Toubani Resources Announces Year-End Letter to the Shareholders

TORONTO, Dec. 20, 2022 - Toubani Resources Inc. (ASX: TRE; TSX-V: TRE) ("Toubani Resources" or the "Company") is pleased to announce a year-end shareholder letter from Chief Executive Officer, Danny Callow.

Dear Shareholders,

It is with great pleasure that I write this letter to all shareholders with an update on the progress we have made with Toubani Resources. The year 2022 has been challenging for junior mining companies, with volatility in the commodity price, external factors such as the conflict in Ukraine, high fuel prices and a slow restart to China's economy as a result of lockdowns due to Covid-19.

Despite these challenges, the Toubani Resources team has continued to look at ways to advance its flagship Kobada Project. We have managed to achieve a number of significant milestones in 2022, and I am very proud of the team in being able to do this under significant market pressures.

The Company has managed site operations efficiently, with no reported incidents or injuries for the full 12-month period. Likewise, due to good communication and strict Covid-19 protocols in place we did not report a single incident for the whole of 2020-2022. This is a great achievement, and we are proud of our team on the ground.

Our ongoing social responsibility projects continue to assist the local communities, especially around drain cleaning to prevent the spread of malaria and keeping access routes open, as well as good communication between the village heads and local prefecture. We see opportunities to expand this reach through 2023 as activity picks up on site.

Through the middle of the year the Company focused its energy on targeting new potential gold areas on its contiguous exploration concession Kobada Est. This followed a structured and methodical regional exploration programme culminating in an auger drilling campaign that finished at the end of the third quarter. Results from this campaign were very encouraging with strong anomalies encountered along a strike length of over 700m and a width of approximately 150mm. Intersections in mineralised areas included 20.69g/t over 8 metres, and 2.42g/t over 2m all near surface. (See press release "Toubani resources auger drilling confirms further gold mineralization on the kobada est permit of the kobada gold project in Mali", August 2, 2022).

Auger drilling is a good way to determine follow-up drill targets, and these results show that we have found new mineralised areas on our concessions. We look forward to drilling these as part of our future exploration programme.

The Company has been working hard since March 2022 to seek a dual listing on the Australian Securities Exchange ("ASX"), as a means to attract more investment from our Australian shareholder base. Coupled with the TSXV listing, we believe we will be able to extend the reach and opportunity to invest in Toubani at an exciting time in its development. The raise associated with the IPO was very well supported and we welcome new shareholders onto our register.

At the time of listing we presented a new strategy to shareholders in the Prospectus of our focus on identifying additional mineralised strike and growing the overall resource of the project. We believe that projects such as Kobada, with the size and scale of the resource are few and far between, and with a focus on drilling we have the opportunity to substantially increase the size of this project. This strategy has already been put into motion, with drilling commencing on the Kobada South strike extension area to the south of our existing resource shell. We look forward to communicating the progress on this to shareholders as results become available. The Phase 1 drill programme is targeting 10,700 metres of drilling.

As a result of the change of strategy and the dual listing on the ASX, it was decided that a change in the corporate structure was required. After more than three years of guiding this Company through permitting and technical milestones, including the delivery of two feasibility studies, substantial increases in resources and reserves and all permits renewed, a new focus is required on growing the awareness of the Company in the investment markets. I will move into a transitional role of Executive Chairman for up to 6 months to make way for Phil Russo, our newly announced Chief Executive Officer, and into a Non-Executive Chairman role thereafter.

Mr Russo is an experienced mining and finance professional with more than 18-years experience in corporate, project development and capital markets functions. He has deep, long-standing relationships within the precious metals sector globally. His past experiences include various executive roles within corporate development, strategic direction, investor relations and project development at Barrick Gold, Dacian Gold and Perseus Mining both in Perth and Toronto, as well as several years at a North American investment bank. We believe that Phil will take this Company to the next stage of its evolution, and I will be there to support him along this path.

Finally, I would like to thank all shareholders for their support during 2022 and look forward to a very exciting 2023 under the guidance of Mr Russo and a highly prospective exploration programme. Please be safe during the holiday season and we look forward to communicating with everyone early in 2023.

Danny Callow

Chief Executive Officer

About Toubani Resources Inc

Toubani Resources (ASX: TRE; TSX-V: TRE) is an exploration and development Company with a focus on building Africa's next mid-tier gold producer. The Company has a highly experienced Board and management team with a proven African track record in advancing projects through exploration, development and into production.

For more information regarding Toubani Resources visit our website at www.toubaniresources.com.

For more information:

Qualified Person - Competent Persons Statement

The information in this announcement that relates to exploration results, geology and mineral resources is extracted from the Company's prospectus dated 12 September 2022 and released on ASX on 25 November 2022 (Prospectus) which is available on the ASX announcements platform. The information in the Prospectus that relates to exploration results, geology and mineral resources was based on, and fairly represents, information compiled by Mr Uwe Engelmann, a Competent Person, who is a member of the South African Council for Natural Scientific Professions: Professional Scientist (Reg. No. 400058/08), a Recognised Professional Organisation included in a list that is posted on the ASX website from time to time. Mr Engelmann is employed by Minxcon (Pty) Ltd, an independent consulting company. Mr Engelmann has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity he is undertaking, to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'.

The Company confirms that:

• it is not aware of any new information or data that materially affects the information included in the Prospectus;
• all material assumptions and technical parameters included in the Prospectus continue to apply and have not materially changed; and
• the form and context in which the relevant Competent Persons' findings are presented in this announcement have not been materially changed from the Prospectus.
  

Cautionary statements

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding the listing on the Australian Stock Exchange, the expansion of mineral resources and reserves, and drilling and exploration plans of the Company. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: receipt of necessary approvals from Canadian and Australian regulatory authorities; general business, economic, competitive, political and social uncertainties; future prices of mineral prices; accidents, labour disputes and shortages; available infrastructure and supplies; the COVID-19 pandemic and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

NEITHER 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 RELEASE.