CANADA CARBON CLOSES PRIVATE PLACEMENT OF FLOW-THROUGH

NOT FOR DISSEMINATION IN THE US OR THROUGH US NEWSWIRE SERVICES

Toronto, ON, Canada, Oct. 03, 2022 (GLOBE NEWSWIRE) —

Canada Carbon Inc. (the “Company“) (TSX-V: CCB) is pleased to announce the closing of a non-brokered private placement of 13,333,300 units (each, a “Unit”) at a price of $0.06 per Unit for aggregate gross proceeds of approximately $800,000 (the “Offering”). Each Unit is comprised of one flow-through share (each, a “FT Share”) in the capital of the Company and one-half (1/2) of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each Warrant shall entitle the holder thereof to acquire one common share in the capital of the Company (each, a “Common Share”) at a price of $0.10 per Common Share for a period of 24 months from the date of issuance. The FT Shares will qualify as “flow-through shares” within the meaning of the Income Tax Act (Canada).

“Canada Carbon continues its focus on the development of its full portfolio of assets. The proceeds of this raise will allow the Company to commence a full program of exploration activity on its Asbury Deposit. We have submitted applications for the requisite permits to commence a trenching and drilling program at Asbury. We anticipate completing these efforts by December 31^st, 2022, and are targeting completion of a resource statement in the first half of 2023.”, said Ellerton Castor, Chief Executive Officer and a director of the Company.

All securities issued pursuant to the Offering are subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. The proceeds from the Offering will be used by the Company for eligible flow-through expenditures. The closing of the Offering is subject to final approval of the TSX Venture Exchange.

In connection with the Offering, the Company paid a finder’s fee to GloRes Securities Inc., consisting of: (i) a cash fee equal…