NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, British Columbia, June 04, 2018 (GLOBE NEWSWIRE) -- Alexco Resource Corp. (NYSE:AXU) (TSX:AXR) ("Alexco" or the "Company") is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Cormark Securities Inc., (the "Underwriters"), pursuant to which the Underwriters have agreed to purchase, on a bought deal basis 3,933,000 flow-through common shares (the "Flow-Through Shares") at a blended price of approximately C$1.90 per Flow-Through Share for aggregate gross proceeds of C$7,462,650 (the "Offering").

The issued securities are comprised of: (i) 966,500 flow-through shares with respect to "Canadian exploration expenses" priced at $2.05 per Flow-Through Share; (ii) 966,500 flow-through shares with respect to "Canadian exploration expenses" that also qualify as "flow-through mining expenditures" priced at $2.05 per Flow-Through Share; and (iii) 2,000,000 flow-through shares with respect to "Canadian development expenses" priced at $1.75 per Flow-Through Share.

Gross proceeds from the sale of the Flow-Through Shares will be used to fund a surface exploration program, continue the underground drilling program at the Bermingham deposit, and also continue development of the Flame & Moth decline at the Company's Keno Hill Silver project by incurring qualified expenditures. 

The Underwriter will receive a cash commission on the sale of the securities, representing 6.0% of the gross proceeds raised.

Clynt Nauman, Alexco CEO and Chairman commented, "This flow-through financing complements our decision to expand our surface activities by more than 30% to drill in excess of 15,000 meters on a variety of targets relatively close to our Bermingham discovery. Ongoing underground drilling from the recently completed Bermingham decline, comprising 5,000 meters of underground drilling including infill and exploration drilling, is also accommodated in this financing. With underground access development work now almost 50% complete, we continue to advance toward silver production at Keno Hill in a measured and disciplined manner."

The Flow-Through Shares to be issued under the Offering will be offered in accordance with the terms of a prospectus supplement to be filed in British Columbia, Alberta, Ontario, Saskatchewan and Manitoba.

Closing is expected on or about June 13, 2018 and is subject to regulatory approval including that of the Toronto Stock Exchange and NYSE AMERICAN LLC.

Fort Capital Partners acted as a financial advisor to the Offering.

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including in the United States.  The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any securities laws of any state of the United States and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

About Alexco

Alexco Resource Corp. holds the historical high grade Keno Hill Silver District located in Canada's Yukon Territory.  Employing a unique business model, Alexco also provides mine-related environmental services, remediation technologies and reclamation and mine closure services to both government and industry clients through the Alexco Environmental Group, its wholly-owned environmental services division.

Contact

Clynton R. Nauman, Executive Chairman and Chief Executive Officer
Lisa May, Director of Investor Relations
Phone:  (778) 945-6577
Email:  [email protected]

Please visit the Alexco website at www.alexcoresource.com