Mr. Benjamin Hill reports

RAIN CITY RESOURCES ANNOUNCES STRATEGIC AGREEMENT TO DEVELOP BLOCKCHAIN-ENABLED TRACEABILITY, ESG VERIFICATION AND DIGITAL INFRASTRUCTURE FOR LITHIUM PRODUCTION ALONG WITH CORPORATE UPDATE

Rain City Resources Inc. has entered into an executed agreement with Zero13, a GMEX Group company, to establish a strategic collaboration framework for the development of blockchain-enabled traceability, ESG (environmental, social and governance) verification and institutional-grade digital infrastructure for critical mineral production. The company's objective is to develop a framework capable of supporting certification from source to final product, including product purity, water consumption, energy intensity, carbon performance, reagent usage, laboratory verification, batch identification and chain-of-custody information, which is seen as increasingly important as lithium and battery supply chains become more strategic, regulated and complex. The company also believes that transparent, verifiable and auditable production data will become increasingly important for battery manufacturers, automotive OEMs (original equipment manufacturers), offtakers, regulators, institutional investors and governments seeking secure, sustainable and traceable critical mineral supply chains and wishes to position itself at the forefront of these technology advancements.

Highlights:

• Rain City partners with Zero13 to provide standards for visibility and accountability in the DLE (direct lithium extraction) chain of custody in Latin America;
• Exclusivity extended with Ion Source LLC in respect of the term sheet executed on April 16, 2026, by a further 90 days;
• New website launched;
• Terms varied to loan note dated July 10, 2025;
• Changes to the advisory board.

Rain City's strategy is to move beyond a purely extractive approach and contribute to the development of a regional ecosystem where science, technology, sustainability, capital and institutional trust can operate together in a co-ordinated and transparent manner. This emerging platform is intended to create a more integrated and collaborative model among the stakeholders involved in the lithium value chain, including governments, public entities, universities, research centres, technology providers, local communities, investors, offtakers and industrial partners.

"This agreement represents an important step in Rain City's evolution," said Benjamin Hill, chief executive officer of Rain City Resources. "Lithium production is entering a new phase and we believe that, in seeking ways to provide ESG and chain-of-custody transparency with respect to lithium extraction, we will position ourselves at the forefront of responsible DLE practices. By working with Zero13 and GMEX Group, Rain City is seeking to build the digital infrastructure required to support that level of trust from the beginning of the production process."

"This alliance is strategically important because it connects Rain City's lithium extraction platform with one of the most relevant frontiers in global market infrastructure: trusted digital verification," said Sebastian Quinones, head of Rain City Resources Latin America. "The Lithium Triangle should not be seen only as a source of raw material. It can become a platform for scientific validation, responsible production, digital traceability, institutional co-operation and new forms of sustainable finance. Rain City has been working to build bridges among leading universities, research centres, public entities, technology providers and capital markets, with the goal of strengthening the lithium ecosystem through a more collaborative, transparent and disruptive model."

Extension of exclusivity with Ion Source

Rain City is pleased to announce the mutual extension by a further 90 days to the period of exclusivity with Ion Source pursuant to the term sheet executed on April 16, 2026. Commenting, Mr. Hill stated: "Rain City and Ion Source have been working very closely since April to develop our AC2ME DLE technology, along with various other commercial applications using Ion Source's technology. We are very pleased to continue what is proving to be a strong, mutually collaborative relationship with Ion Source."

New website

Rain City is pleased to announce the launch of its new website. The update offers more sector information to investors, stakeholders and the market and better reflects the company's recent growth and vision for the future.

Loan note extension and variation

On July 11, 2026, being the maturity date of the convertible loan note, the company and the noteholder agreed that the note would continue as an unsecured loan repayable on demand, denominated in U.S. dollars and bearing interest at 5 per cent per annum calculated as simple interest. The holder's right to convert the note along with the interest accrued into common shares was released by the noteholder at this time. Accrued interest of $2,375 (U.S.) to that date was capitalized into principal, resulting in an outstanding balance of $49,875 (U.S.).

Changes to advisory board

The company announces a restructuring of its advisory board. Ronald Lincz, Douglas Brett and Andrew Judson have ceased to serve as members of the advisory board effective Sept. 8, 2026. The company thanks them for their contributions and wishes them success in their future endeavours.

The company is pleased to announce the appointment of Jay Hosanee and Nicholas (Nick) Holbrook to the advisory board. Mr. Hosanee is a proven chief financial officer and finance leader with deep experience across manufacturing and distribution, logistics, banking/financial services, and mining, including public-company environments. Mr. Holbrook is the chief executive officer and managing member of Ion Source and has approximately 20 years of upstream oil and gas experience with an MBA and a BS in mechanical engineering from Texas Tech University. Mr. Hosanee and Mr. Holbrook join Mr. Quinones on the company's advisory board. Rain City is grateful to be able to strengthen the company with persons of Mr. Hosanee's and Mr. Holbrook's calibre. The company looks forward to their further assistance and guidance as Rain City continues to position the company at the forefront of DLE technology.

About Rain City Resources Inc.

Rain City Resources is a Canadian critical minerals company focused on the development and deployment of proprietary direct lithium extraction and associated processing technologies, including its AC2ME technology platform, for the extraction, processing and commercialization of lithium and associated byproducts from brine and related mineral resources.

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