Mr. Jon Ward reports

GK RESOURCES ANNOUNCES CLOSING OF SHARES FOR DEBT TRANSACTION

GK Resources Ltd. has closed its debt settlement transaction, settling an aggregate amount of $199,141.61 of debt, previously announced on Aug. 19, 2024, through the issuance of 4,425,368 common shares at a price of 4.5 cents per common share.

All securities issued in connection with the debt settlement transaction will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation in Canada.

Certain insiders of the company were issued an aggregate of 2,292,022 common shares pursuant to the debt settlement transaction. Accordingly, the issuance of such common shares to the insiders pursuant to the debt settlement transaction constitutes a related party transaction as such term is defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company intends to rely on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(a) of MI 61-101.

We seek Safe Harbor.