Mr. Michael Farrant reports

NEW BREAK ANNOUNCES FINANCING EXTENSION AND EARLY WARNING NOTICE

New Break Resources Ltd. intends to close the non-brokered private placement first announced on Dec. 7, 2023, by Feb. 29, 2024. The offering consists of the sale of up to 3.75 million non-flow-through units at eight cents per unit for gross proceeds of up to $300,000 and seven million flow-through units at a price of 10 cents per FT unit, for gross proceeds of up to $700,000, on the terms as set forth in the news release of the company dated Dec. 7, 2023. On Dec. 29, 2023, the company announced that it had closed the first tranche of the offering, consisting of the sale of 1.25 million FT units for gross proceeds of $125,000 and 750,000 units for gross proceeds of $60,000.

Early warning notice for holder of greater-than-10-per-cent security

The company also announces that in connection with the closing of the first tranche of the offering on Dec. 29, 2023, John Ross Quigley acquired an aggregate of 1,375,000 common shares in the capital of the company and 1,375,000 share purchase warrants. Each warrant entitles the holder thereof to acquire one share on the terms as more specifically set out in the company's news release of Dec. 29, 2023. Prior to the acquisition, the acquiror beneficially owned or exercised control or direction over 5,471,800 shares, 173,000 warrants and 240,000 stock options, representing 11.50 per cent and 12.26 per cent of the outstanding shares of the company on an undiluted and partially diluted basis, respectively. After completion of the acquisition, the acquiror beneficially owned or exercised control or direction over 6,846,800 shares, 1,548,000 warrants and 240,000 options, representing 13.81 per cent and 16.81 per cent of the outstanding shares of the company on an undiluted and partially diluted basis, respectively.

In satisfaction of the requirements of National Instrument 62-104 (Take-Over Bids and Issuer Bids) and National Instrument 62-103 (the Early Warning System and Related Take-Over Bid and Insider Reporting Issues), an early warning report respecting the acquisition of securities by the acquiror was filed on Jan. 10, 2024, under the company's SEDAR+ profile. To obtain a copy of the early warning report filed by the company, please contact Michael Farrant at 416-278-4149 or refer to SEDAR+ under New Break's issuer profile.

The acquisition was completed for investment purposes. Depending on market and other conditions, Mr. Quigley may from time to time in the future increase or decrease his ownership, control or direction over securities of the company through market transactions, private agreements or otherwise.

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 that include the Sundog, Esker-Noomut, Sy and Angikuni Lake properties, 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. New Break began trading on the Canadian Securities Exchange on Sept. 7, 2022, under the symbol NBRK.

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