Formation Metals Responds to OTC Markets Request on Recent Promotional Activity

Executive Summary

• Formation Metals Inc. issued a statement in response to an inquiry from OTC Markets Group regarding recent promotional activity involving the Company's common shares on the OTCQB market.
• The Company clarified that marketing materials disseminated by third-party firms utilized publicly available information and summaries of previous Company press releases.
• The Company disclosed an insider transaction involving the purchase of 100,000 shares by CEO Deepak Varshney on April 16, 2026.

Key Details

• Marketing Chain of Engagement: The promotional materials were distributed by Steller Media Group, LLC, which was engaged by Emerging Markets Consulting, LLC (EMC), which in turn was engaged by 1502656 B.C. Ltd ("Wagner Media").
• Investor Relations Contract: 1502656 B.C. Ltd was engaged by the Company for a six-month term at a cost of $350,000 CAD to provide strategic digital media, marketing (including awareness campaigns), and data analytical services.
• Management Review: The Company's management reviewed the materials disseminated by EMC prior to their release and concluded that no statements were materially false or misleading.
• Trading Volume Drivers: The Company noted that recent press releases dated February 12, February 19, February 24, April 7, and April 16 may have acted as catalysts for the increased trading volume observed around April 16, 2026.
• Insider Trading Disclosure: CEO and Director Deepak Varshney purchased 100,000 shares of the Company's common shares on April 16, 2026. No other officers, directors, or control persons were aware of any purchases or sales of common shares in the past 90 days.
• Other Third-Party Engagements (Past 12 Months):
  • Altura Media Co. Inc. (February 2026)
  • Plutus Invest and Consulting GmbH (October 2025)
  • 1502656 B.C. Ltd (October 2025)
  • RMK Marketing Inc. (March 2025)