Margaret Lake to reprice 1.66 million warrants

Mr. R. Nick Horsley reports MARGARET LAKE ANNOUNCES WARRANT REPRICING Margaret Lake Diamonds Inc. intends to reprice 1,665,000 of the company's outstanding share purchase warrants, which were issued pursuant to a non-brokered private placement that closed on Feb. 14, 2023. In connection with the financing, an aggregate of 20 million share purchase warrants were issued by the company, each with an exercise price of five cents expiring on Feb. 14, 2026, and subject to an acceleration clause. If the closing market price of the company's common shares on the TSX Venture Exchange is equal to or greater than 7.5 cents per common share for a period of 10 consecutive trading days, then the share purchase warrants must be exercised within 30 calendar days upon notice provided by the company by way of a news release. The warrants were subsequently consolidated on a one-for-10 basis on June 16, 2023, and resulted in the company having two million outstanding warrants at an exercise price of 50 cents expiring on Feb. 14, 2026. Directors and officers of the company currently hold an aggregate of 535,000 of the warrants. Pursuant to the policies of the TSX Venture Exchange, if directors and officers of the company hold more than 10 per cent of the number of outstanding warrants, their warrants must only be repriced on a pro rata basis. Accordingly, an aggregate of 200,000 of the warrants held by directors and officers of the company will be repriced, resulting in the repricing of a total of 1,665,000 of the outstanding warrants. The company intends to amend the 1,665,000 warrants to have an exercise price of 20 cents per warrant with an acceleration clause. If the closing market price of the company's common shares on the TSX-V is equal to or greater than 25 cents per common share for a period of 10 consecutive trading days, then the warrants must be exercised within 30 calendar days upon notice provided by the company by way of a news release. All other terms of the warrants will remain unchanged. The proposed amendments are subject to the approval of the TSX-V. This change has been authorized and approved by the board of directors. We seek Safe Harbor.