Skyharbour Resources Ltd. announced that the TSX Venture Exchange has granted conditional acceptance for the option agreement previously entered with Tisdale Clean Energy Corp., an arms-length party, pursuant to which the Tisdale has been granted the right to acquire up to a 75% interest in the South Falcon East Property. The Property consists of a series of mineral claims totaling 12,770 hectares, located in the Athabasca Basin in Northern Saskatchewan. Under the Option Agreement and assuming the 75% interest is earned, Tisdale will issue Skyharbour 1,111,111 Tisdale shares upfront, fund exploration expenditures totaling CAD 10,500,000, and pay Skyharbour CAD 11,100,000 in cash of which CAD 6,500,000 can be settled for shares in the capital of Tisdale (Shares) over the five-year earn-in period.

Pursuant to the Option Agreement, Tisdale may acquire up to a 75% interest in the Property, in two phases. Initially, Tisdale can acquire a 51% interest in the Property by completing the following payments and incurring the following exploration expenditures on the Property: On the closing date, paying CAD 350,000 (paid) and issuing 1,111,111 Shares to Skyharbour upfront; By the eighteen-month anniversary of Closing, completing at least CAD 1,250,000 in exploration expenditures, and paying Skyharbour CAD 1,450,000, of which up to CAD 1,000,000 may be paid in Shares based on the 20-day volume-weighted average closing price calculated on the day of issuance (VWAP), at the election of Tisdale; By the second anniversary of Closing, completing an additional CAD 1,750,000 in exploration expenditures, and paying Skyharbour CAD 1,800,000, of which up to CAD 1,000,000 may be paid in Shares based on the VWAP, at the election of Tisdale; By the third anniversary of Closing, completing an additional CAD 2,500,000 in exploration expenditures, and paying Skyharbour CAD 2,500,000, of which up to CAD 1,500,000 may be paid in Shares based on the VWAP, at the election of Tisdale. After acquiring a 51% interest, Tisdale may increase its interest in the Property to 75% by: Completing a payment of CAD 5,000,000 to Skyharbour by the fourth anniversary of Closing, of which up to CAD 3,000,000 may be satisfied in Shares based on the VWAP, at the election of Tisdale, and incurring exploration expenditures on the Property of an additional CAD 2,500,000 in each of the fourth and fifth anniversaries of Closing.

No common shares will be issuable to Skyharbour at a deemed price of less than $0.05 or such minimum price as is permitted by the Exchange at the date of issuance, nor will they be issued to Skyharbour to the extent such issuance would result in the Company becoming a new insider of Tisdale. Assuming Tisdale exercises any portion of the option and acquires an interest in Property, the parties intend to form a joint venture for the ongoing development of the Property. A small portion of the Property is subject to an existing 2% net smelter returns royalty owing to a former owner, and Tisdale has agreed to grant a further 2% royalty to Skyharbour.

One-half of the royalty, being 1%, to be granted to Skyharbour can be purchased at any time by completing a one-time cash payment of CAD 1,000,000. Tisdale has now satisfied the outstanding conditions to completion of the transactions contemplated by the Option Agreement and has completed an initial cash payment of CAD 350,000 and issued 1,111,111 common shares to Skyharbour. The common shares issued to Skyharbour are subject to restrictions on resale in accordance with applicable securities laws, and the policies of the Exchange, until May 24, 2023.

The South Falcon East Project is a uranium exploration project in the southeast Athabasca Basin and represents a portion of Skyharbour's existing South Falcon Project. The project covers approximately 12,770 hectares and lies 18 kilometers outside the Athabasca Basin, approximately 50 kilometers east of the Key Lake Mine. Historical exploration at the South Falcon East Project identified an area of U-Th-REE mineralization at the Fraser Lakes Zone B over an area comprising 1.5 km by 0.5 km along an antiformal fold nose cut by an east-west dextral ductile-brittle cross-structure adjacent to a 65 km long EM conductor.