Dr. Fernando Tallarico reports

SPARK PROVIDES CORPORATE AND EXPLORATION UPDATE

Spark Energy Minerals Inc. has provided an update on progress at its Brazilian exploration projects since Dr. Fernando Tallarico became chief executive officer in October, 2025. During that period, the company completed its first drilling at Arapaima, reported gallium and rare earth mineralization at Cruzeta and Boa Vista, raised approximately $2.9-million, and advanced exploration programs for lithium and tungsten. Arapaima remains the company's principal focus.

Comment from the chief executive officer

"When I became CEO, Arapaima had not yet been drilled. Since then, our team has completed 42 drill holes across Arapaima. All 33 holes reported so far have returned gallium and rare earth mineralization across Cruzeta and Boa Vista, with results from the remaining nine holes still to be reported. I'm proud of the work behind those results and grateful for our shareholders' support in funding it. Our focus now is to build on that work: complete the review of the remaining assays, advance metallurgical testing and use the results to guide further exploration. Alongside Arapaima, our lithium and tungsten programs are testing additional targets within the company's Brazilian portfolio," stated Dr. Fernando Tallarico, PGeo, FSEG, chief executive officer and chairman.

Gallium and rare earth mineralization at two targets on 100-per-cent-owned Arapaima

Spark holds a 100-per-cent interest in the approximately 91,900-hectare Arapaima project through its wholly owned Brazilian subsidiary, with no underlying royalties or outstanding vendor payments. The project comprises 62 exploration processes registered with the Agencia Nacional de Mineracao in Brazil's Lithium Valley.

The company has reported gallium and rare earth mineralization at two targets seven to eight kilometres (km) apart: Cruzeta, where 28 reverse circulation (RC) holes have been reported; and Boa Vista, where five holes have been reported. All 33 reported holes returned gallium and rare earth mineralization.

Drilling results and pending assays

Drilling at Arapaima began in December, 2025, with five vertical RC holes at Cruzeta; every hole intersected gallium mineralization from surface and rare earth mineralization below it (news releases of Feb. 10, 2026, and Feb. 13, 2026, as clarified on March 12, 2026).

A 2,000-metre (m) follow-up program was launched in April, 202,6 and later expanded to 37 holes and 2,024 m. Twelve holes reported on July 22, 2026, returned near-surface gallium in every hole, with results of up to 85 grams per tonne (g/t) Ga2O3 and 1.20 per cent TREO, and extended the interpreted footprint of mineralization at Cruzeta to approximately 4.4 km east-west by 1.5 km north-south. Eleven further holes reported on Aug. 13, 2026, brought the Cruzeta data set to 28 holes and included 32 m at 73.9 g/t Ga2O3 from surface, including two m at 91.4 g/t, in ARA-RC-021, and 48 m at 1,258 parts per million (ppm) TREO in ARA-RC-022. A review of the data set also identified scandium in the surface gallium horizon; no recovery of scandium has been demonstrated.

On Aug. 27, 2026, the company reported the Boa Vista discovery, a target selected from surface geochemistry and drilled for the first time in this program. All five holes returned gallium from surface and rare earth mineralization below, including 114.3 g/t Ga2O3 over two m within 10 m at 92.2 g/t Ga2O3 from surface in ARA-RC-007 and 28 m at 1,557 ppm TREO in ARA-RC-031. Forty-two RC holes have now been completed at Arapaima and 33 have been reported; assays for the remaining nine holes will be reported after quality control review.

Lithium exploration at Arapaima and Solonopole

A stream sediment, soil and rock sampling program designed to test lithium pegmatite targets is under way in the northern tenements of the Arapaima package, in the Aracuai-Coronel Murta sector of the Lithium Valley, with results expected in the fourth quarter of 2026. The company acquired exploration permits covering approximately 30,400 hectares in the Solonopole tantalum-lithium district of Ceara in 2025, with a 1-per-cent net smelter return (NSR) royalty retained by the vendor. An initial stream sediment program is being completed; further details of the property and program will be announced shortly. No mineralization has yet been identified on the Solonopole permits.

