Mr. Nicholas Konkin reports

CHAMPION ELECTRIC ANNOUNCES CLOSING OF DEBT SETTLEMENT

Further to Champion Electric Metals Inc.'s press release dated May 14, 2026, it has settled an aggregate of $182,826 in outstanding indebtedness owed to certain creditors of the company, through the issuance of an aggregate of 17,587,584 common shares in the capital of the company at a deemed issuance of one cent per share.

The shares are subject to the following contractual vesting and resale restrictions:

• 25 per cent of the total shares vest and are released from restriction on Sept. 22, 2026;
• 25 per cent vest and are released from restriction on Jan. 22, 2027;
• 25 per cent vest and are released from restriction on May 22, 2027;
• 25 per cent vest and are released from restriction on Nov. 22, 2027.

Any sale, transfer or other disposition of the shares prior to the applicable vesting date is prohibited.

The debt settlement constitutes a related party transaction pursuant to Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions as an insider received an aggregate of 16.44 million shares. The company is relying on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in Section 5.5(b) and Section 5.7(1)(b) of MI 61-101, respectively, on the basis that (i) no securities of the company are listed or quoted on any of the markets specified in Section 5.5(b) of MI 61-101 and (ii) the fair market value of the securities issued to related parties pursuant to the financing does not exceed $2.5-million, along with the other applicable circumstances contained in Section 5.7(1)(b) of MI 61-101.

About Champion Electric Metals Inc.

Champion Electric is a discovery-focused exploration company with copper, gold and cobalt properties in Idaho, United States. The assets include the 100-per-cent-owned Champagne polymetallic project in Butte county near Arco, Idaho, and the Baner gold project in Idaho county (optioned to Legacy Gold Mines Ltd., TSX-V: LEGY). The company also retains significant claims in the Idaho cobalt belt. The company's shares trade on the Canadian Securities Exchange under the trading symbol LTHM, on the OTC Markets under the trading symbol CHELF and on the Frankfurt Stock Exchange under the symbol 1QB0.

Champion Electric strives to be a responsible environmental steward, stakeholder and contributing citizen to the local communities where it operates, taking its social licence seriously, employing local community members and service providers at its operations whenever possible.

We seek Safe Harbor.