WSTRF 10-K & 10-Q changes, risk factors and insider trading

On August 18, 2014, the Company closed on the purchase of certain mining properties in Colorado and Utah from Energy Fuels Holding Corp. Assets purchased included both owned and leased lands in Utah and Colorado, and all represent properties that have been previously mined for uranium to varying degrees in the past. The The acquisition included the purchase of the Sunday Mine Complex. The Sunday Mine Complex is located in western San Miguel County, Colorado. The complex consists of the following five individual mines: the Sunday mine, the Carnation mine, the St. Jude mine, the West Sunday mine mine and the Topaz Mine. The operation of each of these mines requires a separate permit, and all such permits have been obtained by Western Western and are currently valid. Notably, for the Topaz Mine, which at the present time is permitted and is scheduled for reclamation, the process is underway for it to be re-permitted. In addition, each of the mines has good access to a paved highway, electric power to existing declines, office/storage/shop and change buildings, and an extensive underground haulage development with several vent shafts complete with exhaust fans. The Sunday Mine Complex is the Company’s core resource property and in July 2021 was assigned “Active” status when mining operations were restarted.

On June 30, 2023, Western re-qualified as a foreign private issuer as that term is defined in Rule 3b-4(c) promulgated under the Exchange Act. As a result, the Company may now utilize certain accommodations accommodations made to foreign private issuers, including (1) an exemption from complying with the Commission’s proxy rules, (2) an exemption from the Company’s insiders having to comply with the reporting and short-swing trading liability provisions of Section 16 under the Exchange Act, (3) the ability to make periodic filings with the Commission on the Form 20-F and Form 6-K foreign issuer forms, and (4) the ability to offer and sell unrestricted securities outside of the United States pursuant to Rule 903 of Regulation S. The Company plans to take advantage of these accommodations. However, the Company currently has decided to voluntarily continue to file periodic reports with the Commission using domestic issuer forms including filing annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. OnAs of the subsequent measurement date, June 30, 2024, Western reconfirmed its qualification as a foreign private issuer.issuer for periods ended through December 31, 2025.

On April 8, 2025, PRM entered into an Ore Purchase Agreement (the “Ore Purchase Agreement”) with subsidiaries of Energy Fuels Inc. (“Purchaser”). The Ore Purchase Agreement is for a one year period and provides for the delivery of up to 25,000 short tons of uranium bearing ore to the White Mesa Mill in Blanding, Utah. PRM shall make deliveries at its own cost and the purchase price per ton will be based upon the average grade of uranium withinof each lot, and other qualifying conditions. Within 30 days after each lot is closed, the Purchaser shall pay to PRM an 85% provisional payment payment(“Provisional Payment”) calculated based upon the sampled grade and an agreed upon pricing schedule. Within 30 days after each lot is fed to processing, the Purchaser shall pay to PRM a final settlement payment calculated based upon the assayed grade and the agreed upon pricing schedule, net of a royalty, pursuant to a previously existing royalty agreement with the Purchaser.

MustangMaverick MineralMinerals Processing Plant

During the years ended December 31, 20242025 and 2024, 2023, we recognized aggregate revenue of $183,803$128,163 and $431,065,$183,803, respectively, under these oil and gas lease arrangements. For the year ended December 31, 2025, oil and gas royalties declined due to lower volumes attributable to production decline curves.

On December 1, 2016 a determination was made by by the CDPHE considering the NRC Advisory Opinion, the Colorado public meeting process, and the CDPHE regulatory and evaluation framework. This determination stated that the proposed Kinetic Separation operations at the Sunday Mine by Black Range Minerals must be regulated by the CDPHE through a milling license. Previously, the Company was unable to deploy Kinetic Separation as it was without a regulatory framework, but as a result of this determination the Company is now able to deploy Kinetic Separation under a milling license. During 2025 there was a large development for Kinetic Separation which affects its process deployment. In September 2025, the NRC approved a license for the owner of the Ablation patents that allows the application of their version of Ablation technology for uranium mine waste remediation and issued a first-of-its-kind multi-site Service Provider License. This option is available to Western, should we choose to pursue it. The Colorado milling license that Western is currently seeking will likely incorporate Kinetic Separation via an amendment to the initial license – as Western’s current plan is to submit a licensing application that is substantially identical to the application that was used previously for the Pinon Ridge Mill (which did not include the Company’s Kinetic Separation technology).

