Mr. Galen McNamara reports

AERO ENERGY ANNOUNCES EFFECTIVE DATE OF SHARE CONSOLIDATION

Further to the news release dated Dec. 11, 2025, and effective Dec. 23, 2025, Aero Energy Ltd. will consolidate the common shares in the capital of the company on the basis of 10 preconsolidation shares for every one postconsolidation share. The company's name and stock symbol will remain unchanged following the consolidation. The new Cusip number will be 00792K206, and the new ISIN will be CA00792K2065 for postconsolidation shares.

The company currently has 181,516,273 shares issued and outstanding, and, following the consolidation, the company will have approximately 18,151,638 shares issued and outstanding.

No fractional shares will be issued as a result of the consolidation. Any fractional shares resulting from the consolidation will be rounded up or down to the nearest whole share. The company's outstanding incentive stock options, warrants and any convertible securities will be adjusted on the same basis (one for 10) to reflect the consolidation in accordance with the respective terms with proportionate adjustments to be made to the exercise prices.

The company's postconsolidation shares are expected to begin trading on the TSX Venture Exchange on or about Dec. 23, 2025.

Letters of transmittal with respect to the consolidation will be mailed to all registered shareholders of the company. All registered shareholders holding share certificates of the company will be required to send their respective certificates representing the preconsolidation shares along with a properly executed letter of transmittal to the company's transfer agent, Computershare Investor Services Inc., in accordance with the instructions provided in the letter of transmittal. Additional copies of the letter of transmittal can be obtained through the transfer agent at 1-800-564-6253 or by e-mail to corporateactions@computershare.com. All shareholders who submit a duly completed letter of transmittal along with their respective preconsolidation share certificate(s) to the transfer agent, will receive a postconsolidation share certificate or direct registration advice representing the postconsolidation shares.

About Aero Energy Ltd.

Aero Energy, following its successful merger with Kraken Energy Corp., has established a robust portfolio of uranium assets in North America. The company controls a district-scale land package in Saskatchewan's Athabasca basin, including its Strike and Murmac projects, which collectively host dozens of shallow drill-ready targets on the north rim of the Athabasca basin. These projects are guided by an award-winning technical team with a proven record, responsible for major discoveries such as Gryphon, Arrow and Triple-R. Additionally, Aero's portfolio includes Kraken's 100-per-cent--owned Apex uranium property, Nevada's largest past-producing uranium mine, and the Huber Hills property, spanning 1,044 hectares in Nevada and encompassing the historic Race Track open-pit mine. This strategic merger combines Aero's extensive Canadian exploration assets with Kraken's high-grade U.S. properties, positioning Aero to unlock significant high-grade, unconformity-style uranium mineralization and capitalize on the growing global demand for uranium.

We seek Safe Harbor.