Mr. Joseph Kizis reports

EQUITY METALS ANNOUNCES NON-BROKERED PRIVATE PLACEMENT

Equity Metals Corp. proposes to undertake a non-brokered private placement of securities to raise total gross proceeds of up to $1.7-million.

Offering

The 13,928,572-unit offering consists of:

• Five million non-flow-through units to be sold at a price of 10 cents per NFT unit for gross proceeds of $500,000;
• 4,166,667 flow-through units to be sold at a price of 12 cents per FT unit for gross proceeds of $500,000;
• 4,761,905 charitable flow-through units to be sold at a price of 14.7 cents per CFT unit for gross proceeds of $700,000.

The company will make provision for an overallotment option (greenshoe) to allow a purchase of up to 10 per cent additional units beyond the number of units in this offering.

Unit details

Each NFT unit will consist of one non-flow-through common share and one transferable share purchase warrant. Each FT unit and CFT unit will consist of one flow-through common share and one warrant. Each warrant will entitle the holder thereof to purchase one non-flow-through common share for a period of three years at a price of 15 cents.

Use of proceeds

The gross proceeds received from the sale of the FT units and CFT units will be used for work programs on the company's Silver Queen gold-silver exploration property in British Columbia. The net proceeds received from the sale of the NFT units will be used for general working capital.

Finders' fees and hold period

The company may pay finders' fees consisting of cash and non-transferable warrants in connection with the offering, subject to compliance with the policies of the TSX Venture Exchange. All securities issued and sold under the offering will be subject to a hold period expiring four months and one day from their date of issuance. Completion of the offering and the payment of any finders' fees remain subject to the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange.

About Silver Queen project

The Silver Queen project is a premier gold-silver property with over 100 years of historical exploration and development and is located adjacent to power, roads and rail with significant mining infrastructure that was developed under previous operators Bradina JV (Bralorne Mines) and Houston Metals Corp. (a Hunt Brothers company). The property contains two historical declines into the No. 3 vein, camp infrastructure and a maintained tailings facility.

The Silver Queen property consists of 45 mineral claims, 17 Crown grants and two surface Crown grants totalling 18,852 hectares with no underlying royalties. Mineralization is hosted by a series of epithermal veins distributed over a six-square-kilometre area.

On Dec. 1, 2022, the company reported an independently estimated mineral resource estimate (MRE) for Silver Queen which increased an earlier MRE, initially reported on July 16, 2019, by over 187 per cent in the indicated category and by over 30 per cent in the inferred category on a silver equivalent basis with approximately 74 per cent of the new MRE classified as indicated resources. The company has expended $6.75-million on exploration of the Silver Queen project since 2019, resulting in a very low discovery cost of 15 cents per ounce of added AgEq or $11/oz of added AuEq. The MRE remains open for additional delineation west of the Camp target and within the Sveinson target. In addition, there are several targets that have only been tested by a few drill holes and remain very attractive areas for new discoveries and an MRE increase.

About Equity Metals Corp.

Equity Metals is a Manex Resource Group company. Manex provides exploration, administration and corporate development services for Equity Metals' two major mineral properties, the Silver Queen gold-silver-zinc-copper project, located in central B.C., and the Monument diamond project, located in Lac De Gras, NWT. The company also has a 1-per-cent royalty (Greenwood royalty) and a 100-per-cent working interest in the La Ronge silica project.

The company owns 100-per-cent interest, with no underlying royalty, in the Silver Queen project, located along the Skeena arch in the Omineca mining division, British Columbia. The property hosts high-grade, precious and base metal veins related to a buried porphyry system, which has been only partially delineated. The company also has a controlling joint venture interest in the Monument diamond project, Northwest Territories, strategically located in the Lac De Gras district within 40 km of both the Ekati and Diavik diamond mines. The project owners are Equity Metals (57.49 per cent), Chris and Jeanne Jennings (22.11 per cent), and Archon Minerals Ltd. (20.4 per cent). Equity Metals is the operator of the project.

The 100-per-cent-controlled La Ronge silica project is a historic sand quarry located in central Saskatchewan, approximately 60 kilometres south-southeast of La Ronge, Sask., and 210 kilometres west of Flin Flon, Man. Preliminary studies indicate the silica deposit may be developed into a simple and profitable, low-cost mining and washing operation to produce high-purity silica (over 98 per cent silicon dioxide), a specialty product for the electric vehicle battery industry.

Robert Macdonald, MSc, PGeo, is vice-president, exploration, of Equity Metals and a qualified person as defined by National Instrument 43-101. He is responsible for the supervision of the exploration on the Silver Queen project and for the preparation of the technical information in this disclosure.

We seek Safe Harbor.