Vancouver, BC / TheNewswire / February 4, 2025 / Global Energy Metals Corporation TSXV:GEMC | OTCQB:GBLEF | FSE:5GE1 (“Global Energy Metals”, the “Company” and/or “GEMC”), a multi-jurisdictional, multi-commodity critical mineral exploration and development company focused on growth-oriented metal projects supporting the global transition to clean energy, is pleased to announce, subject to TSX Venture Exchange approval, that it has entered into a non-binding Letter of Intent (the “Agreement”) with NeoLithica Ltd. (“NeoLithica”) to acquire an eighteen month option to acquire a 19.9% interest and a 1% Net Smelter Return (“NSR”) royalty over NeoLithica’s Peace River Lithium Project (the “Project”).

NeoLithica is an emerging lithium resource development company that plans to incorporate innovative direct lithium extraction (“DLE”) and refining technologies to produce battery-grade lithium compounds in support of Canada’s critical mineral supply chain. The Company is headquartered in Calgary, Alberta.

HIGHLIGHTS:

• The global push for decarbonisation has placed lithium at the forefront of the clean energy transition with lithium brine projects emerging as a promising solution to meet the growing demand for battery-grade lithium while enhancing energy independence amid rising geopolitical uncertainties.

• The lithium mining market is projected to grow from $10.96B in 2024 to $29.5B by 2032, fuelled by a 13.18% CAGR during the forecast period.

• NeoLithica has assembled a large contiguous mineral tenure position in Alberta’s Peace region that features well developed production infrastructure.

• NeoLithica completed its National Instrument 43-101 (“NI 43-101”) Technical Report, which includes an inferred mineral resource estimate of 10 million tonnes of lithium carbonate equivalent (LCE), at an average grade of 70.0 mg/L.

• On closing of the transaction, Global Energy will be granted an eighteen month option to acquire 19.9% in and a 1% NSR royalty over NeoLithica’s Peace River Lithium Project. 

• In consideration for the NSR and the eighteen month option, GEMC will issue, subject to Exchange approval, two million shares at a deemed price of CAD $0.05 per share to NeoLithica and pay immediately $10,000 in cash. 

• In order to exercise the option, GEMC will, by the eighteenth month, pay to NeoLithica $1.5M as a combination of cash and shares, as agreed to by both parties at that time, at a minimum deemed issue price. 

• NeoLithica will remain as operator of the Project and will maintain and keep the Project in good standing.

• Working with NeoLithica, Global Energy will further evaluate options for the project including the securing of a strategic operational partner to apply their technical and jurisdictional expertise to advance this key North American lithium project and solidifying the Project’s role in Canada's critical minerals supply chain.

Mitchell Smith, CEO & Director comments:
“The accelerated global shift towards clean energy solutions continues to shine a spotlight on sustainable and cost-effective mineral extraction methods, and lithium brine projects are emerging as a promising solution to meet the growing demand for battery-grade lithium while enhancing energy independence amid rising geopolitical uncertainties.

Taking a non-operating interest option and royalty on a highly prospective lithium brine asset offers excellent optionality against a realistic current background of depressed lithium pricing and global cost inflation. We see Peace River as an important Canadian project that has the potential to be a strategic source of lithium as the global supply chain rebalances over time, driven by the growing criticality of locally sourced, ethically produced lithium needed to support the energy transition.

We look forward to this collaboration with NeoLithica and are encouraged by the addition of a promising lithium asset to Global Energy’s existing project, equity and royalty portfolio that provides our shareholders investment exposure to new energy metals critical to an electrified future.”

Barry Caplan, President of NeoLithica comments:
“Global energy will be a valuable partner and help evaluate options for NeoLithica and work with us in securing a strategic operational partner to apply their technical and jurisdictional expertise to advance this North American lithium project when demand for lithium surges, driven primarily by the electric vehicle revolution and the growing need for renewable energy storage systems.”