Company: FMST
Filing Date: 2025-07-28
Form Type: DRS
Source: 0001171843-25-004725
Chunk: 18

Company: Foremost Clean Energy Ltd.
Filing Date: 2025-07-28
Form: DRS
Chunk 18
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 prevailing interest rates and other
factors, including general economic conditions and our financial condition. There can be no assurance as to the liquidity of the trading
market for any Warrants, Preferred Shares, Subscription Receipts or Debt Securities or that a trading market for these securities will
develop.

We may not maintain our listing on Nasdaq or the CSE
which may reduce the liquidity of our Common Shares and impair our ability to raise capital through equity offerings.

Our Common Shares and certain warrants are listed
on Nasdaq and the CSE, but there can be no assurance that our Common Shares will continue to be listed on Nasdaq or the CSE. To continue
listing our securities on Nasdaq and the CSE, we must maintain certain financial, distribution and share price levels. If we are unable
to do so, we may not be able to maintain the list of our Common Shares on either exchange. Failure to maintain the listing of our common
shares on Nasdaq or the CSE would reduce the liquidity of our Common Shares and could adversely affect the market price of our Common
Shares. If our Common Shares are delisted, the trading market for our shares could be limited to the over-the-counter markets, which could
result in greater price volatility and reduced trading volume. In addition, the delisting of our securities may impair our ability to
raise capital through equity offerings.**

| 7 |

**If we were to constitute a “passive
foreign investment company” or “PFIC” during a U.S. investor’s holding period, adverse U.S. federal income tax
consequences may result for such U.S. investor

We believe that we were a PFIC as defined in Section 1297(a)
of the U.S. Internal Revenue Code of 1986, as amended (the “Code”) for our most recently completed taxable year and
based on the nature of our business, the projected composition of our gross income, and the projected composition and estimated fair market
values of our assets, we expect to be a PFIC for our current taxable year and may be a PFIC in subsequent tax years. If we are a PFIC
for any year during a U.S. taxpayer’s holding period of certain Securities including the Common Shares, then such U.S. taxpayer
generally will be required to treat any gain realized upon a disposition of certain Securities, including without limitation the Common
Shares, or any so-called “excess distribution” received on certain Securities, including without limitation the Common Shares