Mr. Jagdip Bal reports

LEXSTON MINING CORPORATION ANNOUNCES AN OPTION AGREEMENT FOR URANIUM PROJECT 176 AND URANIUM PROJECT ITZA IN NUNAVUT

Lexston Mining Corp. has entered into the Project 176 and Project Itza option agreement dated Nov. 27, 2023, with three optionors to acquire 100-per-cent interest in the uranium mineral property, generally known as Project 176 (claim 103470) and Project Itza (claim numbers 103463, 103478 and 103465) located in the Thelon basin in Nunavut and occupying a total area of 5,661.93 hectares.

To exercise the option and earn the 100-per-cent interest in the property, the company has over a period of two years to pay a total of $400,000 and issue a total of six million shares to the optionors as follows:

• Upon the execution of the agreement to pay $10,000;
• Sixty days from the date of the agreement to pay $90,000 and issue one million shares;
• Within one year from the date of the agreement to pay $100,000 and issue two million shares;
• Within two years from the date of the agreement to pay $200,000 and issue three million shares.

The option is subject to a net smelter return royalty payable by the company to the optionors equal to 1 per cent on the proceeds from production for all minerals derived from the property.

The company may elect to purchase from the optionors at any time one-half of the net smelter return royalty, upon the payment to the optionors of $1-million.

The optionors are arm's-length parties to the company.

The agreement provides for an investigative period of 60 days. The investigative period locks the property for the company for 60 days in exchange for a payment of $10,000. During the investigative period the company plans to perform further investigations regarding the property and can terminate the agreement by providing one-day written notice to the optionors without making any additional payments or issuing any shares. If the company is satisfied with its investigation, the company plans to explore the property for uranium and to make further payments and issue shares to the optionors.

Jag Bal, president and chief executive officer of Lexston, states: "We remain steadfast in our commitment to exploration, drilling and value creation through advancing our portfolio of properties. This option agreement provides an opportunity to get a foothold in a data-rich part of the Thelon basin.

"High-resolution, modern geophysics has not been deployed to the project before, providing an advantage for Lexston to leverage the $2-million in previous uranium exploration in the area."

Both projects sit at the mapped unconformity between the Thelon formation and the underlying Amer Lake metasediments. Containing reactivated faults identified in 2013 -- not identified when the properties were last explored (2012). The intersection of reactivated faults and unconformities is highly prospective for uranium deposits (in example, Cigar Lake and Key Lake).

The two projects are within the most prospective region of the Thelon basin and contain the highest-grade uranium oxide samples.

Project opportunity:

• Strong land position in the up-and-coming Thelon basin;
• Extensive historical data available to guide exploration planning;
• Historical high-grade uranium occurrences;
• Previous exploration programs terminated without extensive drill testing;
• Thelon basin is experiencing a staking rush, and these projects cover the historically most attractive areas;
• Multiple projects that cover the spectrum from conceptual exploration targets to near-drill-ready targets.

Project 176 -- 1,708 hectares/17 square kilometres

Extremely high-grade boulders discovered: Boulders up to 33 per cent uranium have been found within the project and previous explorers never identified the source. A 0.88 per cent uranium oxide boulder sits within the project and planned drilling in 2007 was never completed.

Project 176 is in the northeastern portion of the Thelon basin -- 176 is within the most prospective region of the Thelon basin that contains the highest-grade uranium sample -- 380,000 parts per million uranium.

Project 176 was previously owned and explored by NexGen Energy who purchased the project from Mega Uranium in 2012 -- following the uranium price collapse, NexGen let the licences lapse without drill testing any anomalies defined in 2012 regional work.

The project contains very high-grade boulders with assays up to 38 per cent uranium.

Multiple coincident anomalies:

Magnetic low         VLF electromagnetic
Gravity low          Radiometric   
Uranium in soil      Track-etch anomalies

The combination of the anomalies defined historically provides prime ingredients for discovering a high-grade uranium deposit within the project area.

Geophysical work in 2012 defined similar fault arrays in the 176 Project area but market conditions prevented detailed follow-up.

Proposed work:

• Reprocess geophysical data and evaluate with the new geological theory proposed by Jefferson et al (2013);
• Complete high-resolution VTEM to add resolution to the basement conductors and anomalies identified in 2012;
• Complete high-resolution gravity surveys.

Project Itza -- 3,955 hectares/39.6 square km

Project Itza is located in the northeastern portion of the Thelon basin -- Itza was identified before the staking rush took place and is within the most prospective region of the Thelon basin that contains the high-grade uranium oxide samples.

A 0.88 per cent uranium oxide boulder sits within the project and planned drilling in 2007 was never completed. At least three radioactive boulder trains are located, and the source is yet to be tested. Project Itza sits at the mapped unconformity between the Thelon formation and the underlying Amer Lake metasediments. It contains reactivated faults identified in 2013 -- not identified when the properties were last explored (2012). The intersection of reactivated faults and unconformities is highly prospective for uranium deposits, in example Cigar Lake and Key Lake. Historical assessment reports show expenditures greater than $10-million in the area, with at least $2-million on the Itza Project. Multiple radioactive boulders were measured, including a 10,400 ppm uranium/1.27 per cent uranium oxide.

Previous explorers (Titan and Mega) focused only on Amer Lake geology based on data acquired from previous operators, the potential for Neoarchean Rumble formation to underly part of the licence is high, which presents a high-quality unconformity target.

The project requires evaluation using concepts developed since exploration stopped in 2012.

The project has yet to be explored since the 2007 geophysical surveys or the 2013 revised geological framework by Jefferson et al. The only drilling on the property was in 1980 and the aim then was to understand stratigraphy -- not hunting for a deposit. No explorer has tested the Neoarchean rocks that are projected to underlie the project area -- These rocks host the nearby Tatiggaq discovery and Kiggavik deposit.

The company is a Canadian mineral exploration company, focused on the acquisition and development of mineral projects, with the objective to enhance value to all its stakeholders. The company has a mineral exploration project in British Columbia, Canada.

The technical information contained in this news release has been reviewed by Richard Walker, a director of the company and a certified professional geologist with the American Institute of Professional Geologists and a member of the Geological Society of Nevada, a qualified person for the company as defined in National Instrument 43-101.

We seek Safe Harbor.