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Barksdale Announces All Existing Convertible Debentures Held by Delbrook Capital Advisors

Financings Debt & Credit Facilities

Barksdale Announces All Existing Convertible

Debentures Held by Delbrook Capital Advisors

Extended to December 31, 2028

Vancouver, British Columbia--(Newsfile Corp. - January 7, 2026) - Barksdale Resources Corp. (TSXV:

BRO) (OTCQB: BRKCF) ("

Barksdale

" or, the "

Company

") announces that it is seeking TSX Venture

Exchange ("

TSXV

") acceptance to amend the terms of its debentures and associated warrants held by

investment funds managed by Delbrook Capital Advisors Inc. ("

Delbrook

") as follows: (i) extend the

maturity date of the secured convertible debentures in the principal amount of CDN$1,500,000 (the

"

$1,500,000 Debentures

") from December 31, 2027 to December 31, 2028, and reduce the

conversion price from CDN$0.12 per Share to CDN$0.10 per Share, (ii) extend the expiry date of the

associated 8,000,000 detachable common share purchase warrants (the "

8,000,000 Extension

Warrants

") previously issued to Delbrook in connection with the $1,500,000 Debentures from

December 31, 2027 to December 31, 2028, and reduce their exercise price from CDN$0.12 per Share

to CDN$0.10 per Share; (iii) extend the maturity date of the secured convertible debentures in the

principal amount of CDN$3,000,000 (the "

$3,000,000 Debentures

") from December 31, 2027 to

December 31, 2028; and (iv) extend the expiry date of the associated 7,500,000 detachable common

share purchase warrants (the "

7,500,000 Extension Warrants

") previously issued to Delbrook in

connection with the $3,000,000 Debentures from December 31, 2027 to December 31, 2028

(collectively, the "

Amendments

").

The $1,500,000 Debentures bear interest at a rate of 10% per annum and are convertible into common

shares of the Company (the "

Shares

"). The $3,000,000 Debentures bear interest at a rate of 10% per

annum and are convertible into Shares.

The $1,500,000 Debentures and the $3,000,000 Debentures are subject to a holder put right, allowing

Delbrook, at its sole discretion, on or after December 31, 2027, and prior to maturity, to require the

Company, upon at least 20 days' written notice, to repurchase all or part of the outstanding principal

amount of such debentures (the "

Put Amount

") on a specific date (the "

Put Date

"), together with all

accrued and unpaid interest owing thereon. The expiry date of any detachable warrants issued in

connection with the $1,500,000 Debentures and the $3,000,000 Debentures shall, to the extent

proportionate to the principal amount repaid by the Company to Delbrook, be accelerated to the

applicable Put Date. For greater certainty, if any applicable Put Amount and related accrued and unpaid

interest is not repaid by the Company to Delbrook on the applicable Put Date, then the expiry date in

respect of only the pro rata number of the detachable warrants pertaining to the Put Amount actually

repaid by the Company to Delbrook on such Put Date shall be accelerated to the Put Date, and all

remaining detachable warrants shall remain outstanding in accordance with their original terms.

In consideration for Delbrook agreeing to the Amendments, Barksdale is also seeking TSXV

acceptance to issue an aggregate of 7,000,000 detachable common share purchase warrants (the

"

New Warrants

") to Delbrook in connection with the Amendments. Each New Warrant shall entitle the

holder to acquire one Share at a price of $0.09 per Share until December 31, 2028.

Other than the Amendments described above, all remaining material terms and conditions of the

$1,500,000 Debentures and the associated 8,000,000 Extension Warrants, and the $3,000,000

Debentures and the associated 7,500,000 Extension Warrants continue to remain in full force and effect.

The Amendments and all securities issued with respect to the above are subject to prior acceptance of

the TSXV and such securities issued will be subject to a four-month plus one day hold period in

accordance with Canadian securities legislation.

Barksdale Resources Corp.

, a 2023 OTCQX BEST 50 Company, is a base metal exploration

company headquartered in Vancouver, B.C., that is focused on the acquisition, exploration and

advancement of highly prospective base metal projects in North America. Barksdale is currently

advancing the Sunnyside copper-zinc-lead-silver and San Antonio copper projects, both of which are in

the Patagonia mining district of southern Arizona, as well as the San Javier copper-gold project in

central Sonora, Mexico.

ON BEHALF OF BARKSDALE RESOURCES CORP.

William Wulftange

Chief Executive Officer and Director

For more information, please phone 778-558-7145, email

[email protected]

or visit

www.BarksdaleResources.com

.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

news release.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS: This news

release contains certain "forward-looking information" and "forward-looking statements" (collectively

"forward-looking statements") within the meaning of applicable securities legislation. Forward-looking

statements are frequently, but not always, identified by words such as "expects", "anticipates",

"believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that

events, conditions, or results "will", "may", "could", or "should" occur or be achieved. All statements,

other than statements of historical fact, included herein, without limitation, statements relating to the

foregoing financing and amendments are forward-looking statements. There can be no assurance that

such statements will prove to be accurate, and actual results and future events could differ materially

from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions

and projections on the date the statements are made and are based upon a number of assumptions

and estimates that, while considered reasonable by Barksdale, are inherently subject to significant

business, economic, competitive, political and social uncertainties and contingencies. Many factors,

both known and unknown, could cause actual results, performance or achievements to be materially

different from the results, performance or achievements that are or may be expressed or implied by

such forward-looking statements and the Company has made assumptions and estimates based on

or related to many of these factors. All forward-looking statements contained in this news release are

qualified by these cautionary statements and those in the Company's continuous disclosure filings

available on SEDAR+ at

www.sedarplus.ca

. Readers should not place undue reliance on the forward-

looking statements contained in this news release concerning these items. Barksdale does not

assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or

other factors, should they change, except as required by applicable securities laws.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/279787