Mr. Harry Barr reports

METALQUEST MINING ADDS SIGNIFICANT NEW IRON PROJECT TO ITS PORTFOLIO, ACQUISITION OF A 100% OF THE SUPERIOR IRON PROJECT, LABRADOR TROUGH, QUEBEC

Metalquest Mining Inc. has acquired by staking a 100-per-cent interest in the Superior Iron project, located in the Labrador Trough, Quebec. The project comprises 569 mineral claims totalling approximately 27,425 hectares (67,770 acres), situated approximately 165 kilometres northwest of Schefferville and 1,200 kilometres northeast of Montreal by air.

With this acquisition, Metalquest Mining's total land position stands at 875 claims covering 42,175 hectares (104,217 acres) , making the company one of the largest claim holders in this region of Labrador Trough, Northern Quebec. The newly acquired SI project directly adjoins the company's 100-per-cent-owned Lac Otelnuk iron project, one of North America's largest undeveloped high-purity iron deposits.

Highlights:

• The Superior Iron project dramatically increases Metalquest's total project portfolio in the Labrador Trough. Superior Iron project has a total of 27,425 hectares (67,770 acres), solidifying its position as one of the largest junior exploration and development company in this prolific iron-producing region.
• The project adjoins Metalquest's flagship Lac Otelnuk iron project, which contains one of the largest undeveloped high-purity iron resources in North America. The previous operators outlined a historic National Instrument 43-101 resource in 2023.
• Initial work programs on the Superior Iron project will include ground truthing, geophysics and environmental baseline studies aimed at outlining future drill targets.
• Atkinsrealis (formerly SNC-Lavalin), a global leader in engineering and infrastructure, is nearing completion of a gap analysis on the historic 2015 feasibility study for Lac Otelnuk.
• The gap analysis will guide Metalquest's next phase of technical work, addressing market conditions, technological advancements, regulatory changes and environmental standards.
• High-purity iron was added to both the Quebec and Canada critical strategic mineral lists in 2024, recognizing its strategic importance in the energy transition and green economy.
• In June, 2025, New Age Metals Inc. increased its equity ownership in Metalquest from 6.44 per cent to 19.05 per cent (partially diluted), demonstrating growing institutional confidence in Metalquest's iron assets.
• Management, together with NAM, controls 47 per cent of Metalquest.

Harry Barr, chairman and chief executive officer of Metalquest Mining, stated: "Our strategic expansion in the Labrador Trough underscores Metalquest's commitment to becoming a leading iron exploration and development company. We believe our expanding project portfolio provides a strong foundation for potential long-term growth. Over the past three years, we have been advancing the Lac Otelnuk iron project, where previous operators invested approximately $120-million completing the drilling and a historic 2015 feasibility study. The addition of the Superior Iron project enhances our footprint in this well-established iron district and positions MQM to capitalize on the rising demand for high-purity iron, now officially recognized as a critical mineral."

Commitment to local communities

Metalquest Mining's projects are located on the ancestral lands of the Naskapi First Nation of Kawawachikamach. The company maintains a comprehensive exploration and predevelopment agreement with the Naskapi Nation that ensures long-term co-operation, respect for traditional knowledge, and shared social and economic benefits.

Strategic expansion in a iron district

The Lac Otelnuk iron project, 100 per cent owned by Metalquest Mining, is one of North America's largest historic National Instrument 43-101 iron projects, located in the heart of the Labrador Trough -- a globally recognized iron district.

The Labrador Trough hosts the major operations such as those held by Rio Tinto, ArcelorMittal and mid-tier producers like Champion Iron. The region continues to attract significant investments as evidenced by Nippon Steel, Sojitz and Vale SA's recent investments:

• Champion Iron, in partnership with Nippon Steel and Sojitz, announced up to $245-million in combined investment to advance the Kami iron mine (July, 2025).
• Vale committed up to $138-million (U.S.) to earn a 75-per-cent stake in Cyclone Metals' Iron Bear project through a staged joint venture (February, 2025).

Engineering progress -- Atkinsrealis gap analysis

In June, 2025, Metalquest appointed Atkinsrealis as the lead engineering firm to conduct a gap analysis of the historic 2015 feasibility study for the Lac Otelnuk project.

Atkinsrealis brings extensive experience in large-scale mining and infrastructure development across Canada and internationally.

The gap analysis -- expected to conclude shortly -- will evaluate and recommend updates to reflect current market dynamics, environmental regulations and technological advancements. These results will form the foundation for a series of targeted technical reviews leading to a new prefeasibility study and eventually an updated feasibility study.

