Mr. Brian Stecyk reports

PEDRO RESOURCES LTD. ANNOUNCES CLOSING OF PRIVATE PLACEMENT OF DEBENTURES

Pedro Resources Ltd., further to its news releases dated July 14, 2023, and Sept. 14, 2023, has closed its non-brokered private placement of convertible debentures through the issuance of $725,000 principal amount of convertible debentures of the company.

The debentures bear interest at a rate of 7.2 per cent per annum. The debentures will mature on the date that is 36 months from the closing of the offering. The debentures are convertible into common shares in the capital of the company at a price of five cents per common share, in whole or in part, at the option of the holder at any time prior to the maturity date.

All securities issued in connection with the offering are subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. There were no finders' fees or commissions paid in connection with the offering. The issuance of the debentures cleans, improves and simplifies the company's balance sheet.

Early warning report

Pursuant to National Instrument 62-103, The Early Warning System and Related Take-Over Bids and Insider Reporting Issues, the company further announces the filing of an early warning report for Jack Purdy. Mr. Purdy acquired an aggregate of $725,000 of debentures in the context of the offering. Prior to the completion of the acquisition, Mr. Purdy beneficially owned and controlled, directly or indirectly, an aggregate of 2,782,000 common shares, representing approximately 8.54 per cent of the company's issued and outstanding common shares on an undiluted and partially diluted basis.

Following the completion of the acquisition, Mr. Purdy beneficially owns and controls an aggregate of 2,782,000 common shares and $725,000 of debentures, representing approximately 8.54 per cent of the company's issued and outstanding common shares on an undiluted basis and approximately 36.71 per cent on a partially diluted basis.

The acquisition was completed for investment purposes. Mr. Purdy may, depending on market and other conditions, or as future circumstances may dictate, from time to time, on an individual or joint basis, increase or dispose of some or all of the existing or additional securities he holds or will hold or may continue to hold. In the future, Mr. Purdy will evaluate his investment in the company from time to time and may, based on such evaluation and the market conditions and other circumstances, increase or decrease his securityholdings through market transactions, private agreements or otherwise.

About Pedro Resources Ltd.

Pedro Resources is a Canadian exploration company listed on the Canadian Securities Exchange focused on mineral exploration and development.

We seek Safe Harbor.