Sparton Resources Inc. Final Private Placement Closing and Updates

TORONTO, Dec. 12, 2025 - Sparton Resources Inc. (TSXV-SRI) ("Sparton" or the "Company") is pleased to announce the completion of its non-brokered private placement offering, which was first announced on October 30^th, 2025. The second and final tranche closed on December 12^th, 2025, bringing the total gross proceeds from both closings to C$410,000. For further details, refer to the Company's previous news releases dated November 11^th, 2025, and October 30^th, 2025.

As part of the second closing, Sparton issued 5,285,715 National Flow-Through Share ("NFTS") Units at a price of C$0.035 per unit, raising proceeds of C$185,000. Each NFTS Unit consists of one common share and one-half of a non-flow through Share Purchase Warrant ("SPW"), amounting to 2,642,858 full SPWs. A full SPW allows the holder to purchase one common share at C$0.08 within 12 months from the Issue Date.

Each NFTS is classified as a Critical Metals "flow-through share" according to the Income Tax Act (Canada).

Additionally, the Company issued 500,000 non-flow-through share units ("SU") at $0.03 per unit. Each SU includes one common share and one-half warrant. A full warrant grants the holder the right to purchase one common share at $0.05 per share for up to 2 years from the date of issue.

The gross proceeds from the NFTS issuance will be used exclusively for resource exploration expenses that qualify as "Canadian exploration expenses" and "flow through mining expenditures" under the Income Tax Act. These expenditures will be renounced to NFTS purchasers with an effective date no later than December 31^st, 2025, in an amount equal to or greater than the gross proceeds raised from the NFTS issue. If the Canada Revenue Agency reduces the Qualifying Expenditures, Sparton will indemnify NFTS Unit subscribers for any extra taxes they may owe due to the Company's failure to renounce the expenditures.

Finders Fees totalling $15,000 in cash and 428,571 full broker warrants have been paid and issued to third-party finders. Each broker warrant enables the holder to purchase one common share of the Company at $0.05, exercisable within 24 months of the closing date, December 12^th, 2025.

The NFTS, Warrant Shares, SUs, and any common shares resulting from the exercise of finder's warrants are subject to a statutory hold period. This period ends four months plus one day following the issue date, specifically on April 13^th, 2026, in accordance with applicable securities laws.

The offering received all necessary regulatory approvals, including those from the TSX Venture Exchange.

The securities offered have not been, and will not be, registered under the United States Securities Act of 1933 or any U.S. state securities laws. These securities may not be offered or sold in the United States or to U.S. persons without registration or an applicable exemption. This news release is not an offer to sell or a solicitation to buy securities in the United States or any other jurisdiction.

Proceeds from the offering will support exploration activities for the Company's Critical Metals projects in Ontario and for general corporate purposes. The focus will be on the Pense polymetallic metals project east of Englehart, Ontario, where historical work has identified zinc, copper, and nickel mineralization with minor cobalt values. The project area has seen limited activity for over two decades, and upcoming work will include follow-up prospecting, airborne surveys, target assessments, and diamond core drilling.

Corporate Updates

Effective as of the date of this news release, Sparton has awarded and approved the issuance of 4,200,000 incentive options to Directors, Officers, and Consultants. These options vest immediately and entitle the holder to purchase common shares at $0.03 per share. The options are valid for three years, expiring on December 12^th, 2028.

Drilling activities are currently in progress on the Quebec Pense Project claims. A new Expert Geophysics Target EM survey has also been completed in areas previously not covered by earlier Sparton work. Results from these activities will be reported as they become available.

Neither TSX Venture Exchange nor its Regulation Services Provider (as defined in TSX Venture Exchange policies) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This news release contains forward-looking statements under applicable securities laws, including references to proposed financings and transactions. All such statements are qualified in their entirety by this cautionary notice. The Company does not undertake to update or revise forward-looking statements except as required by law. While the Company believes expectations outlined in these statements are reasonable, there is no assurance that such expectations will be met. Investors should not place undue reliance on these statements. This release does not constitute an offer to sell or solicitation to buy any securities described herein.

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