Mr. Spiro Kletas reports

ROYAL HELIUM LTD. ANNOUNCES ELECTION TO ISSUE COMMON SHARES IN SATISFACTION OF CONVERTIBLE DEBENTURE INTEREST PAYMENT OBLIGATION

In accordance with the terms of the two separate debenture indentures entered into between Royal Helium Ltd. and Computershare Trust Company of Canada (the trustee) dated Feb. 8, 2023, and dated June 12, 2023, it has elected to issue an aggregate of 3,938,120 common shares in the capital of the company to the holders of the 14.0 per cent senior unsecured convertible debentures due Dec. 31, 2025 (the 14-per-cent debentures), and the holders of the 12.0 per cent senior unsecured convertible debentures due June 30, 2025, as payment for the satisfaction of the interest payment of $70.00 for each $1,000 principal amount of 14-per-cent debentures and the interest payment of $66.41 for each $1,000 principal amount of 12-per-cent debentures.

Pursuant to the debenture indentures, the company shall have the right, from time to time (including following conversion, at the time of redemption or at the time of maturity), to make a common share interest payment election in respect of any interest obligation under the debenture indentures by delivering a notice to the trustee no later than the earlier of: (i) the date required by applicable law or the rules of any stock exchange on which the convertible debentures or common shares are then listed; and (ii) the day which is 15 business days prior to the interest payment date to which the common share interest payment election relates. The notice shall provide that all or a portion of such interest obligation may be paid by the company in common shares by the delivery of common shares, as provided in the debenture indenture, in an amount equal to: (A) the amount of interest payable pursuant to such interest obligation divided by (B) the VWAP (volume-weighted average price) of the common shares for two trading days immediately prior to, and the two trading days immediately following delivery of the notice.

The issuance of the common shares as payment for interest owing on the convertible debentures will be subject to the terms and conditions of the debenture indentures as well as the receipt of all requisite approvals, including, without limitation, the approval of the TSX Venture Exchange.

About Royal Helium Ltd.

Royal Helium is an exploration, production and infrastructure company with a primary focus on the development and production of helium and associated gases. The company controls over one million acres of prospective helium permits and leases across southern Saskatchewan and southeastern Alberta. Given the current and foreseeable global undersupplied nature of this critical and non-renewable product, Royal is well positioned to be a leading North American producer of this increasingly high-value commodity.

Royal Helium's helium reservoirs are carried primarily with nitrogen. Nitrogen is not considered a greenhouse gas (GHG) and therefore the plant has a low GHG footprint when compared with plants in other jurisdictions that rely on large-scale natural gas production for helium extraction. Helium extracted from wells in Saskatchewan and Alberta can be up to 90 per cent less carbon intensive than helium extraction processes in other jurisdictions.

We seek Safe Harbor.