Mr. Steve Parsons reports

FIREFLY COMPLETES EQUITY RAISING

Firefly Metals Ltd. has completed the equity raising announced on Aug. 25 and Aug. 26, 2026 (Aug. 24 and Aug. 25, 2026, in Canada) and comprising the following (equity raising):

• $150-million (Australian) ($149.0-million) institutional placement at a price of $1.78 (Australian) per share (ASX placement), which completed on Sept. 2, 2026 (Sept. 1, 2026, in Canada);
• Approximately $30-million (Australian) (approximately $29.6-million) bought deal offering at a price of $1.76 per share (Toronto Stock Exchange bought deal), which completed on Sept. 3, 2026.

The company has now received gross proceeds from the equity raising of approximately $180-million (Australian) (approximately $178.6-million) (before costs).

TSX bought deal

Pursuant to the most recently completed aspect of the equity raising, the TSX bought deal, Firefly issued 16,820,454 ordinary shares pursuant to the terms of an underwriting agreement dated Sept. 3, 2026 (underwriting agreement), between the company and BMO Nesbitt Burns Inc. acting as lead underwriter and sole bookrunner and RBC Dominion Securities Inc., CIBC World Markets Inc. and Canaccord Genuity Corp.

The ordinary shares, issued in connection with the TSX bought deal, were issued pursuant to the listed issuer financing exemption available under Part 5A of National Instrument 45-106 -- Prospectus Exemptions as amended by Coordinated Blanket Order 45-935 -- Exemptions from Certain Conditions of the Listed Issuer Financing Exemption and will not be subject to a statutory hold period in Canada.

Share purchase plan

In addition to the equity raising, Firefly intends to offer to eligible shareholders who were registered as a holder of ordinary shares as at 5 p.m. (AWST) on Aug. 24, 2026 (record date), and whose registered address is in Australia or New Zealand (eligible shareholders) the opportunity to participate in a non-underwritten share purchase plan (SPP) and subscribe for a maximum of $30,000 (Australian) worth of new fully paid ordinary shares in the capital of Firefly (SPP shares) at an issue price per SPP share of $1.78 (Australian), being the same price per ordinary share as the ASX placement. The SPP is targeted to raise up to a further $10-million (Australian) (before costs).

The company reserves the right to scale back applications under the SPP if demand exceeds $10-million (Australian), to accept oversubscriptions or to close the SPP at an earlier date in accordance with the ASX listing rules and the Corporations Act 2001 (Cth) (Corporations Act). The SPP offer is expected to be made available to eligible shareholders on Sept. 4, 2026, and is expected to close on Sept. 23, 2026.

An updated indicative timetable for the SPP is as shown in the attached table.

Use of funds

The net proceeds of the equity raising and SPP will be primarily used to advance project implementation for the Green Bay copper-gold project and provide significant balance sheet strength ahead of completion of a project financing process including:

• Development and early works, including underground development for drilling platforms, ventilation and electrical upgrade platforms, and surface early works;
• Underground drilling targeting upper mine extensions, M&I (measured and indicated) resource growth, geophysical targeting, parallel lodes and depth extensions;
• Regional exploration drilling including new discovery targeting across the district;
• Technical studies including a definitive feasibility study on the 1.8 Mtpa (million tonnes per annum) base case and prefeasibility on the 4.6 Mtpa alternative case;
• Corporate and transaction costs, and working capital to provide necessary flexibility to conduct additional project development activities and early works.

Advisers

BMO Nesbitt Burns Inc. acted as lead underwriter and sole bookrunner as part of a syndicate of underwriters including RBC Dominion Securities Inc., CIBC World Markets Inc. and Canaccord Genuity Corp. for the TSX bought deal.

Canaccord Genuity (Australia) Ltd. acted as sole lead manager and bookrunner to the ASX placement. Euroz Hartleys Ltd. and Argonaut Securities Pty. Ltd. acted as co-managers to the ASX placement.

Hamilton Locke acted as Australian legal adviser to the company and Osler, Hoskin & Harcourt LLP acted as Canadian legal adviser to the company.

About Firefly Metals Ltd.

Firefly Metals is an emerging copper-gold company focused on growing the high-grade Green Bay copper-gold project in Newfoundland, Canada. The project is advancing toward development, with a preliminary economic assessment (PEA) showing the potential for a high-grade, low-cost and long-life operation with a pathway to produce 100,000 tonnes of copper per annum.

The Green Bay copper-gold project is underpinned by 60.2 Mt of measured and indicated mineral resources at 2.43 per cent for 1,464,000 t copper equivalent (CuEq) and 23.5 Mt of inferred mineral resources at 2.51 per cent for 592,000 t CuEq, prepared and disclosed in accordance with the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC (Joint Ore Reserves Committee) Code (2012 Edition)) and Canadian National Instrument 43-101 -- Standards of Disclosure for Mineral Projects (NI 43-101).

The company has a clear strategy to continue growing the Green Bay copper-gold project through resource expansion, new discoveries and advancement toward development.

The company also holds a 90-per-cent interest in the Limestone Well vanadium-titanium project in Western Australia.

We seek Safe Harbor.