During the first Trump Administration, the U.S. government focused on market distortions caused by foreign state-owned enterprises and the economic and geopolitical influence lost by allowing Russia and China to take the global lead in nuclear power. In support of the world’s largest civilian nuclear reactor fleet, the U.S. has implemented some of the recommendations of the Nuclear Fuel Working Group which followed the uranium Section 232 investigation. TheThis led to the implementation of the Uranium Reserve Program and the American Assured Fuel Supply program. Subsequently, the Russia/Ukraine war has highlighted the nuclear fuel supply chain risks and the geopolitical risks of dependence on the direct and indirect sourcing of nuclear fuel from state owned enterprises in Russia and former Soviet Union republics. This led to the implementation of the Uranium Reserve Program where the U.S. Department of Energy (“DOE”) purchased 1,100,000 lbs of U.S. domestic origin uranium in the first quarter of 2023.

Upon taking office, the Biden-Harris Administration team immediately rejoined the Paris Climate Accord, reversed a number of pro-fossil fuel energy policies, and gave all agencies climate change initiatives. The Administration continuedworked to advance a national clean energy standard. U.S. utilities were expected to be required to produce an increasing proportion of electricity generation from clean energy power sources. OnIn August 16, 2022, the Inflation Reduction Act Act was signed into law authorizing governmental investments of approximately $369 billion in climate and energy, a portion of which would benefit the U.S. domestic nuclear industry and battery technologies.

OnIn November 5, 2024, the United States held a highly contested Presidential election between Republicans (Trump-Vance) and Democrats (Harris-Walz). The Trump-Vance Republican ticket won, returning former President Donald Trump to the Presidency on January 20, 2025. In addition,Presidency. Republicans havealso achieved Congressional majorities in both the Senate Senate and House of Representatives. As a result, President Trump’s legislative priorities will likely face less resistance in Congress. Currently, nuclearNuclear energy now enjoys bipartisan support. WithHowever, with the change in Presidential Administrations, we are already observing the Biden emphasis on climate change and clean energy initiatives ofwas thereplaced Biden-Harrisby AdministrationTrump beingpro-energy de-emphasized.initiatives. In his first day in office, President Trump signed Executive Orders declaring a National Energy Emergency and a U.S. withdrawal from the Paris Climate Agreement for a second time. The new Administrationadministration is seeking a reduction in the federal government’s size and regulatory power,power; we believe this is likely to expedite the permitting and the newly-established Department of Government Efficiency (DOGE) has implemented workforce layoffs with the goaldevelopment of a federal government headcount reduction. On February 14, 2025, President Trump signed an Executive Order creating the National Energy Dominance Council. On March 20, 2025 to boost domestic production of critical minerals and reduce reliance on foreign imports, President Trump signed an Executive Order titled “Immediate Measures to Increase American Mineral Production.” On April 9, 2025, President Trump signed an Executive Order entitled “Zero-based Regulatory Budgeting to Unleash American Energy” to reduce costs on energy productionresource by requiring conditional sunset dates for regulations. However, these positive developments for domestic energy have been overshadowed by the announcements of U.S. tariffs and reciprocal tariffs on the U.S.’s largest trading partners. Tariffs have been implicated as the driver of volatility across global capital markets. Subsequently, President Trump authorized a 90-day pause on reciprocal tariffs and instead implemented a flat 10% tariff while the pause is in effect. This action calmed markets. Most countries benefited from this pause; however, it was implemented in parallel with an increase on Chinese tariffs, and thus escalated a U.S. – China trade war.projects.

