Mr. Tim Gallagher reports

ROYALTIES INC. ANNOUNCES FINANCING AND STOCK OPTION EXERCISE

Royalties Inc. has arranged a non-brokered private placement of $94,000 at five cents per share for 1.88 million shares, and holders have exercised 1.35 million in stock options at six cents per share for proceeds of $81,000. The total of $175,000 in funds will be used to acquire a fifth cash flowing music royalty catalogue. In 2023, Royalties has acquired three cash flowing song catalogues, including Apple Alert Tones, a music producer and songwriter's interest in the publishing and public performance royalties of songs performed by artists including Britney Spears, Joe, Michael Jackson and R. Kelly, and a songwriter's public performance royalties of songs performed by artists including Backstreet Boys and Marshmello. The strategic investment in Music Royalties Inc. has generated $45,000 in dividend income since October, 2022.

About Royalties Inc.

Royalties has a 2-per-cent stake in Music Royalties Inc., a Canadian-based private company that acquires passive music royalties from rights holders (including but not limited to artists, producers and songwriters) and currently holds a portfolio of approximately 26 cash flowing music royalties. MRI is currently paying a monthly dividend generating a 6-per-cent annual yield.

Royalties owns a 100-per-cent interest, subject to a 1.5-per-cent net smelter royalty repurchased in July, 2019, on the Bilbao silver-lead-zinc-copper project located in the southeastern part of the state of Zacatecas, Mexico.

Royalties owns 88 per cent of the outstanding shares of Minera Portree de Zacatecas SA de CV, which holds an asserted claim to a 2-per-cent net smelter royalty on six mining concessions located adjacent to the Cozamin mine operated by Capstone Mining Corp., which claim is challenged by Capstone.

We seek Safe Harbor.