Usha Resources Closes Second Tranche of Oversubscribed Non-Brokered Private Placement

Increase and Extension Granted for Non-Brokered Private Placement Vancouver, British Columbia / May 16, 2022 - Usha Resources Ltd. (“USHA” or the “Company”) (TSXV: USHA) (OTCQB: USHAF) (FSE: JO0) is pleased to report that, further to the previously announced non-brokered private placement (see news release dated April 4, 2022) and subject to the approval of the TSX Venture Exchange (the “ Exchange ”), it has closed the second tranche of a now oversubscribed non-brokered private placement (the “ Private Placement ”) issuing an aggregate of 2,934,998 units (each a “ Unit ”) at a price of $0.30 per Unit for total gross proceeds of $880,499. In total, USHA has raised gross proceeds of $1,111,499.40 in both tranches.

“We are very pleased to be able to raise capital at a premium to our share price and we are very grateful for the support from our new and existing shareholders,” stated Deepak Varshney, P.Geo., CEO of the Company.

Each Unit consists of one common share (each a “ Share ”) of the Company and one-half of one transferable common share purchase warrant (each whole warrant a “ Warrant ”) with each whole Warrant exercisable to purchase one Share of the Company at a price of $0.45 per Share for a period of 2 years from the date of closing (the “ Expiry Date ”).

The Company paid finders’ fees totaling $22,740 cash and 75,800 non-transferable finder warrants (the “ Finder Warrants ”) to Research Capital Corporation and Richardson Wealth Limited in accordance with applicable securities laws. The Finder’s Warrants are exercisable on the same terms as the Warrants issued in the Private Placement.

All securities issued in the first tranche of the Private Placement are subject to the Exchange hold period, plus a hold period of four months and one day following the closing dates of the Private Placement expiring on September 14, 2022.

The Company also announces that the Exchange has granted the Company an extension to June 13, 2022 to close the final tranche of the Private Placement.