Mr. David Atkinson reports

EARTHWORKS CLOSES PRIVATE PLACEMENT OF 4.5 MILLION UNITS

Earthworks Industries Inc. has closed a non-brokered private placement of 4.5 million units for a price of 20 cents per unit. Each unit consists of one common share and one share purchase warrant. Each warrant is exercisable to purchase one additional common share at a price of 40 cents during the period ending May 18, 2024. The placements were originally announced in a news release dated May 15, 2023.

The company received from the placement gross proceeds of $900,000. All shares included in the units and any shares issued as a result of exercise of the warrants will be subject to a non-trading hold period expiring Sept. 18, 2023.

Proceeds of the placement will be applied to pay continuing costs of the company's Cortina project, outstanding accounts payable and for general working capital. As the placements were non-brokered, the company is not obliged to pay any brokerage or finders' fees with respect to the placement.