Mr. Cory Belyk reports

CANALASKA BEGINS THREE DRILL PROGRAM AT WEST MCARTHUR JOINT VENTURE

Canalaska Uranium Ltd. has started drilling as part of the $15-million 2026 exploration program on the West McArthur joint venture project in the southeastern Athabasca basin. The 2026 West McArthur winter program will focus on continued stepouts from the Pike zone high-grade mineralization to evaluate for additional zones of high-grade uranium mineralization and continuation of the associated large hydrothermal alteration system. Three drills have been mobilized to the project site and drilling has now begun. The West McArthur project, a joint venture with Cameco Corp., is operated by Canalaska that holds an estimated 88.86-per-cent ownership in the project as a result of sole-funding exploration in 2025. The 2026 exploration program will be co-financed by Cameco and Canalaska under the joint venture.

Canalaska chief executive officer Cory Belyk comments: "The Canalaska team and contractors are on site and drilling this prolific high-grade uranium corridor with a focus of finding the next high-grade 'pearl' of mineralization. Results from our 2025 summer drilling program indicate a continuation of unconformity-related uranium mineralization and closely associated structure, alteration, and anomalous geochemistry like that observed in association with the nearby main Pike zone high-grade uranium pod. With continued drilling success, the 2026 drilling program results could be transformative for our shareholders in the backdrop of climbing spot and term contract uranium prices."

2026 West McArthur exploration program

The 2026 winter drill program on the West McArthur project will consist of three diamond drills operating to achieve an estimated 20 to 25 unconformity target intersections. The primary focus for the winter program will be on the immediate southwest and northeast extensions of the currently defined mineralized footprint. The company will take a results-based approach, evaluating on a hole-by-hole basis, continued stepouts along the C10S corridor from the Pike zone. The company will utilize the recent geophysical survey results, which indicate interpreted structural complexity with sharp changes in orientation of the main conductor trend in the immediate four kilometres of strike length around the Pike zone, to evaluate exploration targets around and along strike of the current Pike zone footprint. The company will continue to use downhole mud-motor deviation technology for pilot holes and directional offcuts to increase drilling efficiency and target intercept accuracy.

Results from previous drill programs on the project have outlined a mineralized footprint of the Pike zone at the unconformity that has been traced over 500 metres in strike length. Within the mineralized footprint, a 140-metre-long high-grade pod has been outlined. Results from the most recent drill program indicate the presence of strong hydrothermal alteration, intense structural disruption and uranium mineralization that appear to be increasing to the southwest along the C10S trend approximately 250 metres away from the high-grade pod of Pike zone (see news release dated Nov. 6, 2025). In the 250 metres of strike length immediately to the southwest of the high-grade pod, the unconformity target area has only been sparsely tested. The company believes that the results from the most recent drill program highlight the potential for additional zones of high-grade unconformity-associated uranium mineralization to exist.

Based on the recent positive drill program results, the interpreted geophysical survey results and the already proven uranium endowment of the C10 and C10S corridors, the company believes there is significant potential for the discovery of additional unconformity-related high-grade zones of uranium mineralization.

As part of the 2026 exploration program, the company is also completing a ground-based electromagnetic survey to investigate the extension of the Epp Lake conductor on to the West McArthur project. A modern stepwise moving-loop time-domain electromagnetics survey, using the same survey design that led to the discovery of the Pike zone, is continuing to advance this part of the West McArthur project. The survey will be completed by Abitibi Geophysics.

The company expects to complete the winter portion of the 2026 exploration program in April. As part of the approved 2026 exploration program and budget, a summer drilling program is planned.

Other news

The company also announces that it has granted incentive stock options to certain directors, officers, employees and consultants of the company to purchase up to an aggregate of 7.47 million common shares of the company pursuant to Canalaska's omnibus equity incentive plan. These options are exercisable for a period of five years at a price of 74 cents per share. Pursuant to TSX Venture Exchange policies, 50,000 of these options granted to an investor relations consultant will vest as to 25 per cent on each of three, six, nine and 12 months from their date of grant. All other options are fully vested.

The company also announces that it has extended the term of its investor relations letter agreement dated Dec. 22, 2022, as amended, with Rayleigh Capital Ltd. from Dec. 31, 2025, to Dec. 31, 2026, subject to approval from the TSX-V (refer to the company's news release of June 19, 2025). Either party is permitted to terminate the extended agreement upon providing the other party with 60 days of prior written notice of termination. All other terms of the contract remain as previously disclosed. Rayleigh Capital focuses on global investor relations for junior and small cap companies specializing at exposing companies to a wide audience of investment professionals. Under the extended agreement, the company pays $8,500 per month (plus GST) to Rayleigh Capital to provide liaison, co-ordination, corporate growth strategy, communications and other services to Canalaska. The fee paid by the company to Rayleigh Capital under the extended agreement is for services only. The company and Rayleigh Capital act at arm's length. Rayleigh Capital has the following interest, direct or indirect, in the company or its securities: it owns 15,000 shares of the company and has been granted 250,000 stock options (including 50,000 stock options granted today) pursuant to Canalaska's omnibus equity incentive plan.

About Canalaska Uranium Ltd.

Canalaska is a leading explorer of uranium in the Athabasca basin of Saskatchewan, Canada. With a project generator model, the company has built a large portfolio of uranium projects in the Athabasca basin. Canalaska owns numerous uranium properties, totalling approximately 500,000 hectares, with clearly defined targets in the Athabasca basin covering both basement and unconformity uranium deposit potential. The company has recently concentrated on the West McArthur high-grade uranium expansion with targets in 2024 and 2025 leading to significant success at Pike zone. Fully financed for the upcoming 2026 drill season, Canalaska is focused on uranium deposit discovery and delineation in a safe and secure jurisdiction. The company has the right team in place with a record of discovery and projects that are located next to critical mine and mill infrastructure.

The company's head office is in Saskatoon, Sask., Canada, with a satellite office in Vancouver, B.C., Canada.

The qualified person under National Instrument 43-101 -- Standards of Disclosure for Mineral Projects for this news release is Nathan Bridge, MSc, PGeo, vice-president, exploration, for Canalaska Uranium, who has reviewed and approved its contents.

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