DuringThe uranium term price was in the year$80.00 endedto December$81.50 31,range between July 2024 and August 2025, until its rise to $83/lb in September 2025 and $85/lb in October 2025. The uranium spot market has experienced more volatility, peaking at $106/lb in January 2024, and declining into a 2025 trading range of $64/lb to $78/lb through August 2025. In September 2025 and October 2025 spot prices rallied above $80/lb, before declining back into the 2025 trading range in November 2025. In January 2026, uranium spot prices spiked closing above $100/lb for 2 days and above $90/lb for 5 days. After this short lived rally was over spot prices declined and settled into the $80/lb range. The uranium price decreasedtrend $18is strong. Over the five year period from $912020 to ~$73.2025, Notably,both spot and term prices have moved up from the long-term$30/lb price increased from $68range to ~$81 during a period of rising conversion and enrichment services prices. However, this follows an extremely strong period in the market$80/lb whererange. In 2023/2024, spot uranium prices have reacted to supply/demand constraints and geopolitical risks. Since January 2024, spot uranium had a slow decline from a high of $100/lb level to $64/lb level at the end of March 2025. The events of 2022 have set in motion uranium market and nuclear fuel opportunities for the next decade and beyond. There are positivePositive catalysts across multiple levels of the nuclear fuel and uranium markets have set in motion markets.uranium market and nuclear fuel opportunities for the next decade and beyond. Underlying fundamentals are the strongest in decades. This is attributable to multiple factors, including climate change, energy security, supply chain and energy scarcity initiatives. The supply/demand imbalance has flipped from a market with excess supply into a market with excess future demand. With the reduced availability of secondary supplies, utilities have begun adding multi-year contracts with mining companies for primary supply. The drivers expanding the demand for nuclear fuel include non-nuclear nations adding nuclear power generation, nuclear nations expanding fleets and/or extending lives of existing reactors, idled nuclear reactors being redeployed, the reversal of phase-outs and shutdowns, and the deployment of advanced reactors / SMRs. However, the challenge is in meeting increasing demand simultaneously with supply constraints from the world’s largest suppliers. We believeIn spite of all these favorable attributes, spot uranium equityprices priceshave declined in 2025 versus 2024 levels, as have the equities of junior uranium miners. We anticipate that both will continuerebound to strengthen and reflect the underlying positive fundamentals in the nuclear/uranium sector. Multiple market analysts have flagged low availability of mobile secondary inventories. We believe the continued draw down of of inventories to be a market catalyst for uranium prices.

Positive nuclear energy news has continued to highlight the global growth of future nuclear electricity generation which will drive increased nuclear fuel demand. InHowever, terms of future supply, utility contracting has continued into 2024, and some uranium mining companies are moving toward restarting production. However, due to the lead time needed for future uranium production, we are entering a phase where the supply-demand fundamentals are in a deep multi-year multi-year structural supply deficit. The future is not clear as we believe some minersminers, like ourselves, with available near-term production are waiting waiting for higher price levels and/or project funding before making full start-up commitments. Utilities arehave also deferringdeferred contracting to understand how regulations and geopolitics will modify their future access to Russian uranium, conversion and enrichment services.

Russia’s invasion of Ukraine and the ensuing global energy crisis has focused attention on security of supply and supply chain risks. This has caused most of the world to re-evaluate their dependence upon nuclear fuel exported by Russia. In spite of the dominant market position of Rosatom, future deliveries potentially could be at risk due to sanctions, legislation, or a Russian embargo. Customer dependence upon the Russian supply of uranium, conversion and enrichment are being addressed slowly by governments as alternative suppliers are not currently available. Both Urenco and Orano have have announced that they will invest to expand their uranium enrichment capacity respectively in the United States and France, which represents represents a shift away from Russia. Utilities are demonstrating their desire for increased security of their nuclear fuel supply chains. Kazakhstan Kazakhstan is also a concern because the world’s largest uranium producing country has an unguarded and the second longest continuous land land border in the world shared with Russia. The potential exists for Russia to exert influence over Kazakhstan. Additionally, Kazatomprom has put large long-term contracts in place with China. This supply is needed for China to fulfill its 15 year plan to deploy 150 new nuclear nuclear reactors. China National Nuclear Corp. (CNNC) has recently opened a uranium trading hub /and warehouse facility, on the China / Kazakhstan border, with the capacity to store 60 million pounds of uranium. It has become evident that the nuclear fuel supply chain has become increasingly concentrated and interconnected in this very small area of the world. Expanding Kazakhstan uranium exports to Russia and China significantly reduces future supply for Western nuclear fuel buyers.

