District Metals Corp. (TSX-V: DMX) (Nasdaq First North: DMXSE SDB) (OTCQX: DMXCF) (FSE: DFPP); is pleased to announce that drill holes VIK-26-002 to -005 completed at Target A continue to encounter significant intervals of Alum Shales on the Viken Property (Figures 1 to 3) in Jämtland County, central Sweden.

Highlights:

• Drill hole VIK-26-005 intersected a cumulative 198.3 m of Alum Shale within down-hole depths from 24.0 to 274.1 m.

• Drill hole VIK-26-004 intersected a cumulative 177.1 m of Alum Shale within down-hole depths from 26.6 to 233.5 m.

• Drill hole VIK-26-002 intersected a cumulative 82.0 m of Alum Shale within down-hole depths from 12.0 to 146.2 m.

• Drill hole VIK-26-003 intersected a cumulative 73.0 m of Alum Shale within down-hole depths from 15.5 to 193.5 m (Table 1).

The successful Alum Shale intersections in drill holes VIK-26-002 to -005 continue to demonstrate that the MobileMT geophysical survey flown by District in 2025 has identified a shallow and thick sequence of graphitic Alum Shale associated with the strongly conductive signature exhibited by Target A. These results validate the Company’s geophysical targeting approach of testing MobileMT conductive anomalies that appear to have effectively mapped out the Alum Shales outside of the Viken Deposit.

Garrett Ainsworth, CEO of District, commented: “We are very encouraged by the consistency of the drilling results at Target A, with all four holes in this release intersecting significant cumulative intervals of Alum Shale, highlighted by 198.3 m in VIK-26-005 and 177.1 m in VIK-26-004. The degree of structural stacking observed at Target A is particularly impressive, given that the natural thickness of Alum Shale typically ranges from 5 to 20 m. From a potential mining perspective, cumulative Alum Shale thicknesses of 50 m or greater are of particular interest, making these results highly encouraging.

These drill results further validate our 2025 MobileMT geophysical survey and demonstrate its potential to identify shallow, thick sequences of Alum Shale extending beyond the boundaries of the Viken Deposit. We are systematically evaluating these conductive targets across the Viken Property to determine whether they host additional potentially economic mineralized systems. Success in identifying such systems could significantly expand the development optionality of the Property and provide District with greater flexibility in evaluating potential development scenarios.”

Next Steps

District will continue drilling broadly across Target Areas A and B by integrating geological drill data with geophysical interpretations to refine our understanding of the distribution and continuity of Alum Shales. Further information will be provided as the drill program advances.

Geochemical results will be required to determine the presence, grade and continuity of mineralized Alum Shale horizons, as visual drill core logging and radioactivity alone is not sufficient to establish mineralization.

Figure 1: Location of Drill Holes within Viken Property

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Figure 2: Location of Drill Holes within Target Area A

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Figure 3: VIK-26-005 Alum Shale in Core Box B-52

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Table 1 – Viken Property Alum Shale Intervals

Technical Information

All scientific and technical information in this news release has been prepared by, or approved by Garrett Ainsworth, P.Geo, President and CEO of the Company. Mr. Ainsworth is a Qualified Person for the purposes of National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Mr. Ainsworth has not verified any of the information regarding any of the properties or projects referred to herein other than the Viken Property. Mineralization on any other properties referred to herein is not necessarily indicative of mineralization on the Viken Property.

About District Metals Corp.

District Metals Corp. is led by industry professionals with a track record of success in the mining industry. The Company’s mandate is to seek out, explore, and develop prospective mineral properties through a disciplined science-based approach to create shareholder value and benefit other stakeholders. District is a 2025 TSX Venture 50 company, ranking among the top-performing issuers on the TSX Venture Exchange in the past year.

District is a uranium polymetallic exploration company focused on its flagship Viken Property in Sweden. The Viken Property covers 100% of the Viken Deposit, which contains the largest undeveloped Mineral Resource Estimate of uranium in the worldⁱ along with significant Mineral Resource Estimates of vanadium, potash, molybdenum, nickel, copper, zinc, and other important and critical raw materials.

On July 17, 2026, the Company filed a technical report prepared in accordance with NI 43-101 disclosing the results of a Preliminary Economic Assessment for the Viken Deposit that outlined an after-tax NPV_8% of US$2.88 billion, IRR of 45.9%, and payback period of 2.1 years. The assessment included an initial capital cost of US$876 million to generate average after-tax free cash flow of US$531 million per year over the 13 years of life of mine production.

For further information on the Viken Deposit, please see the technical report entitled “Preliminary Economic Assessment on the Viken Energy Metals Project, Jämtland County, Sweden”, dated July 17, 2026 with an effective date of June 26, 2026 available under the Company’s SEDAR+ profile at www.sedarplus.ca.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.