Reef Announces Issuance of Debentures

Calgary, Alberta--(Newsfile Corp. - May 11, 2022) - Reef Resources Ltd. ("Reef") is pleased to announce that it has issued debentures (the "Debentures") having an aggregate principal amount of $250,000. The Debentures are unsecured and non-convertible. The Debentures bear interest of 10% per annum and mature one year from the date of issuance.

Reef remains subject to cease trade orders (the "CTOs") it received from the securities commissions in Alberta, British Columbia, Manitoba and Ontario. The CTOs remain in full force and effect and all of Reef's securities, including the Debentures, will remain subject to the CTOs until such orders are revoked.

About Reef:

Reef is incorporated under the provisions of the Business Corporations Act (Alberta) with its registered and head office in Calgary, Alberta. Reef is a natural resources issuer with non-producing oil and gas assets located in Huron County, Ontario, which Assets Reef intends to sell to Levant Exploration and Production Corp. acting in trust for a corporation to be incorporated ("Levant") pursuant to the Asset Purchase Agreement between Reef and Levant previously announced by Reef. Pursuant to the agreement, provided all closing conditions are met, Levant will purchase the assets for $1.00 and will assume all environmental liabilities, abandonment and reclamation obligations, taxes with respect to the assets post-transaction and all transfer taxes, as defined in the agreement.

Arnold W Hansen
President, Chief Executive Officer and Director
(403) 251-9447

Forward Looking Information

Except for statements of historical fact relating to the Corporation, the information contained or implied herein relating to receipt of a full revocation of the CTOs and completion of the transaction with Levant constitute forward-looking statements. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Except as required by applicable securities requirements, Reef undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

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