Prism Resources Inc.
NEX BOARD : PRS.H
TSX VENTURE : PRS.H

Prism Resources Inc.

May 10, 2016 11:34 ET

Prism Announces Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 10, 2016) - Prism Resources Inc. ("Prism" or the "Company") (NEX:PRS.H) announces a non-brokered private placement (the "Financing"), pursuant to which the Company will issue a minimum of 10,000,000 units (the "Units") consisting of one common share and one half of one common share purchase warrant at a price of $0.10 per Unit to raise gross proceeds of approximately $1 million. There is no maximum number of Units proposed to be distributed. Each warrant will have an exercise price of $0.13 per common share and will be exercisable for a period of three years.

The Company may pay finder's fees in cash and in units consisting of one common share and one common share purchase warrant to certain qualified finders as determined by management in compliance with policies of the NEX board of the TSX Venture Exchange.

Assuming the minimum of $1 million is raised pursuant to the Financing, approximately 80% of proceeds will be used to finance the exploration of the Company's Huampar Project in Peru, with the remaining 20% being used for working capital of the Company. If proceeds in excess of the minimum $1 million are raised, the proceeds of the Financing being used for general working capital requirements of Prism will increase proportionally.

There is no material fact or material change related to Prism that has not been generally disclosed.

The Financing remains subject to exchange approval.

About Prism

Prism Resources Inc. is a junior exploration corporation listed on the NEX board of the TSX Venture Exchange. Its focus is on earning its 70% interest in the Cerro Oro Project in Colombia and completing the acquisition of the Huampar Project in Peru.

ON BEHALF OF THE BOARD OF DIRECTORS OF PRISM

Robert (Bob) Baxter

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.

U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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