Mr. Michael Smith reports

HERCULES RESOURCES CORP PROVIDES UPDATE ON CAD$5-MILLION EQUITY CAPITAL FACILITY WITH CRESCITA CAPITAL LLC

Further to Hercules Resources Corp.'s press release dated April 9, 2024, it has entered into an amended and restated definitive agreement (the A&R agreement) with Crescita Capital LLC, a private company registered in Dubai, in respect of the previously announced non-revolving equity drawdown facility in the aggregate amount of up to $5-million (the equity investment facility).

Pursuant to the A&R agreement, the company will pay Crescita (i) an upfront commission of $300,000, representing 6 per cent of the amount available under the equity investment facility, which shall be paid through the issuance of 1,142,857 common shares of the company at a deemed price of 26.25 cents per share (the commitment fee) and (ii) an initial consulting fee of $2,500, which will be paid through the issuance of 9,524 common shares at a deemed price of 26.25 cents per share.

All other terms of the equity investment facility remain unchanged from those announced on April 9, 2024. The company has obtained an initial waiver from the Canadian Securities Exchange (the CSE) in respect of the four-month hold period required under Section 6.1(4)(a) of CSE Policy 6 Distributions & Corporate Finance in respect of the common shares issuable under the commitment Fee and the initial consulting fee.

The transactions contemplated under the equity investment facility, including the payment of the commitment fee, remain subject to the approval of the shareholders of the company pursuant to the policies of the CSE, which approval the company anticipates receiving prior to April 30, 2024.

About Hercules Resources Corp.

Hercules is a Canadian gold exploration company engaged in the acquisition, exploration and development of projects located in highly prospective and mining friendly nations of Ecuador and Canada.

The company is dedicated to delivering value to its stakeholders through innovation, operational excellence and sustainable practices.

We seek Safe Harbor.