Mr. Duncan Roy reports

POWER METALLIC MINES ANNOUNCES CLOSING OF BROKERED LIFE OFFERING FOR GROSS PROCEEDS OF C$28.2 MILLION AND WELCOMES ERIC SPROTT AS A NEW SHAREHOLDER

Power Metallic Mines Inc. has closed its previously announced best efforts private placement for aggregate gross proceeds of $28,228,750, which includes a lead order from Eric Sprott. Pursuant to the offering, the company sold 22,583,000 common shares of the company at a price of $1.25 per offered share. Red Cloud Securities Inc. acted as lead agent and sole bookrunner on behalf of a syndicate of agents that included Titan Partners Group LLC, Roth Canada Inc. and Taylor Collison Ltd. in connection with the offering.

Mr. Sprott, through 2176423 Ontario Ltd., a corporation beneficially owned and controlled by him, acquired 1.6 million offered shares under the offering for total consideration of $2-million.

The company intends to use the net proceeds from the offering for the advancement of the company's flagship NISK project in Quebec and its Jabul Baudan exploration licence in Saudi Arabia, as well as for general working capital and corporate purposes, as is more fully described in the amended offering document (as defined herein).

In accordance with National Instrument 45-106, Prospectus Exemptions, the offered shares were issued 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 offered shares issued to Canadian purchasers are immediately freely tradeable in accordance with applicable Canadian securities legislation.

There is an amended and restated offering document dated June 4, 2026, related to the offering that can be accessed under the company's profile on SEDAR+ and on the company's website.

As consideration for their services, the agents received an aggregate cash fee of $1,443,225. The closing of the offering remains subject to the final approval of the TSX Venture Exchange.

About Power Metallic Mines Inc.

Power Metallic is a Canadian exploration company focused on advancing the Nisk project area (Nisk-Lion-Tiger) -- a high-grade copper-PGE (platinum group element), nickel, gold and silver system -- toward Canada's next polymetallic mine.

On Feb. 1, 2021, Power Metallic (then Chilean Metals) secured an option to earn up to 80 per cent of the Nisk project from Critical Elements Lithium Corp. Following the June, 2025, purchase of 313 adjoining claims (approximately 167 square kilometres (km)) from Li-FT Power, the company now controls approximately 330 square km and roughly 50 km of prospective basin margins.

Power Metallic is expanding mineralization at the Nisk and Lion discovery zones, evaluating the Tiger target, and exploring the enlarged land package through successive drill programs.

Beyond the Nisk project area, Power Metallic indirectly has an interest in significant land packages in British Columbia and Chile, by its 50-per-cent share ownership position in Chilean Metals Inc., which were spun out from Power Metallic via a plan of arrangement on Feb. 3, 2025.

It also owns 100 per cent of Power Metallic Arabia, which owns a 100-per-cent interest in the Jabul Baudan exploration licence in the Kingdom of Saudi Arabia's Jabal Said belt. The property encompasses over 200 square km in an area recognized for its high prospectivity for copper gold and zinc mineralization. The region is known for its massive volcanic sulphide (VMS) deposits, including the world-class Jabal Sayid mine and the promising Umm and Damad deposit.

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