Mr. Kevin Brewer reports

CMC ANNOUNCES SHARES FOR DEBT ISSUANCE

CMC Metals Ltd. has settled and extinguished $85,000 of outstanding debt through the issuance of common shares of the company.

In accordance with the settlement of debt, the company will issue 3.4 million common shares to three non-arm's-length creditors of the company at a deemed price of 2.5 cents per share. The company has entered into administrative and professional services agreements provided between the periods of January, 2024, and January, 2025, inclusive, with the creditors for services provided.

The company chose to settle and extinguish the debt through the issuance of shares to preserve cash and improve the company's balance sheet. The debt settlement is subject to approval by the TSX Venture Exchange. No new insiders will be created, nor will any change of control occur as a result of the issuance of the shares.

The shares issued are subject to a four-month hold period, which will expire on a date that is four months and one day from the date of issuance.

As certain insiders are party to the agreement for $80,000 or 3.2 million shares, it may be considered a related party transaction under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, and the TSX Venture Exchange. The company is relying on the exemptions from the formal valuation and the minority shareholder approval requirements of MI-61-101 contained in Section 5.5 (a) and Section 5.7 (1)(a) as the fair market value of the common shares being issued to insiders in connection with the service shares does not exceed 25 per cent of the market capitalization of the company, as determined in accordance with MI 61-101.

Kevin Brewer, president and chief executive officer of CMC, noted: "We have significantly reduced our debt load, and minimized operating costs and expenditures, to deal with the challenges our sector has faced in 2024. The participation of my own company, another director and former director in this event are testimony to the belief of myself and the board that CMC has significant opportunities to enhance shareholder value in 2025. The board sincerely thanks the service companies who participated in this agreement. CMC is now well positioned to now take advantage of the improved market conditions to advance its silver projects in the Rancheria silver district in south-central Yukon and Northern British Columbia."

About CMC Metals Ltd.

CMC Metals is a growth-stage exploration company focused on the exploration of high-grade silver-lead-zinc critical mineral carbonate replacement and skarn deposits in the Rancheria silver district in Northern B.C. and Yukon. Its properties include its flagship Silverknife project, which is immediately adjacent to Coeur Mining's Silvertip deposit, one of the highest-grade underground CRD-vein (carbonate replacement deposit) deposits in the world, the Silver Hart deposit and Blue Heaven claims (Yukon), and the Amy claims (north-central B.C.). Other polymetallic projects in its portfolio and available for option include the Bridal Veil (Newfoundland), which is an orogenic gold target, and silver-gold target Logjam (Yukon), possibly with porphyritic association.

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