Mr. Nicholas Holthouse reports

MONT ROYAL ANNOUNCES AGREEMENT WITH PORT SAGUENAY FOR THE ASHRAM RARE EARTHS PROJECT

Mont Royal Resources Ltd. has executed a non-binding memorandum of understanding with the Saguenay Port Authority located in Saguenay, Que., Canada.

The MOU, which was signed by senior representatives of Mont Royal and the Port on Jan. 27, 2026, establishes a framework for co-operation relating to Mont Royal's proposed industrial project related to the processing and valorization of rare earth concentrates (the Ashram project).

Under the agreement, Mont Royal (through its wholly owned subsidiary Commerce Resources) is considering locating a hydrometallurgical facility within the Port Saguenay industrial zone, subject to further technical, commercial and regulatory evaluations.

The Port of Saguenay has been identified as a key piece of infrastructure with the potential to become a strategic export gateway for critical minerals produced in Northern Quebec to global markets. The importance of this corridor and the role of the Port of Saguenay in facilitating critical mineral exports were recognized in Canada's 2025 federal budget. The MOU is part of the broader effort to develop a local and integrated value chain in Quebec, aimed at maximizing the impact of critical and strategic mineral resources from extraction through processing, while fostering industrial innovation and regional competitiveness.

By strengthening logistics partnerships and leveraging strategic infrastructure such as the Port of Saguenay, the initiative contributes to reinforcing Canada's position in international critical mineral markets, which are essential to the energy transition and clean technologies.

SPA owns land in its world-class industrial port zone that could potentially be suitable for the Ashram project's proposed hydrometallurgical plant, subject to technical, environmental, regulatory and operational assessments. Under the agreement, SPA may, subject to availability and approvals, consider making certain port facilities accessible for the potential transportation and handling of Mont Royal's rare earth concentrate and intermediate rare earth products.

Key functions and features of Saguenay Port Authority (Port de Saguenay):

• Strategic location: deepwater port with year-round access, connecting to North American rail and highway networks;
• Site services and logistics: proposed industrial port zone site will be reticulated with power, water, gas and permitted process water discharge points; adjacent mature mining and processing operations provide the region with a skilled work force and technical support service industry; the site is well serviced with a railhead, ample equipment storage and laydown areas, and all-weather road network;
• Economic engine: supports regional development and provides access to global markets;
• Industrial hub: features extensive industrial land and facilities for handling dry bulk, liquid bulk and general cargo;
• Governance: operates as a federally incorporated, autonomous entity with a diverse board.

The MOU is on a non-exclusive basis and terminated by the earlier of either party in writing or on Dec. 31, 2026, if the parties have not yet entered into a formal agreement, unless both parties express their written consent to postpone such deadline to a later date.

About Mont Royal Resources Ltd.

Mont Royal is a critical mineral development and exploration company with projects in Quebec, Canada. The company is dedicated to advancing its 100-per-cent-owned Ashram rare earth and fluorspar deposit in Quebec, Canada -- one of the largest monazite-dominant carbonatite-hosted rare earth element deposits in North America. In addition, the company owns 75 per cent of Northern Lights Minerals' 536-square-kilometre tenement package located in the Upper Eastmain greenstone belt. The projects are located in the emerging James Bay area, a Tier 1 mining jurisdiction of Quebec, and are prospective for lithium, precious (gold and silver) and base metal mineralization (copper and nickel).

We seek Safe Harbor.