Magna Mining Inc. (TSX: NICU) is pleased to announce closing of its non-brokered strategic private placement financing previously announced on July 6, 2026, pursuant to which Alpayana S.A.C. purchased 62,356,682 common shares of the Company at a price of C$2.25 per Share for aggregate gross proceeds of approximately C$140,000,000. As of the closing time on the date hereof, Alpayana holds 19.9% of the issued and outstanding common shares of Magna.

The net proceeds of the Offering will be used to fund advancement of Magna’s development activities at its mineral projects located in the Sudbury region of Ontario, Canada, as well as for general corporate and working capital purposes.

In connection with the Offering, the Company and Alpayana entered into an investor rights agreement, pursuant to which Alpayana is entitled to certain rights provided that it maintains certain ownership thresholds in the Company, including, for so long as Alpayana holds at least 10% of the issued and outstanding common shares of the Company: (a) the right to participate in future equity financings and to top up its holdings following certain dilutive issuances, in each case in order to maintain its then-current pro rata ownership interest; (b) the right to nominate one director to the board of directors of the Company, or to appoint a board observer where no nominee is then serving on the board; and (c) the establishment of an advisory technical committee of the Company comprised of an equal number of representatives appointed by each of the Company and Alpayana. A copy of the Investor Rights Agreement will be available on the Company’s SEDAR+ profile at www.sedarplus.ca.

The Shares issued under the Offering are subject to a statutory hold period in Canada expiring four months and one day from the closing. In connection with the Offering, the Company paid to Canaccord Genuity Corp. an aggregate finder’s fee of 2.5% of the gross proceeds of the Offering, in cash. The Offering is subject to final approval of the Toronto Stock Exchange.

The Shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”), or the applicable securities laws of any state of the United States and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. Persons (as defined in the 1933 Act) unless such securities are registered under the 1933 Act and applicable state securities laws, or an exemption from the registration requirements of the 1933 Act and the applicable securities laws of any state of the United States is available. Accordingly, securities purchased in the United States or by, or for the account or benefit of, U.S. Persons will be subject to additional restrictions on resale under the 1933 Act and other applicable United States federal and state securities laws, unless an exemption therefrom is available. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Canaccord Genuity Corp. acted as financial advisor to the Company in connection with the Offering. Desjardins Capital Markets acted as strategic advisor.

Early Warning Disclosure

On August 28, 2026, Alpayana acquired 62,356,682 Shares in the capital of Magna at a price of C$2.25 per Share for gross proceeds of C$140,302,534.50 in connection with its strategic investment in Magna. The Company and Alpayana also entered into the Investor Rights Agreement in connection with the Investment (discussed above).

Immediately prior to the Investment, Alpayana did not beneficially own or control any common shares or other securities of the Company. After giving effect to the Investment, Alpayana beneficially owns an aggregate of 62,356,682 Shares, representing 19.9% of the issued and outstanding common shares of Magna on a non-diluted basis and on a partially-diluted basis.

Alpayana is acquiring the Shares for investment purposes and will continue to monitor the business, prospects, financial condition and potential capital requirements of the Company. Depending on its evaluation of these and other factors, Alpayana may from time to time in the future decrease or increase its direct or indirect ownership, control or direction over securities of the Company through market transactions, private agreements, subscriptions from treasury or otherwise, or may in the future develop plans or intentions relating to any of the other actions listed in (a) through (k) of Form 62-103F1 – Required Disclosure Under the Early Warning Requirements. Alpayana may also in the future exercise the board rights granted to it pursuant to the Investor Rights Agreement in order to nominate a director to Magna’s board of directors.

Magna’s head office is located at 1300 Kelly Lake Road, Sudbury, ON P3E 5P4, Canada. Alpayana’s address is Jr. Contralmirante Montero 429, Lima, Magdalena del Mar, 15076, Peru. Alpayana is a corporation existing under the laws of Peru.

For the purposes of this news release and the early warning disclosure, the number and percentages of outstanding common shares owned and controlled by Alpayana is based on 313,350,161 common shares outstanding immediately following completion of the Investment.

This portion of this news release is being issued pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. An early warning report in respect of the Investment will be filed under Magna’s profile on SEDAR+ at www.sedarplus.ca. Persons who wish to obtain a copy of the early warning report to be filed by Alpayana in connection with this transaction may obtain a copy of such report from www.sedarplus.ca or by contacting Fiorella Debernardi at Alpayana at fiorella.debernardi@alpayana.com or (+51) 1-610-1200.

About Alpayana

Alpayana is a private mining group with more than four decades of continuous operations in Peru and Mexico. Alpayana currently operates multiple mines in Peru and Mexico. The company combines operational expertise and disciplined project development.

The company is committed to sustainable and responsible mining, guided by a long-term vision that prioritizes the well-being of its employees, the protection of the environment, and the development of the indigenous communities surrounding its operations.

About Magna Mining Inc.

Magna Mining Inc. is a producing mining company with a strong portfolio of copper, nickel, and precious metals assets located in the world-class Sudbury mining district of Ontario, Canada. The Company’s primary asset is the McCreedy West Mine, currently in production, supported by a pipeline of prospective past-producing properties including Levack, Crean Hill, Podolsky, and Shakespeare.

Magna Mining is strategically positioned to unlock long-term shareholder value through continued production, exploration upside, and near-term development opportunities across its asset base.