Dr. Jean-Marc Lulin reports

AZIMUT AND SOQUEM SIGN A LETTER OF INTENT FOR THE NORTHERN NICKEL CORRIDOR PROJECT

Azimut Exploration Inc. has signed a non-binding letter of intent with Soquem Inc. regarding a regional-scale strategic alliance covering 27 claim blocks (1,635 claims), collectively forming the Northern Nickel Corridor (NNC) project in the Eeyou Istchee James Bay region of Quebec, Canada.

Under the terms of the LOI, Soquem will have the right to earn up to a 60-per-cent interest in the NNC project by incurring cumulative exploration expenditures of $11-million and making cash payments totalling $350,000.

This new Azimut-Soquem alliance aims to unlock the nickel potential of a vast, largely underexplored region extending 360 kilometres east-west by 60 kilometres north-south. Other strategic and critical metals (platinum, palladium, copper and cobalt), commonly associated with nickel deposits, will also be included in the exploration objectives.

In 2026, a major high-resolution magnetic-electromagnetic helicopter-borne survey will be conducted to initially assess the claim blocks, followed by a field-based target validation program. The newly formed NNC project represents the northern part of Azimut's James Bay nickel (JBN) project, which the company generated during its regional-scale predictive modelling over an area of 174,200 square kilometres (see press release of July 5, 2022). Exploration work conducted by Azimut in the region since 2022 has led to two significant high-grade nickel discoveries (see below). The multiparameter footprints of these discoveries are comparable with the footprints of the targets covered by the 27 claim blocks of the LOI.

Key terms of the LOI

Soquem will have the option to earn an initial 50-per-cent undivided interest in the NNC project over three years by incurring $5-million in exploration expenditures and making cash payments totalling $200,000. The initial $2-million in expenditures will be a firm commitment. The obligations of the first option are defined according to the following schedule:

• Expenditures totalling $1-million for Year 1, $1.5-million for Year 2 and $2.5-million for Year 3;
• Cash payment of $50,000 on signing a definitive agreement and $50,000 annually thereafter.

Soquem will have a second option to earn an additional 10-per-cent interest (for a total of 60 per cent) over three years by incurring $6-million in exploration expenditures and making cash payments totalling $150,000. The obligations of the second option are defined according to the following schedule:

• Expenditures totalling $2-million per year;
• Cash payments of $50,000 per year.

Azimut will act as operator during the first year of the option, and Soquem will assume the role thereafter.

If either partner's interest in the participating joint venture is diluted below 10 per cent, it will convert to a 2-per-cent net smelter return (NSR) royalty, of which half (1-per-cent NSR royalty) can be repurchased for $3-million.

The parties are dealing at arm's length. The LOI is non-binding, and the terms and conditions described herein remain subject to execution of a definitive agreement and approval by both parties. The closing of the transaction will be subject to customary closing conditions for a transaction of this nature.

Regional-scale nickel targeting validated by drilling discoveries

Azimut conducted regional-scale nickel targeting using the proprietary AZtechMine expert system. This numerical data processing methodology integrates geochemistry (multielement analyses of rocks and lake sediments) and geophysics (magnetics and gravimetry) to statistically identify the specific signature of known prospects in a given region. Comparable signatures in unexplored sectors may represent valuable new targets. The generative phase enabled Azimut to stake about 90 claim blocks totalling 3,554 claims in the James Bay region. The NNC project covers 27 of these blocks for a total of 1,635 claims (821.7 square kilometres), including 273 recently designated claims still pending. All 27 claim blocks lie within the La Grande Archean volcano-plutonic subprovince.

Most of the targets likely correspond to either ultramafic lava flows or ultramafic intrusions representing synvolcanic conduits (chonoliths, sills and dikes). Substantial accumulations of nickel/copper/cobalt/platinum group element sulphides may be closely associated with these volcanic or intrusive lithologies. Examples of such deposits notably include Eagle's Nest (Ring of Fire, Ontario), Eagle (Michigan, United States), Voisey's Bay (Labrador) and Kambalda (Western Australia).

Two of Azimut's significant high-grade nickel discoveries (Perseus zone and W1 zone) validate this targeting approach. Their multiparameter footprints are comparable with the targets covered by the JBN project and the NNC project. Key drilling results include:

• Perseus zone, Kukamas property (KGHM option):
  • 4.27 per cent Ni, 0.45 per cent Cu and 2.63 grams per tonne PGE over 8.6 metres;
  • 6.06 per cent Ni, 0.38 per cent Cu and 3.34 g/t PGE over 2.6 m;
  • 8.42 per cent Ni, 0.55 per cent Cu and 7.25 g/t PGE over 1.9 m;
  • Features of this zone display strong similarities to Archean Kambalda-type komatiitic nickel deposits, exemplified by the major Kambalda mining district in Western Australia (see press releases of Jan. 20, 2025, May 29, 2025, and Feb. 26, 2026);
• W1 zone, Wapatik property (100 per cent Azimut):
  • 2.68 per cent Ni, 1.30 per cent Cu, 0.09 and Co over 3.3 m related to an ultramafic intrusion 900 m long by 400 m wide (see press releases of June 29, 2022, and April 24, 2023.

Qualified person

Dr. Jean-Marc Lulin, PGeo, Azimut's president and chief executive officer, prepared this press release and approved the scientific and technical information disclosed herein, including the previously reported results presented by Azimut. He is acting as the company's qualified person within the meaning of National Instrument 43-101, Standards of Disclosure for Mineral Projects.

About Azimut Exploration Inc.

Azimut is a leading mineral company with a solid reputation for target generation and partnership development. The company controls strategic land positions for gold, copper, nickel and lithium in Quebec. Azimut is focusing its activities on several key high-impact projects:

• Wabamisk (100 per cemt Azimut): Fortin zone (antimony/gold) -- third drilling program completed; Rosa Zone (gold) -- second drilling program completed; assay results pending;
• Wabamisk East (100 per cent Azimut): Lithos North and South (lithium) -- initial phase of drilling completed, assays pending;
• Elmer (100 per cent Azimut): Patwon gold deposit at the resource stage (311,200 ounces indicated and 513,900 ounces inferred); 10,000-metre drilling program under way;
• Kukamas (KGHM option): Perseus zone (nickel/copper/PGE) -- 2026 program in preparation.

Azimut uses a pioneering approach to big data analytics (the proprietary AZtechMine expert system), enhanced by extensive exploration know-how. The company's competitive edge is based on systematic regional-scale data analysis. Azimut maintains rigorous financial discipline and a strong balance sheet.

Azimut has two strategic investors among its shareholders, Agnico Eagle Mines Ltd. and Centerra Gold Inc., which hold approximately 11 per cent and 9.9 per cent respectively, of the company's issued and outstanding shares.

We seek Safe Harbor.