Eric Sprott Announces Holdings in Rio2 Limited

Toronto, Ontario--(Newsfile Corp. - August 13, 2019) - Eric Sprott ("Sprott") announces that on August 13, 2019, Sprott, through 2176423 Ontario Ltd., a corporation which is beneficially owned by him, acquired 25,200,000 units ("Units") of Rio2 Limited (the "Company") for $10,080,000 pursuant to the previously announced private placement offering of the Company (the "Offering"). Prior to the Offering, Sprott beneficially owned 733,371 common shares of the Company ("Common Shares"). As a result of the Offering, Sprott beneficially owns or controls 25,933,371 Common Shares and 12,600,000 Common Share purchase warrants of the Company representing approximately 14.3% of the issued and outstanding Common Shares on a non-diluted basis and approximately 19.9% of the issued and outstanding Common Shares on a partially diluted basis.

The Units were acquired by Sprott for investment purposes. Mr. Sprott has a long-term view of the investment and may acquire additional securities of the Company including on the open market or through private acquisitions or sell securities of the Company including on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.

A copy of Sprott's early warning report will appear on the Company's profile on SEDAR and may also be obtained by calling (416) 362-7172 (200 Bay Street, Suite 2600, Royal Bank Plaza, South Tower, Toronto, Ontario M5J 2J1).

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/46897