MG Capital and DLP Resources Announces Closing of Private Placement of Flow-Through Shares and Staking of an Additional 93.81 km2

Cranbrook, British Columbia–(Newsfile Corp. – December 30, 2020) – MG Capital Corporation (TSXV: DLP) (the “Company“), the parent company of DLP Resources Inc. (“DLP“), is pleased to announce that it has closed its non-brokered private placement (the “Private Placement“), whereby the Company has completed the issuance of an aggregate of 3,200,000 flow through common shares (each, a “FT Share“) at a price of $0.25 per share for aggregate gross proceeds of $800,000.

The FT Shares in connection with the Private Placement are subject to a four month and a day transfer restriction from the date of issuance expiring on April 30, 2020, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside Canada.

The Company intends to use the proceeds from the Private Placement to do additional drilling of the DD Project under option from PJX Resources Inc.

Staking of Additional Claims

With the encouraging Titan MT geophysical results, as recently announced in the Company’s news release dated (see news release dated December 03, 2020), DLP has increased the Aldridge 1 claim block by an additional 93.81 km² (See the property map in Figure 1 below).