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Montréal, Québec, February 23, 2017 - Monarques Gold Corporation ("Monarques", the "Corporation") (TSXV:MQR) (FRANKFURT: MR7)  is pleased to announce that it has entered into an agreement with a syndicate of  underwriters led by Laurentian Bank Securities Inc. and including Canaccord Genuity Corp. (together the "Underwriters"), under which the Underwriters have agreed to purchase, on a "bought deal" private placement basis, 4,000,000 units of the Corporation (the "Units") at a price of $0.45 per Unit for gross proceeds of $1,800,000 and 5,000,000 flow-through common shares of the Corporation (the "Flow-Through Shares") at a price of $0.66 per Flow-Through Share for gross proceeds of $3,300,000 for aggregate gross proceeds of $5,100,000 (the "Offering"). Each Unit is comprised of one common share of the Corporation ("Common Share") and one whole common share purchase warrant of the Corporation (each, a "Warrant"). Each Warrant will entitle the holder thereof to purchase one Common Share at a price of $0.60 per Common Share, for a period of 36 months following the closing date of the Offering.

The Corporation has also granted the Underwriters an overallotment option to purchase up to 15% of the number of Units and Flow-Through Shares sold pursuant to the Offering exercisable up to 48 hours prior to the closing of the Offering.

The closing of the Offering is expected to occur on or about March 7, 2017 and is subject to the completion of formal documentation and receipt of regulatory approvals, including the approval of the TSX Venture Exchange.

The gross proceeds received by the Corporation from the sale of the Flow-Through Shares will be used to incur Canadian Exploration Expenses that are “flow-through mining expenditures” (as such terms are defined in the Income Tax Act (Canada)) on the Corporation’s properties, which expenses will be renounced to the subscribers with an effective date no later than December 31, 2017, in the aggregate amount of not less than the total amount of the gross proceeds raised from the issue of Flow-Through Shares. 

The Corporation agrees and covenants that it will incur the full Canadian exploration expenses in the Province of Québec, and which expenditures will qualify for the corresponding income tax credits and deductions under the laws of the Province of Québec in respect of eligible exploration expenses incurred in the Province of Québec. The net proceeds from the sale of the Common Shares will be used for general corporate and working capital purposes. 

All securities issued under the Offering will be subject to a four month hold period from the date of issue in accordance with applicable securities laws.

ABOUT MONARQUES GOLD CORPORATION

Monarques Gold is a growing junior gold company focused on becoming the leading explorer and developer of gold properties in the Val-d’Or/Abitibi gold camp in Quebec, Canada. In addition to its main asset, the Croinor Gold mine, which has great potential to become a producing mine, the Corporation currently has approximately 200 km² of gold exploration properties along the Cadillac Break (see map). Monarques Gold is well financed and has close to $9 million in credits from Quebec’s Ministry of Energy and Natural Resources.

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Forward-Looking Statements 

The forward-looking statements in this press release involve known and unknown risks, uncertainties and other factors that may cause Monarques’ actual results, performance and achievements to be materially different from the results, performance or achievements expressed or implied therein. 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 press release.