July 24, 2020 – TheNewswire - Toronto, ON – Otso Gold Corp. (“Otso” or the “Company”), (TSXV:OTSO) is pleased to announce that, further to its press release dated July 17, 2020, it has closed an additional $100,000 tranche with funds received from Alumina Partners (Ontario) Ltd (“Alumina”) pursuant to an investment agreement between Otso and Alumina which was previously announced on May 12, 2020. The Company issued 2,000,000 units (the “Units”) at $0.05 per Unit (the “Offering”).  Each Unit is comprised of one common share (each, a “Common Share”) and one common share purchase warrant (each, a “Warrant”). Each Warrant is exercisable into one Common Share at a price of $0.06 per share for a period of 60 months from the closing of the Offering. The securities issued pursuant to the Offering bear a four month and one day resale legend. In addition, no commissions were paid in connection with the Offering.  As previously announced, the Company’s strategy is to maintain liquidity through entering into tranches of funds as required, thereby  minimizing large dilutionary raises until the closure of the final tranche of financing.

The proceeds of the Offering will be used for general working capital purposes and progressing with the geology towards completion of the optimised mining plan and the April 2021 planned restart of the Otso Gold Mine.

Extension Warrants

The Company is pleased to confirm that the TSX Venture Exchange has conditionally approved the issuance of 2,223,077 warrants (the “Extension Warrants”) to the holder of the Company’s $419,0000 principal amount of 9% convertable debentures due June 30, 2020.  As disclosed in the Company’s press release dated July 17, 2020, the holder of such debentures has agreed to extend the maturity date to December 30, 2020, provided that the Extension Warrants were issued.  Each Extension Warrant is exercisable on a one-for-one basis for a term of one year and has an exercise price of $0.09.

For further information, please contact:

Clyde Wesson
Vice President
1 917 287 0716

info@otsogold.com
www.otsogold.com

Forward-looking Statements

This press release contains forward-looking statements regarding the Company based on current expectations andassumptions of management, which involve known and unknown risks and uncertainties associated with our business and the economic environment in which the business operates. All such statements are forward-looking statements under applicable Canadian securities legislation. Any statements contained herein that are not statements of historical facts may be deemed tobe forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution our readers of this press release not to place undue reliance on our forward-lookingstatements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company's continuous disclosure documents that can be found on SEDAR (www.sedar.com) under the Company’s issuer profile. The Company does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

About the Company

Otso Gold Corp. wholly owns the Otso Gold Mine near the town of Raahe in Finland. The Otso Gold Mine is developed, fully permitted, has all infrastructure in place, two open pits and is progressing towards production in 2020 to process ore at name plate capacity of 2 million tonnes per annum.

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.