Harte Gold Announces Closing Of Previously Announced Credit Facility

August 31, 2020

Toronto, ON: Further to its news releases of July 1 and 14, 2020, Harte Gold Corp. (“Harte Gold” or the “Company”) (TSX: HRT / OTC: HRTFF / Frankfurt: H4O) is pleased to announce that it has closed the previously announced US$18.5 million non-revolving credit facility (the “Credit Facility”). The Credit Facility, provided by AHG (Jersey) Limited, an affiliate of ANR Investments 2 B.V. (“Appian”), is secured by a second priority ranking lien on the Company’s assets, matures on June 30, 2023 and accrues interest at a rate per annum equal to 14%, which is payable in common shares of the Company. US$1 million of the proceeds from the Credit Facility will be used to prepay part of the Company’s currently existing non-revolving term credit facility with BNP Paribas and the other lenders party thereto from time to time (the “BNP Facility”).

In connection with the closing of the Credit Facility, the 9,500,000 Series B special shares that were previously issued to ANR Investments B.V., an affiliate of Appian, converted into US$9.5 million of principal amount under the Credit Facility, bringing the aggregate principal amount of the Credit Facility to US$28 million. The Credit Facility also maintains an uncommitted US$20 million accordion option, which can increase the aggregate principal amount available under the Credit Facility to US$48 million.