The Company has registered offices at 5 Church Street, Toronto, Ontario, Canada, M5E 1M2, and its common shares are listed on the CSE under the symbol “WUC” and are traded on the OTCQX Best Market under the symbol “WSTRF”. Its principal business activity is the acquisition and development of uranium and vanadium resource properties in the states of Utah and Colorado in the United States of America (“United States”).States.

Between July 2024 and August 2025, the uranium term price was in the $80.00/lb to $81.50/lb range until its rise to $83/lb in September 2025 and $85/lb in October 2025. The uranium spot market has experienced more volatility, peaking at $106/lb in January 2024, and declining into a 2025 trading range of $64/lb to $78/lb through August 2025. In September 2025 and October 2025 spot prices rallied above $80/lb, before declining back into the 2025 trading range in November 2025. The Fall 2025 rally was ignited in mid-September by President Trump and the Department of Energy (“DOE”) Secretary Wright touting U.S. nuclear power and the U.S. domestic fuel cycle, which rallied uranium equity markets. In January 2026, uranium spot prices spiked closing above $100/lb for 2 days and above $90/lb for 5 days. After this short-lived rally was over, spot prices declined and settled around into~$85/lb during the $80/lbFebruary range.2026 to July 2026 period.

The long-term uranium price trend is strong.relatively Overstronger as it has rallied from the ~$90/lb to ~$95/lb levels during 2026. Previously, over the five year period from 2020 to 2025, both spot and term prices have moved up from the $30/lb range to the $80/lb range. In 2024, Western responded to favorable market conditions by aggressively ramping up operations and expanding production capacity primarily at its 100% owned Sunday Mine Complex. While uranium spot prices weakened late in 2024, we had anticipated a recovery in 2025, supported by the U.S. United States ban on Russian uranium (effective 2028) and the Trump administration’s strong backing of nuclear energy and domestic mining. The Company’s interpretation of market signals was that uranium markets would stabilize at replacement price levels. However, given the turbulence in global commodity and financial markets, along with geopolitical uncertainties, we have shifted to a more conservative stance, increasingly focusing on cost control and strategic discipline. We continued to observe capital market volatility fueled by the Ukraine and Gaza wars, political and trade/tariff uncertainties and more recently the war with Iran.

This conservative approach has been adopted to reduce operational spending in the near-term. The intent is to focus on the initiatives that bring long-term value to the Company: advancing the development of the Mustang mill and the development of nearby mines to supply this mill. Western’s team remains confident that uranium prices will become reflective of replacement cost levels and strong underlying market fundamentals. While we are focusing on preparing more of our mineral properties for active mining operations, we intend to utilize this conservative approach until there is a significant and sustainable recovery in uranium markets. The widening spread between spot pricing and long-term pricing is a positive signal for uranium miners, however uranium equities are moving in the opposite direction as they have declined in price during the second quarter.

We are prioritizing the development of the Mustang Mineral Processing Plant (Mustang) in Colorado due to its close proximity to the SMC and lower hauling costs in comparison to the Maverick Minerals Processing Plant in Utah. In preparing the new licensing and permitting application, Western expects to benefit from the prior site owner’s completion of all phases of licensing and permitting of their Pinon Ridge Mill project. This facility will be designed to recover uranium and vanadium both from conventional materials mined from Company mines and materials produced by other mining companies. After permitting and construction, and subject to available financing, the processing of uranium and vanadium materials is targeted to commence in 2029. The Colorado milling license that Western is currently seeking will incorporate Kinetic Separation via an amendment to the initial license – as Western’s current plan is to submit a licensing application that is substantially identical to the application that was used previously for the Pinon Ridge Mill (which did not include the Company’s Kinetic Separation technology). Official baseline data collection at Mustang began in December 2024 for water monitoring and January 2025 for air monitoring. Through June 30, 2026, four quarters of air quality data collections were completed to align with the previously completed production well water collections. Two quarters of monitor well, surface, and river water collections have been concluded. The required third quarter of water monitoring data collection has beenwas completed andin hydrologyJuly reporting2026, is being prepared. Aswith the airfinal monitoringwater equipmentcollections required repair,scheduled wefor willthe needfirst toweek continueof to collect air sample data into 2QOctober 2026. Results to date for both water and air quality isare consistent with data collected by the former owners. During 2025, Western sourced digital versions of the prior Pinon Ridge Mill license application and supporting data. This will result in substantial savings in the compilation of the radioactive materials license application. The team will begin preparing the radioactive materials license application in 2Q 2026 targeting submission in late 4Q 2026. Mustang’s completion is critical for in-house yellowcake production.

