Mr. Mark Jarvis reports

SHOAL POINT ENERGY ANNOUNCES CLOSING OF PRIVATE PLACEMENT

Shoal Point Energy Ltd. has closed its previously announced (Feb. 15, 2024) non-brokered private placement. A total of 6,176,870 units were placed for total gross proceeds of $308,844.

Each unit, priced at five cents per unit, consisted of one share and one share purchase warrant. Each full warrant is exercisable at a strike price of seven cents with an expiry on the third anniversary of the date of closing of the transaction. These proceeds will be used for general working capital.

A finder's fee of $3,750 and 75,000 finder's warrants were paid for a portion of the placement.

Two directors of the company are subscribers for ynits in the private placement and, as such, those directors' portions constitute a related party transaction under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. Their participation in the private placement is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 because the fair market value of the subject matter of the transaction does not exceed 25 per cent of the company's market capitalization.