Iconic Announces First Tranche Closing for Gross Proceeds of $2,705,000

VANCOUVER, BC / ACCESSWIRE / June 2, 2016 / Iconic Minerals Ltd. (TSXV: ICM) (FSE: YQGB) announces that on May 30, 2016 it received conditional acceptance from the TSX Venture Exchange to close the first tranche of its private placement (refer to ICM News Release dated May 2, 2016).

In accordance with the provisions of Subscription Agreements, on June 2, 2016 the Company issued a total of 13,525,000 Units at a price of $0.20 per Unit, each Unit being comprised of one common share and one-half share purchase warrant, each whole warrant being exercisable into one common share on or before June 1, 2018 at $0.30 per share.

A total of $158,150 cash and 309,900 Compensation Warrants were issued as finders’ fees in connection with this first tranche closing. The Compensation Warrants are exercisable on or before June 1, 2017 into a total of 309,900 units at $0.20 per unit. Each unit if and when issued will be comprised of one common share and one-half non-transferable share purchase warrant, each whole warrant being exercisable at $0.30 per share on or before June 1, 2018.

The Company anticipates closing the balance of this financing shortly.

These shares, together with any shares that may be issued on exercise of the warrants and Compensation Warrants will be subject to a hold period under applicable Canadian securities laws expiring on October 3, 2016, and will be subject to such further restrictions on resale as may apply under applicable foreign securities laws.

Two Insiders (the “Related Parties”), directly and indirectly, subscribed for a total of 1,750,000 Units from the Financing, which increased those Related Parties’ pro rata shareholdings in the Company (the “Related Party Transaction”). All of the independent directors of the Company, acting in good faith, have determined that the fair market value of the securities being issued and the consideration paid is reasonable and, with the value of the Related Party Transaction being less than 25% of the Company’s market capitalization, is exempt from the formal valuation and minority shareholder approval requirements of the Ontario Securities Commission’s Rule 61-501.

On behalf of the Board of Directors

SIGNED: “Richard Barnett“

Richard Barnett, CFO

Contact: (604) 336-8614

For further information on ICM, please visit our website at www.iconicmineralsltd.com

The Company’s public documents may be accessed at www.sedar.com

The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements.

This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the company and management, as well as financial statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

SOURCE: Iconic Minerals Ltd.

ReleaseID: 440712