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LUC.TO ·

Lucara Increases Non-Brokered Private Placement to $165.0 Million

Financings

Tel: +1 604 674 0272 Suite 2800, Four Bentall Centre lucaradiamond.com

[email protected] 1055 Dunsmuir Street, PO Box 49225

Vancouver, BC, V7X 1L2

January 14, 2026

NEWS RELEASE

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

LUCARA INCREASES NON-BROKERED PRIVATE PLACEMENT TO $165.0 MILLION

VANCOUVER, B.C., January 14, 2026 /CNW/ (LUC – TSX, LUC – BSE, LUC – Nasdaq FNGM)

Lucara Diamond Corp. ("Lucara" or the "Company") is pleased to announce that due to strong demand it has elected to

increase the previously announced non-brokered private placement (the “Private Placement”) to an aggregate of

1,031,250,000 common shares in the capital of Lucara (the “Common Shares”) at a price of $0.16 per Common Share

for gross proceeds of $165.0 million. All dollar amounts reflected in Canadian dollars unless otherwise stated.

The Company expects that the net proceeds of the Private Placement will be used to advance the Karowe Underground

Project (the “UGP”), including for shaft equipping, conveyance commissioning and lateral development, extraction and

drill horizon development, as well as for general working capital and corporate purposes.

William Lamb, President and CEO of Lucara, commented, “ The decision to upsize this equity financing reflects strong

investor demand, led by the continued support of the Lundin Family Trusts. The upsized proceeds meaningfully

strengthen the Company’s capacity to advance the Karowe UGP and execute key developmen t milestones targeted for

2026.”

The Offered Securities will be issued on a private placement basis pursuant to exemptions from prospectus

requirements under applicable securities laws , and will be subject to a Canadian statutory hold period of four months

and one day from the date of issuance. The Company may pay a finder’s fee of 5% in connection with a portion of the

Private Placement. Completion of the Private Placement will be subject to regulatory approval, including the approval

of the Toronto Stock Exchange (the “TSX”) and other customary regulatory approvals and closing conditions for a

transaction of this nature including, but no t limited to, execution of subscription agreements between the Company

and the subscribers to the Private Placement. The Private Placement is also conditional up on the Company not being

required to obtain any shareholder approvals in respect of the Private Placement (whether by way of exemption by the

TSX or otherwise). The Company anticipates closing of the Private Placement to occur in late January, subject to receipt

of all necessary regulatory approvals.

Trusts settled by the late Adolf H. Lundin (the “Lundin Family Trusts”) have indicated their intention to participate in the

Private Placement in order to maintain, and potentially increase, their interest in the Company by subscribing for up

to $70.0 million of the Private Placement. Nemesia S.a.r.l, a private entity controlled by the Lundin Family Trusts is

currently the Company’s largest shareholder, and as such, any participation in the Private Placement by the Lundin

Family Trusts would be considered a “related party transaction” as defined under Multilateral Instrument 61 -101

– Protection of Minority Security Holders in Special Transactions (“MI 61 -101”). The Company intends to rely on

exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 and the TSX Rules

related to the Company’s financial hardship.

For more information please refer to the news release titled “Lucara announces non-brokered Private Placement backed

by the Lundin Family Trusts, to advance Underground Project” published on January 9, 2026 (link to News Release).

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This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of

the securities in the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful.

The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as

amended (the “U.S. Securities Act”), or any U.S. state securities laws, and may not be offered or sold in the United States

without registration under t he U.S. Securities Act and all applicable U.S. securities laws, or in compliance with an

applicable exemption therefrom.

On behalf of the Board,

William Lamb

President and Chief Executive Officer

For further information, please contact:

Vancouver Hannah Reynish, Investor Relations & Communications

+1 604 674 0272| [email protected]

Sweden Robert Eriksson, Investor Relations & Public Relations

+46 701 112615 | [email protected]

ABOUT LUCARA

Lucara is a leading independent producer of large exceptional quality Type IIa diamonds from its 100% owned Karowe

Diamond Mine in Botswana. The Karowe mine has been in production since 2012 and is the focus of the Company’s

operations and development activities. Lucara has an experienced board and management team with extensive

diamond development and operations expertise. Lucara and its subsidiaries oper ate transparently and in accordance

with international best practices in the areas of sustainability, health and safety, environment, and community relations.

Lucara is certified by the Responsible Jewellery Council, complies with the Kimberley Process, and has adopted the IFC

Performance Standards and the World Bank Group’s Environmental, Health and Safety Guidelines for Mining (2007).

The development of the UGP adheres to the Equator Principles. Lucara is committed to upholding high standards while

striving to deliver long-term economic benefits to Botswana and the communities in which the Company operates.

