Mr. Nick Brusatore reports

HARRYS MANUFACTURING SIGNS NON-BINDING LETTER OF INTENT FOR ACQUISITION OF TWO GOLD PLACER CLAIMS

Harrys Manufacturing Inc. has entered into a non-binding letter of intent dated June 1, 2026, with an arm's-length vendor to acquire certain placer gold mineral tenures located in British Columbia.

Pursuant to the terms and conditions of the LOI, Harrys intends to acquire a 100-per-cent interest in the Beggs Upper and Patty's Rest placer claims comprising placer title No. 1108746 and No. 1062262 totalling approximately 330 hectares. The aggregate purchase price for the property will be $500,000, comprising:

• $400,000 in cash;
• $100,000 in common shares in the capital of Harrys, to be issued at the market price of the company's shares at the time of closing, subject to the minimum pricing requirements of the Canadian Securities Exchange.

Completion of the proposed acquisition remains subject to the negotiation and execution of a definitive agreement, completion of satisfactory due diligence by the company, receipt of all required regulatory approvals and other customary conditions for a transaction of this nature.

The company's due diligence review will include verification of title and tenure status, geological and operational evaluations, review of historical production information, environmental review, and confirmation that the property is free and clear of undisclosed encumbrances.

"These two placer claims fit squarely with what Harrys is building, and I look forward to digging into their exploration and production upside as we work toward a definitive agreement," said Nick Brusatore, chief executive officer of Harrys. "Securing a 100-per-cent interest in two British Columbia placer properties would give the company real operating ground as we continue exploring our transition into the gold sector and it reflects the disciplined, opportunity-by-opportunity approach we intend to take."

The LOI is non binding, except for certain customary binding provisions including confidentiality and governing law, and there can be no assurance that the proposed acquisition will be completed as contemplated or at all.

Corporate update

Further to the company's news release dated May 26, 2026, Harrys has concluded its preliminary due diligence and has elected not to pursue further negotiations in respect of the Cottonwood and Gagen Creek placer gold claims, comprising placer title No. 413989, No. 1031052, No. 1115189, No. 1022879, No. 10707008 and No. 1060593.

We seek Safe Harbor.