Dr. Aleksandar Miskovic reports

TERRA BALCANICA ANNOUNCES PROPOSED SPIN-OUT OF TERRA NORTH RESOURCES CORP.

Terra Balcanica Resources Corp.'s board of directors has approved, in principle, a corporate reorganization (the spinout transaction) whereby the company plans to spin out its Canadian uranium assets into a wholly owned subsidiary, Terra North Resources Corp.

The proposed spinout transaction is expected to include the following steps:

• Terra will transfer its 591-square-kilometre Saskatchewan uranium portfolio, including the Charlot-Neely Lake claim cluster located in the Uranium City district, to Terra North, in consideration for 15 million common shares of Terra North.
• Terra North will complete a series of private placement financings to finance the 2026 exploration program on the uranium properties, and provide for other 2026 to 2027 working capital requirements.
• Terra North will distribute a portion of the Terra North Shares held by it to its shareholders on a pro rata basis as a return of capital.
• Terra North will apply to list its common shares on the Canadian Securities Exchange (the CSE), targeting a listing in Q2 2026, subject to receipt of regulatory approvals.

Terra North has engaged Dahrouge Consulting Inc. of Edmonton, Alta., to complete a National Instrument 43-101-compliant technical report on the Charlot-Neely Lake property, which will support the spinout transaction and anticipated CSE listing. Furthermore, Terra North has engaged Maxis Law Corp. of Vancouver, B.C., to provide legal counsel and facilitate the spinout transaction.

The company intends to provide additional details regarding the structure, share distribution ratio and timing of the spinout once final terms are determined, and all regulatory and corporate approvals have been obtained. Completion of the spinout transaction will be subject to shareholder approval, CSE approval, and applicable securities and corporate law requirements.

Terra Balcanica's chief executive officer, Dr. Aleksandar Miskovic, stated: "The spinout of Terra North positions our uranium portfolio within a focused exploration vehicle while allowing Terra to continue advancing its European projects. We are thus becoming exposed to scarce critical metals with significant projected upside in the coming decade such as antimony, silver, zinc, uranium and REEs. This structure is designed to unlock value for Terra shareholders through direct exposure to the exploration upside of the Canadian assets, while minimizing dilution of Terra shareholders by raising funding for Canadian exploration activity directly in Terra North. We are excited to hit the ground in the late spring of 2026 with a robust $2-million exploration budget that will include multiple geophysical surveys and a follow up ground-truthing fieldwork."

About Terra Balcanica Resources Corp.

Terra Balcanica is a polymetallic and energy metals exploration company targeting large-scale mineral systems in the Balkans of southeastern Europe and Northern Saskatchewan, Canada. The company has a 90-per-cent interest in the Viogor-Zanik project in eastern Bosnia and Herzegovina. The Canadian assets comprise a 100-per-cent-optioned portfolio of uranium-prospective licences at the outskirts of the world-renowned Athabasca basin: Charlot-Neely Lake, Fontaine Lake, Snowbird and South Pendleton. The company emphasizes responsible engagement with local communities and stakeholders. It is committed to pro-actively implementing Good International Industry Practice (GIIP), and sustainable health, safety and environmental management.

We seek Safe Harbor.