SAIDF - Fidelity Minerals Provides Update on Sale of Cerro Dorado

(TheNewswire)

Vancouver, BC - TheNewswire - October 13 th , 2020 - Fidelity Minerals Corp. (TSXV:FMN ) ( FSE:S5GM ) ( SSE:MNYC) (" Fidelity Minerals " or the" Company ") is pleased to announce revisedpayment terms in relation to the sale of its Cerro Dorado gold plant.Further to the US$1.43 million sale agreement announced on October 1,2019 total payments made by the Purchaser have totalled US$500,000,meeting the conditions of the sale through to March, 2020. As a resultof COVID-19 related regulatory delays and disruptions the Company hasbeen working with the Purchaser to negotiate amended payment terms forthe remaining US$930,000. On October 9, 2020, the Company executed anaddendum to the original sale purchase agreement, with a revisedpayment schedule.

The revised payment terms for theoutstanding balance, is outlined below:

• - US$100,000 on October 10, 2020

  - US$100,000 on November 25, 2020

  - US$100,000 on January 25, 2021

  - US$310,000 on April 25, 2021

  - US$320,000 on July 24, 2021

  - US$930,000 TOTAL

Following execution of the addendum, the paymentscheduled for October 10 th has been received. Importantly, the revisedterms require accelerated payments to be made to the Company, undercertain conditions.

As outlined in the original sale purchase agreement, inthe event the Purchaser has missed a payment and this has not beenremedied within 15 days, the ultimate transfer of Cerro Dorado SAC tothe Purchaser will not complete and ownership of the mill complex,mine and concessions including all improvements and on-property assetswill remain with Fidelity Minerals. The executed addendum alsoincorporates certain financial assurances, and the requirement toprovide the Company with regular updates.

MANAGEMENT COMMENTARY

Director & CEO of FidelityMinerals, Mr. Ian Graham commented: "The recently agreed, revised paymentterms for Cerro Dorado provide the Company with increased confidencethat the sale transaction will now complete. We are pleased to havebeen able to work closely with the Purchaser, to negotiate a mutuallyagreeable solution, to enable the timely recommissioning of CerroDorado, currently scheduled before the end of CY2020. In the interim,we are focused on our active exploration programmes, particularly i)Greater Las Huaquillas, where we are approaching the completion of thereinterpretation of a historical geophysical survey, and ii) LasBrujas, where have a field crew on site, performing extensive samplingand mapping. We look forward to providing a further update on theseactivities shortly."

About Fidelity Minerals Corp.

Fidelity Minerals Corp. is assembling a portfolio ofhigh-quality mining assets in Peru through the implementation of ourStrategic Project Generator (SPG) model. The project generator modelinvolves the identification and acquisition of appraisal stageopportunities with near-term valuation catalysts, including potentialfor high-impact M&A. The company is backed by anexperienced management team with diversetechnical, market, and commercial expertise and is supported bycommitted and sophisticated investors focused on building long termvalue.

On behalf of the Board of FidelityMinerals;

Ian Graham
CEO and Director
Tel: +1.604.671.1353
Email: igraham@fidelityminerals.com

Investor Contact:

Bahay Ozcakmak
Executive Chairman
Tel: +61.414.596.007
Email: bahay@fidelityminerals.com

NEITHER THE TSXVENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM ISDEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTSRESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWSRELEASE.

Disclaimer & Forward-LookingStatements: This news releasecontains forward-looking statements. Forward-looking statements arestatements that relate to future events or future financialperformance. In some cases, you can identify forward-lookingstatements by the use of terminology such as "may","should", "intend", "expect","plan", "anticipate", "believe","estimate", "project", "predict","potential", or "continue" or the negative ofthese terms or other comparable terminology. These statements speakonly as of the date of this news release. This news release may alsocontain inferences to future oriented financial information("FOFI") within the meaning of applicable securities laws.The information in this news release has been prepared by ourmanagement to provide a context for the project acquisition and toprovide the reader with an outlook for our future activities andanticipated key projects and may not be appropriate for otherpurposes. Forward-looking statements in this announcement include,(but are not limited to) advancing certain key project activities thatcould represent important milestones which the Company expects mayrepresent material valuation catalysts, such as the Company iscurrently preparing plans for a more comprehensive geophysics andsampling project to build on the initial positive results. Further,forward-looking statements in this release include that FidelityMinerals Corp. will continue to focus on its medium-term objectives,including to cost-effectively delineate substantial gold, copper andsilver resources from the existing project portfolio,opportunistically expand the project portfolio with accretiveacquisitions, and intends to define a >1 million-ounce gold (IMoz-eq) gold resource within 3 years.

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