Mr. Garrett Ainsworth reports

DISTRICT INCREASES LAND POSITION AT THE SAGTJARN PROPERTY AFTER SUCCESSFUL UAV SURVEY IN SWEDEN

MWH Geo-Surveys International Inc. has completed a detailed unmanned aerial vehicle (UAV) radiometric and magnetic survey at District Metals Corp.'s Sagtjarn property, located in the Jamtland and Vasternorrland counties, Sweden.

The UAV survey at the Sagtjarn property has successfully confirmed known uranium/molybdenum/rare earth element (REE) polymetallic occurrences whilst also identifying new target areas. Coincident uraniferous radiometric- and magnetic-high anomalies along the southern boundary of mineral licence Sagtjarn No. 102 prompted mineral licence application Sagtjarn No. 103, which encompasses these now-closed-off anomalies.

Garrett Ainsworth, chief executive officer of District, commented: "The results from our first-ever UAV-based detailed radiometric and magnetic survey in Sweden are truly compelling. Known uranium polymetallic occurrences, such as the Sagtjarn deposit and associated uraniferous boulder field, stand out prominently and suggest the potential for extensions beyond the currently recognized mineralized zones. Additionally, the survey has revealed several new target areas in regions that were previously underexplored or obscured by glacial till, based on coincident uraniferous radiometric and distinctive magnetic anomalies.

"At the Sagtjarn property, the radiometric data has pinpointed uranium-enriched zones warranting follow-up ground-based exploration, including prospecting, geological mapping and sampling. The property hosts uranium polymetallic mineralization within bedrock that correlates with moderate to high magnetic responses.

"Further fieldwork will be essential to evaluate the significance of the numerous discrete magnetic anomalies accompanied by uraniferous radiometric boulder trains -- features that are clearly defined in the detailed UAV survey data."

Uranium is commonly used as a geochemical pathfinder in mineral exploration due to its close association with various valuable mineral deposits, including REEs, base metals and iron-oxide-copper-gold (IOCG) systems. In Sweden, certain geological environments show elevated uranium concentrations that may indicate the presence of other economically significant metals and minerals. However, while uranium anomalies can guide exploration efforts, it is important to note that there is currently a moratorium on uranium exploration and mining in Sweden that the government has stated it intends to abolish as of Jan. 1, 2026 (see news release dated Sept. 2, 2025).

Sagtjarn property highlights:

• The property contains the Sagtjarn uranium deposit and several other uranium polymetallic occurrences.
• The Sagtjarn deposit has a historical inferred mineral resource estimate of 756,000 tonnes grading 0.068 per cent U3O8 (triuranium octoxide) containing 1,137,585 pounds of U3O8 using a 200-part-per-million-uranium cut-off.
• The Sagtjarn deposit remains open in all directions and contains the following drill result highlights:
  • Hole SGT-77-007 intersected 8.7 metres at 0.13 per cent U3O8 from 60.3 to 69.0 metres.
  • Hole SGT-77-011 intersected 7.0 metres at 0.18 per cent U3O8 from 86.0 to 93.0 metres.
  • Hole SGT-79-011 intersected 5.2 metres at 0.13 per cent U3O8 from 132.6 to 137.8 metres.
  • Hole SGT-80-001 intersected 4.6 metres at 0.13 per cent U3O8 from 146.5 to 151.1 metres.
• The Sagtjarn property has never seen systematic modern exploration.

Technical information

All scientific and technical information in this news release has been prepared by or approved by Garrett Ainsworth, PGeo, president and chief executive officer of the company. Mr. Ainsworth is a qualified person for the purposes of National Instrument 43-101, Standards of Disclosure for Mineral Projects.

The data disclosed in this news release are related to historical drilling results. District has not undertaken any independent investigation of the sampling, nor has it independently analyzed the results of the historical exploration work in order to verify the results. District considers these historical drill results relevant as the company is using these data as a guide to plan exploration programs. The company's current and future exploration work includes verification of the historical data through drilling.

Mr. Ainsworth has not verified any of the information regarding any of the properties or projects referred to herein other than the Sagtjarn mineral licences. Mineralization on any other properties referred to herein is not necessarily indicative of mineralization on the Sagtjarn mineral licences.

About District Metals Corp.

District Metals is led by industry professionals with a record of success in the mining industry. The company's mandate is to seek out, explore and develop prospective mineral properties through a disciplined science-based approach to create shareholder value and benefit other stakeholders.

District is a polymetallic exploration and development company focused on the Viken and Tomtebo properties in Sweden. The Viken property covers 100 per cent of the Viken energy metals deposit, which contains the largest undeveloped mineral resource estimate of uranium in the world along with significant mineral resource estimates of vanadium, molybdenum, nickel, copper, zinc, and other important and critical raw materials.

The advanced-exploration-stage Tomtebo property is located in the Bergslagen mining district of south-central Sweden and is situated between the historical Falun mine and Boliden's Garpenberg mine that are located 25 kilometres to the northwest and southeast, respectively. Two historic polymetallic mines and numerous polymetallic showings are located on the Tomtebo property along an approximately 17-kilometre trend that exhibits similar geology, structure, alteration and VMS/sedex-style (volcanogenic massive sulphide/sedimentary exhalative) mineralization as other significant mines within the district.

For further information on the Tomtebo property, please see the technical report titled "NI 43-101 Update Technical Report on the Tomtebo Project, Bergslagen Region of Sweden," dated effective Oct. 15, 2020, and amended and restated on Feb. 26, 2021, which is available on SEDAR+.

We seek Safe Harbor.