Shane Resources Announces Closing of Private Placement

Toronto, Ontario--(Newsfile Corp. - February 18, 2020) - Shane Resources Ltd. (the "Company" or "Shane Resources") is pleased to announce that it has closed the first tranche of a non-brokered private placement financing of 715,706,455 common shares in the share capital of the Company (each, a "Share") at $0.000125 per Share for the gross proceeds of $89,463.31 (the "Offering"). All Shares issued pursuant to the Offering are subject to a statutory hold period of four months plus one day from the date of issuance, in accordance with applicable securities legislation. The net proceeds of the Offering will be used for general working capital purposes.

Upon closing of the first tranche of the Offering, KW Capital Partners Ltd. ("KW"), holds, directly or indirectly, or exercises control or direction of 299,261,149 Shares, representing 36.15% of the issued and outstanding Shares. Prior to the Offering, KW beneficially owed, or exercised control or direction of 10,801,574 Shares, representing 9.63% of the issued and outstanding Shares. KW has acquired the Shares for investment purposes and may, from time to time, acquire additional securities of the Company or dispose of such securities as KW may deem appropriate. For the purpose of NI 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, the address of KW is 10 Wanless Ave, Suite 201, Toronto, Ontario, M4N 1V6, President: Sruli Weinreb. A copy of the early warning report being filed by KW Capital Partners Ltd. may be obtained on the Company's SEDAR profile or by contacting the Company at (416) 716-8181.

Also upon closing of the first tranche of the Offering, Loomac Management Ltd. will hold 60,000,000 Shares and 20,000,000 Share purchase warrants, with each Share purchase warrant entitling the holder to purchase one Share at an exercise price of $0.002 per Share until May 27, 2024, the total of which equals 9.44% of the total issued Shares of the Company on a partially diluted basis. A copy of the early warning report being filed by Loomac Management Ltd. can be obtained on the Company's SEDAR profile. For further information contact Blaine McKearney, President of Loomac Management Ltd. at (403) 251-7382.

SHANE RESOURCES LTD.

Binyomin Posen
CEO, CFO, Secretary and Director
T: (416) 716-8181
E: bposen@plazacapital.ca

2206 - 1483 Homer Street
Vancouver, BC
V6Z 3C7

Cautionary Statement and Forward-Looking Information: This news release may contain forward-looking statements including, but not limited to, comments regarding the use of proceeds. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statement. Accordingly, readers should not undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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