An anonymous director reports

PRAIRIESKY RECEIVES TSX APPROVAL FOR RENEWED NORMAL COURSE ISSUER BID

The Toronto Stock Exchange has accepted the notice of PrairieSky Royalty Ltd.'s intention to commence a normal course issuer bid (NCIB).

On April 18, 2022, PrairieSky announced its intention to seek TSX approval to renew its NCIB for an additional one-year period. The NCIB allows the company to purchase up to 16,963,000 common shares, which represents 7.1 per cent of the common shares outstanding of 238,802,700 as of May 12, 2022, and 10 per cent of the public float of 169,635,168 common shares, which is defined as the common shares outstanding after excluding common shares beneficially owned by directors and executive officers of PrairieSky and persons who beneficially own or exercise control or direction over more than 10 per cent of the issued and outstanding common shares of PrairieSky. The NCIB will commence on May 26, 2022, and will expire no later than May 25, 2023.

Under the NCIB, common shares may be repurchased in open market transactions on the TSX and/or other Canadian alternative trading platforms. In accordance with the rules of the TSX governing normal course issuer bids, the total number of common shares the company is permitted to purchase is subject to a daily purchase limit of 154,372 common shares, representing 25 per cent of the average daily trading volume of common shares on the TSX calculated for the six-month period ended April 30, 2022, being approximately 617,488 common shares. However, the company may make one block purchase per calendar week which exceeds the daily repurchase restriction. Any common shares that are purchased under the NCIB will be cancelled upon their purchase by PrairieSky.

PrairieSky currently intends to purchase up to a maximum of 16,963,000 common shares to effect NCIB purchases over the next 12 months through its broker, BMO Nesbitt Burns Inc. However, the company's board of directors may consider, from time to time, applying to the TSX to increase the amount of NCIB purchases. Decisions regarding increases to the NCIB will be based on market conditions, share price, best use of available cash and other factors, including other options to expand its portfolio of royalty assets. PrairieSky previously purchased an aggregate of 809,700 common shares at a weighted average price per share of $13.90 under a normal course issuer bid that ran between May 25, 2021, and May 24, 2022.

About PrairieSky Royalty Ltd.

PrairieSky is a royalty-focused company, generating royalty revenues as petroleum and natural gas are produced from its properties. PrairieSky has a diverse portfolio of properties that have a long history of generating finances from operations and that represent the largest and most concentrated independently owned fee simple mineral title position in Canada.