Tungsten reconnaissance under way at Serido

On Sept. 16, 2026, the company announced that reconnaissance exploration for tungsten at its Serido project in Rio Grande do Norte had commenced. The project comprises 12 exploration permits covering 21,492.74 hectares, granted in 2023 and 2024, in a district with producing and past-producing scheelite mines. Geological mapping and rock and stream sediment sampling are under way across five target areas, with first analytical results expected before the end of 2026. Serido is an early-stage reconnaissance project; no mineralization has yet been identified on the permits and mineralization at the district's mines is not necessarily indicative of mineralization on them.

Leadership, financing and board

Sead Hamzagic, CGA, was appointed chair of the audit committee on July 2, 2025, the same date that Dr. Tallarico joined the board. Dr. Tallarico then became chief executive officer and chairman on Oct. 21, 2025, on the departure of the previous chief executive officer. The company's effort was concentrated on Arapaima, run from a field office in Padre Paraiso through the Brazilian subsidiary, with Jonathan Victor Hill as vice-president of exploration, country manager and director. All resolutions were passed at the annual general meeting held on June 10, 2026.

The maiden program was financed with a $500,000 non-brokered private placement that closed on Dec. 12, 2025, fully subscribed by one investor. It was followed by a warrant incentive program under which holders exercised 36,029,307 warrants at five cents for proceeds of $1,801,465.35 by Feb. 22, 2026, and by a further $579,960 non-brokered private placement that closed on March 10, 2026. In total, approximately $2.9-million was raised in three months, for exploration at Arapaima and general working capital.

On Sept. 2, 2026, Marina Fagundes de Freitas, formerly chief financial officer of Jaguar Mining Inc., joined the board as an independent non-executive director and chair of the audit committee. As Arapaima advances, the company is in discussions with senior engineering professionals to strengthen its technical team; any appointment will be announced if and when concluded.

Government and institutional engagement

The company signed a non-binding protocol of intentions with the government of the state of Minas Gerais, through the State Secretariat for Economic Development and Invest Minas, on June 18, 2026. It records the state's intention to support project advancement through engagement with state and municipal bodies, licensing, infrastructure and supplier introductions. It creates no enforceable obligation and does not constitute a funding award or regulatory approval.

The company is finalizing draft terms of reference with the U.S. Trade and Development Agency (USTDA) for a proposed agency-funded study of Arapaima, to be performed by a U.S. contractor selected by competitive tender. The proposed scope includes resource estimation, metallurgical testwork and a scoping-level economic assessment, in phases subject to USTDA decisions. References to a feasibility study in this agency process do not mean a mining feasibility study under National Instrument 43-101. USTDA has not made a funding decision, and no resource estimate or economic study has been completed. In the European Union, the company applied in January, 2026, for recognition of Arapaima as a strategic project under the Critical Raw Materials Act (Regulation (European Union) 2024/1252). The European Commission has acknowledged the application and confirmed it complete, and its assessment is continuing. Neither process has resulted in any award, recognition or funding, and there is no assurance that either will.

Qualified persons and reporting basis

The scientific and technical information in this news release has been reviewed and approved by Jonathan Victor Hill, BSc (honours), FAusIMM, vice-president of exploration, country manager and director of the company, and Dr. Fernando Tallarico, PGeo, FSEG, chief executive officer and chairman of the company, each a qualified person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects. Neither qualified person is independent of the company. Drill intervals are downhole widths; true widths are not known. TREO and Ga2O3 values are in situ analytical assay results only, and are not recoverable grades, metal equivalent grades or implied metallurgical recoveries; no metallurgical recovery of gallium, scandium or rare earth elements has been demonstrated. No mineral resource or mineral reserve has been estimated for any of the company's projects, and no mineralization has yet been identified on the Serido or Solonopole permits. Sampling, analytical and quality control procedures, and complete sample-level data, are set out in the company's news releases of July 22, 2026, Aug. 13, 2026, and Aug. 27, 2026. Property tenure is described in the company's NI 43-101 technical report on the Arapaima project dated March 31, 2025, available under the company's profile on SEDAR+.

About Spark Energy Minerals Inc.

Spark Energy Minerals is a Canadian critical minerals exploration company with projects in Brazil. Its principal asset is the Arapaima project in the Lithium Valley region of Minas Gerais, where it is exploring for gallium, rare earth elements and lithium. The company also holds the Serido project in Rio Grande do Norte and exploration permits in the Solonopole district of Ceara.

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