Combined with gross proceeds of $263,000 raised in the first tranche, the funds will be used to explore the recently acquired Otherside and Loranger properties (see News Release dated April 26, 2016) to the drilling stage and for working capital.

Each WC Unit consists of one (1) common share and one (1) common share purchase warrant (a "WC Warrant"). Each WC Warrant entitles the holder to purchase one (1) common share (a "WC Warrant Share") at a price of $0.30 per WC Warrant Share exercisable until the earlier of: (i) three (3) years from Closing Date; and (ii) in the event that the closing price of the Common Shares on the Canadian Securities Exchange is at least $0.50 for twenty (20) consecutive trading days, and the 20^th trading day (the "Final Trading Day") is at least four (4) months from the Closing Date, the date which is thirty (30) days from the Final Trading Day (the "Trigger Date").

Each FT Unit consists of one (1) common share and one-half (1/2) of one warrant. Each full warrant (a "Warrant") entitles the holder to purchase one (1) common share (a "Warrant Share") at a price of $0.35 per Warrant Share exercisable for a period of eighteen (18) months following the Closing Date, subject to earlier expiry on the Trigger Date.

All securities issued pursuant to the above referenced private placements are subject to a statutory four month hold period.

Appia currently has 43.8 million common shares outstanding, 47.7 million shares fully diluted.