An anonymous director reports

SHERRITT PROVIDES UPDATES ON FINANCIAL POSITION AND PROPOSED TRANSACTION; ANNOUNCES 2026 ANNUAL MEETING DATE AND SECOND QUARTER 2026 FILING DATE

Sherritt International Corp. has provided an update on its financial position. Further to the news release dated June 22, 2026, in respect of metal refining activity having stopped at its refinery in Fort Saskatchewan, Alta., and the suspension of direct participation in joint venture activities in Cuba since May 7, 2026, the corporation continues to operate with constrained liquidity and a material uncertainty that may cast doubt on its ability to continue as a going concern. Sherritt remains in active discussions with its senior lenders and noteholders regarding advancing a comprehensive recapitalization intended to stabilize its balance sheet and restore normal operations when circumstances permit. The capital required to restart both those operations has been further increased by the significantly elevated cost of key inputs -- in particular sulphur, the price of which has risen to historic highs largely as a result of global supply restrictions. The corporation requires a significant amount of new capital to finance the restart and related working capital, and is actively pursuing a combination of government support, including with the assistance of Gillon Capital LLC, strategic and bridge financing, and other sources to meet its capital requirement. There can be no assurance that such financing will be available or be able to be completed on acceptable terms, on the anticipated timeline, or at all.

Sherritt also provided an update, further to its news release dated June 15, 2026, in which the corporation announced that it had entered into a period of exclusivity with Gillon Capital in respect of the proposed private placement contemplated by the non-binding term sheet previously entered into with Gillon Capital. Discussions with Gillon Capital regarding the proposed transaction remain in progress. The parties and their respective advisers continue to work constructively through matters relevant to the proposed transaction, including those relating to the corporation's operations in Cuba and the U.S. regulatory and sanctions environment. Both parties remain engaged with relevant governmental and regulatory authorities and other stakeholders in respect of these matters. The proposed transaction remains subject to, among other things, the execution of definitive documentation, satisfaction of customary conditions, and receipt of all required governmental and regulatory approvals. There can be no assurance that the parties will reach a definitive agreement or that the proposed transaction (or any other transaction) will be completed, on the terms previously disclosed or otherwise.

Sherritt further announces that its board of directors has fixed Dec. 15, 2026, as the date of the corporation's 2026 annual general meeting of shareholders, and has set the close of business on Oct. 30, 2026, as the record date for determining shareholders entitled to receive notice of, and to vote at, the meeting. The meeting date enables the corporation to call its annual meeting of shareholders by Sept. 30, 2026, to comply with the interim relief granted by the Ontario Superior Court of Justice on May 14, 2026. The meeting date also follows the anticipated expiry of the exclusivity period on Oct. 12, 2026, thereby enabling Sherritt to present for approval the proposed transaction to shareholders and other securityholders, if necessary, should the parties reach a definitive agreement (or to present another transaction if a definitive agreement is reached following the exclusivity period). The board may elect to hold the meeting on an earlier date should the corporation finalize a definitive agreement sooner.

Sherritt expects to release its second quarter 2026 results after market close on Aug. 12, 2026. In light of the suspension of Sherritt's direct participation in joint venture activities in Cuba and the stoppage of metal refining activity at its refinery, Sherritt does not expect to hold a quarterly conference call in connection with its second quarter 2026 results. Sherritt will continue to provide timely public disclosure as circumstances develop.

About Sherritt International Corp.

Sherritt is a world leader in using hydrometallurgical processes to mine and refine nickel and cobalt -- metals deemed critical for the energy transition. Leveraging its technical expertise and decades of experience in critical mineral processing, Sherritt is committed to expanding domestic refining capacity and reducing reliance on foreign sources. The corporation operates a strategically important refinery in Alberta, Canada, recognized as the only significant cobalt refinery and one of just three nickel refineries in North America.

Sherritt's common shares are listed on the Toronto Stock Exchange under the symbol S.

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