Mr. David Atkinson reports

CORTINA UPDATE

Earthworks Industries Inc. and its subsidiary, Cortina Integrated Waste Management Inc., and North Bay Corp. and its subsidiary, CLC, have agreed to an amended debt settlement agreement, dated Oct. 10, 2023, extending the buyout payment date from Oct. 23, 2023, to April 15, 2024. North Bay and Earthworks have agreed to amend the settlement agreement as follows:

1. $500,000 (U.S.) will be settled by the issuance by Earthworks to North Bay of 3,335,000 units, which will be at a deemed value of 15 U.S. cents or 20 cents per unit (for a total of $667,000); each unit will consist of one fully paid voting common share in the capital of Earthworks and a share purchase warrant, with each warrant being exercisable until Oct. 30, 2025, to purchase one fully paid voting common share of Earthworks for 40 cents;
2. The $2.15-million (U.S.) buyout payment date is extended and will be payable April 15, 2024;
3. Interest will accrue at 10 per cent per annum on the total principal and accrued interest outstanding of approximately $6-million (U.S.) from the date of the amendment for six months and will be payable on April 15, 2024;
4. Earthworks will also pay to North Bay a fee for the extension of the buyout option payment date, equal to 25 per cent of the net proceeds of the next financing done by Earthworks; this amendment agreement is subject to it being accepted for filing by the TSX Venture Exchange by Nov. 30, 2023.