Ms. Dawn Zhou reports

ABASCA RESOURCES ANNOUNCES ENGAGEMENT OF ENVIRONMENTAL BASELINE STUDY AND CLOSING OF THE FIRST TRANCHE OF ITS PRIVATE PLACEMENT

Abasca Resources Inc. has engaged CanNorth Environmental Services to conduct environmental studies in 2025 at its 100-per-cent-owned Key Lake South (KLS) project. The purpose of the studies is to initiate data collection for components that require longer baseline data sets, specifically hydrology, water chemistry and bathymetry, to further advance the development of the Loki flake graphite deposit and support an environmental impact assessment.

The company has closed the first tranche of its non-brokered private placement, previously announced on April 22, 2025. Pursuant to the first tranche, the company has issued 1,785,515 non-flow-through units at a price of 14 cents per unit to raise gross proceeds of $250,000.10. Each unit comprises one common share of the company and one-half of a share purchase warrant, with each warrant entitling the holder thereof to purchase one additional common share at a price of 20 cents per warrant share for a period of two years. Each of the unit shares and warrant shares are subject to a four-month hold period expiring on Aug. 31, 2025. The gross proceeds from the sale of the units will be used for general and administrative expenses and for working capital.

Qualified person

The technical information in this news release has been reviewed and approved by Brian McEwan, PGeo, a qualified person as set out in National Instrument 43-101, Standards of Disclosure for Mineral Projects. Mr. McEwan is the vice-president of exploration at Abasca.

About Abasca Resources Inc.

Abasca is a mineral exploration company that is primarily engaged in the acquisition and evaluation of mineral exploration properties. The company owns the Key Lake South project, a 23,977-hectare exploration project located in the Athabasca basin region in Northern Saskatchewan, approximately 15 kilometres south of the former Key Lake mine and current Key Lake mill. The project possesses geological similarities and is along strike of past Key Lake mine with prospective conductors of over 50 kilometres for potential uranium mineralization. KLS is also host to the Loki flake graphite deposit comprising a total inferred resource of 11.31 million tonnes at 7.65 per cent graphitic carbon (Cg). Please refer to the company's news release dated April 15, 2025, for further information about the resource estimate.

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