AtBeginning March 31,in 2026, uranium pricing remains in close proximity to the suppressed levels, which caused the Company to make corresponding reductions in mining operations beginning in 2025. Undergroundunderground operations were scaled back during Q1 2026,back, and equipment was secured and prepared for storage. The mining operations team is continuing the completion of aboveground surface projects. When we next receive market signals to scale-up operations, the next underground projects will focus on the development of new additional Sunday Mine Complex areasareas, which have indicated defined uranium mineralization to further expand capacity.

Looking forward, we are considering opportunities opportunities across our property portfolio to increase production capacity that are less capital intensive. These include re-permitting the Topaz Mine, rehabilitating the Sage Mine, reassessing the Van 4 Mine for decline/portal access rather than utilizing the previously reclaimed shaft, and additional development of the Rimrock JV mines. The project to advance permitting of the San Rafael Project is included in this group, and is discussed in more detail below. Progress has been made on each of these initiatives. At the Topaz Mine, a new monitor well has beenwas drilled and is activelyafter being flushed in preparation forand the deliveryinstallation of new monitoring equipment. Once installed, we will commenceequipment, the baseline water quality sampling program.program commenced in December 2025, and three quarters of water sampling have been completed. At the Sage Mine, we have now received both state and BLM approvals to commence limited work at this mine. For the Van 4 Mine, the team is preparing a vertical drill rig to begin a drilling program with both development and exploration/ resource expansion objectives. The Company made progress with the Sage Mine project to update and secure site infrastructure in July 2026 and is expecting completion in August 2026.

Currently, nuclear energy appears to enjoy bipartisan support. With the change in Presidential Administrations the climate change and clean energy initiatives of the Biden-Harris Administration have been de-emphasized. In his first day, after returning to office, President Trump signed Executive Orders declaring a National Energy Emergency Emergency and a U.S. withdrawal from the Paris Climate Agreement for a second time. On February 14, 2025, President Trump signed an Executive Order Order creating the National Energy Dominance Council as a Presidential Department of the White House. This was done to support domestic energy energy projects and develop policies that will increase domestic energy production. On May 23, 2025, President Trump signed four Executive Orders Orders specifically boosting the U.S. domestic nuclear fuel cycle, resulting in a a strong uranium mining stock rally on the following day. Since taking office, President Trump has signed a number of Executive Orders to boost the energy sector that we believe to be directly or indirectly beneficial to nuclear and/or uranium mining industries. In mid-September, 2025, President Trump and DOE Secretary Wright touted U.S. nuclear power, the potential for new advancements, and the U.S. domestic fuel cycle, after which the uranium equity markets showed a short-term rally.

In response to Russia’s war in Ukraine, the U.S. legislature passed the Prohibiting Russian Uranium Imports Act (H.R. 1042) to ban Russian uranium imports into the United States. Unanimous passage in April 2024 by the U.S. Senate followed the U.S. House of Representatives’ passage of the bill in December 2023. Subsequently, on May 13, 2024, President Biden signed this legislation into law. The ban became effective 90 days after its enactment on August 11, 2024 and is being phased in under Department of Energy conditional waivers before becoming a complete ban on January 1, 2028. As of MarchJune 31,30, 2026, 1.751.5 years remain until all Russian uranium products are fully banned from importation into the United States.

