Company: FMST
Filing Date: 2025-07-28
Form Type: DRS
Source: 0001171843-25-004725
Chunk: 19

Company: Foremost Clean Energy Ltd.
Filing Date: 2025-07-28
Form: DRS
Chunk 19
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as ordinary income, and to pay an interest charge on a portion of such gain or distribution. In certain circumstances, the sum of the
tax and the interest charge may exceed the total amount of proceeds realized on the disposition, or the amount of excess distribution
received, by the U.S. taxpayer. Subject to certain limitations, these tax consequences may be mitigated if a U.S. taxpayer makes a timely
and effective QEF Election (as defined below) or a Mark-to-Market Election (as defined below). U.S. taxpayers should be aware that, for
each tax year, if any, that we are a PFIC, we can provide no assurances that we will satisfy the record-keeping requirements of a PFIC,
or that we will make available to U.S. Holders the information such U.S. Holders require to make a QEF Election with respect to us or
any subsidiary that also is classified as a PFIC. Accordingly, prospective investors should assume that a QEF Election will not be available.
A U.S. taxpayer that makes the Mark-to-Market Election generally must include as ordinary income each year the excess of the fair market
value of the Common Shares over the taxpayer’s adjusted tax basis therein. Such elections may not be available or effective with
respect to certain Securities. This paragraph is qualified in its entirety by the discussion below under the heading “Certain U.S. Federal Income Tax Considerations — Passive Foreign Investment Company Rules.” Each potential investor who is a U.S.
taxpayer should consult its own tax advisor regarding the tax consequences of the PFIC rules and the acquisition, ownership, and disposition
of the Securities.

Proposed legislation in the U.S.
Congress, including changes in U.S. tax law, may adversely impact certain investors, our business and the value of the Securities

Changes to U.S. tax laws (which changes may have retroactive
application) could adversely affect our business or holders of the Securities. In recent years, many changes to U.S. federal income tax
laws have been proposed and made, and additional changes to U.S. federal income tax laws are likely to continue to occur in the future.

The U.S. Congress is currently considering numerous
items of legislation which may be enacted prospectively or with retroactive effect, which legislation could adversely impact certain investors,
our financial performance and the value of the Securities. On July 4, 2025, the President of the United States signed into law a
new tax bill commonly referred to as the