Mr. James Walker reports

ARES STRATEGIC MINING SECURES ROLE IN $3.4 BILLION DEPARTMENT OF ENERGY AWARD TO BOOST U.S. NUCLEAR ENERGY CAPACITY

Ares Strategic Mining Inc. has been included as a key subcontractor in one of six winning bids awarded by the U.S. Department of Energy. The $3.4-billion initiative is part of a national strategy to significantly expand the production capacity of low enriched uranium, an essential component in powering the next generation of clean nuclear energy.

Under this contract, Ares will supply and develop its high-grade acidspar, a vital mineral used in manufacturing hydrofluoric acid and fluorine, critical for uranium enrichment. As the owner and operator of the only fluorspar mine in the United States, Ares is uniquely positioned to meet the growing demands of the nuclear energy industry, supporting domestic energy security and independence.

A vital role in rebuilding U.S. nuclear infrastructure

Hydrofluoric acid, derived from fluorspar, is indispensable in producing uranium hexafluoride, a precursor for concentrating uranium isotope 235 -- the foundation of nuclear fuel. Ares's involvement ensures a reliable supply chain for this critical material, directly supporting the DOE's mission to re-establish the United States as a global leader in nuclear energy.

The DOE's $3.4-billion facility will remain accessible to the six prime contractors and their subcontractors for up to 10 years or until all funds are utilized. Regular task orders with a minimum value of $2-million (U.S.) will be issued, enabling Ares to submit for financing tied to project requirements involving fluorspar, acidspar, uranium hexafluoride and conversion technologies.

Driving domestic energy security

This award represents a transformative, non-dilutive, non-debt financing opportunity for Ares, aligning the company's strategic goals with the national push to strengthen the nuclear fuel supply chain. With global interest in nuclear energy surging, the DOE's initiative reflects a renewed commitment to clean, sustainable power generation and a future powered by domestic innovation.

"The nuclear energy sector is entering an unprecedented era of growth, driven by increasing energy demand and a commitment to decarbonization," said James Walker, president and chief executive officer of Ares. "Our involvement in this critical DOE initiative underscores Ares's importance in supplying essential materials for the U.S. nuclear energy supply chain. As the only permitted fluorspar mine in the United States, we are uniquely equipped to help secure the resources needed to power the nation's energy future."

Positioned for long-term impact

With the resurgence of nuclear energy as a cornerstone of U.S. energy policy, this project positions Ares as a key enabler of technological innovation and energy independence. From supporting next-generation reactor designs to ensuring a robust supply chain for nuclear fuel, Ares is poised to contribute significantly to the future of clean energy.

This partnership with the DOE is part of Ares's continuing commitment to leveraging its expertise, resources and vision to address critical national priorities and deliver value to stakeholders.

In 2018, the U.S. government classified fluorspar as a critical mineral, "deemed critical to U.S. national security and the economy." Fluorspar remains the only non-metallic critical mineral, which is 100 per cent imported in the entire country. Fluorspar's classification as a critical mineral in the United States translates to a faster permitting period, enabling mining operations to initiate more quickly than operations for conventional minerals.

About Ares Strategic Mining Inc.

Ares is a mining company focused on the development of its fluorspar projects in the United States. The company aims to become a significant supplier of high-grade fluorspar to North American markets, supporting industries vital to modern technology and infrastructure.

Lost Sheep fluorspar project -- Delta, Utah:

• 100 per cent owned -- 5,982 acres -- 353 claims;
• Located in the Spor Mountain area, Juab county, Utah, approximately 214 kilometres southwest of Salt Lake City;
• Fully permitted -- including mining permits;
• National Instrument 43-101 technical report identified extensive high-grade fluorspar with low levels of impurities;
• Mining plan approved by Bureau of Land Management;
• First approved by Rex Rowley -- area manager, Bureau of Land Management -- Aug. 24, 1992;
• Renewed by Paul B. Baker -- mineral program manager, Bureau of Land Management -- Dec. 12, 2016.

We seek Safe Harbor.