Aero Energy Ltd. provided a comprehensive summary of exploration insights gathered at the Murmac Uranium Project by operating partners Fortune Bay Corp. as well as additional historical data generated by previous owners of Murmac which include the predecessor company to Cameco Corp. F favorable Host Rocks: Exploration is currently focussing on three corridors of favorable graphitic host rocks covering a combined strike length of over 30 km.

Additional corridors will be evaluated and prioritized for follow-up exploration. Proof-of-Concept: Drilling completed by Fortune Bay in 2022 intersected uranium mineralization in 6 of 15 first-pass holes within the favored host rocks, highly prospective hydrothermal alteration and anomalous concentrations of "pathfinder" elements. Shallow Target Development & Drilling: A preliminary 45 drill targets have been identified which range in depth from only 20 to 150 m below surface.

The targets are currently being refined for drilling expected to begin in early June. Murmac Project Overview and Historical Exploration. Pursuant to a recently signed option agreement, Aero can earn up to a 70% interest in the Murmac and Strike Uranium Projects, both owned by Fortune Bay, by funding CAD 6 million in exploration expenditures, making cash payments totaling CAD 1.35 million, and issuing CAD 2.15 million in common shares, over a three-and-a-half-year period.

This approach is not effective for the exploration of basement-hosted mineralization, which requires detection of the covered graphite-rich rocks with electromagnetic ("EM") surveying to identify conductors, followed by target prioritization and drill testing. Three extensive conductor "corridors" have been identified to date, namely Pitchvein, Armbruster and Howland, covering over 30 km of strike length. These corridors have been subject to limited previous drilling and remain largely unexplored, offering significant potential for future discovery.

Preliminary Modern Exploration. Recent exploration efforts by Fortune Bay have focused on exploring for basement-hosted deposits in the older basement rocks that occur immediately below the sub-Athabasca unconformity (now eroded away). In the fall of 2022, Fortune Bay executed a prospecting and sampling program at Murmac1.

A total of 179 samples were collected for uranium analysis and multi-element characterization. Investment of historical uranium occurrences validated the historical data compiled from assessment reports, and all significant surface showings that were flagged for field investigation were reliably located. The verified surface historical uranium occurrences dominantly comprised high-grade fault-hosted mineralization, typically associated with large-scale faults that cross-cut untested conductors (graphite-rich rocks) located in adjacent valleys and covered by sediments.

In addition, a mineralized boulder (15 cm in diameter) was discovered in thin till cover at the edge of a conductor valley which exceeded the upper detection limit for radioactivity (65,535 countsper-second) on the handheld super-spec RS-125 handheld spectrometer. Three prominent conductor corridors were identified and, from west to east, have been named the Pitchvein, Armbrust and Howland conductor corridors respectively. The survey identified a number of high-priority electromagnetic anomalies.

This previous survey is currently being infilled and expanded upon at higher resolution (100 m spacing) to allow for refinement and reprioritization of existing targets, and selection of new targets, for drill testing. In the spring of 2022, Fortune Bay contracted MWH Geo-Surveys Ltd. to complete a ground gravity survey at Murmac1. The objective of the survey was to obtain gravity measurements over the Armbruster, Howland and Pitchvein conductor corridors to assist in drill targeting.

A total of 2,752 survey stations were completed at a station spacing of 50 m along lines at a 200 m spacing oriented on an azimuth of 300°. The survey identified a number of high-priority gravity anomalies. A helicopter-supported drilling program was completed at Murmac during the summer of 2022.

This program targeted electromagnetic, gravity and structural targets in areas near historical uranium endowment. A total of 15 holes comprising 3,168 m were completed. The most encouraging results were from holes M22-013 and M22-014.

Numerous shallow intercepts of anomalous uranium (defined here as >100 ppm) were encountered in these holes, with additional encouraging pathfinder element enrichment in graphitic pelites associated with hematite, sericite and chlorite alteration, plus quartz flooding. These holes targeted a geophysical anomaly approximately 225 m southwest from historical drill results that include 1.01% U3O8 over 2.0 m (56.0 to 58.0 m in drill hole CKI-9) and 2.19% U3O8 over 0.5 m (68.0 to 68.5 m in drill hole CKI-10)3. These historical holes were drilled by the Saskatchewan Mining Development Corporation, a predecessor of Cameco Corp. Additional along-strike drill testing is warranted and testing of the major NE/SW thrust fault located 100 m to the SE may also be warranted.