The information in this release is subject to the disclosure requirements of Lucara pursuant to the EU Market Abuse

Regulation. The Company's certified adviser on the Nasdaq First North Growth Market is Bergs Securities AB,

[email protected], +46 739 49 62 50. This information was submitted for publication, through the agency of the

contact person set out above, on January 14, 2026, at 4:00 p.m. Pacific Time.

CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS

Certain statements made in this news release contain "forward-looking information" and "forward-looking statements"

as defined in applicable securities laws. Generally, any statements that express or involve discussions with respect to

predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance and often

(but not always) using forward-looking terminology such as "expects", "is expected", "anticipates", "believes", "plans",

"projects", "estimates", "budgets", "scheduled", "forecasts", "assumes", "intends", "strategy", "goals", "objectives",

"potential", "possible" or variations thereof or stating that certain actions, events, conditions or results "may", "could",

"would", "should", "might" or "will" be taken, occur or be achieved , or the negative of any of these terms and similar

expressions, are not statements of historical fact and may be forward-looking statements.

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Forward-looking information and forward -looking statements may include, but are not limited to, information or

statements with respect to the principle terms of the Private Placement, the anticipated timing of closing of the Private

Placement, if at all, the anticipated use of proceeds of the Private Placement, the ability of the Company to obtain full

financing and the means by which it may do so, the ability of the Company to obtain the necessary regulatory approvals

to consummate the Private Placement, the availability of certain exemptions to the prospectus requirements pursuant

to applicable securities laws, the availability of certain exemptions to the formal valuation and minority shareholder

approval requirements pursuant to MI 61 -101 and the shareho lder approval requirements under the TSX Rules, the

participation in the Private Placement from the Lundin Family Trusts, that the full financing for the UGP will be achieved,

that additional debt financing will be available, that the Company will proceed with the issuance of a bond, that the

Company’s existing lenders will continue to engage with the Company and the ability of the Company to accelerate key

developments planned for 2026.

While these factors and assumptions are considered reasonable by the Company as at the date of this news release in

light of management's experience and perception of current conditions and expected developments, these statements

are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and

unknown factors could cause actual results to differ materially from those projected in the forward-looking information

and undue reliance should not be placed on such information. Such factors include, but are not limited to: risks relating

to the construction and development of the UGP, including potential delays, cost overruns and project execution risks ,

the Company 's ability to comply with the terms of the Facilities (as defined in the Company’s most recent MD&A)

required to construct the UGP, the risk of future non-compliance or lender enforcement actions, including demands for

repayment and the impact of any such event on the Company’s business and financial cond ition, expected cash flow

from operations, combined with external financing will be sufficient to complete construction of the UGP, that the

estimated timelines to achieve mine ramp up and full production from the UGP can be achieved, that sufficient

stockpiled ore of sufficient grade and value will be available to generate revenue prior to the achievement of commercial

production of the UGP, the economic potential of a mineralized area, the size and tonnage of a mineralized area,

anticipated sample grades or bulk sample diamond content, expectations that the UGP and the pit steepening project

will extend mine life, forecasts of additional revenues, future production activity, that depletion and amortization

expense on assets will be affected by both the volume of carats recovered in any given period and the reserves that are

expected to be recovered, the future price and demand for, and supply of, diamonds, expectations regarding the

scheduling of activities for the UGP , and t hat the Company will be able to secure all required financing for the UGP,

including any remaining funding requirements, on acceptable terms or within the anticipated timeframe .

Forward-looking information and statements are based on the opinions and estimates of management as of the date

such statements are made, and they are subject to several known and unknown risks, uncertainties and other factors

which may cause the actual re sults, performance or achievements of the Company to be materially different from any

future results, performance or achievement expressed or implied by such forward -looking statements due to a variety

of risks, uncertainties, and other factors, including, without limitation, those referred to in this news release . The

foregoing is not exhaustive of the factors that may affect any of our forward-looking statements. The Company believes

that expectations reflected in this forward-looking information are reasonable, but no assurance can be given that these

expectations will prove to be correct. Certain risks which could impact the Company are discussed under the heading

"Risks and Uncertainties" in the Company's most recent MD&A and in the Company 's most recent Annual Information

Form available on SEDAR+ at www.sedarplus.ca.

Although the Company has attempted to identify important factors that could cause actual actions, events or results to

differ materially from those described in forward -looking statements, there may be other factors that cause actions,

events or results no t to be as anticipated, estimated or intended. Accordingly, readers and investors should not place

undue reliance on forward -looking statements. Forward -looking information and statements contained in this news

release are made as of the date of this news release and accordingly are subject to change after such date. Except as

required by law, the Company disclaims any obligation to revise any forward -looking information and statements to

reflect events or circumstances after the date of such information and statements. All forward-looking information and

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statements contained or incorporated by reference in this news release are qualified by the foregoing cautionary

statements.