Mr. Jonathon Deluce reports

ABITIBI METALS ANNOUNCES NON-BROKERED FINANCING LED BY DISCOVERY SILVER, WITH A 9.9% STRATEGIC STAKE

Abitibi Metals Corp. has arranged a non-brokered strategic private placement for aggregate gross proceeds of up to $30,752,228.

Discovery Silver Corp. is expected to acquire approximately 9.9 per cent of the issued and outstanding common shares of the company on a non-diluted basis upon closing of the offering. In connection with closing of the offering, Abitibi Metals and Discovery will enter into a participation agreement, whereby, subject to certain conditions, the company will grant certain financing and other participation rights to enable Discovery to maintain its shareholding interest in the company and other customary investor rights.

Jonathon Deluce, president and chief executive officer of Abitibi Metals, commented: "This is an exciting day for Abitibi Metals. We are pleased to welcome Discovery as a strategic investor in the company. Their participation represents a strong endorsement of the progress and potential of the B26 deposit. They have established a strong track record of generating shareholder returns through disciplined exploration, operational excellence and the early identification of high-quality opportunities. We value their technical experience as we continue to advance our exploration programs and development of B26, while also pursuing growth opportunities within our existing portfolio and through potential acquisitions."

The offering is expected to consist of a combination of: (i) 11,764,706 charity flow-through (CFT) common shares at a price of 85 cents per CFT share; and (ii) 35,779,704 hard-dollar (HD) common shares at a price of 58 cents per HD share, for total aggregate gross proceeds of up to $30,752,228.

The offering is subject to certain conditions, including receipt of all necessary regulatory approvals, including the completion of the company's filing requirements with the Canadian Securities Exchange. All securities issued pursuant to the offering will be subject to a statutory hold period of four months and one day in accordance with applicable securities laws.

The gross proceeds from the issuance of the CFT shares are expected to be used by the company to incur eligible Canadian exploration expenses (as defined in Subsection 66.1(6) of the Income Tax Act (Canada)) that will qualify as flow-through mining expenditures (as defined in subsection 127(9) of the Income Tax Act (Canada)) on the company's Quebec-based projects. The net proceeds from the issuance of the HD shares are expected to be used for exploration and development activities, as well as for general corporate purposes.

We seek Safe Harbor.