LEADING EDGE MATERIALS REPORTS QUARTERLY RESULTS TO APRIL 30, 2026

• Q2 2026 (ended April 30) net loss surged to $1,357,598, driven largely by an $804,590 share‑based compensation charge; prior‑quarter loss was $745,946.
• Working capital fell to $539,488; total assets $29.85 M, non‑current liabilities $(5,838,263).
• For the first time, the company explicitly states it does not have sufficient financial resources to fund operations and meet obligations for the next 12 months, casting significant doubt on its ability to continue as a going concern.
• Management is pursuing public/private equity, cost controls, and option/warrant exercises. A long‑term cornerstone shareholder “has indicated an intention to provide continued financial support.”
• Norra Kärr exploitation concession application was recommended for approval by the Mining Inspectorate and sent to the Swedish Government for final decision.
• Woxna graphite mine remains “production‑ready” with an updated restart study in progress.
• Bihor Sud ownership increased to 90% and an underground exploration program at Avram Iancu is planned for June/July 2026.
• Stock options for 7.2 M shares granted at C$0.31 on April 28, 2026.

This release is materially negative because: 1. Liquidity shock – The explicit going‑concern warning is a sharp deterioration from the Q1 2026 (Mar 20) filing, which stated the company “has sufficient funding to meet anticipated levels of corporate administration and overheads for the ensuing twelve months.” Now it lacks the cash to survive another year, signalling a faster‑than‑expected burn rate. 2. No financing in place – Management mentions plans but provides no committed facility or term sheet. Any equity raise at current depressed levels would be highly dilutive, especially given the recent C$0.16 placement in Aug 2025 and now trading near C$0.25. 3. Erosion of balance sheet – Working capital dropped from $1,880,436 in Oct 2025 to $804,249 in Jan 2026 to only $539,488 now, a 71% decline in seven months. Cash at Oct 2025 was $1.86 M; now it appears critically low. 4. Dilution risk from options – The large option grant and the reliance on capital from warrant/option exercises add further dilution without bringing in fresh project‑advancing cash. 5. Permitting progress de‑risked – The Norra Kärr regulator recommendation is positive, but it does not solve the immediate funding gap; the project still requires an environmental permit and substantial development capital. The news materially worsens the risk profile and overshadows any positive regulatory steps.

Leading Edge Materials is a Canadian junior miner focused on European critical raw materials. Its three assets: - Norra Kärr HREE Project (Sweden) – 100% owned; one of Europe’s richest heavy rare‑earth deposits. Projected 248 t dysprosium and 36 t terbium oxides/year over 26 years. The 2021 PEA gives a pre‑tax NPV10 > US$1 B. Exploitation concession recommended for approval, but environmental permit and funding still needed. - Woxna Graphite Mine (Sweden) – Permitted, built, and “production‑ready,” with potential to restart 10 k–15 k tpa of flake graphite. Testwork has produced 99.96% battery‑grade purity via a cost‑effective two‑stage alkaline process. Awaiting a restart business plan. - Bihor Sud Polymetallic Project (Romania) – 90% interest; large‑scale, early‑stage polymetallic exploration (Cu, Pb, Zn, Co, Ni, U). Historical samples up to 28% Ni, >6% Co. Underground sampling planned mid‑2026.