Chalice Gold Mines Limited ('Chalice' or 'the Company', ASX: CHN | OTCQB: CGMLF) advises that it has today accepted Ramelius Resources Limited's ('Ramelius', ASX: RMS) offer to acquire all of Chalice's shares in Spectrum Metals Limited ('Spectrum', ASX: SPX) pursuant to an off market takeover announced on 10 February 2020.

Chalice holds 97,148,016 shares in Spectrum which were acquired for $5.7 million at an average price of approximately $0.058 per share in the second half of 2019. The shares were acquired in order to give Chalice exposure to the new high-grade gold discovery made by Spectrum at the Penny West Gold Project in WA.

Subject to the offer becoming unconditional, Chalice will receive 1 Ramelius share for every 10 Spectrum shares (9,714,801 Ramelius shares) plus $0.017 cash per Spectrum share (approximately $1.65 million).

The transaction increases the strength and liquidity of Chalice's balance sheet and ensures our systematic exploration activities at the Pyramid Hill Gold Project in Victoria remain fully funded.

Contact:

Alex Dorsch

Tel: +61 8 9322 3960

Email: info@chalicegold.com

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