Mr. Adrian Lamoureux reports

PAN AMERICAN ENERGY 2026 WINTER DRILL PROGRAM UPDATE

Pan American Energy Corp. has provided the plans for its winter 2026 diamond drilling program at the company's Tharsis project in the Northwest Territories, Canada.

The coming drill program represents the company's first opportunity to directly test subsurface targets at Tharsis and is designed to advance a rare earth element (REE), niobium (Nb) and yttrium (Y) exploration concept that is supported by geophysics, surface sampling and prior fieldwork. Drilling will focus on high-priority targets interpreted to represent potential carbonatite bodies associated with a large, well-defined alkaline intrusive system.

Yttrium is included on the U.S. Geological Survey's 2025 and 2026 critical minerals list due to its importance across the U.S. defence, aerospace and energy sectors, where it is used in high-performance alloys, lasers and advanced ceramics. Supply chains for yttrium remain highly concentrated overseas, particularly in China, prompting the United States and allied nations to pursue policies and partnerships to diversify supply and strengthen domestic production capacity. Recent international dialogue at the Critical Minerals Ministerial reflects heightened global focus on securing reliable sources of critical elements, with initiatives to expand stockpiles and build resilient supply chains outside of dominant foreign suppliers. Niobium plays a similarly strategic role as its properties are essential for high-strength steels and superalloys used in military platforms, energy infrastructure and emerging technologies, and it faces comparable supply risk dynamics that underscore the need for expanded North American production and supply chain diversification.

The winter program is currently planned for March to April, 2026, and is expected to comprise approximately 1,500 metres of diamond drilling across up to seven drill holes from up to three drill pads situated on the ice of Squalus Lake. The program is structured with the aim of efficiently addressing key early-stage questions critical to evaluating the project's potential, including confirmation as to the interpreted intrusive system beneath the lake and assessment of its potential geometry, continuity and scale.

Drilling will target a priority area defined by distinct geophysical features interpreted as intrusive centres within the broader Squalus Lake alkaline complex (SLAC). The primary objective is to confirm the presence of potential carbonatite and related intrusive phases and to obtain first-pass information on their thickness, distribution and geological characteristics. Results from this program are expected to provide the foundation for refining the exploration model and prioritizing additional targets across the project area.

Drill target selection is supported by a well-developed magnetic framework, including a prominent ring-shaped magnetic high and multiple internal magnetic lows interpreted as discrete intrusive centres aligned along a northeast-southwest trend. The drill plan prioritizes the northern intrusive centre, which the company considers a high-confidence initial test of the broader system.

In addition to testing subsurface geology, the drill program is expected to generate high-quality drill core for modern analytical work. Data from core logging, sampling and laboratory analysis are expected to inform follow-on exploration planning, including expansion of drilling, refinement of target areas and evaluation of additional technical studies, subject to results.

"This winter drill program marks a significant step forward for the Tharsis project," said Adrian Lamoureux, chief executive officer of Pan American Energy. "We are transitioning from surface-based exploration into drilling to directly test compelling targets and generate the data needed to assess scale and guide the next phase of growth at Tharsis."

Qualified person

The scientific and technical content of this news release has been reviewed, verified and approved by Dr. Jared Suchan, PhD, PGeo, technical adviser to the company and a qualified person as defined by National Instrument 43-101.

About Pan American Energy Corp.

Pan American Energy is an exploration-stage company engaged principally in the acquisition, exploration and development of mineral properties containing battery and critical metals in North America.

The company has executed an option agreement in Canada with Magabra Resources, pursuant to which it has acquired a 75-per-cent interest in the Big Mack lithium project, 80 kilometres north of Kenora, Ont., with the right to earn an additional 15 per cent for a total 90-per-cent interest. Pan American has also entered into an option agreement with Northern Critical Minerals Corp. to acquire up to a 100-per-cent interest in the Tharsis REE project, located in the Northwest Territories. The project hosts the Squalus Lake alkaline complex, a Proterozoic-age, carbonatite-bearing intrusion prospective for rare earth and high-field-strength elements.

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