Mr. Jean-Marc Lulin reports

AZIMUT CLOSES $7 MILLION PRIVATE PLACEMENT FINANCING WITH PARTICIPATION OF KEY EXISTING SHAREHOLDERS

Azimut Exploration Inc., on Aug. 18, 2026, closed its previously announced non-brokered private placement for total proceeds of approximately $7-million through the issuance of a combination of: (a) 6,038,647 common shares of the company that qualify as flow-through (FT) shares (within the meaning of Subsection 66(15) of the Income Tax Act (Canada)) at a price of 82.8 cents per FT share for gross proceeds of $5-million; and (b) 3,333,332 common shares of the company at a price of 60 cents per hard-dollar share for gross proceeds of $2-million. Upon closing of the offering, the company has 110,311,289 common shares issued and outstanding.

Highlights:

• Centerra Gold Inc. increased its ownership interest in the company from 9.84 per cent to 12.67 per cent.
• Agnico Eagle Mines Ltd. and CDPQ Sodemex Inc. (a wholly owned subsidiary of Caisse de depot et placement du Quebec (La Caisse)) exercised their respective contractual rights to acquire common shares in connection with the offering.
• Fonds de solidarite FTQ, Desjardins Capital Appui PME S.E.C., NQ Mining Investment LP and SIDEX LP also participated in the offering.

Substantially all of the common shares issued under the offering were ultimately acquired by existing shareholders of the company. Azimut believes that the strong support by existing shareholders reflects positively on the quality and potential of its project portfolio. The proceeds from the offering will be used by Azimut to advance its wholly owned Wabamisk and Elmer properties as the company continues to unlock value in its flagship gold projects. Together with the partner-financed exploration programs on the Kukamas and the Northern Nickel Corridor (nickel-copper-platinum-palladium) projects, a significant level of activity is expected over the next 12 months.

The company will use the proceeds arising from the sale of the FT shares to incur eligible Canadian exploration expenses qualifying as flow-through mining expenditures, as both terms are defined in the Income Tax Act (Canada). The qualifying expenditures will be renounced in favour of the subscribers of the FT shares with an effective date no later than Dec. 31, 2026, and in an aggregate amount of not less than the total amount of the proceeds raised from the issuance of the FT shares, which will be primarily used to further advance the Wabamisk and Elmer properties. The proceeds from the issuance of the hard-dollar shares will be used for exploration and for general corporate purposes.

The offering remains subject to the final approval of the TSX Venture Exchange. All securities issued under the offering will be subject to a statutory hold period of four months and one day expiring on Dec. 19, 2026 in accordance with applicable Canadian securities legislation. No finders' fees were paid in connection with the offering.

In connection with Centerra's right to participate in certain equity offerings by the company under an investor rights agreement dated May 16, 2025, Centerra acquired 4,038,647 common shares of the company. Prior to closing of the offering, Centerra beneficially owned, or exercised control or direction over, 9,935,000 common shares of the company, representing approximately 9.84 per cent of its issued and outstanding common shares. Upon closing of the offering, Centerra beneficially owned, or exercised control or direction over, 13,973,647 common shares of the company, representing approximately 12.67 per cent of its issued and outstanding common shares. As a result of the offering, Centerra has become an insider of the company within the meaning of applicable Canadian securities legislation. In connection with the Centerra acquisition, Azimut has amended its investor rights agreement with Centerra pursuant to which, subject to Centerra maintaining certain ownership thresholds, Centerra will have the right to participate in future equity issuances and top up its holdings in relation to dilutive issuances in order to maintain its pro rata ownership interest in the company up to a 15-per-cent ownership interest at such time. The securities were acquired by Centerra for investment purposes. Centerra may, depending on market and other conditions, increase or decrease its beneficial ownership of, or control or direction over, securities of the company, whether through the open market, privately negotiated transactions or otherwise. Centerra will file an early warning report in accordance with National Instrument 62-103, The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. A copy of the early warning report will be available under the company's issuer profile on SEDAR+. For more information, or to obtain a copy of the early warning report, please contact Centerra Gold, Suite 1800, 1 University Ave., Toronto, Ont., M5J 2P1, Lisa Wilkinson, telephone: 416-204-1953.

In addition, certain directors and officers of the company have subscribed for an aggregate of 150,000 hard dollar shares under the offering for aggregate gross proceeds of $90,000. The insider subscriptions constitute related party transactions under MI 61-101. A private investor has also subscribed for 100,000 hard dollar shares for aggregate gross proceeds of $60,000.

With respect to the participation of certain existing shareholders and the insiders subscriptions in respect of the offering, the company is relying on Section 5.5(b) of MI 61-101 for an exemption from the formal valuation requirement under MI 61-101, as the company is not listed on specified markets, and upon the exemptions from the minority shareholder approval requirements pursuant to Section 5.7(1)(a) of MI 61-101 on the basis that neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction insofar as it involves interested parties (within the meaning of MI 61-101) exceeds 25 per cent of the company's market capitalization calculated in accordance with MI 61-101. No formal valuation or other prior valuation has been prepared in respect of the company. The company did not file a material change report in respect of the related party transactions at least 21 days before the closing of the offering, as the details of the participation of the related parties had not been settled sufficiently in advance of the closing of the offering. The offering, including the insider subscriptions, was approved by the board of directors of the company, with those directors having an interest in the offering having declared their interest and abstained from voting in respect thereof.

About Azimut Exploration Inc.

Azimut is a leading mineral exploration company with a solid reputation for target generation and partnership development. The company controls strategic land positions for gold, copper, nickel and lithium in Quebec. Azimut is focused on several key high-impact projects:

• Wabamisk and Wabamisk East (100 per cent Azimut), which host the Fortin zone (antimony-gold), Rosa zone (gold) and Lithos zone (lithium);
• Elmer (100 per cent Azimut), which hosts the resource-stage Patwon deposit (gold) (311,200 ounces (oz) indicated and 513,900 oz inferred);
• Kukamas (KGHM option), which hosts the Perseus zone (nickel-PGE (platinum group element)).

Azimut uses a pioneering approach to big data analytics (the proprietary AZtechMine expert system), enhanced by extensive exploration know-how. The company's competitive edge is based on systematic regional-scale data analysis. Azimut maintains rigorous financial discipline and a strong balance sheet.

Azimut has two strategic investors among its shareholders, Centerra Gold and Agnico Eagle Mines.

We seek Safe Harbor.