Mr. Casey Forward reports

MEGAWATT ANNOUNCES SETTLEMENT OF DEBT BY ISSUANCE OF SHARES

Further to its news release dated April 8, 2026, Megawatt Lithium and Battery Metals Corp. has issued 3,066,254 common shares in the capital of the company at a deemed price of 18.5 cents per share to certain creditors of the company in settlement of an aggregate of $567,257 in debts owing to the creditors for consulting, legal and administrative services provided to the company, including the issuance of a total of 539,113 shares for settlement of $99,736 owed to an officer and director of the company.

All the shares issued in connection with the shares-for-debt settlement are subject to a statutory hold period of four months plus one day ending on Aug. 30, 2026, in accordance with applicable securities legislation and policies of the Canadian Securities Exchange.

Related party transaction

The participation of an officer and director of the company (in his capacity as an officer) in the shares-for-debt settlement constitutes a related party transaction within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company has relied on the exemption from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(1)(a) thereof, on the basis that the fair market value of the shares issued to the related party did not exceed 25 per cent of the company's market capitalization. No new control person was created on closing of the shares-for-debt settlement. A material change report will be filed in connection with the participation of the insider in the shares-for-debt settlement.

About Megawatt Lithium and Battery Metals Corp.

Megawatt is a British Columbia-based company engaged in the acquisition and exploration of mineral properties. Megawatt also holds a 100-per-cent interest in 229 mineral exploration claims prospective for lithium in the James Bay area of Quebec covering an area of 12,116 hectares, or 121 square kilometres.

We seek Safe Harbor.