METANOR NEWS RELEASEhttps://sectornewswire.com/release120216mto.htm Metanor Reports Financial & Operational Results ($850/oz cash cost) & featured in Financial Post 2016-12-02 19:55:59 News Release - December 2, 2016 4:32 PM ET Gold Producer Metanor Reports Cash Cost of US$850/oz in Financial and Operational Results for Quarter Ended September 30th 2016, and Featured in Financial Post Business for Developments Adjacent Osisko Mining The Company is drilling adjacent Osisko Mining's Windfall Deposit to build on intercept of 70.9 g/t Gold over 2.6 m in the north-east section at Barry. The Company's total infrastructure is valued (estimated replacement value) at between CDN$150M to $200M. The Company's primary asset, the 100%-owned Bachelor Mill, has a replacement value of several times the Company's current market cap and is increasingly being viewed as a coveted strategic asset being the only mill within 200km in a gold-rich district. The Company has met its cash flow guarantee to Sandstorm and is now free to mill ore sourced from outside Bachelor without penalty. NEW YORK, NY, December 2, 2016 /Sector Newswire/ - Metanor Resources Inc. (TSX-V: MTO) (US Listing: MEAOF) (Frankfurt: M3R) this week announced its financial and operational results for the quarter ended September 30th 2016 (Q1 2017). This news follows on the heals of other significant positive announcements; 1) continued quality gold intercepts both at its Bachelor Gold Mine (located beneath the Company's mill) and at its Barry Gold Open Pit Deposit, 2) the Company filing its previously announced positive preliminary economic assessment study (PEA) on its 100%-owned Barry gold project, and 3) the Company announcing it intersected 70.9 g/t Au over 2.6 meters in the north-east section at Barry adjacent the Windfall property belonging to Osisko Mining. Metanor was also this week the subject of a Financial Post Business section article entitled "Metanor: The Pieces Fit" [click to view online]. The article surrounds the recent intercept of 70.9 g/t Au over 2.6 meters announcement adjacent Osisko Mining on Metanor's Barry property. This intercept was a new discovery drill hole that intersected two gold bearing zones associated with sulphide (15%) in proximity to a regional fault. As per the drill holes, this dominant geological structure has a minimal length of 6 km, toward the Windfall property belonging to Osisko Mining. A segment of 3 km of this structure extends on the Barry property belonging entirely to Metanor Resources. A segment of 3 km of this structure extends on the Barry property belonging entirely to Metanor Resources. This new high-grade discovery dramatically enhances the attractiveness of Metanor to prospective suitors in an area under consolidation, as Metanor has quality grades adjacent Osisko and the only mill around Fig. 1 (above) Primary asset: 100%-owned Bachelor Gold Mill Figure 2. (above) Location of new discovery adjacent Osisko The drill results obtained thus far show high gold values and more assay results are pending. In addition, the drill campaign continues in the Moss Sector. Hole No from (m) to (m) length (m)* grade Au (g/t) Zone BE-16-09 248.4 250.6 2.2 9.2 Moss BE-16-09 328.9 331.5 2.6 70.9 With a quality PEA in hand, Metanor's Barry project appears destined to become the first to achieve a gold production scenario amongst a handful of players (which also include Osisko Mining Inc.'s prolific Windfall Property, Bonterra Resources' Gladiator Deposit, Beaufield Resources' Macho claims, and Urbana) whose gold system collectively is part of a new mining camp in the Barry-Urban township of Quebec. Metanor's Barry PEA is highly favorable and enhances the attractiveness of the Company with an open-pit mine proposed and milling planned at the Company's 100%-owned Bachelor Gold Mill located only ~65 km NW (~116 km by road) from the Barry Mine. Open-pit production is pegged to begin in Summer-2017 and ramp-up expected to attain 37,573 ounces/annum for year two, Metanor will be cash flowing well at Barry with all-in production cost conservatively projected at only $1,114/oz (US $891/oz) -- the estimate was made using gold of only C$1,560 -- the financial analysis using higher gold prices of C$1,710 would generate a NPV at $78.07 million with an IRR of 246% before taxes. Spot gold is currently near C$1,750, and many believe substantially higher gold prices are in the cards. Under the base PEA we are looking possibly C$15M+ in positive cash flow per annum from Barry, C$23M+ at current gold prices. Important to note is that Metanor will pay no taxes for at least the first 2 - 3 years with its loss carry forward on the books, plus there is no streaming agreement on the Barry project. ----- ------ ------ ------ ------ ------