Lionsgold Regulatory News (LION)

Lionsgold Limited

("Lionsgold", "LION" or the "Company")

Issue of Equity and Director/PDMR Shareholdings

Lionsgold (LON: LION), the AIM quoted company focused on the exploration, production and retail application of physical gold, including the development of the Goldbloc digital currency, announces that it has conditionally issued 6,500,000 new ordinary shares of nil par value each ("Ordinary Shares") (the "Subscription Shares") and 6,500,000 warrants to subscribe for new Ordinary Shares (the "Subscription Warrants") to certain directors and PDMRs.

On 30 November 2017 the Company announced details of a placing to raise £550,000 through the issue of 68,750,000 new Ordinary Shares at a price of 0.8p per share, with each share carrying a warrant to subscribe for an additional share at a price of 1.2p prior to 31 December 2018 (the "Placing"). On 1 December 2017 LION announced that a further £200,000 had been conditionally raised on the same terms as the Placing.

The announcement of 30 November 2017 stated: "Lionsgold directors and persons discharging managerial responsibilities ("PDMRs") were unable to participate in the Placing because the Company is currently in a close period ahead of the publication of its results for the year ended 30 June 2017. The Company intends to allow its directors and PDMRs the opportunity to subscribe for further Ordinary Shares and warrants on the same terms as the Placing once the close period has ended."

Prior to the Placing, on 27 November 2017, the Company notified its Nominated Adviser in writing that it had indications from certain directors and PDMRs including the CEO, that they wished to participate in a subscription for the total amount of £52,000. The Company has therefore conditionally issued the Subscription Shares and Subscription Warrants on that basis as set out below:

Completion of the issue of the Subscription Shares and Subscription Warrants is conditional on the passing of the necessary resolutions at the AGM on 28 December 2017. The Subscription Shares will be issued at a price of 0.8p per share. Each Subscription Warrants entitles the holder to subscribe for a new Ordinary Share at an exercise price of 1.2 pence per share with an exercise period of up to 31 December 2018. If the Lionsgold share price exceeds a 5 day volume weighted average price exceeding 3.6p during the warrant term, the Company has the right to serve notice on warrant holders to exercise warrants. Should the Company serve notice, any warrants unexercised within the 7 day time period allowed would be cancelled.

Subject to the passing of the necessary resolutions at the AGM, the Subscription Shares are expected to be admitted to trading on AIM on or around 29 December 2017.

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About LIONSGOLD Limited (LON: LION)

Lionsgold is a London Stock Exchange AIM market quoted, gold-focused company involved in the exploration, production and retail application of physical gold, with gold assets in India and Finland and a majority owned financial technology company developing the digital gold currency, Goldbloc.

Lionsgold's three core focuses are:

· Strategic partnership with leading India gold exploration and mine development company, Geomysore, in which Lionsgold holds 21.15%;

· Majority ownership of a financial technology platform providing online accounts for people to hold and utilise physical gold (www.goldbloc.com / www.indexgold.com / www.therealasset.co.uk); and

· Gold exploration and production in Central Eastern Finland.