An anonymous director reports

BASE CARBON ANNOUNCES RECEIPT OF FIRST CORRESPONDINGLY ADJUSTED ARTICLE 6 AUTHORIZED CARBON CREDITS

Base Carbon Inc. has received an initial transfer of 717,558 correspondingly adjusted carbon credits from its Rwanda cookstoves project, each designated by Verra with an Article 6 authorized label. Receipt of these carbon credits from the Rwanda cookstoves project is an important Company milestone, marking Base Carbon's second project to transition from the development stage to active carbon credit generation, as well as an important industry milestone, being the first Article 6 Authorized labeled carbon credits issued by Verra.

Highlights:

Rwanda cookstoves project has successfully transitioned to the carbon credit generation stage, with regular future issuances expected at semi-annual intervals.

717,558 Article 6 Authorized labeled carbon credits have been transferred to the Company.

The carbon credits transferred to the Company are part of Verra's first ever correspondingly adjusted Article 6 Authorized carbon credits.

The Company believes that the correspondingly adjusted carbon credits with Verra's Article 6 Authorized designation will expand the pool of buyers with potential pricing upside.

As first announced in December 2023, the Government of Rwanda issued a letter of authorization ("LOA") with respect to the Rwanda cookstoves project resulting in Verra announcing it had applied its Article 6 Authorized label to the project, being the first time Verra had applied such designation to a carbon project registered in its Verified Carbon Standard Program.

BCCPC and the DelAgua Group ("DelAgua"), the project developer, have been engaged in discussions as to the best implementation of the LOA. According to the LOA, a copy of which may be found on Verra's website under project ID 4150, 2% of any issued Article 6 Authorized labeled carbon credit are to be immediately retired to help offset global emissions, 10% of such carbon credits are to be transferred to the Government of Rwanda to help achieve its nationally determined emission reduction targets, and 5% of net revenues generated from the sale of the remaining Article 6 Authorized labeled carbon credits issued will be remitted to United Nations' global adaptation fund ("GAF").

BCCPC and DelAgua have recently executed an amended and restated project agreement to facilitate the implementation of the LOA. Under the terms of the revised agreement, BCCPC and DelAgua have agreed to split the 5% GAF remittance attributable to Article 6 Authorized labeled carbon credits sold based upon each party's pro rata share of sales proceeds outlined in a revenue sharing arrangement between the parties. The Company's GAF remittance is currently anticipated to be US$0.20 per credit for the first 1,925,000 Article 6 Authorized labeled carbon credits received by BCCPC.

Under the revised project agreement, Article 6 Authorized labeled carbon credits issued from the Rwanda cookstoves project will be net of the 12% volume reduction outlined in the Government of Rwanda LOA. Based upon on this, and assuming all carbon credits from the Rwanda cookstoves project were issued with an Article 6 Authorized label, a new and revised aggregate minimum of 6.6 million carbon credits would now be subject to the revenue sharing arrangement between BCCPC and DelAgua. The Company is currently evaluating all sales options with respect to the initial 717,558 carbon credits and believes that the potential pricing upside of correspondingly adjusted carbon credits will significantly offset any volume reductions pursuant to the implementation of the LOA.

About Base Carbon

Base Carbon is a financier of projects involved primarily in the global voluntary carbon markets. We endeavor to be the preferred carbon project partner in providing capital and management resources to carbon removal and abatement projects globally and, where appropriate, will utilize technologies within the evolving environmental industries to enhance efficiencies, commercial credibility, and trading transparency. For more information, please visit www.basecarbon.com.

We seek Safe Harbor.