Power Metallic increases private placement to $30M

• Power Metallic Mines Inc. has upsized its brokered private placement offering from C$25 million to C$30 million gross proceeds due to strong investor demand.
• The company will issue up to 24 million common shares at $1.25 per share, with an additional option for agents to purchase up to 2.4 million more shares.
• Net proceeds are designated for advancing the Nisk project in Quebec and Jabul Baudan exploration licence in Saudi Arabia, alongside general working capital.
• Red Cloud Securities Inc. is acting as lead agent and sole bookrunner.
• Anticipated closing date is June 10, 2026, subject to TSX Venture Exchange approval.

• The upsizing from C$25M to C$30M indicates strong institutional or retail demand for the equity, which validates management's capital raising narrative and reduces immediate liquidity risk.
• However, the issuance of up to 26.4 million shares represents significant dilution on a fully diluted basis (approx. 9% increase based on presentation share count), which is a negative factor for existing shareholders despite the funding benefit.
• The offering price of $1.25 is slightly below the recent trading range highs ($1.48-$1.51 in late May) but aligns with the immediate pre-financing consolidation, suggesting no significant discount to market that would trigger a "Material - Game Changer" rating regarding valuation reset.
• This financing supports the previously announced 100,000-metre drill program and Saudi expansion, which are expected milestones rather than unexpected discoveries; therefore, it is categorized as Routine - Positive.

• Flagship Project: Nisk Polymetallic Project (Quebec, Canada). Focuses on the Lion Zone discovery which hosts high-grade Copper, Nickel, Palladium, Platinum, Gold, and Silver mineralization.
• Project Status: Exploration/Development phase. Infill drilling is underway to define resources for an open-pit mine potential.
• Secondary Asset: Jabal Baudan exploration licence in Saudi Arabia (200 km²), part of a strategic expansion into the Middle East via JV with Amaar United Mining Company.
• Technology: Utilizing advanced geophysical surveys including Ambient Noise Tomography, SQUIDs, and Muon Tomography to target deep mineralization beyond conventional detection limits.