Tethyan Completes First Closing for the Acquisition of the Kizevak and Sastavci Former Silver-Zinc-Lead Mines in Serbia

Vancouver, May 14, 2020 - Tethyan Resource Corp. (TSXV: TETH) ("Tethyan" or the "Company") is pleased to announce that it has closed the transaction for the acquisition of 10% of Serbian company EFPP d.o.o. ("EFPP") and the exclusive right to purchase the remaining 90% of EFPP at Tethyan's election within 12 months. EFPP is the holder of two exploration licences (the "Licences") over the past-producing Kizevak and Sastavci silver-zinc-lead mines in the Raska district of Southwestern Serbia.

Acquisition Highlights:

• The Licences are contiguous with Tethyan's existing exploration rights and the acquisition completes the consolidation of a district of known silver-zinc-lead vein-type and copper-gold porphyry deposits, presenting numerous strategic advantages;

• The Licences include two past-producing open pit silver-zinc-lead and indicate excellent brownfield exploration potential;

• Staged acquisition payments allow Tethyan to focus funds on drilling;

• Acquisition is a key condition precedent for the proposed acquisition of Tethyan by Adriatic Metals plc (refer to Tethyan's news release dated May 11^th, 2020).

Fabian Baker, Tethyan's President and CEO, commented: "The acquisition of the past-producing Kizevak and Sastavci mines has been a long term goal of Tethyan's, and so we are very pleased to have achieved this important step. With the recently announced financing and proposed acquisition of Tethyan by Adriatic Metals plc, we are well funded to commence drilling at Kizevak, which is planned to begin in early June. We see a bright future for the Raska mining district that is now consolidated under Tethyan, and look forward to developing the potential of these former mines and the significant exploration potential around them."

Terms of EFPP Acquisition

The acquisition of EFPP will occur in two steps, an initial 'First Closing' completed today, whereby Tethyan has acquired 10% of the shares of EFPP and management control of the company, and a 12 month period in which to decide, in its sole discretion, whether to proceed to a 'Second Closing'. By proceeding to complete Second Closing Tethyan will acquire the remaining 90% of the shares of EFPP. A summary of the terms of the transaction is as follows:

First Closing:

• In consideration for 10% of the shares of EFPP Tethyan will pay to the Sellers a total of €625,000 cash, of which €100,000 was previously advanced and the remaining €525,000 payment was made today.

Second Closing:

• At any time within 12 months of First Closing, Tethyan may elect to acquire the remaining 90% of shares of EFPP on the Second Closing by:
  • Paying €1,375,000;
  • Granting to the Sellers a 2% Net Smelter Return over the Licences;
  • Issuing a total of 4 million ordinary shares of Tethyan, to be issued in four equal tranches of 1 million shares, with the first tranche issued on the Second Closing and each additional tranche issued each six months thereafter;
  • Paying a deferred cash payment of €500,000 on the two-year anniversary of First Closing.

For further details of the Kizevak and Sastavci projects, refer to Tethyan's news release dated April 1^st, 2020.

About Tethyan Resource Corp.

Tethyan Resource Corp. is a precious and base metals mineral exploration company incorporated in British Columbia, Canada, and listed on the TSX Venture Exchange. Tethyan is focused on the Tethyan Metallogenic Belt in Eastern Europe, mainly Serbia, where it is acquiring and exploring a portfolio of quality precious and base metals projects with known mineralization and compelling drill targets. Tethyan emphasizes responsible engagement with local communities and stakeholders, and is committed to the proactive implementation of Good International Industry Practice (GIIP) and sustainable health, safety and environmental management. More information can be found on Tethyan's website: www.tethyan-resources.com.

Contact

Fabian Baker, President and Chief Executive Officer

+44 1534 881 885 | fabian@tethyan-resources.com

Andjelija Vujovic, Investor Relations

+381(0) 11 4077 433 | andjelija@tethyan-resources.com

TSX Venture Exchange Disclaimer

Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Certain information contained herein constitutes "forward-looking information" under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the exploration program. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expected", "intends", "will be", "look forward", "looks" or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Tethyan to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including: the completion of the Second Closing, receipt of all necessary regulatory approvals; future exploration programs; capital expenditures and other costs; and additional capital requirements. Although management of Tethyan has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Tethyan will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/55888