Power Metallic Mines Inc. (TSX-V: PNPN) (OTCBB: PNPNF) (Frankfurt: IVV)  is pleased to provide an update on preliminary metallurgical studies being performed by SGS Canada Ltd at its laboratories based in Quebec City, QC, and Lakefield, ON.

“Metallurgical Testing is one of the key steps mining companies take to derisk development of mining projects. It is also a necessary step for NI 43-101 reporting on the resource and its economic potential. While we have no immediate plans to produce a NI- 43-101 resource report the results of this study will enable independent bank, company and industry analysts to utilize the appropriate resource recovery numbers while developing economic valuations on the Nisk project. In this respect we are following the path well established by projects like Filo and Great Bear, who both posted assays and azimuths for their exploration results and allowed the analysts to speak to the economic potential of these projects.” Commented Power Metallic CEO Terry Lynch

Power Metallic carried out a competitive bid process for carrying out the metallurgical studies and has awarded the contract to SGS Canada Inc. based on their extensive experience with flotation metallurgical testing. Compositing of the samples, and flotation studies will be conducted in Quebec City, and analyses and environmental testing will be carried out at Lakefield, ON.

Work to date has shown that the copper mineralization is contained within coarse grained chalcopyrite and cubanite, both which should respond well to conventional sulphide concentration methods. Overall, the character of the mineralization suggests good recoveries of copper sulphides, and these initial metallurgical tests will determine the recovery potential of the PGEs, Au, Ag, and Ni., which are expected to report within a conventional sulphide concentrate.

The Lion deposit has two zones of mineralization defined by drilling, consisting of a High-Grade zone (HG) and a lower grade Hanging-wall Zone ((LG). Current understanding is that the vast majority of the metal value in the deposit is contained within the High-Grade zone, consisting of semi-massive to massive copper sulphide mineralization. The chosen rejects consist of the two zones, the massive to semi-massive sulphides HG, and the LG disseminated and veined structural hanging-wall to the HG.

Power Metallic compiled a series of drill core reject material from the Lion deposit. The sample rejects were chosen to be spatially representative of the known mineralization across strike and down plunge within the deposit. The HG is represented by 103 samples from 15 drill holes and the LG is represented by 99 samples from 10 drill holes (Figure 1).

Each zone of collected core rejects represented approximately 300 kg of sample material which were hand delivered to the SGS laboratory in Quebec City. From these amounts SGS has been instructed to generate a 75 kg composite of test material for each zone, each reject aliquot being length weighed by sample interval to be representative of the total mineralized drill intervals. The HG and LG material will both then be homogenized to ensure consistent sub-sampling.

The HG and the LG will each have 25 kg extracted from the 75 kg composites to form a Blended Composite, resulting in three (3) separate 50 kg composites for initial analyses and flotation testing. The 50/50 ratio of HG to LG weighting for the Blended composite is based on current estimates of modelled volumes for the two Lion deposit types. Each of the three composites will go through complete metallurgical testing for determining any variability for recovery of the six (6) principal metals (Cu, Pd, Pt, Au, Ag, Ni) for each zone and for the Blended composite. Additional testing may be done for rare earth minerals associated with this polymetallic deposit type (Os, Ir, Rh, Ru, other) if initial mineralogy suggests potential economic concentration.

The metallurgical tests are anticipated to take approximately 14 weeks to complete. Power Metallic will divulge results of the testing as soon as practical, but final reporting of results is not expected before January 2026.

Qualified Person

Joseph Campbell, P.Geo, VP Exploration at Power Metallic, is the qualified person who has reviewed and approved the technical disclosure contained in this news release.

About Power Metallic Mines Inc.

Power Metallic is a Canadian exploration company focused on advancing the Nisk Project Area (Nisk–Lion–Tiger)—a high–grade Copper–PGE, Nickel, gold and silver system—toward Canada’s next polymetallic mine.

On 1 February 2021, Power Metallic (then Chilean Metals) secured an option to earn up to 80% of the Nisk project from Critical Elements Lithium Corp. (TSX–V: CRE). Following the June 2025 purchase of 313 adjoining claims (~167 km²) from Li–FT Power, the Company now controls ~212.86 km² and roughly 50 km of prospective basin margins.

Power Metallic is expanding mineralization at the Nisk and Lion discovery zones, evaluating the Tiger target, and exploring the enlarged land package through successive drill programs.

Beyond the Nisk Project Area, Power Metallic indirectly has an interest in significant land packages in British Columbia and Chile, by its 50% share ownership position in Chilean Metals Inc., which were spun out from Power Metallic via a plan of arrangement on February 3, 2025.

It also owns 100% of Power Metallic Arabia which owns 100% interest in the Jabul Baudan exploration license in The Kingdon of Saudi Arabia’s JabalSaid Belt. The property encompasses over 200 square kilometres in an area recognized for its high prospectivity for copper gold and zinc mineralization. The region is known for its massive volcanic sulfide (VMS) deposits, including the world-class Jabal Sayid mine and the promising Umm and Damad deposit.

Figure 1 Spatial distribution of the drill hole intercepts used in the Metallurgical Testing (CNW Group/Power Metallic Mines Inc.)