Mr. Michael Farrant reports

NEW BREAK ANNOUNCES SUCCESSFUL WARRANT EXERCISE INCENTIVE PROGRAM

Further to its news release of June 8, 2023, New Break Resources Ltd. has successfully completed its common share purchase warrant exercise incentive program.

Pursuant to the incentive program, holders of certain warrants with an exercise price of 15 cents and expiring on June 23, 2023, who exercised part or all of their subject warrants on or prior to the expiry date, would be granted one common share purchase warrant for each exercised subject warrant. Each incentive warrant entitles the holder thereof to acquire one common share of the company at a price of 20 cents per common share for a period of three years from the date of issuance. The incentive warrants are subject to an acceleration clause, whereby if the closing price of the common shares of the company on the Canadian Securities Exchange is equal to 40 cents or higher for five non-consecutive trading days, over a 365-day period, the company may accelerate the expiry of the incentive warrants to the date that is 20 business days from the date of the issuance of a news release by the company announcing the exercise of the acceleration right. The subject warrants which remained unexercised as at end of the expiry date have expired and no further incentive warrants will be issued.

A total of 1,073,850 subject warrants were exercised for aggregate gross proceeds to the company of $161,077.50. Accordingly, New Break issued 1,073,850 incentive warrants to the holders who exercised such subject warrants. The company anticipates using the proceeds from the exercise of any subject warrants for working capital purposes. The subject warrants exercised consisted of 418,850 warrants which were repriced from 20 cents to 15 cents and 655,000 warrants with an original exercise price of 15 cents. No fees were paid in connection with the exercises.

The incentive warrants and the incentive warrant shares, if issued, will be subject to a statutory hold period of four months and one day from the date of issuance of the incentive warrants. The incentive program is subject to the receipt of all necessary regulatory approvals including the approval of the CSE.

A greater-than-10-per-cent securityholder and a company controlled by one of New Break's directors exercised an aggregate of 198,000 subject warrants and were issued an aggregate of 198,000 incentive warrants. This issuance of securities constitutes a related party transaction as such term is defined under Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The company is relying on an exemption from the formal valuation and minority shareholder approval requirements provided under MI 61-101 pursuant to Section 5.5(a) and Section 5.7(1)(a) of MI 61-101, on the basis that the issuance of the incentive warrants does not exceed 25 per cent of the fair market value of the company's market capitalization.

About New Break Resources Ltd.

New Break is a Canadian mineral exploration company with a dual vision for value creation. In Northern Ontario, New Break is focused on its Moray project, in a well-established mining camp, within proximity to existing infrastructure, while at the same time, through its prospective landholdings in Nunavut, it provides its shareholders with significant exposure to the vast potential for exploration success in one of the most up-and-coming regions in Canada for gold exploration and production. New Break is supported by a highly experienced team of mining professionals committed to placing a premium on environmental, social and corporate governance. Information on New Break is available under the company's profile on SEDAR and on the company's website. New Break began trading on the Canadian Securities Exchange on Sept. 7, 2022, under the symbol NBRK.

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