Mr. Tiago Cunha reports

TIAGO CUNHA ANNOUNCES ACQUISITION OF SHARES IN SOUTH STAR BATTERY METALS CORP.

Tiago Sampaio Cunha is the interim chief executive officer, president and director of South Star Battery Metals Corp., the head office of which is located at Suite 1507, 1030 West Georgia St., Vancouver, B.C., V6E 2Y3, Canada. Mr. Cunha holds common shares of the company in his personal capacity and through the following funds directed and controlled by Mr. Cunha: GROU SPO Fundo de Investimento em Acoes Investimento no Exterior (SPO), GROU Provence Fundo de Investimento em Acoes Investimento no Exterior, ACE 3 Stars Bside Fundo de Investimento Financeiro em Acoes and ACE Global Special Opportunities BRL FIF em Acoes.

On May 6, 2026, the company announced its intention to complete a non-brokered private placement of up to 26,666,667 shares at a price of 15 cents per share for gross proceeds of up to $4.0-million, which was subsequently upsized on May 15, 2026, to up to 32 million shares for gross proceeds of up to $4.8-million.

On May 15, 2026, the company closed the first tranche of the offering. Pursuant to the first tranche, Mr. Cunha purchased, through SPO, an aggregate of 15,413,333 shares, resulting in Mr. Cunha's direct and indirect shareholdings in the company to be 41,456,085 shares and 13.9 million common share purchase warrants, increasing Mr. Cunha's ownership percentage to a total of 38.23 per cent of the issued and outstanding shares on a non-diluted basis, and 45.25 per cent on a partially diluted basis.

Mr. Cunha may acquire additional securities or dispose of securities of the company in the future either on the open market, privately or otherwise, depending on market conditions, reformulation of plans, other available investment business opportunities and/or other relevant factors.

The address of Mr. Cunha is care of Suite 1507, 1030 West Georgia St., Vancouver, B.C., V6E 2Y3, Canada.

A copy of the early warning report will be available under the company's profile on SEDAR+, or may be obtained by contacting Judson Culter at jculter@invictusaccounting.com or 604-343-3889.