Mr. Anoosh Manzoori reports

SPARC AI OPTION GRANT

Sparc AI Inc. has granted incentive stock options to directors and the chief executive officer of the company pursuant to the company's stock option plan.

The proposed equity incentive grants are the first awards of their kind made to the company's CEO and directors in more than three years. During this period, the CEO and directors have not received stock options, restricted share units or any other form of equity-based incentive compensation. Directors Anthony Haberfield and Don Hilton have each been granted 200,000 stock options, exercisable at $3.10 per share for a period of three years. Anoosh Manzoori, chief executive officer, has been granted 200,000 stock options on the same terms, together with 300,000 restricted share units as a long-term incentive, which will vest after four years. The board believes these grants provide an appropriate balance between rewarding continued contribution and maintaining a strong long-term focus on the company's growth, execution of its strategy and creation of sustainable shareholder value.

About Sparc AI Inc.

Sparc AI is a defence technology company solving navigation in GNSS-denied (global navigation satellite system) environments. Its flagship product, Overwatch, is a platform that ingests telemetry from drones and other moving platforms and returns absolute latitude and longitude -- no onboard software, no edge hardware and no reliance on GPS. Delivered as a stateless service, Overwatch gives commercial and defence operators dependable positioning wherever satellite signals are jammed, spoofed or unavailable.

We seek Safe Harbor.