BEAR CREEK MINING CORPORATION ANNOUNCES BOUGHT DEAL FINANCING

July 6, 2016 Vancouver, B.C. - Bear Creek Mining Corporation ('Bear Creek' or the 'Company') announces that it has entered into an agreement with a syndicate of underwriters (the 'Underwriters') led by Paradigm Capital Inc. and BMO Capital Markets, under which the Underwriters have agreed to buy on a bought deal basis by way of a short form prospectus, 8,667,000 Common Shares (the 'Common Shares'), at a price of Cdn $3.00 per Common Share for gross proceeds of Cdn $26,001,000 (the 'Offering'). In addition, the Company has granted the Underwriters an option, exercisable at the issue price for a period of 30 days following the closing of the Offering, to purchase up to an additional 15% of the offering to cover over-allotments, if any. The Offering is expected to close on or about July 26, 2016 and is subject to Bear Creek receiving all necessary regulatory approvals.

The Company intends to use the net proceeds from the Offering primarily to accelerate the development pathway of its flagship Corani silver-lead-zinc project by: commissioning detailed engineering plans required to secure a Construction Permit; commencing various pre-construction and infrastructure initiatives; and solidifying its strong social licence and community relationships. A minor portion of the proceeds will be used for general working capital purposes. The Corani project is one of the largest undeveloped silver deposits in the world.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States 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 in which such offer, solicitation or sale would be unlawful.

On behalf of the Board of Directors,

Andrew Swarthout
President and CEO

For further information contact:
Barbara Henderson, Director of Investor Relations
Direct: 604-628-1111
E-mail: [email protected]
Or visit www.bearcreekmining.com

Regulatory footnotes: All of Bear Creek's exploration programs and pertinent disclosure of a technical or scientific nature are prepared by or prepared under the direct supervision of Andrew Swarthout, P.Geo., President and CEO, a Qualified Person ('QP') as defined in NI 43-101. The 2015 Corani Optimized Final Feasibility Study Technical Report, filed on July 20, 2015, was prepared by a team of independent engineering consultants as described in the Company's news release of June 2, 2015.

Certain disclosure in this release, including the expected use of proceeds of the Offering, the anticipated closing date of the Offering, and the necessity to secure regulatory approval of the Offering, constitutes forward-looking statements that are subject to numerous risks, uncertainties and other factors outside of the Company's control that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements. Bear Creek expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.