Mr. Galen McNamara reports

AERO ANNOUNCES WINTER DRILL TARGETS AT THE MURMAC URANIUM PROJECT

Aero Energy Ltd. has made the final selection of drill targets for the coming winter 2025 drill program at the Murmac uranium project located near Uranium City, Sask. These targets are supported by the successful completion of a radon-in-water survey at Howland Lake, which has defined multiple strong anomalies along strike of high-grade uranium drill intersections obtained during the summer 2024 program.

The Murmac project is being advanced under an option agreement executed on Dec. 15, 2023, between Aero and Fortune Bay Corp. Aero Energy is fully financing the exploration program, with drilling operated by Fortune Bay.

Winter 2025 exploration program highlights:

• Lake water radon anomalies:
  • Three distinct radon-in-water anomalies have been identified along strike of M24-017, which intersected 8.40 metres at 0.30 per cent U3O8, including individual assays up to 13.80 per cent U3O8 over 0.10 m.
  • An additional strong radon anomaly was detected at Howland Lake South, along strike of M22-012, which previously intersected 0.17 per cent U3O8 over 0.10 m in structured graphitic rocks.
  • These radon anomalies directly overlie key electromagnetic conductors, which are known to host basement uranium mineralization in the Athabasca basin.
• Drill target selection:
  • Drill targets have been refined using multiple criteria, including radon-in-water anomalies, EM conductor breaks, structural complexity and historically mineralized cross-faults.
• Drilling program:
  • Up to six drill holes (approximately 900 metres) are planned for winter 2025, targeting radon anomalies and unexplored graphitic corridors at Howland Lake North and South.
  • A drilling contract has been finalized, and drilling is scheduled to begin in March, 2025, subject to ice conditions.

Galen McNamara, chief executive officer of Aero Energy, commented: "The results from the radon-in-water survey have given us strong, focused drill targets at Murmac, directly overlying key graphitic conductors and high-grade uranium intersections. We now have multiple priority targets for the upcoming winter drill program, and with high-grade uranium already intersected in 2024, we are eager to follow up on these promising zones. Data from the Murmac project continues to demonstrate the potential for a significant uranium discovery on the northern rim of the Athabasca basin."

Radon-in-water survey overview

Radon-in-water surveys are an effective exploration tool in the Athabasca basin, as radon gas is a direct decay product of uranium and accumulates in lake-bottom water above uranium-rich rocks. The survey at Howland Lake was conducted by RadonEX Ltd., with 350 samples collected along strike of the high-grade uranium intercepts from the 2022 and 2024 drill programs.

Key results include:

• Highly anomalous radon concentrations of up to 130 picocuries per litre) on a daily median-adjusted basis.
• Background radon levels in Howland Lake are elevated at 45 picocuries per litre, and the identified anomalies are well above this threshold.
• Four discrete radon anomalies directly overlie conductive graphitic units, strengthening the case for high-grade uranium mineralization at depth.

Winter 2025 drill targets

The results from the radon-in-water survey have been integrated with historical exploration and geophysical data to define four primary drill targets for winter 2025. More than one drill hole may be allocated per target, depending on results.

Winter drilling is expected to commence in March, 2025, subject to safe ice conditions for drill mobilization. Aero Energy is prepared to expand the program beyond six holes if warranted by positive results.

Technical disclosure

Radon-in-water samples (each 200 millilitres) were collected by RadonEX using a Kemmerer water sampler at a standardized one metre above lake bottom. Samples were processed in a temperature-controlled environment by transferring the water to a four-litre Rad Elec Inc. E-Perm Electret ion chamber for a period of 48 hours. The Electret voltages were measured before and after exposure, with the difference reflecting the extent of ionization caused by radon gas decay from the water sample.

RadonEX in-house calculations were then used to determine the concentration of radon gas in the water sample (in picocuries per litre) based on the measured voltage difference. Raw results were adjusted by calculating the median value from each daily data set and applying a correction factor to normalize the daily data sets to the overall median value. This adjustment compensates for apparent daily variations in measured radon gas levels, significantly reducing outlier anomalies and producing a more standardized dataset for drill targeting.

Further details regarding the historical exploration, drilling, and exploration results referenced in this news release can be found within the Sskatchewan mineral assessment database and the Saskatchewan mineral deposit index. While several of these occurrences have been verified through field prospecting and sampling, there remains a risk that future confirmation work and exploration may yield results that substantially differ from these unverified historical results.

Historical drill hole locations, captured from georeferenced assessment report maps, may have positional uncertainties of plus or minus 50 metres. Aero Energy considers these unverified historical results relevant for assessing the mineralization and economic potential of the Murmac project. The historical information referenced derives from SMAD references 74N07-0011, 74N07-0173 and 74N07-0277.

Qualified person

The technical and scientific information in this news release has been reviewed and approved by Galen McNamara, PGeo, chief executive officer of the company, who is a qualified person as defined by National Instrument 43-101.

About Aero Energy Ltd.

Aero Energy is a mineral exploration and development company advancing a district-scale 250,000-acre land package in Saskatchewan's historic Uranium City district within the Athabasca basin. Aero is focused on uncovering high-grade uranium deposits across its flagship optioned properties -- Sun Dog, Strike and Murmac -- in addition to its fully owned properties. Aero is led by an award-winning technical team responsible for discoveries along the prolific Patterson corridor that include the Gryphon, Arrow and Triple-R deposits. With over 50 shallow drill-ready targets identified and 125 kilometres of target horizon, Aero is tapping into the basin's emerging potential for high-grade, unconformity-style mineralization.

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