Mr. Bryan Baritot reports

MCFARLANE LAKE MINING ANNOUNCES C$15 MILLION BOUGHT DEAL PRIVATE PLACEMENT

McFarlane Lake Mining Ltd. has entered into an agreement with ATB Cormark Capital Markets, as lead underwriter and sole bookrunner, on behalf of a syndicate of underwriters in connection with a bought deal private placement of: (i) 20,953,000 common shares of the company that will qualify as flow-through (FT) shares (within the meaning of Subsection 66(15) of the Income Tax Act (Canada)), at a price of 52.5 cents per FT share, for gross proceeds of $11,000,325; and (ii) 10,527,000 common shares of the company, at a price of 38 cents per HD (hard-dollar) share, for gross proceeds of $4,000,260, for aggregate gross proceeds to the company of $15,000,585.

In addition, the company has granted the underwriters an option to purchase up to an additional 5,921,284 HD shares at the HD offering price for additional gross proceeds of up to $2,250,088, on the same terms and conditions, by giving written notice of the exercise of the option, or a part thereof, to the company at any time up to 48 hours prior to the closing date (as defined below).

The company will use an amount equal to the gross proceeds received by the company from the sale of the FT shares, pursuant to the provisions in the Income Tax Act (Canada), to incur eligible Canadian exploration expenses that qualify as flow-through mining expenditures as both terms are defined in the Income Tax Act (Canada), and in respect of eligible Ontario purchasers, eligible Ontario exploration expenditures as defined in Subsection 103(4) of the Taxation Act 2007 (Ontario) related to the company's Juby project in Ontario. The company intends to use the net proceeds of the offered HD shares for working capital and general corporate purposes. Qualifying expenditures in an aggregate amount not less than the gross proceeds raised from the issue of the FT shares will be incurred (or deemed to be incurred) by the company on or before Dec. 31, 2027, and will be renounced by the company to the initial purchasers of the FT shares with an effective date no later than Dec. 31, 2026.

The offering is expected to close on or about Sept. 9, 2026, or such other date as the company and the underwriters may agree and is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and other approvals.

Subject to compliance with applicable regulatory requirements and in accordance with National Instrument 45-106, Prospectus Exemptions, the FT shares and HD shares will be offered for sale to purchasers resident in all provinces of Canada, other than Quebec, and/or other qualifying jurisdictions pursuant to the listed issuer financing exemption under Part 5A of NI 45-106, as amended by Coordinated Blanket Order 45-935, Exemptions from Certain Conditions of the Listed Issuer Financing Exemption. The FT shares and HD shares issued to Canadian resident subscribers under the listed issuer financing exemption will not be subject to a hold period pursuant to applicable Canadian securities laws.

There is an offering document related to the offering and the use by the company of the listed issuer financing exemption that can be accessed under the company's profile on SEDAR+ and on the company's website. Prospective investors should read this offering document before making an investment decision.

About McFarlane Lake Mining Ltd.

McFarlane Lake is a gold exploration company focused on exploring and advancing the Juby gold project near Gowganda, Ont. The Juby gold project has a National Instrument 43-101 inferred resource of 5.06 million ounces of gold at 0.87 gram per tonne (g/t) contained in 180.67 million tonnes and indicated resources of 1.14 million ounces of gold at 0.95 g/t contained in 37.17 million tonnes, using a long-term gold price of $3,600 (U.S.) per ounce. These resources have an effective date of Aug. 14, 2026. Sensitivities performed at higher gold prices -- $4,600 (U.S.) per ounce gold -- the deposit holds 5.40 million inferred ounces at 0.85 g/t gold and 1.20 million indicated ounces at 0.93 g/t gold.

The full technical report on these resources will be issued within 45 days of the company's MRE announcement. The technical report will be issued by BBA E&C Inc., an independent organization from McFarlane Lake Mining. McFarlane is currently planning to perform exploration drilling on the Juby gold project, as well as other study work to advance the development of the property.

In addition to the Juby gold project, McFarlane holds a portfolio of 100-per-cent-owned gold assets across Ontario, including the past-producing McMillan gold mine and Mongowin properties, located approximately 70 kilometres west of Sudbury, and the Michaud/Munro properties, located 115 kilometres east of Timmins. McFarlane is a reporting issuer in Ontario, British Columbia and Alberta.

Qualified person

Mark Trevisiol, PEng (Ontario), president and chief executive officer of McFarlane Lake Mining and a non-independent qualified person as defined by National Instrument 43-101, has approved and verified the technical information used in this news release. The mineral resource estimate referenced herein was prepared by BBA E&C, an independent organization from McFarlane Lake Mining.

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