Mr. Lowell Kamin reports

LODESTAR METALS CLOSES FIRST TRANCHE OF FINANCING

Lodestar Metals Corp. has closed the first tranche of its previously announced non-brokered private placement financing (see news releases dated Sept. 29, 2025, Oct. 15, 2025, and Oct. 22, 2025) by issuing 14,982,068 units of the company at a price of 7.5 cents per unit for gross proceeds of $1,123,655.10.

Each unit is composed of one common share of the company and one-half of one share purchase warrant, with each unit warrant entitling the holder to purchase one additional share at a price of 12 cents per unit warrant share for a period of two years from the date of issue. The company has the right to accelerate the expiry date if, at any time, the volume-weighted average price of the shares on the principal exchange or market on which the shares trade is equal to or greater than 15 cents for 10 consecutive trading days. In the event of acceleration, the expiry date will be accelerated to a date that is 30 days after the company issues the acceleration notice through a news release, provided that the acceleration notice is issued within 10 business days after the end of the particular 10-day period.

The securities issued under the first tranche will be subject to restrictions on resale until Feb. 25, 2026. In connection with the first tranche, the company paid the finders a cash fee totalling $15,939.15 and issued a total of 212,522 share purchase warrants to the finders. Each finder warrant is exercisable at 12 cents per share for a period of two years from the date of issue.

The proceeds of the offering will be used for exploration and drilling on the company's Goldrun project located in Nevada, as well as working capital purposes.

About Lodestar Metals Corp.

Lodestar is a Canadian gold exploration company focused on advancing the drill-ready Goldrun project in Nevada, strategically located on a major Carlin-style gold trend and adjacent to some of the largest gold deposits in North America. With decades of combined geological and capital market expertise, Lodestar follows a disciplined, step-by-step approach to discovery. The company's strategy is clear: focus capital on high-value targets, move quickly on known mineralization and build a compliant gold resource that delivers lasting shareholder value.