Mr. Massimo Bellini Bressi reports

BATTERY X METALS ANNOUNCES CLOSING OF $2.4 MILLION PRIVATE PLACEMENT FINANCING WITH PARTICIPATION FROM FORMER DIRECTOR AND EXECUTIVE OFFICER OF FORTUNE 500 SKECHERS USA, INC.

Further to its news release dated Jan. 6, 2026, Battery X Metals Inc. has closed a non-brokered private placement financing, consisting of the issuance of an aggregate of 946,075 units of the company at a price of $2.55 per unit for aggregate gross proceeds of $2,412,491.25, effective Jan. 16, 2026.

News release highlights:

• Battery X Metals completed a non-brokered private placement financing for aggregate gross proceeds of approximately $2.41-million, strengthening the company's financial position and supporting continued execution of its strategic growth initiatives.
• The financing included participation from a former director and executive officer of Fortune 500 Skechers USA Inc., reflecting continued support from experienced capital markets participants aligned with the company's long-term growth strategy.
• The proceeds provide additional capital to further advance Battery X Metals' integrated battery life cycle strategy, supporting continued progress across exploration, lithium-ion battery rebalancing and recycling initiatives aligned with the global clean energy transition.

Each unit consists of one common share in the capital of the company and one transferable common share purchase warrant of the company, with each warrant entitling the holder to acquire one additional share at a price of $3 per warrant share until Jan. 16, 2028.

The private placement included participation from Jeffrey Greenberg, a former director and founding-family executive of Fortune 500 company Skechers USA and a current member of the company's advisory board. Mr. Greenberg's participation aligns with his advisory role supporting the company's strategic capital markets initiatives and long-term growth objectives as Battery X Metals advances the development and commercialization of its next-generation lithium-ion battery technologies.

The net proceeds of the private placement are intended to be allocated toward advancing the company's business initiatives, including expenses related to corporate development and regulatory matters in connection with strategic capital markets initiatives, the payment of outstanding and future payables and indebtedness, corporate awareness initiatives, and general working capital purposes. These proceeds are expected to support the company's integrated 360-degree strategy across the battery metals value chain, encompassing exploration, rebalancing and recycling, and the continued advancement of next-generation solutions that contribute to the global clean energy transition. The securities issued under the private placement will be subject to a statutory hold period expiring May 17, 2026.

In connection with the closing of the private placement, the company paid $4,845 in cash finders' fees to eligible finders in respect of subscriptions for units referred by such finders.

Closing of initiative to strengthen financial position

The company also announces that, further to its news release dated Jan. 6, 2026, it has settled outstanding indebtedness in an aggregate amount of $408,288.99 owing to certain creditors of the company. The debt settlement is satisfied through the issuance of an aggregate of 90,727 common shares of the company at a deemed price of $4.50 per debt share. The securities issued under the debt settlement will be subject to a statutory hold period expiring May 17, 2026.

Management commentary

"Closing this financing represents an important milestone for Battery X Metals," said Massimo Bellini Bressi, chief executive officer of Battery X Metals. "The completion of this financing provides additional capital to further advance our integrated battery life cycle strategy and support execution across our next phase of growth.

"Together with the settlement of outstanding obligations, these transactions strengthen the balance sheet and enhance the company's capacity to execute on its strategic growth initiatives," continued Mr. Bellini Bressi. "We are encouraged by the continued support from existing stakeholders and strategic participants, which we believe reflects growing confidence in our long-term strategy to extend remaining useful battery life, improve sustainability and advance next-generation lithium-ion battery technologies."

The debt settlements with three directors (the insider settlements) are related party transactions within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The insider settlements are exempt from the valuation requirement of MI 61-101 by virtue of the exemptions contained in Section 5.5(b) of MI 61-101 as the company's common shares are not listed on a specified market and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in Section 5.7(1)(a) of MI 61-101 in that the fair market value of the insider settlement will not exceed 25 per cent of the company's market capitalization. As the material change report disclosing the insider settlements is being filed less than 21 days before the transaction, there is a requirement under MI 61-101 to explain why the shorter period was reasonable or necessary in the circumstances. In the view of the company, it is necessary to immediately close the insider settlements and therefore, such shorter period is reasonable and necessary in the circumstances to improve the company's financial position.

About Battery X Metals Inc.

Battery X Metals is an energy transition resource exploration and technology company committed to advancing domestic battery and critical metal resource exploration and developing next-generation proprietary technologies. Taking a diversified, 360-degree approach to the battery metals industry, the company focuses on exploration, lifespan extension, and recycling of lithium-ion batteries and battery materials.

We seek Safe Harbor.