Mr. Mark Tory reports

DEFENSE METALS INVITED BY NATURAL RESOURCES CANADA TO SUBMIT A FULL PROJECT PROPOSAL FOR ITS WICHEEDA PROCESSING FEASIBILITY PROGRAM

Natural Resources Canada (NRCan) has invited Defense Metals Corp. to submit a full project proposal under its Critical Minerals Research, Development and Demonstration (CMRDD) and Global Partnerships Initiative (GPI) programs. The invitation follows an expert committee assessment of the company's expression of interest seeking up to $32-million toward the Wicheeda rare-earth concentrator and hydrometallurgical feasibility program.

Mark Tory, president and chief executive officer, commented: "While this is not a funding commitment by NRCan, our expression of interest application has been assessed and we have been invited to submit a full project proposal. This is an important screening and prioritization step that demonstrates the government of Canada's potential interest in further supporting the Wicheeda rare-earth element project in British Columbia -- contingent upon the execution of a contribution agreement. The Wicheeda project would directly contribute to the government of Canada's objective of building critical material value chains in Canada."

The expression of interest covers the work required to advance the Wicheeda project's concentrator, hydrometallurgical and solvent-extraction processes from pilot-scale demonstration toward feasibility readiness. The proposed work would help address a strategic gap in Canada's midstream rare-earth processing capacity and is aligned with the Canadian Critical Minerals Strategy, the G7 Critical Minerals Action Plan adopted under Canada's 2025 G7 presidency, and Stronger Together: A Critical Minerals Strategy for Western and Northern Canada, released on June 25, 2026.

About Defense Metals Corp. and the Wicheeda rare-earth element project

Defense Metals is an advanced rare-earth elements (REE) development company focused on delivering strategically critical metals to the Western world defence, high-technology and clean energy supply chains. The company's primary asset is its 100-per-cent-owned Wicheeda REE deposit, located near Prince George, B.C., Canada.

The Wicheeda project is one of the most advanced, undeveloped REE deposits in North America or Europe, featuring a robust mineral resource and mining reserve, as detailed in the company's 2025 prefeasibility study prepared in accordance with National Instrument 43-101 -- Standards of Disclosure for Mineral Projects. The PFS shows the economic potential of the deposit and supports future project development.

Defense Metals is committed to advancing the Wicheeda project through the feasibility study stage, permitting and ultimately into production, positioning the company to become a reliable supplier of critical REEs that are essential to modern defence systems, advanced manufacturing and energy-efficient technologies.

The PFS for the Wicheeda rare-earth element project is preliminary in nature and includes numerous assumptions regarding metallurgy, capital and operating costs, and market conditions.

Mineral reserves and the economic outcomes projected in the PFS are subject to significant uncertainties, and there is no certainty that the results of the PFS will be realized. Additional studies, including a feasibility study, and permitting, are required before a production decision can be made for the Wicheeda project.

We seek Safe Harbor.