Melkior Resources Inc. Closes Oversubscribed Private Placement of $390,500

OTTAWA, ONTARIO--(Marketwired - Oct 20, 2014) - Melkior Resources Inc. ("Melkior") (TSX VENTURE:MKR) is pleased to announce that its non-brokered private placement of up to 600 units at a price of $500 per unit for total gross proceeds of $300,000 announced on September 30, 2014 has been closed and oversubscribed. The Board of Directors approved an increase in the size of the offering, and the Company sold a total of 781 units for total gross proceeds of $390,500. Each unit consisted of 8,500 flow through and 1,500 non-flow through common shares and 10,000 common share purchase warrant, each warrant entitling the holder thereof to acquire one additional common share of Melkior at a price of $0.05 per share for a period of 24 months. All warrants issued in the private placement carry an accelerator clause to which takes effect after 12 months if Melkiors' stock trades above $0.10 ("the triggering event"). The accelerator clause requires the warrant to be exercised within 30 days of the triggering event prior to the warrant expiring.

In connection with the Offering, Melkior paid a finders' fee of up to $27,787.50 and 555,750 warrants. Each whole warrant entitles the holder to purchase a common share at a price of $0.05 CAD per share for a period of 24 months following the Closing. The finders' warrants are also subject to the accelerator clause.

In accordance with securities legislation currently in effect in Canada, the Shares, the Warrants and the Warrant Shares will be subject to a "hold period" of four months plus one day expiring on February 18, 2015.

Insiders of the Company have subscribed for a total of 34 units for total gross proceeds of $17,000.

The proceeds from the offering will be used to undertake planned exploration work on the Carscallen Timmins gold property that adjoins Lakeshore Gold.

The Offering is subject to regulatory approval.

About Melkior:

Melkior is a junior exploration company with active exploration projects in West Timmins and holds several other exploration properties of which the most important is the 100% owned Launay gold property in West Quebec. Melkior also holds two important claim groups in the Beardmore Long-Lac gold camps.

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.