Mr. Mike Stier reports

SAGA METALS HIGHLIGHTS HISTORIC $70 BILLION CLEAN ENERGY INVESTMENT AND STRATEGIC INFRASTRUCTURE COMMITMENTS IN LABRADOR

Saga Metals Corp. has highlighted a series of landmark federal and provincial announcements that reinforce Labrador's growing importance to Canadian clean energy, critical minerals, Northern defence and long-term economic security.

• Nearly $70-billion of clean energy projects are expected to generate 14,000 megawatts, support 23,000 jobs and contribute $31-billion to Canadian GDP (gross domestic product);
• Canada is advancing mine-enabling transmission and predevelopment work through the First and Last Mile Fund;
• Up to $8-billion is planned for 5 Wing Goose Bay within a broader $32-billion northern basing program;
• Saga's Labrador portfolio is directly aligned with growing North American demand for secure supplies of titanium, vanadium, iron, uranium and heavy rare-earth elements.

The announcements include a nearly $70-billion clean-energy development package supported by $10-billion in federal financing, strategic transmission and mining-enabling studies under the First and Last Mile Fund; long-term investment at 5 Wing Goose Bay that may total up to $8-billion; and a $32-billion program to strengthen Canada's northern basing infrastructure.

Saga believes the unprecedented scale and breadth of these commitments strengthen the long-term investment case for Labrador as a premier North American jurisdiction for clean power, responsible resource development and secure critical-mineral supply chains. The company's three 100-per-cent-owned Labrador projects -- Radar, Wolverine and Double Mer -- provide exposure to the critical mineral's titanium, vanadium, iron, heavy rare-earth elements and uranium.

Largest clean energy investment in North American history

Canada is starting from a position of strength. It has what the world wants. Canada has the natural resources, critical minerals and clean power that will build this century.

Last week, the Prime Minister Mark Carney, alongside the Premier of Newfoundland and Labrador Tony Wakeham, the Premier of Quebec Christine Frechette, and the chief executive officers of Newfoundland and Labrador Hydro and Hydro-Quebec, announced a historic agreement to upgrade and expand the Churchill Falls generating station and develop the Gull Island project and related transmission, building one of the largest electricity projects in North America.

As part of this agreement, the federal government will provide $10-billion in federal financing to:

• Upgrade and expand the Churchill Falls generating station;
• Develop the massive Gull Island hydroelectricity project;
• Unlock co-investment opportunities with the Innu of Labrador in a major new Labrador onshore wind project;
• Build associated transmission lines.

"Together, these projects represent the largest clean energy investment in North American history, at nearly $70-billion. They will generate 14,000 megawatts of clean, renewable power -- nearly tripling the current generating capacity of Churchill Falls. That is enough power to light, heat and cool all the homes in Toronto, Montreal and Vancouver combined. These projects will support 23,000 jobs -- from the skilled trades to engineering -- and contribute $31-billion to Canada's GDP through the early 2040s," said the Government of Canada, Aug. 17, 2026.

Strategic predevelopment projects for Labrador

In addition, Canada's new government will support strategic, predevelopment projects in the Labrador region, funded under the First and Last Mile Fund (FLMF) through Natural Resources Canada. This includes the following project:

• Labrador West transmission expansion. To assess the transmission infrastructure needed to connect critical minerals mining operations in western Labrador to the electricity grid, supporting regional opportunities and mine electrification.

The federal backgrounder identifies up to $2,341,766 for the Labrador West Regional Transmission Expansion Study. The proposed work includes front-end engineering and design for transmission lines and stations intended to support the expansion and electrification of existing mining operations and enable future critical-minerals development near Labrador City and Wabush.

"Canada is extending its unique advantage in clean, reliable and affordable power. Because when we master energy, we master our destiny. Through co-operative federalism, we are unlocking our immense potential, building big, building sustainably, building in partnership and building Canada strong for all," said Mark Carney, Prime Minister of Canada.

