Magma Silver Corp. — Capital/Financing Update 2020

Jun 3, 2020

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BANKERS ANNOUNCES PRIVATE PLACEMENT AND DEBT SETTLEMENT

Vancouver, British Columbia - (June 3, 2020) – Bankers Cobalt Corp. (TSXV: BANC; FSE: BC21; OTCQB: NDEND) (the “ Corporation ” or “ Bankers ”) is pleased to announce a private placement and debt settlement.

Private Placement

Bankers announces that it intends to complete a non-brokered private placement (the “ Financing ”) of up to 22,500,000 units (each a “ Unit ”) at a price of CAD $0.075 per Unit for aggregate proceeds of up to CAD $1,687,500. Each unit will consist of one common share of the Corporation (a “ Share ”) and one-half of a Share purchase warrant.

Each whole share purchase warrant (a “ Warrant ”) will be exercisable into one Share at an exercise price of $0.10 per Share for a period of two years from the date of issuance. All Shares acquired in the private placement will be subject to a voluntary trading restriction with 25% of the Shares acquired being released every 4 months after closing of the Financing.

In connection with the private placement the Corporation may pay finder’s fees in cash or securities or a combination of both, as permitted by the policies of the TSX Venture Exchange.

The proceeds from the Financing will be used to fund due diligence on projects of merit presented to the Corporation and for general working capital purposes.

The securities issued pursuant to the Financing will be subject to a hold period under applicable securities laws, which will expire four months plus one day from the date of closing of the Financing. Closing of the Financing is subject to receipt of all necessary corporate and regulatory approvals, including approval of the TSX Venture Exchange.

Debt Settlement

Bankers announces that it has agreed to settle $70,000 of debt owing to its consultants, creditors, and insiders by issuing 933,333 common shares in the capital of the Corporation at a deemed price of $0.075 per Share (the “ Debt Settlement Shares ”). No warrants will be issued in connection with the debt settlement.

The debt settlement transaction is subject to the approval of the TSX Venture Exchange and all Shares issued pursuant to the debt settlements will be subject to a four-month statutory hold period. The debt settlement will not create a new control person.

The Corporation believes it is in the best interest of its shareholders to reduce the amount of accrued indebtedness to improve its financial position.

The issuance of a portion of the Debt Settlement Shares constitutes a Related Party Transaction within the meaning of Multilateral Instrument 61-101, as directors and officers of the Corporation will receive an aggregate of 487,764 Debt Settlement Shares. All the directors of the Corporation without a material interest in the debt settlement, acting in good faith, considered the debt settlement and have determined that the value of the consideration received by Bankers is fair and reasonable. Bankers is relying on exemptions from the formal valuation and minority approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 as the fair market value of the debt settlement insofar as it involves related parties, does not exceed 25 per cent of the market capitalization of Bankers.

Bankers Cobalt Corp |Suite 1080, 789 West Pender Street, Vancouver, B.C., Canada, V6C 1H2

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No Material Change

The Corporation continues to work diligently with its auditors and plans to file its annual financial statements and management’s discussion and analysis for the financial year ended December 31, 2019 (the “ Annual Filings ”) postponed due to logistics and delays caused by the outbreak of coronavirus (COVID-19), on or before June 15, 2020, Bankers intends to file its interim financial statements on or before July 16, 2020.

The Corporation in conjunction with its advisors continues to evaluate methods of dealing with the corporate debt in the wholly owned DRC subsidiary.

The Corporation confirms that there is no undisclosed material information nor have there been any material business developments relating to the Corporation, since the date of filing of its interim financial statements for the period ended September 30, 2019, other than those disclosed in this news release and news releases dated April 24, May 19, May 22, and May 26, 2020.

About Bankers

Bankers is a natural resource company with a primary focus on the acquisition, exploration, development and operation of cobalt and copper mineral projects in the DRC. Bankers holds rights to nine mineral projects strategically located in the southern DRC CopperBelt. Bankers has the intention to acquire interests in additional concessions or relinquish concessions in the normal course of business. Bankers has an experienced management team in the southern CopperBelt of the DRC.

ON BEHALF OF THE BOARD OF BANKERS COBALT CORP.

“ Stephen Barley ”

Chairman & CEO

For further information: Phone: (604-834-2968) Email: info@bankerscobalt.com Website: www.bankerscobalt.com

Reader Advisory

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

This news release contains “forward-looking information” within the meaning of applicable securities laws including statements relating to the outlook of the business of the Corporation, including statement relating to the closing of the Financing and debt settlement, the Corporation’s ability to file the Annual Filings and the interim filings on or before the required dates. Although the Corporation believes considering the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate, that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them as the Corporation can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the Corporation will not complete the Financing and debt settlement or complete the Annual Filings and interim filings on a timely basis. The statements in this press release are made as of the date of this release. The Corporation undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of the Corporation its securities, or its financial or operating results.

Bankers Cobalt Corp |Suite 1080, 789 West Pender Street, Vancouver, B.C., Canada, V6C 1H2

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