Ashanti Gold announces $2.1M private placement

News Release

Ashanti Gold Arranges Non-Brokered Private Placement

VANCOUVER, BC – October 11, 2017 Ashanti Gold Corp. (“Ashanti” or the “Company”) – (TSXV: AGZ) is pleased to announce it has arranged a non-brokered private placement of up to 7,000,000 units (the “Units”) at a price of $0.30 per Unit (the “Offering”) for gross proceeds of up to $2,100,000. Each Unit will consist of one common share of the Company (a “Share”) and one-half of one common share purchase warrant (a “Warrant”). Each whole Warrant entitles the holder to acquire one additional share of the Company for a period of two years from the date of issuance at a price of $0.40 per share. In the event that the Company’s shares trade at a closing price of greater than $0.85 per share for a period of 10 consecutive days at any time after the closing of the Offering, the Company may accelerate the expiry date of the Warrants by providing notice to the shareholders thereof and in such case the Warrants will expire on the 30th day after the date on which such notice is given by the Company.

Finder’s fees may be payable to arm’s length parties that have introduced the Company to certain subscribers participating in the Offering. All securities issued in the Offering are subject to a four-month hold period, during which time the securities may not be traded. Closing of the Offering is subject to the approval of the TSX Venture Exchange.

The net proceeds from the Offering are intended to be used to fund exploration costs on the Kossanto East property in Mali, as well as fund the earn-in agreement on the Anumso property in Ghana, pursuant to the option agreement with Goldplat PLC announced on September 15, 2016, as well as for general corporate purposes.

This press release does not constitute an offer of sale of any of the foregoing securities in the United States. None of the foregoing securities have been and will not be registered under the U.S. Securities Act of 1933, as amended (the “1933 Act”) or any applicable state securities laws and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) or persons in the United States absent registration or an applicable exemption from such registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of the foregoing securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT ASHANTI GOLD

Ashanti is a gold-focused, exploration and development company with projects in the northern Ashanti Belt of Ghana and the Kenieba Belt of Mali. The Company targets projects where it has a competitive advantage due to past work experience of the team and specific project knowhow.

On Behalf of the Board of Directors of
ASHANTI GOLD CORP.
“Tim McCutcheon”
Tim McCutcheon
CEO

For further information, please contact:
Ashanti Gold Corp.
2300 – 1177 West Hastings Street
Vancouver BC, V6E 2K3
Phone: 604-638-3847

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