Spark Energy Minerals Provides Update on Sharing Agreement

About this update from Spark Energy Minerals Inc

Vancouver, British Columbia--(Newsfile Corp. - March 19, 2026) - Spark Energy Minerals Inc. (CSE: SPRK) (OTC Pink: SPARF) (FSE: 8PC) ("Spark" or the "Company"), an exploration company focused on the discovery of battery metals in Brazil's prestigious Lithium Valley, at the request of the Canadian Securities Exchange, is providing an update on its sharing agreement dated March 31, 2025 (the "Sharing Agreement") with Sorbie Bornholm LP ("SBLP") previously described in the Company's news releases of April 14, 2025 and May 7, 2025. On April 25, 2025, the Company completed a non-brokered private placement in which it issued 27,636,112 units of the Company ("Units") at a price of $0.072 per unit for gross proceeds of $1,989,800 (the "Offering"). Each Unit was comprised of one Common Share in the capital of the Company and one-half of one Common Share purchase warrant (each, a "Warrant"). Each Warrant entitles the holder thereof to purchase one additional Common Share at a price of $0.14 per Common Share for a period of thirty-six months from April 25, 2025. A portion of the Units issued under the Offering, representing gross proceeds of $1,850,000 (the "Proceeds"), raised from SBLP and Sorbie Investments LLP ("SILP") for notional amounts of $871,992 and $978,008, respectively, were held in escrow pursuant to the Sharing Agreement. At closing of the Offering, the Company received an initial release of $160,000 (the "Initial Release") and SBLP was paid a corporate finance fee of $111,000 through the issuance of 1,541,667 Units. Pursuant to the Sharing Agreement, the remainder of the Proceeds (being $1,690,000) would be released to the Company in 12 monthly settlements (each, a "Settlement"), measured against a benchmark price of $0.1182 (the "Benchmark Price"). The actual cash paid out under each Settlement is determined based on a volume weighted average price for 20 trading days prior to each Settlement ("20 Day VWAP"). If the measured share price is above the Benchmark Price, the Company receives more than 100% of the expected Settlement amount. However, if the measured share price is below the Benchmark Price, the Company receives less than 100% of the Settlement payment. At the time of a Settlement, the 20 Day VW...

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