"This is a win-win-win for Newfoundland and Labrador, the federal government and Quebec. I want to thank Prime Minister Carney and Premier Frechette for their leadership throughout this process. We are finally replacing the notorious 1969 Churchill Falls deal and the 2024 MOU with a new deal that will guarantee us more power, more value and more transmission. Newfoundlanders and Labradorians will finally be the primary beneficiary of our own resources, with complete control over whether we use our power to develop our economy or sell to outside markets. Today is not about what we can tear up, it's about what we can build up. It is now time for us to roll up our sleeves and get to work to build a better and brighter future for all of us," said Tony Wakeham, Premier of Newfoundland and Labrador.

About Churchill Falls and Gull Island

The Churchill Falls generating station is a major hydroelectric facility in Labrador. The announced program contemplates upgrades to its 11 existing turbine units that are expected to add 1,275 megawatts of capacity, together with an expansion of up to 2,500 megawatts.

Gull Island is a proposed 2,700-megawatt hydroelectric development on the Churchill River between Churchill Falls and Muskrat Falls. The project is expected to produce approximately 12 terawatt-hours of electricity annually. More than 660 kilometres of associated transmission and power infrastructure are planned to carry electricity from the Churchill River projects to the Quebec border. Together with the proposed Labrador wind project and related transmission, the broader clean-energy program forms part of the nearly $70-billion investment announced on Aug. 17, 2026.

About 5 Wing Goose Bay

5 Wing Goose Bay, located in Happy Valley-Goose Bay, Labrador, is a deployed operating base and one of four strategic locations included in Canada's $32-billion NORAD Northern Basing Infrastructure program. Planned upgrades are intended to strengthen rapid mobilization and operational capacity in support of Canadian Armed Forces and NORAD missions across the Arctic and North.

Long-term investment at 5 Wing Goose Bay may total up to $8-billion. The first announced component is a $187-million energy performance contract that will replace diesel-based heating with electric boilers powered by Labrador's clean hydroelectric grid, modernize controls and install utility metering. Construction is expected to run from May, 2026, through December, 2030, with annual energy-cost savings estimated at $8.6-million and greenhouse-gas emissions expected to decline by approximately 19,000 tonnes per year.

"After decades of limited and piecemeal investments in the North, Canada's new government is acting with a scale of ambition worthy of this vast region and its peoples. We are securing every corner of this terrain, unlocking its vast resources, and delivering the strong, connected network of communities that Northerners deserve. In this new era, we cannot rely on other nations for our security and prosperity. We are defending and building together, the true North, strong and free," said Prime Minister of Canada Mark Carney.

"These investments will continue to build the defence team's presence and responsiveness across the Arctic and the North, reinforce our ability to assert Canadian sovereignty, support community benefits where feasible, and contribute to NATO's deterrence and defence priorities. Furthermore, Canada's efforts to modernise our continental defences demonstrate our commitment to enabling the North American Aerospace Defense command and the Canadian Armed Forces to defend against emerging threats to North America," said David J. McGuinty, Minister of National Defence.

Strategic relevance to Saga Metals:

• Clean power and mine electrification. The planned expansion of hydroelectric generation, related transmission and a potential Labrador onshore wind project could increase the scale and resilience of the regional power system over time. The Labrador West study also demonstrates a direct federal focus on connecting and electrifying critical-minerals operations.
• Critical minerals and supply security. Titanium, vanadium, iron, heavy rare-earth elements and uranium are central to secure energy, defence and advanced manufacturing supply chains. Saga believes the government's focus on developing critical minerals and reducing reliance on concentrated foreign supply supports the long-term strategic relevance of its Labrador portfolio.
• Infrastructure and regional capacity. Sustained investment in power, transmission, airfields, logistics and support infrastructure may deepen Labrador's contractor base, skilled work force and technical capacity, potentially improving the broader environment in which responsible exploration and mine development can proceed.
• A premier Canadian jurisdiction. The combined announcements send a strong signal that Labrador is expected to play a central role in Canada's energy security, Arctic sovereignty and critical-minerals strategy. Saga intends to continue advancing its projects methodically while pursuing opportunities that can create long-term shareholder and regional value.

