Mr. Guy Bourassa reports

SCANDIUM ANNOUNCES ITS INTENTION TO COMPLETE A SHARES FOR DEBT TRANSACTION

On Jan. 6, 2026, Scandium Canada Ltd. signed a debt settlement agreement with an arm's-length creditor for a total amount of $84,800, representing a portion of the debt owed to the creditor for services rendered for the Crater Lake project. The company's board of directors believes that settling this debt through the issuance of shares is in the best interest of the company, as it allows it to preserve cash for its operations, improve its balance sheet and support the overall need to manage its financial resources prudently.

In accordance with the terms of the debt settlement agreement, the company intends to settle this debt by issuing 513,939 common shares at a price of 16.5 cents per share. This debt settlement has been formalized in a written agreement and remains subject to the approval of the TSX Venture Exchange. The shares issued will be subject to a mandatory hold period of four months and one day from the date of issue in accordance with applicable securities laws.

No insider of the company is participating in this transaction. The company has not entered into any brokerage agreement in connection with this debt settlement.

About Scandium Canada Ltd.

Scandium Canada is a public company whose ultimate goal is to bring the world's leading primary source of scandium into production, enabling the development and commercialization of aluminum-scandium alloys. The corporation is leveraging its Al-Sc alloy development subsidiary and the development of its Crater Lake mining project to meet the growing need for lighter, greener, longer-lasting, high performance materials. The corporation aims to become a market leader in scandium while committing itself to building a more responsible economy through innovation and agility.

We seek Safe Harbor.