Mr. Darren Klinck reports

ARRAS MINERALS ANNOUNCES ADDITIONAL INCREASE OF NON-BROKERED FINANCING TO C$5.2 MILLION

Due to further strong demand from existing shareholders, Arras Minerals Corp. has increased the previously announced non-brokered private placement financing to up to $5.2-million.

The company announced on May 21, 2024, that it had arranged a non-brokered private placement financing of up to 7,692,308 units of the company at a price per unit of 26 cents for aggregate gross proceeds of up to $2-million. On May 28, 2024, due to strong demand, the company announced an upsizing to $4.5-million. Following the additional upsizing, the offering will now comprise up to 20 million units at the offering price for aggregate gross proceeds of up to $5.2-million. Under the offering, each unit shall comprise one common share in the capital of the company and one-half of one non-transferable common share purchase warrant. Each whole warrant will entitle the holder thereof to purchase one additional common share at a price of 40 cents for a period of three years from the closing of the offering.

In the event the volume-weighted average trading price of the common shares on the TSX Venture Exchange meets or exceeds 60 cents for 15 consecutive trading days at any time after four months and one day following closing of the offering, the company shall have the option, but not the obligation, at any time thereafter to accelerate the expiry date to a date that is 30 days following the date of issuance of a press release by the company announcing the acceleration of the expiry date.

The offering is scheduled to close on or about June 4, 2024, and is subject to the approval of the TSX-V. The securities issued pursuant to the offering will be subject to a four-month hold period in Canada and will be subject to U.S. resale restrictions under U.S. securities laws as applicable.

Qualified person

The scientific and technical disclosure for this news release has been prepared under supervision of and approved by Matthew Booth, vice-president of exploration, of Arras Minerals Corp., a qualified person for the purposes of National Instrument 43-101. Mr. Booth has over 19 years of mineral exploration experience and is a qualified person member of the American Institute of Professional Geologists (CPG No. 12044).

About Arras Minerals Corp.

Arras is a Canadian exploration and development company advancing a portfolio of copper and gold assets in northeastern Kazakhstan, including the option agreement on the Beskauga copper and gold project. The company has established the third-largest licence package in the country prospective for copper and gold (behind Rio Tinto and Fortescue). In December, 2023, the company entered into a strategic alliance with Teck Resources Ltd., in which Teck will sole finance a $5-million (U.S.) generative exploration program over a portion of the Arras licence package in 2024 and 2025 focusing on critical minerals. The company's shares are listed on the TSX-V under the trading symbol ARK.

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