A new era for critical metals

Metalquest Mining's management team reaffirms its commitments to do its best efforts to strengthen North America's critical mineral supply chains amid rising supply deficit and geopolitical and trade-related pressures.

"Critical mineral supply chains are facing unprecedented risks from concentration and disruption," stated Faraz Rasheed, business development at Metalquest. "Our goal is to ensure that Canada remains a trusted and independent supplier to allied economies by working with our first nation partners and governments to build local processing capacity, diversify offtake markets, and maintain full environment, sustainability and governance traceability from mine exploration to end use."

Under Prime Minister Mark Carney, Canada's federal government continues to prioritize new exploration techniques and production, value-added processing, investment screening, and allied partnerships to position Canada as a leading source of critical minerals.

Meanwhile, the government of the United States, under President Donald Trump, has accelerated efforts to strengthen domestic mining and refining capacity through strategic funding, permitting reform and finding synergies with Canada -- reinforcing North America's integrated critical mineral corridor.

Global policy and investment momentum

Growing recognition of resource security has spurred historic levels of investment across the mining sector:

• Canada and the U.S. have advanced direct funding programs, and Canada continues to use tax-driven flow-through incentives for more risk-averse exploration, and new indigenous partnerships are planned to expand domestic critical mineral capacity.
• JPMorgan Chase recently announced a $1.5-trillion (U.S.) investment initiative aimed at bolstering industries essential to national security, including critical minerals, energy and advanced manufacturing. Chief executive officer Jamie Dimon highlighted the need to rebuild North American industrial capacity and secure access to essential materials.

Mr. Barr noted: "This level of financial mobilization rivals the industrial expansions of the early 20th century, marking what appears to be a transformative moment for the mining sector. For emerging exploration and development companies such as Metalquest Mining, this global realignment presents an unprecedented opportunity to finance and advance large-scale iron projects in North America."

Project go-forward plan

The initial phase of work at the Superior Iron project will comprise systematic ground truthing, detailed geophysical surveys and comprehensive environmental baseline studies. These programs are designed to enhance the geological model, refine the understanding of mineralized zones, and delineate high-priority drill targets to support the next stage of exploration and project development.

About Metalquest Mining Inc.

Metalquest Mining owns 100 per cent of the Lac Otelnuk iron project and is working to develop one of the largest, historic iron projects in North America. The Lac O project is located in Quebec's Labrador Trough and is approximately 165 km by air northwest of the town of Schefferville, and 1,200 km northeast of Montreal by air. In early 2023, the Quebec government transferred the claims into Metalquest's name, and management is accumulating a vast amount of technical data as approximately $120-million has been expended on the project to date.

Going forward, one of the company's primary objectives will be to continue to work with Naskapi First Nation of Kawawachikamach with which Metalquest has an exploration and predevelopment agreement as of November, 2023. In June, 2025, Metalquest signed an agreement with Atkinsrealis, an engineering service and nuclear company with offices around the world, to conduct a comprehensive gap analysis of the historic 2015 FS for the Lac O project. The new studies will identify areas requiring updates to align the historic 2015 feasbility study with current market dynamics, regulatory frameworks, engineering best practices and environmental standards. Metalquest's management is continuing to develop its in-house iron database to enable the company to attract financiers and producers to partner from the iron industry.

The company owns approximately 1.8 million shares and 2.5 million warrants of Canadian Copper and two net smelter return royalties totalling 1 per cent in the Murray Brook preliminary-economic-assessment-stage zinc-polymetallic deposit, situated in the famous Bathurst mining district, New Brunswick, Eastern Canada. Canadian Copper has the right to purchase half of a 0.33-per-cent royalty for $1-million and must pay Metalquest a preproduction cash payment of $1-million after the project goes into production. The company is currently completing an economics study with regard to processing the Murray Brook deposit at the Caribou processing complex and is currently exercising its option to buy the adjacent Caribou complex and start production as soon as it makes commercial sense.

Further to required early warning disclosure filed on SEDAR+ July 31, 2025, New Age Metals Inc. received board and TSX Venture Exchange approvals to increase its ownership in Metalquest from 6.44 per cent to 19.05 per cent on a postconversion beneficial ownership basis. Undiluted, NAM has increased its ownership in Metalquest from 6.44 per cent to 12.79 per cent. NAM's investment continues to assist Metalquest with a go-forward plan.

Atkinsrealis, an international engineering company, was contracted by Metalquest management on June 25, and it has a mandate and the technical depth and Northern project experience which makes it an ideal partner for the next phase of Lac Otelnuk. NAM's investment will allow Metalquest to conclude a gap study and further high-level scoping studies.

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