Mr. Aleksandar Miskovic reports

TERRA BALCANICA CLOSES FIRST TRANCHE OF PRIVATE PLACEMENT FINANCING

Terra Balcanica Resources Corp. has closed the first tranche of the non-brokered private placement financing of common shares.

The company issued an aggregate of 4,105,000 shares at a price of four cents per share for gross proceeds of $164,200 pursuant to the offering announced on Dec. 1, 2023. The private placement will be utilized for opportunities in the critical battery metal exploration space in the western Balkans.

Giulio Bonifacio, chair of the board of directors, purchased 815,000 shares as part of the offering. The issuance of the shares to the insider constitutes a related party transaction as this term is defined in Multilateral Instrument 61-101, Protection of Minority Securityholders in Special Transactions. The company is relying on the exemption from valuation requirement and minority approval pursuant to subsections 5.5(a) and 5.7(a) of MI 61-101, respectively, as the securities do not represent more than 25 per cent of the company's market capitalization, as determined in accordance with MI 61-101. The participation by the insider in the offering was approved by directors of the company who are independent in connection with such transactions.

Pursuant to applicable Canadian securities laws, all securities issued and issuable in connection with the closing of the private placement will be subject to a four-month hold period ending April 16, 2024.

About Terra Balcanica Resources Corp.

Terra Balcanica is a polymetallic exploration company targeting large-scale mineral systems in the Balkans of southeastern Europe. The company has a 90-per-cent interest in the Viogor-Zanik project in eastern Bosnia and Herzegovina, and 100 per cent of the Kaludra and Ceovishte mineral exploration licences in southern Serbia. The company emphasizes responsible engagement with local communities and stakeholders. It is committed to pro-actively implementing good international industry practice (GIIP), and sustainable health, safety and environmental management.

We seek Safe Harbor.