Mr. Michael Tucker reports

PERSEVERANCE METALS INCREASES LAND HOLDINGS ON THE VOYAGEUR NI-CU-PGE PROJECT, MICHIGAN

Perseverance Metals Inc. has entered into an option agreement with an arm's-length party dated Oct. 23, 2026, to acquire 240 acres of mineral rights on the company's Voyageur project in the Upper Peninsula of Michigan, United States, strategically increasing the company's holdings in the region.

"With our recent discovery of the nickel-copper-bearing Osprey intrusion, consolidating and increasing our mineral rights on the Voyageur project has become a top priority for the company," said Michael J. Tucker, chief executive officer. "We are very pleased to secure these strategically important land positions, and we expect to continue to add additional mineral rights in the coming days."

Under the option agreement, the optionor has granted to Perseverance, through its wholly owned U.S. subsidiary, the sole and exclusive option to acquire a 100-per-cent interest in the mineral rights comprising approximately 240 acres in Houghton county, Michigan. To maintain and exercise the option, the company must make cash payments and issue common shares of the company over six years as follows:

• $20,000 (U.S.) in cash and $20,000 (U.S.) in shares within five days of TSX Venture Exchange acceptance;
• $20,000 (U.S.) in cash and $15,000 (U.S.) in shares on or before the first anniversary of the option agreement;
• $20,000 (U.S.) in cash and $20,000 (U.S.) in shares on or before the second anniversary of the option agreement;
• $20,000 (U.S.) in cash and $20,000 (U.S.) in shares on or before the third anniversary of the option agreement;
• $25,000 (U.S.) in cash and $20,000 (U.S.) in shares on or before the fourth anniversary of the option agreement;
• $30,000 (U.S.) in cash and $30,000 (U.S.) in shares on or before the fifth anniversary of the option agreement; and
• $100,000 (U.S.) in cash and $100,000 (U.S.) in shares on or before the sixth anniversary of the option agreement.

Upon exercise of the option, the company will grant the optionor a 3-per-cent net smelter return royalty, which the company may reduce to 1.5 per cent by paying $1-million (U.S.) before completing a preliminary economic assessment, or $2-million (U.S.) after a preliminary economic assessment but before a production or construction decision is made on the landholdings.

All consideration shares will have a deemed issue price equal to the greater of: (i) the closing price of the company's common shares on the TSX Venture Exchange on the last trading day before issuance; and (ii) 61 cents. A maximum of 512,700 consideration shares may be issued, based on an exchange rate of $1.39 (Canadian) per $1 (U.S.) as of the date of the option agreement.

All consideration shares will be subject to a statutory hold period of four months and one day from the date of issuance. The option agreement is subject to acceptance by the TSX Venture Exchange. No finders' fees are payable in connection with the option agreement.

About Perseverance Metals Inc.

Perseverance Metals is a critical mineral explorer with a project portfolio that is strategically located in key North American nickel-copper-cobalt-platinum-group-element and hardrock lithium regions, including Michigan's Mid-Continent Rift and Quebec's prolific James Bay district.

Its strict science-driven approach and extensive record of discovery as leveraged through an exceptional technical advisory board, coupled with an industry-leading team armed with next-generation exploration tools, provide the company with a distinct competitive advantage. This offers a unique opportunity for investors to be exposed to a portfolio of projects with the potential for multiple discoveries.

Perseverance's exploration assets include:

1. The Voyageur Ni-Cu-Co-PGE project, which covers 680 square kilometres of the Upper Peninsula of Michigan, 65 kilometres west of the only producing nickel mine in the United States; the company's inaugural drill program on the Voyageur project is currently under way, continuing to expand on the recent Osprey Ni-Cu-bearing mafic-ultramafic intrusion discovery (see the news release dated Sept. 9, 2026);
2. The Lac Gayot high-grade Ni-Cu-Co-PGE and lithium pegmatite project, which covers the entirety of the 30-kilometre-long Venus greenstone belt in Quebec, featuring multiple, very high-grade Ni-Cu-Co-PGE showings and zones and numerous spodumene-bearing pegmatites; and
3. The Armit Lake Ni-Cu-Co project, which is the consolidated and underexplored western half of the nickel- and gold-rich Savant Lake greenstone belt in Ontario.

We seek Safe Harbor.