Mr. Andrew Dinning reports

SARAMA COMPLETES TRANCHE 2 OPTIONS PLACEMENT

Sarama Resources Ltd., on Feb. 11, 2025, completed the final tranche of the previously announced $2-million (Australian) equity placement (refer to Sarama's news releases dated Nov. 21, 2024, and Nov. 29, 2024).

The second and final tranche of the placement consisted of 16,666,666 free attaching unlisted options and 14 million broker options, with each option exercisable at nine Australian cents and expiring on Nov. 30, 2028. The issuance of the tranche 2 options was subject to shareholder approval, which was obtained at the special meeting held on Feb. 4, 2025.

The first tranche of the placement, completed on Nov. 29, 2024, raised aggregate gross proceeds of $2-million (Australian) with the company, issuing 66,666,666 CDIs (CHESS depository interests) at an issue price of three Australian cents per CDI.

Tranche 2 of the placement was issued to institutional and other sophisticated and professional investors upon receipt of shareholder approval, as required by the Australian Securities Exchange listing rules, at the meeting. An appendix 3G was announced to the ASX on Feb. 11, 2025, and provides further detail on the issue of tranche 2.

Members of Sarama's board and management have not subscribed for any CDIs in the placement.

Funds raised from the placement will be used for exploration activities, for general working capital purposes, and for general and administration costs. None of the proceeds from the placement will be used for payments to non-arm's-length parties or persons conducting investor relations activities.

No finders' fees were paid in connection with tranche 2 of the placement. The placement remains subject to the final approval of the TSX Venture Exchange. The CDIs issued under the placement are not subject to any hold periods as all subscribers under the placement were located outside of Canada.

We seek Safe Harbor.