Mr. Gregg Smith reports

GROUNDED LITHIUM ANNOUNCES JUNE OIL SALES AND SECURES LOANS TO FUND OIL & GAS FACILITY IMPROVEMENTS

Grounded Lithium Corp.'s partnership's June oil sales averaged 123 barrels of oil per day, consistent with volumes reported previously by the company. Level to increasing production supports the original investment thesis regarding low decline production profiles with improving netbacks given crude oil fundamentals.

The company also announces that it has entered into an agreement with an arm's-length third party to provide loan proceeds of $106,000, bearing interest at 12 per cent per annum, on an unsecured basis. The facility loan is repayable in equal instalments over an 18-month term, with 50 per cent of the facility loan supported by a stand-alone agreement between GLC and the unrelated third party announced in the company's original oil and gas acquisition and farmout transaction press release (see press release dated Jan. 14, 2026). Total facility upgrade costs are estimated at $263,000. The balance of the facility cost upgrades will be financed in part by Analogy Capital Advisors Inc. to its 40-per-cent working interest after consideration of a non-interest-bearing loan provided by the vendor of the facility equipment of approximately $86,000 (the vendor loan), repayable by all partners in accordance with their respective working interests, being:

• Analogy Capital -- 40 per cent;
• GLC -- 30 per cent;
• Unrelated third party -- 30 per cent.

Following completion of the facility upgrades to improve operating cost efficiencies and increase throughput capacity, GLC, as operator, expects to enter into separate processing fee agreements with all working interest partners, with the potential for fees on third party volumes. The facility upgrades are expected to enhance operating netbacks for all partners with processing fee income allocated first to debt repayments. The company expects that with greater operating efficiencies and lower costs, the company's payout timelines will accelerate, after which, the company's share of net operating income will increase significantly. The company expects these facility upgrades to be completed in early August, 2026.

About Grounded Lithium Corp.

Grounded Lithium is a publicly traded lithium brine exploration and development company that owns approximately 1.0 million metric tonnes of measured and indicated lithium carbonate equivalent mineral resource and approximately 3.2 million metric tonnes of inferred lithium carbonate equivalent resource over the company's focused landholdings in southwest Saskatchewan as per the company's updated PEA (preliminary economic assessment). The updated PEA, titled "NI 43-101 Technical Report: Preliminary Economic Assessment Kindersley Lithium Project - Phase 1 Update" dated Nov. 7, 2023, and effective as of June 30, 2023, reports a phase 1 NPV 8 (net present value, 8-per-cent discount rate) after-tax of $1.0-billion (U.S.) with an after-tax IRR (internal rate of return) of 48.5 per cent. In January, 2024, Grounded Lithium entered into an agreement with Denison whereby Denison has the option to earn up to a 75-per-cent working interest in the KLP by funding in aggregate up to $15.15-million comprising both cash payments to GLC of up to $3.15-million and financing project expenditures of up to $12-million through a structured earn-in option.

Grounded Lithium's multifaceted business model involves the consolidation, delineation, exploitation and ultimately development of the company's opportunity base to fulfill its vision to build a best-in-class, environmentally responsible, Canadian lithium producer supporting the global energy transition shift.

Qualified person

Scientific and technical information contained in this press release has been prepared under the supervision of Doug Ashton, PEng, Alexey Romanov, PGeo, Meghan Klein, PEng, Dean Quirk, PEng, Jeffrey Weiss, PEng, Chad Hitchings, PL Eng, and Michael Munteanu, PEng, each of whom is a qualified person within the meaning of National Instrument 43-101.

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