Mr. James Nelson reports

CORPORATE UPDATE

Cruz Battery Metals Corp. intends to complete a consolidation of its issued and outstanding common shares on the basis of one new share for every 10 currently outstanding shares. The company also announces it intends to change its name in connection with the proposed consolidation. There will be no change to the trading symbol CRUZ.

Completion of the consolidation and name change is subject to approval by the Canadian Securities Exchange. The effective date of the consolidation and name change will be announced in a subsequent news release.

It is anticipated that the consolidation will reduce the number of outstanding shares from 193,637,719 shares to approximately 19,363,772 postconsolidated shares, subject to adjustment for rounding. The board of directors of the company believes that the consolidation of the shares will both enhance the marketability of the company as an investment and better position the company to raise funds necessary to execute the company's business plan.

No fractional postconsolidated shares will be issued as a result of the consolidation. As required under the Business Corporations Act (British Columbia), any fractional shares remaining after the consolidation that are less than one-half of a share will be cancelled, and any fractional shares that are at least one-half of a share will be rounded up to one whole share.

The exercise price and number of shares of the company, issuable upon the exercise of outstanding warrants, will be proportionally adjusted upon the implementation of the proposed consolidation in accordance with the terms thereof.

We seek Safe Harbor.