EDM ANNOUNCES CLOSING OF ITS $2M NON-BROKERED PRIVATE PLACEMENT

Halifax, Nova Scotia, May 2, 2023 – EDM Resources Inc. (TSX-V: EDM) (“EDM” or the “Company”) is pleased to announce the closing of its previously announced upsized non-brokered hard dollar and flow-though private placement financing for aggregate gross proceeds of C$2,036,100 (the “Offering”).

The President and CEO, Mr. Mark Haywood, stated: “Zinc is the fourth most consumed metal in the world and plays a key role in the energy transition as the backbone of clean energy alternatives, including wind turbines and solar panels, so our 100% owned operation in Nova Scotia fits in perfectly with the critical minerals drive of being a near-term Canadian producer.

Due to strong demand for our equity financing, we upsized the Offering by almost 25%. Consequently, EDM is in a very strong position to advance our Scotia Mine Zinc-Lead-Gypsum operation to commercial production, with geotechnical and final operational approvals expected to be completed over the next 6 months, and the start-up of mining operations planned for late Q4 2023.

We are also advancing exploration field work on our mineral prospects adjacent to the Scotia Mine deposit which have the potential of adding additional mineralization to our resource base at the Scotia Mine.”

The hard dollar component of the Offering consisted of 3,772,200 units (“HD Units”) of the Company (the “Hard Dollar Offering”), at a price of C$0.50 per HD Unit for gross proceeds of C$1,886,100, each HD Unit consisting of one common share of the Company (each an “HD Share”) and one share purchase warrant entitling the holder to purchase one common share of the Company (each an “HD Warrant Share”) at a price of C$0.75 for each HD Warrant Share, until May 2, 2026. The Company will use the net proceeds from the Hard Dollar Offering to advance geotechnical and environmental bonding work at its wholly owned Scotia Mine, located 60 km north of Halifax (the “Scotia Mine”), to pay deposits for critical long-lead time equipment required to commence mining operations at the Scotia Mine, and for general working capital purposes.

The flow-through component of the Offering consisted of 250,000 flow-through units (“FT Units”) of the Company (the “Flow-Through Offering”), at a price of C$0.60 per FT Unit, for gross proceeds of C$150,000, with each FT Unit consisting of one common share of the Company (each an “FT Share”) and one half of one share purchase warrant entitling the holder to purchase one common share of the Company (each an “FT Warrant Share”) at a price of C$0.75 for each FT Warrant Share, until May 2, 2026. The Company will use the gross proceeds from the Flow-Through Offering to conduct exploration work on its mineral properties qualifying as Canadian Exploration Expenditures, as such term is defined in the Income Tax Act (Canada).

Certain directors, officers and other insiders of the Company (collectively the “Insiders”) have acquired a total of 650,000 Units in the Offering. The participation of Insiders constitutes a "related party transaction", as such term is defined in Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions and Companion ("MI 61-101"). The Company is relying on exemptions from the formal valuation and minority shareholder approval requirements provided under MI 61-101 on the basis that the participation by Insiders does not exceed 25% of the fair market value of the Company’s market capitalization.

In connection with the Offering, the Company has paid C$95,277 in cash compensation and issued 144,774 finder’s warrants (the “Broker Warrants”) to eligible finders for their assistance with the Offering. Each Broker Warrant is exercisable into a Common Share until May 2, 2026.

Subject to compliance with applicable regulatory requirements and in accordance with National Instrument 45-106 - Prospectus Exemptions ("NI 45-106"), the securities were offered for sale to purchasers resident in Canada pursuant to the listed issuer financing exemption under Part 5A of NI 45-106 (the "LIFE Exemption"), which securities are not subject to a hold period pursuant to applicable Canadian securities laws, except for the securities issued to directors, officers, promoters, consultants, insiders and other persons whose shares will be subject to the hold period required by the Policies of the Exchange which expires September 3, 2023. In connection with the LIFE Exemption, the Company filed an offering document dated April 20, 2023 on SEDAR under the Company's profile at www.sedar.com and at www.EDMresources.com.