Mr. William Hessert reports

BLUSKY CARBON ANNOUNCES CLOSING OF CONVERTIBLE DEBENTURE FINANCING AND UNIT OFFERING

BluSky Carbon Inc. has closed the previously announced (see news releases dated Feb. 11, 2025, and Feb. 14, 2025) non-brokered private placement of convertible debentures of the company at a price of $1,000 per convertible debenture unit, for gross proceeds of $750,000. Each convertible debenture unit consists of (i) a $1,000 principal amount convertible debenture and (ii) 4,761.9 common share purchase warrants of the company, with each whole warrant entitling the holder to acquire one common share of the company at a price of 30 cents for a period of yeo years following the closing of the offering. The convertible debentures will mature 18 months from the closing date and will bear interest at a rate of 12.0 per cent per annum. Each convertible debenture will be convertible, in whole or in part, at any time while any principal or interest remains outstanding, into common shares, at the option of the holder, at a price of 21 cents per common share. The convertible debenture units and underlying securities are subject to a hold period of four months and one day pursuant to applicable securities laws.

The company also announces that it has completed its previously announced (see news release dated Feb. 11, 2025) non-brokered private placement offering, issuing 1.11 million units, at a price of 20 cents per unit, for gross proceeds of $222,000. Each unit comprised one common share and one common share purchase warrant, with each unit offering warrant exercisable for one common share at a price of 30 cents for a period of 24 months. The units and underlying securities are subject to a hold period of four months and one day pursuant to applicable securities laws.

The net proceeds received by the company from the offerings are intended to be used for the continuing development of the company's business model and for general working capital purposes.

We seek Safe Harbor.