Norra Metals Arranges up to $1.25 million Private Placement

VANCOUVER, BC, Aug. 21, 2020 /CNW/ - Norra Metals Corp. (the "Company") (TSXV: NORA) is pleased to announce a non-brokered private placement (the "Private Placement") offering of up to 25,000,000 units ("Units") at a price of $0.05 per Unit for gross proceeds of up to $1,250,000. Each Unit will consist of one common share and one share purchase warrant (each warrant, a "Warrant"). Each Warrant will entitle the holder to purchase one additional common share of the Company at a price of $0.15 for two (2) years following the closing of the Private Placement. In the event the Private Placement is over-subscribed, the Company will make provision for an over-allotment option (the "Over-Allotment Option") to allow the Company to increase the size of the Private Placement by up to 10% and issue an additional 2,500,000 Units for additional gross proceeds of $125,000.

The Company intends to use the net proceeds of the Private Placement for its working capital

The issuance of the Shares is subject to the approval of the TSX Venture Exchange. In addition, all any shares issued or issuable upon the exercise of a Warrant (collectively, the "Securities") will be subject to the following hold period: (i) 25% of all Securities issued will be released six months after the closing date; and (ii) 25% of all Securities issued will be released every two months thereafter.

ON BEHALF OF THE BOARD OF
NORRA METALS CORP.

Per: "Minaz Devji"

Minaz Devji,
CEO and Director

Tel: (604) 258-8666
Email: mike.devji@norrametals.com

This news release was prepared by Company management, who take full responsibility for its content. Neither 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.

SOURCE Norra Metals Corp.

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