Mr. Jordan Trimble reports

SKYHARBOUR CONSOLIDATES 100% INTEREST IN THE RUSSELL LAKE URANIUM PROJECT

Skyharbour Resources Ltd. has entered into a definitive and binding purchase agreement with Rio Tinto Exploration Canada Inc. to increase and consolidate its ownership interest in the Russell Lake uranium project through the acquisition of Rio Tinto's minority interest in the project. The project is strategically located in the central core of the eastern Athabasca basin of Northern Saskatchewan, with access to regional infrastructure, including an all-weather road and power line.

Transaction details

Immediately prior to closing, Rio Tinto's interest in the project will be approximately 42.3 per cent. Pursuant to the terms of the purchase agreement, Skyharbour has agreed to acquire 100 per cent of Rio Tinto's minority interest in the project in exchange for cash consideration of $10-million. The purchase price shall consist of a $2-million deposit payable within five business days of the date of execution of the purchase agreement and an $8-million cash payment at closing, which is expected to be on or before Dec. 21, 2025.

Skyharbour shall grant to Rio Tinto a 0.25-per-cent net smelter return royalty over Russell Lake. The acquisition of Rio Tinto's interest in Russell Lake will increase Skyharbour's interest in the project to 100 per cent, subject to several other net smelter return royalties held by third parties.

Russell Lake uranium project overview

The Russell Lake project is a large, advanced-stage uranium exploration property totalling 73,314 hectares strategically located between Cameco's Key Lake and McArthur River projects and adjoining Denison's Wheeler River project to the west and Skyharbour's Moore uranium project to the east. The northern extension of Highway 914 between Key Lake and McArthur River runs through the western extent of the property and greatly enhances accessibility, while a high-voltage power line is situated alongside this road. Skyharbour's acquisition of a majority interest in Russell Lake creates a large, nearly contiguous block of highly prospective uranium claims totalling 109,019 hectares between the Russell Lake and the Moore uranium projects. Several notable exploration targets exist on Russell, including the Grayling zone, the M-Zone extension target, the Little Man Lake target, the Christie Lake target, the Fox Lake Trail target and the newly identified Fork Zone target. More than 35 kilometres of largely untested prospective conductors in areas of low magnetic intensity also exist on the property. Skyharbour is the operator and owns a majority interest in Russell Lake, having formed a joint venture partnership with Rio Tinto at the project.

Qualified person

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Serdar Donmez, PGeo, vice-president of exploration for Skyharbour, as well as a qualified person.

About Skyharbour Resources Ltd.

Skyharbour holds an extensive portfolio of uranium exploration projects in Canada's Athabasca basin and is well positioned to benefit from improving uranium market fundamentals with interest in 37 projects covering over 616,000 hectares (over 1.5 million acres) of land. Skyharbour has acquired from Denison Mines, a large strategic shareholder of the company, a 100-per-cent interest in the Moore uranium project, which is located 15 kilometres east of Denison's Wheeler River project and 39 kilometres south of Cameco's McArthur River uranium mine. Moore is an advanced-stage uranium exploration property with high-grade uranium mineralization in several zones at the Maverick corridor. Adjacent to the Moore project is the Russell Lake uranium project, which hosts widespread uranium mineralization in drill intercepts over a large property area with exploration upside potential. The company is actively advancing these projects through exploration and drilling programs.

Skyharbour also has joint ventures with industry leader Orano Canada Inc., Azincourt Energy and Thunderbird Resources at the Preston, East Preston and Hook Lake projects, respectively. The company also has several active earn-in option partners, including Canadian Securities Exchange-listed Basin Uranium Corp. at the Mann Lake uranium project; TSX Venture Exchange-listed North Shore Uranium at the Falcon project; UraEx Resources at the South Dufferin and Bolt projects; Hatchet Uranium at the Highway project; CSE-listed Mustang Energy at the 914W project; and TSX-V-listed Terra Clean Energy at the South Falcon East project.

In aggregate, Skyharbour has signed earn-in option agreements with partners that total over $36-million in partner-financed exploration expenditures, over $20-million worth of shares being issued and $14-million in cash payments coming into Skyharbour, assuming that these partner companies complete their entire earn-ins at the respective projects.

Skyharbour's goal is to maximize shareholder value through new mineral discoveries, committed long-term partnerships and the advancement of exploration projects in geopolitically favourable jurisdictions.

We seek Safe Harbor.