Mr. Rob Shewchuk reports

LITHIUMBANK SIGNS NON-BINDING LETTER OF INTENT TO ACQUIRE FUNDAMENTAL INFRASTRUCTURE FOR THE BOARDWALK LITHIUM BRINE PROJECT

LithiumBank Resources Corp. has signed a non-binding letter of intent (LOI), dated July 2, 2026, with an arm's-length third party, granting LithiumBank the option to acquire certain key infrastructure assets associated with the company's 100-per-cent-owned Boardwalk lithium brine project located in northwest Alberta, Canada.

The infrastructure identified in the LOI includes existing wells, pipelines, related surface leases and easements that are expected to materially reduce capital expenditures and shorten the timeline required to advance Boardwalk toward development and commercialization.

"This letter of intent represents a significant step towards LithiumBank's objective of becoming a commercial lithium producer," said Rob Shewchuk, director and chief executive officer of LithiumBank. "The ability to access existing wells, pipelines, and related surface leases and easements has the potential to position Boardwalk as one of the most environmentally responsible brownfield footprints in North America, with the ability to materially shorten timeline to production when compared with other pre-FD lithium brine projects."

"The LOI provides a pathway to substantial capital expenditure reductions that we believe could enhance the economics of the Boardwalk feasibility study currently under way. At a time when domestic and battery-quality lithium supply is becoming increasingly important, this opportunity has the potential to help establish Boardwalk as an attractive, scalable and strategically important source of near-term lithium carbonate supply in North America," commented executive chair Paul Matysek.

Pursuant to the terms of the LOI, the parties intend to negotiate and enter a mutually satisfactory option to purchase agreement. The option agreement would grant LithiumBank the option, for a period of two years, to acquire the assets identified in the LOI, subject to satisfactory due diligence and receipt of applicable regulatory approvals.

Upon execution of the option agreement, LithiumBank will pay $1-million consisting of $500,000 in cash and $500,000 worth in common shares in the capital of the company. The shares will be issued at a price per share equal to the discounted market price, as defined in Policy 1.1 of the TSX Venture Exchange, based on the closing price of the shares on the TSX-V on the trading day immediately prior to the effective date of the option agreement.

At any time during the term of the option agreement, LithiumBank may exercise the option to acquire the assets for a purchase price of $2.5-million, consisting of $1.25-million in cash and $1.25-million in shares. The shares issuable on exercise of the option will be issued at a price per share equal to the discounted market price, as defined in Policy 1.1 of the TSX-V, based on the closing price of the shares on the TSX-V on the trading day immediately prior to the delivery of the notice of exercise.

LithiumBank has previously acquired two past producing Leduc formation wells together with associated well pads, and access roads at Boardwalk. These wells known as 10-6 and 1-12, were announced May 16, 2024, and March 10, 2026, respectively. Both wells are expected to be included in the production well network being evaluated for the upcoming feasibility study.

The top of the Leduc Fm is 2,600 to 2,800 metres (m) below surface consistent with Leduc formation elsewhere in Alberta. By re-entering and deepening the 10-6 and the 1-12 wells LithiumBank would be required to drill only 300 metres or one-10th of the depth required for a new well drilled from surface. This approach is expected to reduce the capital required to access the lithium brine resource with the Leduc formation.

LithiumBank's initial due diligence indicates that the infrastructure identified in the LOI could provide significant value to Boardwalk, with replacement costs that would be higher than the acquisition costs contemplated under the LOI. The company intends to conduct further due diligence prior to entering into the option agreement. Acquisition of the asset remains subject to approval by Alberta Energy Regulator.

LithiumBank is focused on developing Boardwalk in a sustainable and scalable manner by focusing on using existing infrastructure to not only reduce upfront costs but also to keep the new land disturbance to a minimum. As previously announced on May 28, 2026, the company has a development agreement with SLB to commercialize Boardwalk and included binding licencing terms for SLB's energy efficient, well-to-product integrated lithium solutions that incorporate direct lithium extraction (DLE).

Over the last five years, the company has successfully consolidated all the strategic brine-hosted mineral licences (BHML) at Boardwalk and Park Place covering the Leduc formation. The National Instrument 43-101 resource estimates at Boardwalk and Park Place are both reported as the highest-grade resource estimates in Alberta and together make LithiumBank the largest known holder of lithium brine resources in North America. The two projects are completely unrestricted by overlapping pore space for carbon sequestration applications/permits allowing for a clearer path toward permitting of the first production of lithium from brines in Alberta.

The Boardwalk NI 43-101 resource estimate is entitled "LithiumBank Resources Corp. Boardwalk NI 43-101 Technical Report" with an effective date of Feb. 20, 2025, authored by Alex Haluszka of Montrose Environmental Solutions Canada Inc.; a qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects contains 1,671,000 tonnes at a grade of 81.2 mg/L (milligrams per litre) lithium and 3,524,000 tonnes of indicated LCE at a grade of 81.8 mg/L lithium within the Leduc Fm. This leads to a combined total of measured and indicated resources of 5,195,000 tonnes LCE with an average grade of 81.6 mg/L lithium. And inferred LCE resources of 2,777,000 tonnes at 79.0 mg/L lithium within the Leduc and Beaverhill Lake Gp/Swan Hills Fm.

The initial NI 43-101 compliant technical report for Park Place entitled "LithiumBank Resources Corp. Park Place NI 43-101 Technical Report" effectively dated June 24, 2024, prepared by the following qualified persons: Alex Haluszka, PGeo, of Montrose Environmental Solutions Canada Inc., Maurice Shevalier, PChem, of Montrose Environmental Solutions Canada Inc. and Roy Eccles, PGeol, of APEX Geoscience Ltd., originally reported 21,681,000 tonnes of inferred LCE at a grade of 80.2 mg/L lithium (see news release dated June 24, 2024) and is available on SEDAR+. The updated NI 43-101 resource estimate for Park Place, based on the company's current holding of BHMLs (announced May 29, 2025), totals 15,082,000 tonnes of inferred LCE at a grade of 80.0 mg/L lithium within contiguous BHMLs.

The option is subject to receipt of any required regulatory approvals, including approval of the TSX-V. The shares issued in connection with the option will be subject to a statutory four-month hold period. Upon execution of the option agreement, the company will issue a subsequent news release containing details of the option agreement and any additional terms of the option.

Qualified person

The information that forms the basis for the scientific and technical information disclosed in this news release was prepared and approved by Kevin Piepgrass, PGeo, who is a qualified person (QP) for the purposes of National Instrument 43-101. Kevin Piepgrass consents and approves of the inclusion of the data in the form and context in which it appears. Mr. Piepgrass is the chief operating officer for LithiumBank and is non-independent.

About LithiumBank Resources Corp.

LithiumBank Resources is a publicly traded lithium company that is focused on developing its two flagship projects, Boardwalk and Park Place, in Western Canada. These projects host some of the largest lithium brine resources in North America. The company holds 1,240,140 acres of brownfield brine hosted mineral licences across three districts in Alberta and Saskatchewan. The company has pilot evaluated multiple mature direct lithium extraction (DLE) technologies and has signed a development agreement with SLB to bring the Boardwalk project into production. This agreement includes binding DLE licensing terms with SLB to provide an energy efficient, cost-effective and commercially viable end-to-end lithium brine solution. The company is now working toward establishing commercial lithium production using a modular scale-up approach.

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