Mr. Keith Bodnarchuk of Cosa Resources reports

COSA COMMENCES CORE DRILLING AT THE MURPHY LAKE NORTH URANIUM PROJECT, ATHABASCA BASIN, SASKATCHEWAN

Cosa Resources Corp. has commenced core drilling at the Murphy Lake North uranium project. Murphy Lake North (MLN) is a joint venture between Cosa and Denison Mines Corp. and is located in the eastern Athabasca basin in Saskatchewan. Cosa is the project operator and holds a 70-per-cent interest, with Denison holding a 30-per-cent interest.

Highlights:

• The first drilling campaign within the project since 2005, 13 years before the discovery of the nearby Hurricane deposit;
• Initial drilling will follow up the interpreted extension of the Hurricane deposit basement geology within MLN;
• Additional drilling will evaluate a parallel trend hosting historical intersections of uranium mineralization.

Andy Carmichael, vice-president, exploration, of Cosa, commented: "Located just three kilometres from the Hurricane deposit, Murphy Lake North is interpreted to host the along-strike extension of the basement geology controlling Hurricane. Our team is very familiar with the geology in the area, and we are thrilled to be drilling this highly underexplored section of the very fertile and reinvigorated Larocque Lake trend. In addition to the Hurricane trend, Murphy Lake North hosts a parallel trend to the south where weak mineralization intersected in 2002 warrants additional follow-up. With multiple historical intersections of weak mineralization, ample exploration space and ideal basement geology, the project's high degree of prospectivity is complemented by its shallow target depth as the unconformity is less than 250 metres below surface."

Murphy Lake North

Murphy Lake North covers a portion of the Larocque Lake trend and is located 2.7 kilometres east of the Hurricane deposit. Hurricane is the world's highest-grade indicated uranium resource and was discovered and delineated for IsoEnergy Ltd. by current members of Cosa's management, board of directors and advisers from 2018 through 2022. The Larocque Lake trend also hosts the Larocque Lake zone, the Yelka prospect and the Alligator Lake zone.

Murphy Lake North also contains approximately six kilometres of conductive strike length oriented subparallel to conductive features associated with the Hurricane deposit. Limited historical drilling completed on Murphy Lake North intersected weak uranium mineralization in the basement and zones of alteration and structure in the sandstone and basement. Historical drilling, completed before the discovery of Hurricane, focused on the western extremity of the property and left most of the conductive strike length untested. Abundant drill targets exist at Murphy Lake North. The depth to the unconformity at Murphy Lake North varies from approximately 170 metres to 250 metres.

On Jan. 20, 2025, Cosa announced its initial drilling plans for Murphy Lake North, which are expected to be completed in the next few weeks. Per the completed acquisition agreement between Cosa and Denison (see Cosa's news release dated Jan. 14, 2025), Cosa is sole financing this Murphy Lake North drill program as part of the company's obligation to finance 100 per cent of the first $1.5-million of exploration expenditures at the project by Dec. 31, 2027.

About Cosa Resources Corp.

Cosa Resources is a Canadian uranium exploration company operating in Northern Saskatchewan. The portfolio comprises roughly 237,000 hectares across multiple 100-per-cent-owned and Cosa-operated joint venture projects in the Athabasca basin region, all of which are underexplored, and the majority reside within or adjacent to established uranium corridors.

In January, 2025, the company entered a transformative strategic collaboration with Denison Mines that has secured Cosa access into several additional highly prospective eastern Athabasca uranium exploration projects. As Cosa's largest shareholder, Denison gains exposure to Cosa's potential for exploration success and its pipeline of uranium projects.

Cosa's award-winning management team has a long record of success in Saskatchewan. In 2022, members of the Cosa team were awarded the AME Colin Spence Award for their previous involvement in discovering IsoEnergy's Hurricane deposit. Prior to Hurricane, Cosa personnel led teams or had integral roles in the discovery of Denison's Gryphon deposit and 92 Energy's GMZ zone and held key roles in the founding of both NexGen and IsoEnergy.

Cosa's primary focus through 2024 was initial drilling at the 100-per-cent-owned Ursa project, which captures over 60 kilometres of strike length of the Cable Bay shear zone, a regional structural corridor with known mineralization and limited historical drilling. It potentially represents the last remaining eastern Athabasca corridor to not yet yield a major discovery, which the company believes is primarily due to a lack of modern exploration. Modern geophysics completed by Cosa in 2023 identified multiple high-priority target areas characterized by conductive basement stratigraphy beneath or adjacent to broad zones of inferred sandstone alteration -- a setting that is typical of most eastern Athabasca uranium deposits. Guided by a recently completed ambient noise tomography (ANT) survey, Cosa's second and most recent drilling campaign at Ursa intersected a significant zone of unconformity-style, sandstone-hosted structure and alteration underlain by several intervals of anomalous radioactivity in the basement rocks.

Technical disclosure

Historical drilling and geophysical results for Murphy Lake North and adjacent projects were sourced from the Saskatchewan Mineral Assessment Database (SMAD). SMAD sources for the Murphy Lake North project include file Nos. 74I-0060, 74I09-0057, 74I09-0064, 74I09-0066, 74I09-0077, 74I09-0098 and MAW00510.

SMAD sources for drilling and geophysical results proximal to Murphy Lake North include file Nos. 64L05-0161, 64L05-0180, 74I-0066, 74I-0067, 74I01-0114, 74I08-0056, 74I09-0053, 74I09-0061, 74I09-0064, 74I09-0071, 74I09-0079, 74I09-0087, 74I09-0088, 74I09-0090, 74I09-0091, 74I09-0092, MAW01939, MAW02327, MAW02599 and MAW02395.

Drill hole collar locations for Murphy Lake North and relevant along-strike drill holes were verified from air photos. The collar locations of Murphy Lake North drill holes CRK-144 and CRK-145 were verified on the ground using a hand-held GPS (Global Positioning System) and determined to within 20 metres of the locations derived from air photos. Segments of drill core from CRK-143 and CRK-144 were reviewed in the field; further review was hampered by the deteriorated condition of core boxes.

Verification of historical geophysical results included confirming the locations of geophysical survey grids from air photos, compiling results of geophysical surveys completed after 2000 and evaluating whether interpreted geophysical results could be reasonably explained by historical drilling results.

Qualified person

The company's disclosure of technical or scientific information in this press release has been reviewed and approved by Andy Carmichael, PGeo, vice-president, exploration, for Cosa. Mr. Carmichael is a qualified person as defined under the terms of National Instrument 43-101. This news release refers to neighbouring properties in which the company has no interest. Mineralization on those neighbouring properties does not necessarily indicate mineralization on the company's properties.

We seek Safe Harbor.