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Black Iron Inc. Capital/Financing Update 2021

Jul 23, 2021

42457_rns_2021-07-23_dbad51df-132c-4f77-899e-3276bc1c3aa8.pdf

Capital/Financing Update

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FORM 51-102F3 Material Change Report

Item 1 Name and Address of Company Black Iron Inc. (the “ Company ”) 198 Davenport Road Toronto, ON M5R 1J2 Item 2 Date of Material Change July 21, 2021 Item 3 News Release A news release in respect of the material change was disseminated through the facilities of Accesswire on July 21, 2021 and subsequently filed on SEDAR. Item 4 Summary of Material Change The Company closed its previously announced public offering of 28,750,000 common shares of the Company (the “ Common Shares ”), including 3,750,000 Common Shares issued upon the exercise in full of the over-allotment option granted to the Agent (the “ Over-Allotment Option ), at a price of $0.40 per Common Share (the “ Offering Price ”) for gross proceeds of $11,500,000 (the “ Offering ”). Canaccord Genuity Corp. (the “ Agent ”) acted as agent and sole book runner in respect of the Offering. Item 5 Full Description of Material Change

On July 21, 2021, the Company closed the Offering, in connection with which the Company issued 28,750,000 Common Shares at the Offering Price, including 3,750,000 Common Shares issued upon the exercise in full of the Over-Allotment Option, for gross proceeds of $11,500,000.

The Agent received a cash commission equal to 6.0% of the gross proceeds from the sale of the Common Shares pursuant to the Offering (including the gross proceeds raised pursuant to the Over-Allotment Option) subject to a reduction to 3.0% for sales to purchasers on the president’s list. The Agent also received broker warrants (each, a “ Broker Warrant ”) equal to 6.0% of the number of Common Shares sold pursuant to the Offering (including the Over-Allotment Option) subject to a reduction to 3.0% for sales to purchasers on the president’s list. Each Broker Warrant entitles the Agent to purchase one Common Share at the Offering Price for a period of 24 months following the closing of the Offering.

Item 6 Reliance on subsection 7.1(2) of National Instrument 51-102

Not applicable.

Item 7 Omitted Information
Not applicable.
Item 8 Executive Officer
For further information, please contact Matt Simpson, Chief Executive Officer of the
Company, at [email protected].
Item 9 Date of Report
July 23, 2021