Roxgold Signs US$75 Million Project Finance Facility

TORONTO, June 9, 2015 /PRNewswire/ - Roxgold Inc. ("Roxgold" or "the Company") (TSX.V: ROG) is pleased to announce that it has signed a credit agreement (the "Credit Agreement") with Societe Generale Corporate & Investment Banking and BNP Paribas (collectively the "Banks") with respect to its previously announced US$75 Million Senior Debt Facility (the "Debt Facility"). The Debt Facility will be used for the development of the Company's Yaramoko Gold Project in Burkina Faso, West Africa. The terms of the Debt Facility are substantially the same as previously disclosed in the News Release dated February 11, 2015.

"The signing of the US$75 million Facility enables us to continue with our construction activities at Yaramoko, in line with our goal to reach production in the second quarter of 2016," said John Dorward, President and CEO. "We thank our financing team, lawyers, consultants and bankers, who have demonstrated their support for the project over recent months and have worked diligently to finalize our financing agreement."

The Debt Facility has a six-year term.  Advances under the project finance facility will bear interest at a rate of LIBOR plus 4.75% pre-completion and 4.25% post completion.  The US$15 million cost overrun account has been funded from equity through the proceeds of the November 4, 2014 public offering. Drawing under the Credit Agreement is subject to the satisfaction of certain customary conditions precedent, including the execution of the Hedging Program described below. The Debt Facility is supported by secured guarantees from the Company and each of its material subsidiaries.

In connection with the Debt Facility, Roxgold will establish a gold hedging program (the "Hedging Program") with the Banks. The gold hedging program covers the gold price exposure for 65,000 ounces of Yaramoko's projected gold production, which equates to approximately 8.5% of the Company's current reserve over the life of loan.

The Company was advised by Cutfield Freeman & Co Ltd (Financial Adviser), and Norton Rose Fulbright LLP (Project Finance Counsel). The Lenders were advised by Mayer Brown International LLP (Lenders' Counsel).

About Roxgold
Roxgold is a gold exploration and development company with its key asset, the high grade Yaramoko Gold Project, located in the Houndé greenstone region of Burkina Faso, West Africa. The Company is currently advancing Yaramoko's 55 Zone through construction and expects to commence production in the second quarter of 2016. Roxgold trades on the TSX Venture Exchange under the symbol ROG.

"Neither TSX Venture Exchange nor its Regulation Services Provider nor BNP Paribas nor Societe Generale (as that term is defined in policies of the TSX Venture Exchange) accepts any responsibility or liability of any nature whatsoever for the adequacy, completeness or accuracy of this release which is made solely and entirely by, and under the responsibility and with the liability of, the Company."

This news release contains forward-looking information. These statements are based on information currently available to the Company and the Company provides no assurance that actual results will meet management's expectations. In certain cases, forward-looking information may be identified by such terms as "anticipates", "believes", "could", "estimates", "expects", "may", "shall", "will", or "would". Forward-looking information contained in this news release is based on certain factors and assumptions regarding, among other things, the estimation of mineral resources and mineral reserves, the realization of resource estimates and reserve estimates, gold metal prices, the timing and amount of future exploration and development expenditures, the estimation of initial and sustaining capital requirements, the estimation of labour and operating costs, the availability of necessary financing and materials to continue to explore and develop the Yaramoko project in the short and long-term, the progress of exploration and development activities, the receipt of necessary regulatory approvals, the completion of the environmental assessment process, and assumptions with respect to currency fluctuations, environmental risks, title disputes or claims, and other similar matters. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.  The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, but not limited to, variations in market conditions, the nature, quality and quantity of any mineral deposits that may be located, the Company's ability to obtain any necessary permits, consents or authorizations required for its activities, the Company's ability to be fully able to implement its business strategies and other risk factors described in the Company's annual information form and other filings with the Canadian securities regulators which may be viewed at www.sedar.com.

SOURCE Roxgold Inc.

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