Mr. Hugh Rogers reports

NEXCEL METALS EXERCISES SECOND OPTION, INCREASING OWNERSHIP OF ORIGINAL BURNT HILL PROPERTY TO 80.28%

Nexcel Metals Corp. has exercised the second option under its option agreement dated Oct. 3, 2025, with Cadillac Ventures Inc. (the optionor) and Wyloo Ring of Fire Ltd., increasing the company's ownership interest in the Burnt Hill tungsten project in New Brunswick, Canada, from 71.58 per cent to 80.28 per cent.

Under the option agreement, Cadillac originally held a 58-per-cent interest in the Burnt Hill project, with Wyloo holding the remaining 42 per cent. Nexcel initially exercised the first option to acquire 51 per cent of Cadillac's 58-per-cent interest in December of 2025, representing a 29.58-per-cent interest in the overall property (see news release dated Dec. 12, 2025).

On Feb. 17, 2026, Nexcel completed the acquisition of Wyloo's entire 42-per-cent interest in the Burnt Hill project, increasing Nexcel's total ownership to 71.58 per cent (see news release dated Feb. 2, 2026). The acquisition of Wyloo's 42-per-cent interest was completed through the issuance of 3,931,094 Nexcel common shares and 6.25 million non-transferable common share purchase warrants exercisable at 90 cents until Feb. 17, 2029.

By exercising the second option, Nexcel has now acquired an additional 15 per cent of Cadillac's original 58-per-cent interest in the property, representing an additional 8.70-per-cent interest in the overall Burnt Hill project. As a result, Nexcel now owns an aggregate 80.28-per-cent interest in Burnt Hill, with Cadillac holding the remaining 19.72 per cent.

Pursuant to Section 3.2 of the option agreement, the company exercised the second option, before the Oct. 3, 2026, anniversary date, by:

• Making a cash payment of $25,000 to Cadillac;
• Issuing 253,742 common shares of Nexcel, to Cadillac, having a deemed value of $200,000.

The option agreement provides that upon completion of these conditions, Nexcel earns an additional 15-per-cent legal and beneficial interest in Cadillac's original 58-per-cent interest, increasing Nexcel's ownership of that interest from 51 per cent to 66 per cent.

Hugh Rogers, chief executive officer of Nexcel Metals, commented: "Increasing Nexcel's ownership of Burnt Hill to more than 80 per cent is another significant step in consolidating the project under Nexcel. Since entering into the original option agreement, we have increased our ownership from an initial 29.58-per-cent interest to 80.28 per cent today, while continuing to advance exploration and expand the broader Burnt Hill opportunity. With the ability to earn the remaining interest from Cadillac under the option agreement, Nexcel has the right to earn a 100-per-cent interest in the project, subject to completing the remaining option payments and share issuances."

Expansion and consolidation of the Burnt Hill tungsten project

Nexcel's Burnt Hill tungsten project has evolved significantly since the company first entered the district in October, 2025. Through a combination of staged property acquisitions, direct claim staking and an additional option agreement, Nexcel has increased both its ownership of the original Burnt Hill property and the overall size of its land position surrounding the historic tungsten deposit.

On March 24, 2026, the company announced that it had directly staked an additional 4,137 hectares of mineral claims surrounding the Burnt Hill area. This first staking increased the company's overall Burnt Hill land position from approximately 1,540 hectares to 5,677 hectares.

On April 15, 2026, Nexcel announced a second round of direct claim staking covering an additional 2,369 hectares. Following the second staking, the Burnt Hill land package had grown to approximately 8,046 hectares, representing more than a fivefold increase from the original property acquired under the October, 2025, option agreement.

Nexcel continued its consolidation strategy on June 29, 2026, when the company entered into a separate option agreement with a third party vendor to acquire a 100-per-cent interest in an additional approximately 500 hectares of claims in the Burnt Hill area.

Collectively, the original Burnt Hill property, the two packages of claims staked directly by Nexcel and the additional claims subject to the June, 2026, option agreement have expanded the Burnt Hill tungsten project to approximately 8,546 hectares -- an increase of approximately 7,006 hectares, or 455 per cent, from the original 1,540-hectare property.

The expanded land package is approximately 5.5 times the size of the original Burnt Hill property.

Accordingly, the company now uses the term "Burnt Hill Tungsten project" to describe the broader consolidated land package, which consists of the original Burnt Hill property containing the historic tungsten-molybdenum mineral resource, claims subsequently staked directly by Nexcel, and additional claims being acquired pursuant to the June, 2026, option agreement.

The consolidation provides Nexcel with a substantially larger exploration footprint surrounding the historic Burnt Hill deposit and allows the company to evaluate the known mineralized system and additional exploration targets within a broader district-scale geological setting.

Qualified person

Graham Giles, PGeo, a consultant to the company and a qualified person as defined under National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical information contained in this news release.

About Nexcel Metals Corp.

Nexcel Metals is a Canadian mineral exploration company focused on the acquisition, exploration and development of critical mineral projects in Canada. The company's flagship Burnt Hill tungsten project is located in New Brunswick and encompasses a significant land package within one of Canada's most historically significant tungsten camps. Nexcel's strategy is to advance and expand its critical minerals portfolio through systematic exploration, strategic property acquisitions and the evaluation of development opportunities in stable mining jurisdictions. The company also has the option to acquire a 100-per-cent interest in the Lac Ducharme REE (rare-earth element) project in Quebec.

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