc.; a cash finder's fee of $7,350 and issued 35,000 finder's warrants to Raymond James Ltd.; a cash finder's fee of $4,410 and issued 21,000 finder's warrants to Acumen Capital Partners Ltd.; and a cash finder's fee of $2,205 and 10,500 finder's warrants to Echelon Wealth Partners Inc. Each finder's warrant entitles the holder to acquire one common share of the company at 35 cents per share at any time on or before Aug. 20, 2021. The expiry date of the finders' warrants are also subject to the same acceleration clause as the unit warrants.

About Zephyr Minerals Ltd.

Zephyr Minerals continues to advance its 100-per-cent-owned high-grade Dawson-Green Mountain project in Colorado, United States. After expanding is land package to 1,385 hectares (3,430 acres), the company plans to explore the entire 12.2 kilometres (km) (7.5 miles) mineralized trend using the Broken Hill-type deposit as an exploration model.

We seek Safe Harbor.