Mr. Tim Fernback reports

FUSE BATTERY ANNOUNCES NON-BROKERED PRIVATE PLACEMENT FINANCING

Fuse Battery Metals Inc. is proposing a non-brokered private placement financing of 12,891,200 units at a price of five cents per unit for gross proceeds of $644,560. The private placement is subject to TSX Venture Exchange approval.

Each unit will consist of one common share in the capital of the company and one common share purchase warrant. Each warrant will entitle the holder to purchase one additional common share of the company at an exercise price of five cents per share for a period of five years from the date of closing.

In connection with the private placement, the company proposes to issue 30,000 common shares at a deemed value of five cents per share as finders' fees, subject to approval of the exchange.

All securities issued in connection with the private placement will be subject to a statutory hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws.

The company intends to use the proceeds of the private placement to pursue strategic acquisition opportunities, evaluate potential transactions, and support continuing corporate operations, working capital requirements and future business initiatives.

Insiders of the company are expected to subscribe for an aggregate of 272,040 units under the private placement, representing gross proceeds of $13,602. Such participation will constitute a related party transaction within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company expects to rely on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(a), respectively.

Termination of subscription receipt financing and return of subscription funds

Further to its news release dated Sept. 22, 2026, announcing the termination of the previously proposed subscription receipt financing and reverse takeover transaction, the company confirms that an aggregate of $673,605 was raised under the terminated subscription receipt financing. In accordance with the terms of the subscription receipt agreement, none of these funds were used by the company. As of Oct. 26, 2026, the company had returned an aggregate of $660,003 to subscribers, with the remaining $13,602 attributable to an insider of the company who has requested that his funds remain in the company's bank account and be applied directly toward his subscription in the proposed new private placement, subject to the approval of the TSX Venture Exchange. As the insider resides in the United States, returning the funds and subsequently transferring them back to Canada would result in unnecessary foreign exchange conversion costs and potential exchange rate losses.

About Fuse Battery Metals Inc.

Fuse Battery Metals is a Canadian based exploration company that trades under the symbol FUSE on the TSX Venture Exchange. The company's focus is on exploration for high-value metals required for the manufacturing of batteries.

Ontario cobalt properties

Fuse owns a 100-per-cent interest its Glencore Bucke property, situated in Bucke township, six kilometres east-northeast of Cobalt, Ont., subject to a back-in provision, production royalty and offtake agreement. The Glencore Bucke property consists of 16.2 hectares (ha) and sits along the west boundary of Fuse's Teledyne cobalt project. The company also owns a 100-per-cent interest, subject to a royalty, in the Teledyne project located near Cobalt, Ont. The Teledyne property adjoins the south and west boundaries of claims that hosted the Agnico mine.

Glencore Bucke/Teledyne property

Situated in Bucke township, six kilometres east-northeast of Cobalt, Ont., the Glencore Bucke property adjoins, on its northeast corner, the former cobalt-producing Agaunico mine. From 1905 through to 1961, the Agaunico mine produced a total of 4.35 million pounds of cobalt (Co) and 980,000 oz of silver (Ag) (Cunningham-Dunlop, 1979). The amount of cobalt produced from the Agaunico mine is greater than that of any other mine in the Cobalt mining camp. production ceased in 1961 due to depressed Co prices and oversupply (Thomson, 1964). The Glencore property is 100 per cent owned by Fuse cobalt subject to a back-in provision, production royalty and offtake agreement.

The associated Teledyne property, located in Bucke and Lorrain townships, consists of five patented mining claims totalling 79.1 ha and 46 unpatented mining claim cells totalling approximately 700 ha. The property is easily accessible by Highway 567 and a well-maintained secondary road.

Over $25-million has been spent thus far (2020 dollars inflation adjusted) on the Teledyne property resulting in valuable infrastructure including a development ramp and a modern decline going down 500 feet parallel to the main cobalt mineralized vein. The Teledyne property is subject to a production royalty in favour of New Found Gold and an offtake agreement in favour of Glencore Canada Corp., while the Glencore Bucke property is subject to a back-in provision, production royalty and an offtake agreement in favour of Glencore Canada Corp. Glencore PLC is the world's largest producer of cobalt. A significant portion of the cobalt that was produced at the Agaunico mine was located along structures (vein No. 15) that extended southward toward the northern boundary of the Teledyne cobalt property, currently 100 per cent owned by Fuse. Mineralization was generally located within 125 feet (ft) (38.1 metres (m)) above the Huronian/Archean unconformity. Stoping widths of up to 50 ft (15.2 m) were not unusual at the Agaunico mine (Cunningham-Dunlop, 1979).

We seek Safe Harbor.