Mr. Peter Hemstead reports

FIREWEED METALS CORP. AWARDED UP TO C$35.4 M IN JOINT US-CANADIAN GOVERNMENT FUNDING TO ADVANCE MACTUNG AND ESSENTIAL INFRASTRUCTURE TO UNLOCK THE CRITICAL MINERALS DISTRICT AT MACMILLAN PASS, YUKON TERRITORY

Fireweed Metals Corp. has been awarded $15.8-million (U.S.) (approximately $22.5-million) from the United States Department of Defense and up to $12.9-million from the government of Canada in support of its critical minerals projects at Macmillan Pass, Yukon Territory.

Highlights

• Fireweed has been awarded $15.8-million (U.S.) (approximately $22.5-million) from the U.S. Department of Defense under Title III of the Defense Production Act of 1950 (DPA Title III) to advance its 100-per-cent-owned Mactung tungsten project toward a final investment decision.
• Fireweed will also receive up to $12.9-million from the government of Canada, pending final due diligence, through the Critical Minerals Infrastructure Fund (CMIF) to lead planning for road and power infrastructure supporting Fireweed's critical mineral assets at Macmillan Pass, Yukon Territory.
• With this funding, Fireweed's team will advance its Mactung tungsten project to a final investment decision, while concurrently leading the planning for improvements to regional infrastructure (road and power) that serve the entire critical mineral district at Macmillan Pass.

CEO statement

Peter Hemstead, president and chief executive officer, commented: "The co-ordinated investments by the United States and Canadian governments underscore the critical importance and strategic value of Fireweed's mineral assets at Macmillan Pass. This joint announcement is a testament to the determination of both governments to unlock this new critical minerals district in Canada. In the coming months and years, our team will work to ensure our projects and the enabling infrastructure move forward in a way that respects rightsholders, provides benefits to communities in the region and demonstrates how critical minerals can be developed responsibly."

Adam Lundin statement

Mr. Lundin, Fireweed's strategic adviser, stated: "The emerging critical minerals district at Macmillan Pass is a profound opportunity to address key supply chain vulnerabilities of the North American industrial base. These investments are significant milestones on the path to advancing both Macpass and Mactung projects toward development."

Statement from Jonathan Wilkinson, Canada's Minister of Energy and Natural Resources

Mr. Wilkinson, Canada's Minister of Energy and Natural Resources, stated: "Canada is positioning itself as a global supplier of responsibly sourced critical minerals, which are increasingly in demand for the clean and digital economy as well as for defence applications. The Fireweed project will develop the necessary energy infrastructure to power multiple critical minerals mines and communities with clean energy. These investments by Canada and the United States build on our long history of friendship and collaboration, complement the region's deep expertise in mining, create good jobs in the Yukon and advance economic growth, now and into the future."

A critical minerals district at Macmillan Pass

Macmillan Pass is an emerging critical minerals district, with two immediately adjacent, best-in-class critical mineral projects being advanced by Fireweed. The Macpass project is a district-scale collection of high-grade zinc deposits, forming one of the largest undeveloped zinc resources globally, while also containing the world's largest known accumulation of germanium and gallium. The Mactung project is the world's largest, high-grade tungsten deposit, with sufficient mineral resources to potentially supply North America's expected tungsten demand for decades.

Macmillan Pass and the North Canol Road (the district's primary overland access) are located within Kaska Nation Traditional Territory and the Traditional Territory of the First Nation of Na-Cho Nyak Dun. The Mactung access road passes through the Sahtu settlement area (Tullta district in the Northwest Territories), which include both first nations and Metis communities.

U.S. government funding to advance the Mactung tungsten project

Fireweed has been awarded $15.8-million (U.S.) (approximately $22.5-million) by the U.S. Department of Defense under DPA Title III to advance its 100-per-cent-owned Mactung tungsten project toward a final investment decision.

The objective of the DPA Title III funding is to progress Mactung to a final investment decision, a precursor to project construction and subsequent production of domestic tungsten concentrates for the North American industrial base. The award will support an expansive, Fireweed team-led program that includes mine design optimization, geotechnical investigations and metallurgical test programs, culminating in the development of a new feasibility study. A range of environmental studies will be undertaken, supporting the pursuit of licences and permits necessary to construct Mactung.

The program builds on extensive past drilling at Mactung and an updated 2023 mineral resource estimate that supersedes a historical 2009 feasibility study. The project also benefits from a positive environmental assessment decision issued in 2014 by Yukon and Canadian federal regulators.

The DPA Title III award is non-dilutive to Fireweed shareholders and no commercial covenants are included in the award conditions that would impair Fireweed's current business nor its future sale of tungsten concentrates to the industrial base. Fireweed's own management team will lead the work and periodically report progress to administrators of the award.

Canadian government funding to advance the North Canol infrastructure improvement project

Fireweed will also receive up to $12.9-million, pending final due diligence, from the government of Canada through the Critical Minerals Infrastructure Fund (CMIF) to lead planning efforts for infrastructure improvements that would serve the critical minerals district at Macmillan Pass.

The CMIF funding will support Fireweed's implementation of the first phase (phase I) of the North Canol infrastructure improvement project (NCIIP), which includes developing preliminary designs for approximately 250 kilometres of road improvements, as well as upgrades to an existing transmission line between Faro and Ross River, and the construction of a new transmission line from Ross River to Macmillan Pass. The effort also includes seeking the consent of local indigenous groups, completing necessary environmental assessment processes and facilitating multiparty project agreements necessary to advance NCIIP toward construction (phase II).

Fireweed anticipates NCIIP phase II to be advanced through a collaboration of government, indigenous groups and industry. Funding sources for NCIIP construction have yet to be determined but will likely involve "stacking" a range of new and existing funding sources, potentially including previously announced Yukon Resource Gateway funding.

Qualified person statement

Technical information in this news release has been approved by Fireweed Metals, vice-president of geology, Dr. Jack Milton, PhD, PGeo (British Columbia), a qualified person as defined under National Instrument 43-101. Dr. Milton is not independent of Fireweed for purposes of National Instrument 43-101.

About Fireweed Metals Corp.

Fireweed Metals is an exploration company unlocking significant value in a new critical metals district located in the Yukon, Canada. Fireweed is 100--er cent owner of the Macpass district, a large and highly prospective 977-square-kilometre land package. The Macpass district includes the Macpass zinc-lead-silver (germanium-gallium) project and the Mactung tungsten project, both characterized by meaningful size, grade and opportunity. At Macpass, Fireweed owns one of the largest undeveloped zinc resources worldwide in a region with enormous exploration upside potential. The Mactung project is a strategic critical metals asset that hosts the world's largest high-grade tungsten resource -- a potential long-term supply of tungsten for North America. A Lundin group company, Fireweed is strongly positioned to create meaningful value.

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