Vancouver, January 28, 2021 – Alexco Resource Corp. (NYSE American/TSX: AXU) (“Alexco” or the “Company”) announces that it has closed the previously announced flow-through bought deal public offering (the “Offering”) with a syndicate of underwriters co-led by Cormark Securities Inc. and Cantor Fitzgerald Canada Corporation as joint bookrunners, and including R.F. Lafferty & Co. Inc. and A.G.P./Alliance Global Partners (collectively the “Underwriters”). With full exercise of the Underwriters’ over-allotment option, the Company has issued a total of 2,704,770 “flow-through” common shares (the “Flow-Through Shares”) for gross proceeds of $11,700,666.

The Flow-Through Shares are comprised of (i) 2,053,670 shares issued as “flow-through shares” with respect to “Canadian exploration expenses” (the “CEE Shares”) within the meaning of the Income Tax Act (Canada) (the “Tax Act”) at a price of C$4.48 per CEE Share; and (ii) 651,100 shares issued as “flow through shares” with respect to “Canadian development expenses” (the “CDE Shares”) at a price of C$3.84 per CDE Share.

The gross proceeds from the sale of the CEE Shares will be used on exploration expenses on the Keno Hill project as permitted under the Tax Act to qualify as CEE. The proceeds from the sale of the CDE Shares will be used on development expenses on the Keno Hill project as permitted under the Tax Act to qualify as CDE. The Company will renounce all the CEE qualifying expenditures and CDE development expenses in favour of the subscribers of the CEE Flow-Through Shares and CDE Flow-Through Shares effective on or before December 31, 2021.

The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or under any securities laws of any state of the United States, and may not be offered or sold, directly or indirectly, or delivered within the United States or to, or for the account or benefit of,  a U.S. person or person in the United States, except in certain transactions exempt from the registration requirements of the U.S. Securities Act and any applicable securities laws of any state of the United States. This release does not constitute an offer to sell or a solicitation to buy such securities in the United States, Canada or in any other jurisdiction where such offer, solicitation or sale is unlawful. “United States” and “U.S. person” are as defined in Regulation S under the U.S. Securities Act.

About Alexco

Alexco is a Canadian primary silver company that owns and operates the majority of the historic Keno Hill Silver District, in Canada’s Yukon Territory, one of the highest-grade silver deposits in the world. Alexco is currently advancing Keno Hill to production and commenced concentrate shipments in January, 2021. As per Alexco’s 2020 pre-feasibility study, Keno Hill is expected to produce an average of approximately 4 million ounces of silver per year contained in high quality lead/silver and zinc concentrates. Total production over an 8-year mine life is estimated at 1.18 million tonnes of ore at an average rate of 430 tonnes per day at an average grade of 805 grams per tonne. Keno Hill retains significant potential to grow and Alexco has a long history of expanding the operation’s Mineral Resources through successful exploration.

Contact

Clynton R. Nauman, Chairman and Chief Executive Officer
Kettina Cordero, Director of Investor Relations

Phone: (778) 945-6577
Email:  info@alexcoresource.com