Colibri Announces Closing of First Tranche of Its Non-Brokered Private Placement and Sale of Its RC Drill Rig

Dieppe, New Brunswick--(Newsfile Corp. - September 6, 2024) - Colibri Resource Corporation (TSXV: CBI) ("Colibri" or the "Company") is pleased to announce that, further to its news release of August 23, 2024, it has closed the first tranche of its previously announced non-brokered private placement (the "Offering") of units ("Units") for aggregate gross proceeds of $305,500. Each Unit consists of one (1) common share (a "Common Share") and one (1) common share purchase warrant (the Warrants) of the Company. Each Warrant entitles the holder to acquire one additional Common Share of the Company at a price of C$0.075 for a period of 24 months following issuance.

Certain insiders of the Company have acquired an aggregate of 550,000 Units in the Offering for gross proceeds of $27,500. Participation by insiders in the private placement constitutes a related party transaction as defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. This participation is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the units subscribed for by the insiders, nor the consideration for the units paid by such insiders, exceeds 25% of the Company's market capitalization.

The Common Shares and Warrants are subject to a statutory hold period expiring on the date that is four months and one day after closing.

The Company anticipates completing a second tranche of the Offering within the next few weeks.

The Offering, including the terms of the Offering, received the conditional approval of the Exchange prior to closing but is subject to the final approval of the Exchange. The net proceeds of the offering will be used for exploration expenses at the Company's highly prospective precious metals projects in Mexico, including the Pilar gold project and the EP gold project as well as for working capital.

The Company also wishes to announce that it has sold its RC Drill Rig to a private company in Hermosillo Mexico for a total consideration of USD $395,000 which consisted of cash and drill credits. A portion of the proceeds is expected to be applied to an upcoming drilling program at the EP Gold Project where the Company intends to complete its first drilling program at the high priority San Perfecto target.

The San Perfecto target area is characterized by variably to strongly altered volcanic and intrusive rocks and has a mineralized footprint of approximately 1,250m by 700m which remains open to the southeast. A total of 616 samples are reported from the San Perfecto target surface area (102 by Colibri and 514 historical) of which 315, approximately 50 per cent, have returned values greater than 0.10 g/t Au and 213, approximately 35 per cent, have returned assay values greater than 0.25 g/t Au. Ninety-one samples (approximately 15 per cent of the total) have returned Au assays greater than 1.00 g/t with the highest grades, up to 58.9 g/t Au being associated with strong silicification and veins in faults zones.

A number of historical (artisanal) pits have been developed in the San Perfecto area including a larger production pit with a surface opening approximately of 35 m by 30 m. Only two exploration holes have been historically drilled in the area and both intersected significant mineralization.

Supported by interpretation of magnetic and IP data sets, the Company has interpreted the San Perfecto area as being indicative of a well-developed, high-level orogenic gold system with the potential to host economically significant mineralization.