Mr. Justin Cochrane reports

CARBON STREAMING ANNOUNCES UPDATE ON THE STATUS OF THE RIMBA RAYA VERRA ACCOUNT AND CONCESSION LICENSE

Carbon Streaming Corp. is updating on the status of the Rimba Raya project's Verra account and its forest utilization business licence.

On May 17, 2024, Verra temporarily suspended InfiniteEARTH Ltd. and its Indonesian subsidiary PT InfiniteEARTH Nusantara, the project proponent of the Rimba Raya project, registry account for the Rimba Raya project. Verra has written to InfiniteEARTH, with which the company had previously entered into the carbon credit streaming agreement covering the Rimba Raya project, to seek clarification on several matters, including the revocation of the concession licence by the Indonesian government's Ministry of Environment and Forestry (the MOEF), and the status of InfiniteEARTH's role in the Rimba Raya project and its relationship with PT Rimba Raya Conservation, the local concession holder for the Rimba Raya project. InfiniteEARTH was given seven days to respond, after which Verra will determine whether any further action is required under its program rules and requirements.

On May 16, 2024, the State Administrative Court of Jakarta issued an interlocutory decision for the MOEF to suspend the implementation of the MOEF decree in respect of the revocation of the concession licence. This suspension will allow activities at the Rimba Raya project to resume until a final and binding decision on the revocation of the concession licence.

As previously announced, a final decision from the State Administrative Court of Jakarta is currently anticipated during June, 2024 (which decision is subject to potential appeal by the parties). If the parties appeal the decision, the suspension would remain in place during the appeal process until there is a final and binding decision that has permanent legal force, unless there is another stipulation from the court that states otherwise. As a result, the duration of the suspension is unknown at this time.

For the company's most recently completed financial period, the three-month quarter ended March 31, 2024, the company determined the fair value of the Rimba Raya stream to be nil due to the concession licence revocation. The company will re-evaluate the fair value of the Rimba Raya stream in the event there is a change in the facts and circumstances surrounding the Rimba Raya project, the revocation of the concession licence and the Indonesian national carbon emission regulations. The company is continuing to evaluate all legal avenues to protect its investment in the Rimba Raya project and to strictly enforce its legal and contractual rights under the Rimba Raya stream. In addition, Carbon Streaming will also continue to work closely with InfiniteEARTH on its active engagement with its local partners, the MOEF and the Indonesian government, to attempt to preserve the continuity of the Rimba Raya project.

For a comprehensive discussion regarding the risks, assumptions and uncertainties that could further impact the Rimba Raya project and the Rimba Raya stream, including, without limitation, concerning the legal status of the concession licence and the company's Rimba Raya stream, investors are urged to review the section of the company's management's discussion and analysis for the three months ended March 31, 2024, dated as of May 15, 2024, entitled "Strategy and Outlook - Indonesia Update," the section of the company's annual information form dated as of March 27, 2024, entitled "Risk Factors" and the press releases dated April 26, 2024, and May 15, 2024, copies of which are available on SEDAR+.

About Carbon Streaming Corp.

Carbon Streaming aims to accelerate a net-zero future. The company pioneered the use of streaming transactions, a proven and flexible funding model, to scale high-integrity carbon credit projects to advance global climate action and additional United Nations Sustainable Development Goals. This approach aligns the company's strategic interests with those of project partners to create long-term relationships built on a shared commitment to sustainability and accountability and positions Carbon Streaming as a trusted source for buyers seeking high-quality carbon credits.

The company's focus is on projects that have a positive impact on the environment, local communities and biodiversity, in addition to their carbon reduction or removal potential. The company has carbon credit streams and royalties related to over 20 projects around the world, including high-integrity removal, reduction and avoidance projects from nature-based, agricultural, engineered and community-based methodologies.

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