First American to acquire five properties in Quebec

Mr. Murray Nye reports FIRST AMERICAN URANIUM INC. TO ENTER QUEBEC WITH PLANNED STRATEGIC ACQUISITION OF RARE EARTH ELEMENTS NIOBIUM PROPERTIES IN THE GRENVILLE PROVINCE, QUEBEC First American Uranium Inc. has entered into a property purchase agreement with a group of arm's-length vendors, pursuant to which the company will acquire a 100-per-cent legal and beneficial interest in certain mineral properties, free of any NSR (net smelter return) royalties, comprising a strategic land package in the Grenville province of Quebec, representing the company's first entry into the province. The acquisition includes five properties located in the regional municipalities of La Haute-Cote-Nord, La Tuque and Le Fjord-du-Saguenay -- a region recognized for its high concentration of critical mineral occurrences relative to other geological provinces in Quebec. The area also hosts significant projects such as the Niobec niobium mine, which was sold for $500-million (U.S.) in 2015, the Lac Crevier niobium project, as well as the Begin-La Marche and Lac a l'Original phosphorus projects. The properties host a series of rare earth element (REE), niobium (Nb) and nickel-copper (Ni-Cu) projects that demonstrate strong potential for critical mineral exploration and development in the Grenville province. Key showings and historical results: Blanchette-1 (REE): A grab sample collected by Quebec government geologists returned 2.7 per cent TREE (total REE), including 4,090 parts per million neodymium (Nd), hosted in a granitic pegmatite. Sabot (REE): A grab sample collected by government geologists returned 0.21 per cent TREE, including 365 ppm Nd, within a quartziferous syenite. Blanchette-1 bis (Ni-Cu): A nickel-copper quartz vein sample returned 0.25 per cent Cu and 0.1 per cent Ni, hosted in a highly deformed paragneiss associated with gabbro boudins. Bardy (REE): A grab sample collected by Quebec government geologists returned 0.68 per cent TREE, including 1,150 ppm Nd, hosted in a granitic pegmatite. Seigneurie deposit (Nb-REE): Originally drilled by Soquem in 1978, pegmatites up to 50 metres wide were intersected, containing uneconomic uranium and thorium values. However, in 2010, a local prospector collected grab samples, one of which returned 3,190 ppm Nb and 4,031 ppm TREE. Notably, these pegmatites have not been systematically assayed for rare earths or other critical minerals. Strategic significance The acquisition will provide First American Uranium with a strategic foothold in Quebec, one of the most mining-friendly jurisdictions globally, and will position the company to capitalize on the Grenville province's prospectivity for rare earths and other critical minerals. The properties to be acquired consist of 39 claims covering 2,240 hectares, and the company has separately staked an additional 480 claims covering 27,696 hectares in and around the properties. Collectively, this land package totals 519 claims covering 29,936 hectares. The Niobec mine, which was sold for $500-million (U.S.) in 2015, is located approximately 130 kilometres from the properties. The global niobium and niobium-alloy market was valued at approximately $2.9-billion (U.S.) in 2024 and is projected to reach $4.6-billion (U.S.) by 2032 (approximately 7-per-cent CAGR (compound annual growth rate)), with steel remaining the dominant use category while advanced applications are rapidly expanding. Rising demand is being driven by high-strength steels for infrastructure and automotive, heat-resistant superalloys for jet engines, hypersonic missiles and rocket nozzles in defence and aerospace, and superconducting materials (such as qubits and Josephson junctions) for next-generation quantum computing. Against this backdrop, First American believes it is well positioned to unlock significant exploration value across its newly acquired assets and capitalize on these strategic, high-growth markets. Murray Nye, chief executive officer of First American Uranium, commented: "Our team believes that the Grenville province of Quebec is the most prospective geological setting in the province for critical mineral deposits. This acquisition will provide URM with a strategic entrance into a world-class jurisdiction, in close proximity to the U.S. border, where demand for rare earths and other critical minerals continues to accelerate. We view this land package as a cornerstone for our expansion into Quebec and a key step in building long-term value for our shareholders. In addition, URM is aligning its strategy with President Trump's executive order announced in March, 2025, to boost production of critical minerals, including niobium, and intends to pursue non-dilutive funding opportunities, including engagement with the U.S. Department of Energy, Department of Defense and the Export-Import Bank (EXIM), to advance development while preserving shareholder value." Transaction details Under the terms of the agreement, the vendors will transfer to the company a 100-per-cent interest in the properties, free and clear of all encumbrances. As consideration, the company will issue an aggregate of 4.02 million common shares at a deemed issuance price of 85 cents per consideration share to the vendors upon closing. The consideration shares will be allocated among the vendors in varying amounts, corresponding to their respective ownership interests in the properties. The consideration shares will be issued pursuant to exemptions from the prospectus requirements of applicable Canadian securities laws and will be subject to a statutory hold period of four months and one day from the date of issuance. Completion of the transaction is subject to customary closing conditions, including receipt of all necessary approvals from the Canadian Securities Exchange. The transaction constitutes an arm's-length transaction, and no changes to the board of directors or management of the company are anticipated in connection with its completion. About First American Uranium Inc. First American Uranium is engaged in the business of mineral exploration and the acquisition of mineral property assets in North America. Its objective is to locate and develop economic precious and base metal properties of merit and to conduct its exploration programs on the Silver Lake property. The Silver Lake property is situated around Goosly Lake and approximately 30 kilometres southeast of the town of Houston in the Omineca mining division in British Columbia. We seek Safe Harbor.