Mr. Kal Malhi reports

HERTZ ENERGY INC. ANNOUNCES LIFE AND FLOW-THROUGH OFFERING FOR GROSS PROCEEDS UP TO $5,000,000

Hertz Energy Inc. has arranged a non-brokered private placement of up to five million units of the company at a price of 40 cents per unit for gross proceeds of up to $2-million, pursuant to the listed issuer financing exemption (LIFE) available under Part 5A of National Instrument 45-106, Prospectus Exemptions. Each unit will consist of one common share in the capital of the company and one-half of one common share purchase warrant. Each warrant will be exercisable to acquire one common share at a price of 60 cents per warrant share for a period of 24 months from the date of issuance.

The gross proceeds from the LIFE offering will be used for exploration work to be conducted at the company's recently announced Crag and Rod properties, together with and including the Craig silver-lead-zinc deposit, located in east-central Yukon, and the company's other exploration projects, including the Lake George antimony-tungsten-gold project (tungmony) in New Brunswick, in addition to working capital purposes. The recently announced option agreement to acquire a 100-per-cent interest in the Crag and Rod projects, situated within a prospective subbelt of the approximately 175-kilometre-long Rackla belt, a region recognized for hosting some of Yukon's highest-grade silver-lead-zinc and gold mineralization, was a significant development milestone for Hertz, positioning it at the forefront of Canadian silver exploration. The Craig deposit is a drill-defined silver-lead-zinc asset that remains open along strike and at depth, offering significant potential for resource expansion. The Crag-Rod project will be a core focus of the company's exploration initiatives into 2026, and represents a consolidated and contiguous property that includes a 14-kilometre mineralized corridor hosting multiple underexplored zones such as Discovery, Trent, Azure, Nadaleen and Scott. Historical drilling has returned numerous high-grade intercepts, including intervals exceeding 200 grams per tonne (g/t) silver with substantial lead and zinc values (refer to the company's news release dated Jan. 28, 2026).

There is an offering document related to the LIFE offering that can be accessed under the company's profile on SEDAR+ and at the company's website. Prospective investors should read this offering document before making an investment decision. The securities offered under the LIFE offering will not be subject to a hold period in accordance with applicable Canadian securities laws.

Flow-through (FT) offering

The company also intends to offer up to six million flow-through units of the company at a price of 50 cents per FT unit for gross proceeds of up to $3-million. Each FT unit will consist of one common share, to be issued as a flow-through share within the meaning of the Income Tax Act (Canada) and the Taxation Act (Quebec), and one-half of one warrant, with each warrant having the same terms as in the LIFE offering.

The gross proceeds from the issuance and sale of the FT units will be used on the company's recently optioned for a 100-per-cent interest Crag and Rod properties in Yukon, along with the company's Lake George antimony-tungsten-gold project (tungmony) in New Brunswick, to incur Canadian exploration expenses as such term is defined under Subsection 66.1(6) of the Income Tax Act (Canada) and will qualify as flow-through mining expenditures as defined in Subsection 127(9) of the Income Tax Act (Canada). The qualifying expenditures will be incurred on or before Dec. 31, 2027, and will be renounced to the subscribers with an effective date no later than Dec. 31, 2026, in an aggregate amount not less than the gross proceeds raised from the issuance of the FT shares.

All securities issued in connection with the FT offering will be subject to a statutory hold period of four months and one day following the date of issuance in accordance with applicable Canadian securities laws.

The company has also agreed to pay qualified finders and brokers a cash commission of 7.0 per cent of the aggregate gross proceeds of the LIFE offering and FT offering, and such number of one-half of one common share purchase warrants as is equal to 7.0 per cent of the number of units and FT units sold under the LIFE offering and FT offering. Each whole broker warrant shall comprised two one-half of one common share purchase warrants and will entitle the holder to purchase one common share at an exercise price equal to the offering price for a period of 24 months following the date of issuance.

The closing of the LIFE offering and FT offering is expected to occur on or about Feb. 28, 2026, or such other earlier or later date as the company may determine.

Cautionary statements

All scientific and technical information contained in this news release are historical in nature unless otherwise stated. Historical results referenced herein have not been verified by the company's qualified person and should not be relied upon.

Qualified person statement

All scientific and technical information in this news release has been reviewed and approved by Paul Teniere, PGeo, a geological consultant to the company and considered a qualified person for the purposes of National Instrument 43-101.

About Hertz Energy Inc.

The company is a British Columbia-based junior exploration company primarily engaged in the acquisition and exploration of energy metals mineral properties. The company is focused on advancing the Crag and Rod properties, together with and including the Craig silver-lead-zinc deposit, located in east-central Yukon, situated within the Craig belt, a prospective subbelt of the approximately 175-kilometre-long Rackla belt, a region recognized for hosting some of Yukon's highest-grade silver-lead-zinc and gold mineralization. The company's lithium exploration projects include the Agastya lithium project in James Bay, Que. Hertz Energy's 100-per-cent-owned Harriman antimony project in the Gaspe region of Quebec and the Lake George antimony-gold-tungsten project in New Brunswick are part of the company's growing property portfolio.

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