Mr. Ian Talbot reports

ARCUS ANNOUNCES INCREASED PRIVATE PLACEMENT AND SHARE CONSOLIDATION

Arcus Development Group Inc., in addition to the $500,000 private placement announced on Oct. 15, 2025, has negotiated a second non-brokered offering in the amount of $1-million for total proceeds on completion of $1.5-million. Concurrently with the closing of the financings, Arcus will complete a share consolidation as described below.

Subject to TSX Venture Exchange acceptance, the concurrent consolidation and financings will be carried out as follows:

1. Immediately prior to the closing of the financings, Arcus will complete the consolidation on a basis of one postconsolidation Arcus common share for 10 existing Arcus common shares. The issued Arcus share capital following the consolidation and prior to the closing of the financings will be 7,387,807 common shares.
2. The closing of the financings will immediately follow the consolidation as set out below:
   1. The original offering will consist of up to $500,000 in postconsolidation units at a price of 25 cents per unit. Each of these units will consist of one Arcus postconsolidation common share and one Arcus share purchase warrant. Each of these warrants will entitle the holder to purchase one Arcus postconsolidation share for a period of two years at a price of 40 cents per share. Up to two million postconsolidation Arcus shares and up to two million warrants will be issued under the original offering.
   2. The additional offering will consist of up to $1-million in postconsolidation units at a price of 30 cents per unit. Each of these units will consist of one Arcus postconsolidation common share and one Arcus share purchase warrant. Each of these warrants will entitle the holder to purchase one Arcus postconsolidation share for a period of two years at a price of 40 cents per share. Up to 3,333,333 postconsolidation Arcus shares and up to 3,333,333 warrants will be issued under the additional offering.

Following the completion of the consolidation and the successful closing of the financings, Arcus will have 12,721,140 common shares issued and outstanding. The proceeds from the financings will be used by Arcus as general working capital and to finance work at its wholly owned Touleary project, located in the White Gold district of Yukon.

Arcus will apply to list its common shares on the TSX Venture Exchange as a Tier 2 company following the completion of the consolidation and financings.