Excelsior Announces Closing of First Tranche of Greenstone Financing

(TSX-V: MIN) (Frankfurt: 3XS) (OTCQX: EXMGF)

December 1, 2015

Excelsior Mining Corp. (TSX-V: MIN) (Frankfurt: 3XS) (OTCQX: EXMGF) ("Excelsior" or the “Company”) is pleased to announce the closing of the first tranche of the US$12 million financing (the “Greenstone Financing”) that is being conducted in connection with the acquisition of the assets of Nord Resources Corporation, as they relate to the Johnson Camp Copper Mine (the “Johnson Camp Transaction”). An affiliate of Greenstone Resources L.P. (“Greenstone”) has purchased 8,655,510 common shares (the “Purchased Shares”) at a price of US$0.1733 (Cdn$0.23) per common share in return for gross proceeds of US$1.5 million. For further information please see the Company’s previous news release dated October 8, 2015 – “Excelsior to Purchase Johnson Camp Mine and Raise US$12 Million”.

The Purchased Shares represent approximately 6.98% of Excelsior’s issued and outstanding common shares. As a result of the closing of the first tranche of the Greenstone Financing, Greenstone holds a total of 41,125,017 common shares, which represents approximately 33.17% of Excelsior’s issued and outstanding common shares. The common shares issued to Greenstone are subject to a statutory four month hold period expiring on April 1, 2016. In addition Greenstone has agreed that it will not, for a period of one year, dispose of the common shares it acquires pursuant to the Private Placement except in limited circumstances.

The net proceeds of the first tranche of the Greenstone Financing will be used for the consideration payable in the Johnson Camp Transaction and for working capital and general corporate purposes.

The second tranche of the Greenstone Financing is expected to be completed concurrently with the closing of the Johnson Camp Transaction. The second tranche of the Greenstone Financing consists of a private placement of common shares for gross proceeds of US$2.5 million and the sale of 2% gross revenue royalty on the Gunnison Project for gross proceeds of US$8 million. The Company obtained shareholder approval for the Greenstone Financing at an extraordinary meeting of shareholders held on November 17, 2015. The Company is working to satisfy all of the outstanding closing conditions associated with the second tranche of the Greenstone Financing and Johnson Camp Transaction. Assuming all closing conditions are satisfied, the Company intends to concurrently close both the second tranche of the Greenstone Financing and Johnson Camp Transaction during the first half of December 2015.

The securities being offered hereby have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state or province in which such offer, solicitation or sale would be unlawful.


About Greenstone

Greenstone is a private equity fund specialising in the mining and metals sector. The Greenstone team has over 80 years of experience in the sector covering all aspects of mining project development. Further details on Greenstone can be found at www.greenstoneresources.com.

Greenstone is acquiring the securities in the offering described herein for investment purposes. Depending on market conditions and other factors, Greenstone may from time to time acquire and/or dispose of securities of Excelsior or continue to hold its current position.

A copy of the early warning report required to be filed with the applicable securities commission in connection with the transaction will be available on SEDAR at www.sedar.com and can be obtained by contacting Jo-Anna Duquemin Nicolle and Sadie Morrisson at +44 1481810100. Greenstone's address is set out below.
Greenstone Contact Information:

Greenstone Resources L.P.
1st Floor, Royal Chambers
St Julian's Avenue
St Peter Port, Guernsey
GY1 3JX
Channel Islands

About Excelsior

Excelsior is a mineral exploration and development company that is advancing the Gunnison Copper Project. The Excelsior management team consists of experienced professionals with proven track records of advancing mining projects into production.

For more information on Excelsior, please visit our website at www.excelsiormining.com.

ON BEHALF OF THE EXCELSIOR BOARD
"Mark J. Morabito"
Executive Chairman

For further information regarding this press release please contact:
Excelsior Mining Corp.
JJ Jennex, Vice President, Corporate Affairs
T: 604-681-8030 x240
E: [email protected]
www.excelsiormining.com