4^th September 2025

Power Metal Resources PLC

("Power Metal" or the "Company")

Proposed Investment in Minestarters

Institutional-Grade Blockchain DeFi Platform Bringing Real-World Asset Tokenisation to Mining Exploration

Power Metal Resources PLC (AIM: POW, OTCQB: POWMF), the London-listed natural resources exploration company and project incubator with a global project portfolio, is pleased to announce the signing of a binding Investment Agreement to acquire up to 49 per cent of Kingia FZCO ("Kingia"),  a company incorporated as a Freezone Company in Dubai through a proposed investment of up to £3 million in cash. Kingia will be renamed Minestarters in due course.

Minestarters proposes to establish an institutional-grade, blockchain-enabled Decentralised Finance ("DeFi") Tokenisation Platform which will offer compliant, liquid, and diversified investment into early-stage mining ventures. Minestarters will issue tokens as soon as practicable.

Minestarters tokens will give investors access to a curated portfolio of global exploration and development projects. As these projects advance, the Minestarters platform aims to capture and distribute their real-world value growth, simultaneously benefitting investors whilst directing essential funding to a pipeline of highly prospective mining assets. This provides global investors with direct, liquid exposure to an asset class that has traditionally been difficult for retail investors to access, and for institutions to access efficiently.

Power Metal has acquired an initial 35 per cent in Minestarters for a £1 million share subscription in cash, with an option to increase its holding to up to 49 per cent for a further £2 million share subscription in cash, subject to milestone delivery. These milestones will include, but are not limited to, the on-boarding of suitable mining partners and a listing of the Minestarters tokens on a suitable token exchange.

The real-world-asset ("RWA") tokenisation market has grown from US$8.6 billion at the start of 2025, to over US$25 billion by mid-year - a 260 per cent growth rate in just six months. Led by tokenised private credit (US$14.9 billion) and tokenisation of U.S. Treasuries (US$7.5 billion), institutional adoption has accelerated, with BlackRock's BUIDL fund alone currently having US$2.4 billion in assets under management. Standard Chartered predicts the market could reach US$30 trillion by 2034, while Boston Consulting Group has forecast US$16 trillion by 2030. Power Metal, through Minestarters' early entry into this underserved mining segment, will gain significant first-mover advantage in a sector where tokenised assets have grown 380 per cent over three years and is now in a position to reshape mining finance.

Highlights:

·    Transforming Mining Finance

Minestarters plans to be the first DeFi platform to offer investors regulated, compliant and transparent access to mineral exploration and development through the US$25 billion - and growing - RWA tokenisation market. As well as the ability to invest in the portfolio, the platform will offer automated benefit sharing, 24/7 liquidity and project transparency.

·    Bridging the Early-Stage Funding Gap

Over US$200 billion is invested in the mining sector each year, yet less than two per cent reaches early-stage exploration - the phase with potentially the greatest returns on investment. Minestarters aims to channel at least one per cent of this total market - more than US$2 billion - through its blockchain-enabled platform, rapidly matching vetted projects with global capital.

·    A New Hybrid DeFi Asset Class

Minestarters aims to combine blockchain liquidity with tangible mining project assets to create an innovative DeFi offering that delivers tech-sector NAV growth potential backed by real-world collateral. This unique positioning is built to attract crossover capital - from commodity specialists seeking diversification to DeFi investors seeking real-world yield.

·    Institutional-Retail Synergy

Minestarters will target two capital sources: institutions seeking exposure to critical minerals and retail investors previously shut out of early-stage mining projects. This blended investor base is expected to deepen liquidity, letting the platform finance more projects and deliver a broader, de-risked portfolio for all token-holders.

·    Driven by expertise and experience

Minestarters was founded and is chaired by Marcel Nally, a geologist with over 30 years' experience in mining and mineral exploration in worldwide jurisdictions. Among other successful projects, Marcel co-founded Moxico Resources plc, which operates a copper mine in Zambia.

Ian Freeman, CEO of Minestarters, has a record of steering technology ventures from launch to commercial success whilst navigating complex, highly regulated environments. The leadership team's complementary skill set positions Minestarters to evaluate promising mining projects while executing the regulatory, technological, and commercial strategies needed to bring these assets to investors on an institutional-grade blockchain platform.

