The TSX Venture Exchange has accepted for filing documentation with respect to a non-brokered private placement and the disposition of certain royalty interests announced on March 6, 2023.

Convertible debentures:  $1-million in principal amount of unsecured convertible debentures

Conversion price:  convertible into units of the company, each unit consisting of one common share in the capital of the company and one-half of one common share purchase warrant, at five cents per unit for the first 12 months from date of issuance and, thereafter, convertible at a conversion price of 10 cents until the maturity date (as defined below)

Maturity date:  three years from the date of issuance

Warrants:  Each warrant will allow the holder to purchase one common share of the company at an exercise price of 10 cents until the maturity date

Interest rate:  10 per cent per annum, accruing quarterly and payable annually in arrears

Additional terms:  Each subscriber was entitled to receive a 0.01-per-cent royalty interest on the company's annual gross production from future well assets on the Austin Chalk formation to be acquired for every $10,000 in principal amount of convertible debentures subscribed for under the offering. An aggregate of 0.70 per cent of royalty interests was issued under the offering to non-insiders.

Number of placees:  seven placees

Total existing insider involvement:  $300,000 (one insider)

The company issued a news release on April 20, 2023, confirming the closing of the private placement. Note that in certain circumstances the exchange may later extend the expiry date of the warrants, if they are less than the maximum permitted term.