MegumaGold Corp. ('Meguma') announces that it has filed an early warning report in respect of its holdings in Osprey Gold Development Ltd. ('Osprey').

Pursuant to a statutory plan of arrangement pursuant to Section 288 of the British Columbia Business Corporations Act (the 'Arrangement'), Meguma acquired all of the outstanding shares of Osprey ('Osprey Shares') in exchange for 36,671,166 common shares of Meguma.

As a result of the Arrangement, Meguma now beneficially owns and controls 73,342,332 Osprey Shares, representing all of the issued and outstanding Osprey Shares. Pursuant to the Arrangement, holders of Osprey Shares received 0.50 of a common share of Meguma in exchange for each Osprey Share held immediately prior to the effective time of the Arrangement, representing an aggregate of 36,671,166 common shares of Meguma. Following the Arrangement, Osprey is now a wholly-owned subsidiary of Meguma. Meguma will cause (i) the Osprey Shares to be delisted from the TSX Venture Exchange, and (ii) Osprey to submit an application to the securities regulators to cease to be a reporting issuer and to terminate its public reporting obligations. This news release is being issued in accordance with National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues in connection with the filing of an early warning report dated September 14, 2020. The early warning report respecting this transaction has been filed on SEDAR (www.sedar.com) under Osprey's issuer profile. To obtain a copy of the early warning report filed by Meguma, please contact Theo van der Linde at (604) 687-2038 or refer to SEDAR (www.sedar.com) under Osprey's issuer profile

About MegumaGold Corp.

MegumaGold Corp. (CSE: NSAU, OTC: NSAUF, FWB: 2CM2) is a Canadian junior gold exploration company engaged in the business of acquiring, exploring and developing natural resource properties. MegumaGold has centered its exploration focus on the developing Meguma formation of Nova Scotia. As a result, MegumaGold has assembled a strategically positioned, district-scale tenure position of 108,589 hectares within the Meguma Gold District.

Contact:

Tel: 902-233-4381

Email: info@megumagold.com

Forward-Looking Statements

All statements in this presentation, other than statements of historical fact, are 'forward-looking information' with respect to MegumaGold within the meaning of applicable securities laws including, without limitation economic estimates and any statements related to estimated mining costs. MegumaGold provides forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited to exploration findings, results and recommendations, as well as those risks and uncertainties identified and reported in MegumaGold's public filings under its SEDAR profile at www.sedar.com. Although MegumaGold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. MegumaGold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.

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