The United States has the world’s largest civilian nuclear reactor fleet, and it has now taken steps to reduce its reliance on state-sponsored Russian nuclear fuel. In November 2024, in response to the U.S. ban on Russian uranium imports, Russia imposed a counter restriction on the export of enriched uranium to the United States. This was designed to create maximum uncertainty through its implementation on a shipment-by-shipment basis. Also in December 2024, Russia’s national nuclear company sold a 49% minority stake in a joint venture in a Kazakhstan uranium mine to a Chinese state-owned company. It was reported that this was done because of difficulties selling uranium to European or North American buyers due to sanctions recently imposed upon Russia.

The war in Ukraine is ongoing,ongoing and it is unclear at this time when and how it will end. In the early days of the new administration, President Trump appeared to be more open toward Russia’s interests, which caused concern from traditional European allies. Recently, the Trump’s Administration position regarding the war in Ukraine has become more balanced. The earlier embrace of Russia negatively impacted the prices of uranium equities and physical uranium commodities.

Beginning in 2023, spot uranium prices reacted reacted to supply/demand constraints and geopolitical risks. Positive catalysts across multiple levels of the nuclear fuel and uranium markets have set in motion uranium market and nuclear fuel opportunities for the next decade and beyond. Underlying fundamentals are the strongest in decades. This is attributable to multiple factors, including climate change, energy security, supply chain and energy scarcity initiatives. The supply/demand imbalance has flipped from a market with excess supply into a market with excess future demand. With the reduced availability of secondary supplies,supplies and reduced mobile physical inventories, utilities have begun adding multi-year contracts with mining companies for primary supply. The drivers expanding the demand for nuclear fuel include non-nuclear nations adding nuclear power generation, nuclear nations expanding fleets and/or extending lives of existing reactors, idled nuclear reactors being redeployed, the reversal of phase-outs and shutdowns, and the deployment of advanced reactors / SMRs. However, the challenge is in meeting increasing demand simultaneously with supply constraints from the world’s largest suppliers.

In the second quarter of 2024, investors began purchasing nuclear and uranium equities as a means to create long exposure for their positive view on Artificial Intelligence (AI), due to the vast energy requirements of data centers. Many of those investors reversed their positions and began to sell these nuclear and uranium equities at the end of 2024 and in the beginning of 2025, and the nuclear and uranium equities that initially benefited saw a price reversal. This investment flow of funds is ongoing. During periods when the investment community seeks to increase AI/data center exposure, investments have been flowing into the nuclear and uranium sector. And then when the investment community seeks to reduce its AI/data center exposure, these flows tend to reverse. With the power purchase agreements signed between tech companies that sponsor AI data centers and the nuclear industry,utilities, these vast power requirements have become viewed by the market as a significant new long-term demand driver for nuclear powerenergy as the best source of stable/reliable zero-carbon baseload power. This is another affirmation of long-term structural demand for nuclear fuel.

In July 2023, the government of Niger was overthrown overthrown by its military. This is significant because the new regime is opposed to Western interests and this landlocked West African country holds the 7th largest uranium resource in the world and was producing about 5% of global production. The conflict has an anti-French sentiment, and the Junta has initiated multiple actions that are counter to French interests. Most importantly, Niger’s Junta has threatened the export of uranium to France which has serious implications because France acquires 20% of its natural uranium from Niger. In addition to the French evacuating/ being expelled from Niger, the U.S. military also departed the country. The Junta is utilizing Russian military support as a replacement. In addition, the Niger government has revoked operating permits from foreign uranium companies, including Orano in June 2024 and Goviex in July 2024. In November 2024, Orano further reported that it had lost operational control, to authorities in Niger, of another of its uranium mines. This mine was in production, but had been impacted by export restrictions imposed by the Junta. In moving away from French and Western alliances, Niger has sought to replace these with Russian and Chinese state-backed enterprises in its natural resource sector. This is specifically applicable to uranium projects where both of these countries can bring production expertise and also be the end customer for all available production.

