Galway Metals Enters Into Option and Joint Venture Term Sheet With DOWA METALS & MINING CO., LTD. for its Estrades Project

TORONTO, ON / ACCESS Newswire / January 14, 2026 / Galway Metals Inc. (TSX-V:GWM) ("Galway Metals" or the "Company"), is pleased to announce that it has entered into a binding Option and Joint Venture Term Sheet (the "Term Sheet") with DOWA METALS & MINING CO., LTD. ("DOWA"), a global leader in non-ferrous metals, smelting, refining, and advanced materials. Under the Term Sheet, DOWA can earn up to a 45% participating interest in Galway's 100%-owned Estrades Gold and Zinc Project located in the Abitibi region of northwestern Québec, Canada ("Estrades" or the "Property"), together with incremental zinc concentrate offtake rights. The Term Sheet sets out the terms relating to an option for a potential joint venture between Galway Metals and DOWA to own, explore, and operate Estrades.

Robert Hinchcliffe, President & CEO of Galway Metals, commented: "We are very pleased to partner with one of the world's most respected integrated mining and metals companies. DOWA brings deep expertise in zinc concentrate processing, technical evaluation, and project development. Their commitment to funding up to US$25 million across three earn-in phases validates the quality and potential of Estrades. We look forward to working collaboratively to advance the project toward a production decision."

Under the Term Sheet, DOWA may earn its interest in three phases, for total contributions of up to US$25 million as further described below:

Phase I - US$5 million for 10% Participating Interest and 50% Zinc Offtake

Upon deposit of US$5 million at the commencement of Phase I, DOWA will be granted: (i) a 10% participating interest in the Property; and (ii) the right to purchase 50% of Galway's zinc concentrate production from the Property. Phase I is expected to run for approximately six months, subject to seasonal constraints. Infill drilling is currently expected to commence in July 2026. Unused Phase I funds will roll forward into later phases but will not reduce required funding amounts.

Phase II - US$10 million for Additional 20% Participating Interest (30% total) and 75% Zinc Offtake

Upon successful completion of Phase I and the negotiation and execution of a Joint Venture Agreement and an Offtake Agreement (collectively the "Phase II Documents"), DOWA may elect to proceed with Phase II by funding an additional US$10 million. Upon execution of Phase II Documents, Galway and DOWA will form a joint venture to advance Estrades, with Galway Metals initially acting as operator of the Property.Galway Metals will be entitled to charge a 6% management fee on approved expenditures until all Phase II funds are disbursed.