Mike Stier, chief executive officer and director of Saga Metals, commented: "Labrador is moving rapidly from resource potential to nation-building execution. The scale of the commitments now being made across power generation, transmission, Northern defence, and mine-enabling infrastructure is exceptional and reinforces the strategic importance of the jurisdiction where Saga has built its core critical minerals portfolio. With Radar's titanium, vanadium and iron, Wolverine's heavy rare-earth elements, and Double Mer's uranium potential, Saga is directly aligned with the materials Canada, and its allies increasingly require for energy, advanced manufacturing, defence and supply chain security. The direction of federal and provincial policy is clear: Canada intends to build the clean power and enabling infrastructure needed to unlock Labrador's strategic-resource potential. We believe that alignment is highly encouraging for Saga, our shareholders and the communities in which we operate."

Saga's Labrador portfolio

• Radar critical minerals project. The 100-per-cent-owned Radar Ti-V-Fe (titanium-vanadium-iron) project comprises 24,175 hectares and entirely encloses the Dykes River intrusive complex, mapped at approximately 160 square kilometres on the surface near Cartwright, Labrador. Exploration to date, including 24,641 metres of drilling in the Hawkeye and Trapper zones, has confirmed a large, mineralized layered mafic intrusion hosting a 29-square-kilometre lopolith with consistently uniform grades of titanium, vanadium and iron.
• Wolverine heavy rare-earth element project. The 100-per-cent-owned Wolverine project is a near-surface rare-earth element system hosted within a peralkaline caldera complex. The project features mineralized zones spanning approximately 26 square km, with previously reported drill assays up to 2.03 per cent TREO containing up to 28 per cent HREO and surface samples up to 21.6 per cent TREO.
• Double Mer uranium project. The 100-per-cent-owned Double Mer project covers 25,600 hectares and features uranium radiometrics that highlight an 18-kilometre east-west trend, with a confirmed 14-kilometre section producing samples as high as 0.428 per cent U3O8 (triuranium octoxide), as disclosed in the 2024 Double Mer technical report.

Qualified person

Dr. A. Miller, PGeo, PEGNL, is an independent qualified person as defined under National Instrument 43-101 and has reviewed and approved the technical information disclosed in this news release.

About Saga Metals Corp.

Saga Metals is a North American mining company focused on the exploration and discovery of a diversified suite of critical minerals that support the North American transition to supply security. The 100-per-cent-owned Radar Ti-V-Fe project comprises 24,175 hectares and entirely encloses the Dykes River intrusive complex, mapped at 160 square km on the surface near Cartwright, Labrador. Exploration to date, including 24,641 m of drilling in the Hawkeye and Trapper zones, has confirmed a large, mineralized layered mafic intrusion hosting vanadiferous titanomagnetite (VTM) and ilmenite mineralization with consistently uniform grades of titanium, vanadium and iron.

The 100-per-cent-owned Wolverine heavy rare-earth element project in Labrador, is a near-surface REE system hosted within a peralkaline caldera complex that shares strong geological similarities with the Tanbreez and Strange Lake deposits. Historic drilling identified consistent mineralization with assays up to 2.03 per cent TREO including approximately 28 per cent HREO and grab sample assays up to 21.6 per cent TREO. Large-scale potential is supported by 26 square km of exposed mineralization tuff at surface with about 5 per cent of the prospective unit drilled to date.

The 100-per-cent-owned Double Mer uranium project covers 25,600 hectares and features uranium radiometrics that highlight an 18 km east-west trend, with a confirmed 14 km section producing samples as high as 0.428 per cent U3O8 (2024 Double Mer technical report).

Additionally, Saga owns the Legacy lithium project in Quebec's Eeyou Istchee James Bay region. This project spans 72,701 hectares and has geological attributes similar to nearby terrains currently being explored by Rio Tinto, Li-FT Power, SOQUEM and Loyal Metals.

With a portfolio spanning key commodities critical to the clean energy future, Saga is strategically positioned to play an essential role in securing critical minerals.

We seek Safe Harbor.