As of MarchJune 31,30, 2026, the Middle East remains a volatile focal point for global energy markets following years of escalating conflict that expanded from the 2023 Israel-Hamas war into a direct military confrontation with Iran and its proxies. In Gaza, a fragile ceasefire currently holds between the two nations. While large-scale hostilities have subsided, global stability continues to hinge on these ongoing talks to establish a post-war governance structure and secure a permanent end to the military actions that have destabilized the region. In late May 2026, the Israeli Prime Minister announced that he has directed the Israeli military to take control of 70% of the Gaza territory which could lead to a termination of the ceasefire and further escalation of military activities. After failed diplomatic negotiations, on February 28, 2026, the United States and Israel launched a joint operation against Iran which extended to neighboring Gulf countries.Iran. This new conflict has caused shipping disruptions in the Strait of Hormuz which has caused energy prices to spike and had a general negative effect on world markets. A large portion of the Middle East daily oil production is transported through the Strait of Hormuz. AWhile temporarythere US-Iranhave been reports of multiple ceasefires, contradictory messages have been put forth from both sides of this conflict ceasefire was negotiated, whiledescribing the partiesstatus. attemptCapital tomarkets negotiateand aenergy dealprices tohave endfluctuated based upon the war.messaging. This process is ongoing. In the Strait of Hormuz, ships remain stranded and ship traffic is still significantly reduced. This has further implications for energy-importing nations as their uranium buyers are more focused on domestic security and away from regional logistical risks. A secondary implication for uranium miners miners is that a large portion of the world’s sulphur, a key ingredient in the manufacturing of sulfuric acid used for mining and milling milling of uranium, is shipped through the Strait of Hormuz. Furthermore, among those countries at potential risk of an Iranian strike in Central Asia is Kazakhstan, the largest producer of uranium. The war with Iran continues to impact both physical uranium and uranium equity prices, but on a larger scale has been the largest variable impacting global capital markets and economies during 2026.

On June 13, 2025, the Company closed a brokered private placement of 5,911,786 units at a price of $0.63 (CAD $0.85) per unit. The aggregate gross proceeds raised in the private placement amounted amounted to $3,693,424 (CAD $5,025,018) and proceeds net of issuance costs were $3,331,687 (CAD $4,532,939). Each unit is comprised of one common share of Western and one common share purchase warrant. Each warrant is exercisable into one common share at a price of $0.77 (CAD $1.05) per share for a period of four years following the closing date of the private placement. A total of 5,911,786 common shares and warrants to purchase 5,911,786 common shares were issued to investors and warrants to purchase 206,913 common shares were issued to broker dealers in connection with the private placement. Of the 5,911,786 common shares and warrants issued to investors, 117,647 were issued to Mr. Glasier for his participation in the private placement.

On October 14, 2025, the Company closed a brokered private placement of 6,555,556 units at a price of $0.64 (CAD $0.90) per unit (the “October 2025 PP”). The aggregate gross proceeds raised in the private placement amounted to $4,202,281 (CAD $5,900,000). Each unit is comprised of one common share of Western and one common share purchase warrant. Each warrant is exercisable into one common share at a price of $0.85 (CAD $1.20) per share for a period of 54 months following the closing date of the private placement. A total of 6,555,556 common shares and warrants to purchase 6,555,556 common shares were issued to investors and warrants to purchase 229,444 common shares were issued to broker dealers in connection with the private placement. A 7% cash commission and broker warrants equal to 3.5% of the number of units sold, each exercisable into one common share at the issue price for a period of 54 months following the closing date, will bewere issued to the sole underwriter in connection with the offering.

During the three and six months ended MarchJune 31,30, 2026, 2026, no shares were repurchased under the NCIB.

The following table presents the Company’s financial results for the three and six months ended MarchJune 31,30, 2026 and 2025.

Three Months Ended MarchJune 31,30, 2026 as Compared to the Three Months Ended MarchJune 31,30, 2025

Our condensed consolidated net loss for the three months ended MarchJune 31,30, 2026 and 2025 was $1,600,837$1,161,884 and $2,637,615,$1,968,534, respectively. The principal components of these quarter over quarter changes are discussed below.

