Mr. Lee Barker reports

SPARTON ANNOUNCES PRIVATE PLACEMENT OFFERING OF UP TO C$800,000 FOR ITS CRITICAL METALS EXPLORATION PROGRAMS

Sparton Resources Inc. has arranged a non-brokered private placement for gross proceeds of up to $800,000.

Up to 13 million flow-through (FT) share units of the company will be offered at a price of five cents per FT unit for proceeds of up to $650,000. Each FT unit will consist of one common share of the company and one-half of one non-flow-through share purchase warrant (SPW). Each full SPW will entitle the holder thereof to purchase one common share of the company at a price of eight cents for a period of 24 months following the issue date.

The company will also offer up to 3.75 million non-flow-through (NFT) share units at a price of four cents per non-flow-through share unit for proceeds of up to $150,000. Each NFT unit will consist of one common share of the company and one-half of one SPW. Each full SPW will entitle the holder thereof to purchase one common share of the company at a price of six cents for a period of 24 months following the issue date.

Each FT share will consist of one common share of the company to be issued as a critical metals flow-through share within the meaning of the Income Tax Act (Canada).

The company intends to use the proceeds of the offering for the exploration of the company's critical metals projects in Ontario and Quebec. These include the Pense-Montreuil polymetallic metals project east of Englehart, Ont., and straddling the Ontario/Quebec border, where historic work has identified zinc-copper-nickel mineralization with minor cobalt values, and little work has been done for over 20 years. The Oakes gold and related copper mineralization project near Matachewan, Ont., has over five untested drill targets in close proximity to the former-producing Ryan Lake copper and molybdenum mine, and the current Young Davidson gold producer.

Work will consist of airborne electromagnetic surveys, follow-up ground truthing of anomalies and diamond core drilling. The Oakes project has a number of untested induced polarization zones outlined by the company that have never been tested, and some of these are related to rock units similar to those hosting the nearby copper and molybdenum mineralization.

The gross proceeds from the issuance of the FT units will be used to incur resource exploration expenses which will constitute Canadian exploration expenses as defined in Subsection 66.1(6) of the Income Tax Act and flow-through mining expenditures as defined in Subsection 127(9) of the Income Tax Act, which will be renounced with an effective date no later than Dec. 31, 2023, to the purchasers of the FT units in an aggregate amount not less than the gross proceeds raised from the issue of the FT shares. If the qualifying expenditures are reduced by the Canada Revenue Agency, the company will indemnify each subscriber of FT units for any additional taxes payable by such subscriber as a result of the company's failure to renounce the qualifying expenditures.

The closing of the offering is subject to receipt of all necessary regulatory approvals, including the TSX Venture Exchange. Finder's fees or commissions will be payable in accordance with the market and policies of the TSX Venture Exchange. The FT shares, warrant shares and any common shares of the company that are issuable from any finder's warrants will be subject to a hold period ending on the date that is four months plus one day following the issue date, in accordance with applicable securities laws.

We seek Safe Harbor.