Mr. Dragos Tanase reports

GABRIEL RESOURCES LTD. PRIVATE PLACEMENT

Gabriel Resources Ltd. has entered into definitive subscription agreements with certain investors in connection with a non-brokered private placement of up to 24,782,212 common shares of the company at a price of 26 cents per common share for gross proceeds of up to $4.75-million (U.S.) (approximately $6.4-million), subject to stock exchange and other approvals, as applicable.

The purchase price has been fixed at the closing price of the common shares on the trading day immediately preceding this announcement. The number of common shares to be issued pursuant to the private placement represents approximately 2.5 per cent of the common shares currently issued and outstanding on a non-diluted basis.

Insiders of the company have subscribed for 17,489,111 common shares for gross proceeds of $3.35-million (U.S.) under the private placement. The issuance of common shares to insiders pursuant to the private placement will constitute a related-party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The company intends to rely on certain exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a), 5.5(b) and 5.7(1)(a) of MI 61-101 in respect of related-party participation in the private placement, as the company is not listed on specified markets and neither the fair market value (as determined under MI 61-101) of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involves the related parties, exceeds 25 per cent of the company's market capitalization (as determined under MI 61-101).

The closing of the private placement is subject to certain conditions, including, but not limited to, the approval of the TSX Venture Exchange and the receipt of all other applicable approvals. Accordingly, there is no assurance that the company will be successful in completing the private placement. On receipt of approvals, it is anticipated that the private placement will close on or about June 8, 2023, or such earlier or later date as may be determined by the company, subject to satisfaction or waiver by the relevant party of the conditions of closing. The common shares to be issued on closing of the private placement are subject to a statutory four-month hold period.

The company is progressing with its arbitration case against Romania before the World Bank's International Centre for Settlement of Investment Disputes (ICSID arbitration) and intends to use the proceeds of the private placement to finance the costs of the continuing ICSID arbitration and for general working capital requirements.

The company expects to file a material change report in respect of the related-party transaction less than 21 days prior to the closing of the private placement, which the company deems reasonable in the circumstances so as to be able to avail itself of the proceeds of the private placement in an expeditious manner.

The company will not pay any finder's fee in respect of the procurement of arm's-length subscribers in connection with the private placement.

About Gabriel Resources Ltd.

Gabriel is a Canadian resource company listed on the TSX Venture Exchange. The company's principal business had been the exploration and development of the Rosia Montana gold and silver project in Romania. The Rosia Montana project, one of the largest undeveloped gold deposits in Europe, is situated in the South Apuseni Mountains of Transylvania, Romania, a historic and prolific mining district that, since pre-Roman times, has been mined intermittently for over 2,000 years. The exploitation licence for the Rosia Montana project is held by Rosia Montana Gold Corp. SA, a Romanian company in which Gabriel owns an 80.69-per-cent equity interest, with the 19.31-per-cent balance held by Minvest Rosia Montana SA, a Romanian state-owned mining company.

Upon obtaining the licence in June, 1999, the group focused substantially all of its management and financial resources on the exploration, feasibility and subsequent development of the Rosia Montana project. Despite the company's fulfilment of its legal obligations and its development of the Rosia Montana project as a high-quality, sustainable and environmentally-responsible mining project, using best available techniques, Romania has unlawfully blocked and prevented implementation of the Rosia Montana project without due process and without compensation. Accordingly, the company's current core focus is the ICSID arbitration.

We seek Safe Harbor.