Mr. Jason Mercier reports

PAN GLOBAL COMPLETES UPSIZED $6 MILLION PRIVATE PLACEMENT FINANCING

Pan Global Resources Inc. has closed its upsized $6-million non-brokered private placement financing.

The company announced on Oct. 4, 2023, that it had arranged a non-brokered private placement financing of up to 10 million units of securities at a price of 20 cents per unit for aggregate gross proceeds of up to $2-million. On Oct. 19, 2023, the company advised it would issue up to 30 million units for aggregate gross proceeds of up to $6-million in an upsized offering. Each unit comprised one common share and one non-transferable common share purchase warrant, with each whole warrant entitling the holder to purchase one additional common share at a price of 30 cents for a period of three years from closing of the offering, subject to acceleration of the expiry date of the term.

A total of 30.35 million units were issued upon the close of this offering, for gross proceeds of $6.07-million.

The securities issued pursuant to this private placement are subject to a four-month hold period in Canada and will be subject to United States resale restrictions under U.S. securities laws. Finders' fees were paid on a portion of the offering.

Two officers and one director of the company subscribed for and were issued an aggregate of 776,280 units under the offering. These subscriptions each constituted a related party transaction within the meaning of Multilateral Instrument 61-101 -- Protection of Minority Shareholders in Special Transactions.

The issuance of the units to the related parties was exempt from the valuation requirement of MI 61-101 under the exemption in Section 5.5(b) of MI 61-101 in that the company's shares are not listed on a specified market, and was also exempt from the minority shareholder approval requirements of MI 61-101 under the exemption in Section 5.7(a) of MI 61-101 in that the fair market value of the consideration for the securities issued to the related parties did not exceed 25 per cent of the company market capitalization.

About Pan Global Resources Inc.

Pan Global Resources is actively targeting copper-rich mineral deposits, given copper's compelling supply-demand fundamentals and outlook for strong long-term prices as a critical metal for global electrification and energy transition. The company's flagship Escacena project is located in the prolific Iberian pyrite belt in southern Spain, where infrastructure, mining and professional expertise, and support for copper as a strategic raw material by the European Commission collectively define a Tier 1 jurisdiction for mining investment. The Pan Global team comprises proven talent in exploration, development and mine operations -- all of which are committed to operating safely and with utmost respect for the environment and the company's partnered communities.

We seek Safe Harbor.