·      Robust Governance and ESG Transparency

The Minestarters token will be governed by strict regulatory protocols. Smart contracts will account for the obligations and financing structure of each respective project, intended to create a level of capital discipline that does not exist in traditional early-stage mining project finance. Concurrently, Minestarters' ESG-compliant blockchain infrastructure will provide transparent environmental tracking, automated compliance reporting, and immutable audit trails - addressing institutional demand for verifiable sustainability credentials.

·    Scalable, Compliance-Ready Infrastructure

To be built for rapid expansion, Minestarters plans to have the capacity to onboard dozens of projects each year across multiple jurisdictions. Smart-contract automation, ESG-tracking modules and multilingual investor dashboards will keep operations efficient and in full compliance as the platform moves into global jurisdictions.

·      Expanding Investment Opportunities

Beyond early-stage and development funding, the Minestarters platform intends to support tokenised royalties, streaming rights, off-take partnerships and equity-convertible instruments, giving investors access to a range of structured exposures - historically reserved for institutions. As Minestarters evolves into a comprehensive DeFi powered capital markets platform for mining finance, it plans to capture value across the entire project lifecycle, from exploration through production and exit events, establishing itself as the Web3 infrastructure backbone for global mining project finance capital. Over time, this should position Minestarters not just as a funding solution, but as a go-to marketplace for tokenised mining assets worldwide.

·    Partner of choice

The mutually-beneficial partnership between Minestarters and Power Metal is highly advantageous for the growth of the Minestarters platform, with Power Metal's proven track record of generating value through crystallisation, and a distinct synergy in the business models of both companies, forged around the shared idea of project incubation. Together, Minestarters and Power Metal can accelerate the transition of mining finance into the blockchain era while maximising value capture across both portfolios.

Sean Wade, Chief Executive Officer of Power Metal Resources PLC commented:

"I am excited to announce this transformative investment for Power Metal, stepping into the new mainstream for mining finance. With first-mover advantage in a US$200+ billion annual market, this partnership has the potential to scale rapidly and reshape the sector. We are confident that this investment will provide greater opportunities for existing shareholders and potential token-holders to share in our crystallisation success, whilst giving us exposure to a more extensive pipeline of prospective assets than available through traditional financing methods.

"Energy-transition metals are in high demand and investors are actively seeking credible, ESG-aligned projects with clear development pathways, yet early-stage projects continue to struggle to raise risk capital, creating a roadblock for the supply of the materials essential to decarbonisation efforts.

"Minestarters addresses these problems with a forward-thinking, innovative approach, harnessing blockchain technology to pool global investors into a single, compliant vehicle that funds and delivers upside from multiple exploration and development assets, identified by well-renowned industry experts. A strong pipeline of projects is already under review for onboarding to Minestarters, ensuring early momentum post-launch. This extremely exciting partnership facilitates a progressive incubation process and positions Power Metal at the forefront of real-world-asset finance, adding several potential revenue streams and delivering new value for shareholders.

"This isn't just about early-stage funding. Minestarters opens the door to a range of tokenised mining exposures, from royalties and streaming agreements to equity-backed tokens and milestone-triggered rewards - something the industry has never had before.

"Our proven track record of crystallisation success and synergy with Minestarters' incubation approach will serve us well as we jointly progress this exciting new venture. I look forward to communicating how we see this investment enhancing our existing business model through the inclusion of an exciting Web3 fintech-enabled mining innovator."

Please follow the link here to a presentation explaining the model in more detail.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018. Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.For further information please visit https://www.powermetalresources.com/  or contact:

NOTES TO EDITORS

Power Metal Resources plc (AIM: POW, OTCQB: POWMF) is a London-listed natural resources exploration company and project incubator which finances and manages global resource projects and is seeking large scale metal discoveries.

The Company has a principal focus on opportunities offering district scale potential across a global portfolio including precious, base and strategic metal exploration in North America, Africa, Saudi Arabia, Oman and Australia.

Project interests range from early-stage greenfield exploration to later-stage prospects currently subject to drill programmes.

Power Metal will develop projects internally or through strategic joint ventures until a project becomes ready for disposal through outright sale or separate listing on a recognised stock exchange thereby crystallising the value generated from our internal exploration and development work.

Value generated through disposals will be deployed internally to drive the Company's growth or may be returned to shareholders through share buy backs, dividends or in-specie distributions of assets.