Mr. Lucas Birdsall reports

CASTLEBAR CAPITAL CORP. EXECUTES AGREEMENT RESPECTING PROPOSED QUALIFYING TRANSACTION

Castlebar Capital Corp. has entered into a definitive agreement respecting the company's previously announced proposed transaction respecting the Southern Spectrum mineral property in British Columbia (see Castlebar's press release dated Dec. 11, 2020). Castlebar has now entered into a sale, assignment, assumption and amending agreement dated Jan. 22, 2021, with 1162832 B.C. Ltd., and Christopher R. Paul and Michael A. Blady (collectively, the optionor), pursuant to which Castlebar will assume all of 1162832's right, title and interest, as optionee, in and to a property option agreement dated Jan. 10, 2019, as amended Sept. 10, 2020, respecting the property.

Pursuant to the definitive agreement, as consideration for the assignment of the option agreement by 1162832 to Castlebar, Castlebar: (a) has paid $10,000 to 1162832 as a non-refundable deposit; (b) will issue 500,000 common shares of Castlebar to 1162832 on the closing date of the transaction; and (c) will issue an additional one million Castlebar shares to 1162832 on the date that is six months from the closing date. The definitive agreement will also amend the option agreement, which will provide Castlebar with the right to earn a 100-per-cent interest in the property (subject to a 3-per-cent net smelter returns royalty in favour of the optionor) on the terms described in Castlebar's Dec. 11, 2020, press release.

The transaction is subject to completion of certain conditions precedent, including without limitation: the preparation and filing of a filing statement with the TSX Venture Exchange; completion by Castlebar of a private placement for gross proceeds of no less than $500,000; and receipt of all necessary regulatory and exchange approvals.

The transaction is intended to qualify as Castlebar's qualifying transaction as defined by Policy 2.4 of the exchange. Following closing, the resulting issuer will be a mining issuer under the policies of the exchange. Trading of the common shares of Castlebar will remain halted in connection with the dissemination of this press release and will recommence at such time as the exchange may determine, having regard to the completion of certain requirements pursuant to Exchange Policy 2.4. Further details of the proposed transaction will follow in future press releases.

About Castlebar Capital Corp.

Castlebar is a capital pool company in accordance with Exchange Policy 2.4, and its principal business is the identification and evaluation of assets or businesses with a view to completing a qualifying transaction.

We seek Safe Harbor.