Atlas Salt Closes $1.25 Million Flow-Through Financing for Black Bay Nepheline Exploration

• Atlas Salt Inc. has arranged a non-brokered private placement of 961,539 flow-through common shares at $1.30 per share for aggregate gross proceeds of $1,250,000.
• Proceeds will be used to incur eligible Canadian exploration expenses to advance exploration on the nepheline discovery at the Black Bay Property in Southern Labrador, a non-core asset located approximately 6 kilometres from tidewater and accessible by paved road.
• The Black Bay property hosts a surface occurrence of nepheline syenite, and analysis by SGS Lakefield of a bulk sample suggests the nepheline is potentially amenable to processing to a high-value product; the discovery has not yet been tested to depth by drilling.
• The Company has also been approved for funding under the Province of Newfoundland and Labrador's Junior Exploration Assistance (JEA) 2026 program to support exploration activities at Black Bay.
• Atlas Salt has retained Renmark Financial Communications Inc. for investor relations services at a monthly cash consideration of $10,000, starting in June 2026, for a period of seven months, ending in December 2026.

The Flow-Through Offering

Atlas Salt Inc. (TSXV: SALT; OTCQX: SALQF; FRA: 9D00) has arranged a non-brokered private placement of 961,539 flow-through (FT) common shares at a price of $1.30 per share, for aggregate gross proceeds of $1,250,000. Each FT share qualifies as a flow-through share under the Income Tax Act. The offering is subject to customary closing conditions and regulatory approvals, including approval from the TSX Venture Exchange (TSXV), with closing expected on or about May 20, 2026. All FT shares issued are subject to a hold period of four months and one day following the closing date under applicable Canadian securities laws.

Gross proceeds will be directed toward eligible Canadian exploration expenses that qualify as flow-through mining expenditures under the Income Tax Act, to advance exploration at the Black Bay Property in Southern Labrador. 

Chief Executive Officer of Atlas Salt, Nolan Peterson, commented: 

"Since the initial discovery of Nepheline Syenite at our Black Bay property, Atlas Salt has been eager to follow up on the early evaluation of this occurrence. Shareholders should view this flow-through offering as a relatively low-cost opportunity to uncover value and subsequently potentially monetise a non-core asset. While our focus remains on advancing the Great Atlantic Salt Project, we look forward to commencing maiden drilling at Black Bay."

The Black Bay Property

The Black Bay property is located in Southern Labrador and consists of a surface occurrence of nepheline syenite along the Southern Labrador highway. The property is approximately 6 kilometres from tidewater, accessible by paved road, and approximately a 90-minute drive from the Blanc Sablon, Quebec airport. Atlas Salt acquired the property by staking in July 2016.

In 2017, Atlas Salt collected in excess of 3 tonnes of material via surface channel sampling to assess the deposit's potential economic viability. Results indicated that the rock's contents are comparable to those of other commercial nepheline deposits, and initial beneficiation tests were positive for meeting industrial standards. Analysis by SGS Lakefield of a bulk sample from Black Bay suggests the nepheline is potentially amenable to processing to a high-value product. The deposit has not yet been tested to depth by drilling, and the purpose of the current program is to further quantify its mineralogical characteristics and evaluate its potential tonnage.

About Nepheline

Nepheline is an industrial mineral and a source of aluminum, sodium, and potassium used primarily in the manufacture of glass, ceramics, extenders, and fillers. Commercial nepheline deposits are described as rare, with only one mine in production in North America, located at Blue Mountain in Ontario. Feldspar is used as a substitute for nepheline due to nepheline's limited supply, though nepheline is generally preferred over feldspar because of its higher potassium and sodium content, which results in significant energy savings in industrial applications.

Additional Corporate Updates

Atlas Salt has been approved for funding under the Province of Newfoundland and Labrador's Junior Exploration Assistance (JEA) 2026 program to support exploration activities at Black Bay. Atlas Salt has also retained Renmark Financial Communications Inc. for investor relations services. Monthly fees of $10,000 in cash will apply starting June 1, 2026, for a period of seven months ending December 31, 2026, and monthly thereafter. Renmark Financial Communications does not hold any interest, directly or indirectly, in Atlas Salt or its securities, nor any right or intent to acquire such an interest.

Next Steps

The closing of the flow-through offering is expected on or about May 20, 2026, subject to customary closing conditions and regulatory approval from the TSXV. Following closing, the Company will deploy proceeds toward eligible Canadian exploration expenses at Black Bay, with maiden drilling at the property the stated next step. The purpose of the drilling program is to further quantify the deposit's mineralogical characteristics and evaluate its potential tonnage. Atlas Salt’s primary focus remains on advancing the Great Atlantic Salt Project.

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