Our comprehensive loss for the three months ended MarchJune 31,30, 2026 and 2025 was $1,616,142$1,176,421 and $2,652,950,$1,985,641, respectively.

Our revenues for the three months ended MarchJune 30, 31, 2026 and 2025 were $27,351$199,528 and $41,221,$30,509, respectively. The decreaseincrease in revenues of $13,870,$169,019, or 34%554% was related to both lower oil prices and lower oil and gas well volumesprincipally attributable to productionthe recognition declineof curves$167,111 in revenue from the sale of uranium bearing material resulting from an increase in the final assayed grade and resulting price by the purchaser, for material which was delivered during 2025. There were no ore deliveries during the three months ended June March 31, 2026 as compared to the three months ended March 31,30, 2025.

Mining expenditures for the three months ended MarchJune 31,30, 2026 were $709,138$607,934 as compared to $1,691,149$1,144,866 for the three months ended MarchJune 31,30, 2025. The decrease in mining expenditures of of $982,011,$536,932, or 58%47% was principally attributable to aour cost saving initiative to reduce underground mining activities, pending market pricing signals to scale up mining operations. This resulted in reductions in the costs of personnel, mining supplies and services, maintenance and electricity costs.

Professional fees for the three months ended MarchJune 31,30, 2026 were $164,303$121,299 as compared to $171,620$243,297 for the three months ended MarchJune 31,30, 2025. The decrease in professional fees of $7,317$121,998, or 4%50% was principally attributable to ahigher decreaseaccounting fees in the prior year due to increased reliance on external accounting fees.support associated with increased mining activities and related complexity.

General and administrative expenses for the three months ended MarchJune 31,30, 2026 were $673,174$494,729 as compared to $732,078$545,394 for the three months ended MarchJune 31,30, 2025. The decrease in general and administrative expense of $58,904,$50,665, or 8%9% is primarily due to decreases in insurance costs and travelnon-cash costs.stock-based compensation expense.

Consulting fees for the three months ended MarchJune 31,30, 2026 were $111,277$189,857 as compared to $115,148$75,636 for the three months ended MarchJune 31,30, 2025. ConsultingThe increase in consulting fees wereof basically$114,221, flat,or 151% period overis period,primarily due to an increase in mill licensing activity and during the three months ended March 31, 2026 consisted principally of baseline data collection costs.

Interest income, net for the three months ended MarchJune 31,30, 2026 was $34,263$24,304 as compared to $31,159$10,150 for the three months ended MarchJune 31,30, 2025. The increase in interest income, net of $3,104,$14,154, or 10%139% was principally attributable to an increase in interest earned on higher invested cash balances during the three months ended June March30, 31, 2026 as compared to the three months ended MarchJune 31,30, 2025.

Other expense,income, net for the threesix months ended June March 31,30, 2026 was $4,559$23,544 as compared to $0 for the threesix months ended MarchJune 31,30, 2025. The $4,559$23,544 increase in expenseincome for the threesix months ended MarchJune 31,30, 2026 was wasprincipally attributable to the loss on the salesales of mining equipment and a vehicle.

Foreign currency translation adjustment for the threesix months ended MarchJune 31,30, 2026 was a loss of $15,305$29,842 as compared to a loss of $15,335$32,442 for the threesix months ended MarchJune 31,30, 2025.

Our cash and cash equivalents and restricted cash balances as of MarchJune 31,30, 2026 was $5,795,227.$4,758,366. Our cash position is highly dependent on our ability to raise capital through the issuance of equity and our management of expenditures for mining and for the development of our mineral processing facility and for the fulfillment of our public company reporting responsibilities. Our management believes that in order to finance the development and mining operations of the mining resource properties, to construct our Kinetic Separation equipment and operations and to secure regulatory licenses for and to construct our uranium and vanadium mineral processing facilities, we will be required to raise additional capital by way of debt and/or equity. We will also require additional working capital to continue to scale-up our mining operations at the Sunday Mine Complex.