District Metals Corp. reported that Bergslagen Metals AB has received approval from the Bergsstaten (Mining Inspectorate) for the Viken Deposit mineral license application that covers approximately 68% of the polymetallic Viken Deposit located in Jmtland County, central Sweden. The Viken Deposit is the largest undeveloped Alum Shale vanadium-uranium-molybdenum-nickel-copper-zinc deposit in Sweden, and amongst the largest deposits by total historic mineral resources of vanadium and uranium in the world.

On March 7, 2023 the Company reported that additional mineral license applications have been submitted to the Mining Inspectorate that cover areas to the south (Viken nr 2) and north (Viken nr 3) of the original Viken mineral license. Approval of the Viken nr 2 and 3 mineral licenses will increase the area of the Viken Property from 2,302 hectares (ha) to 9,367 ha where historical drill holes have returned grades and widths of polymetallic mineralization that are consistent with drill results from within the Viken Deposit. The application process for Viken®?

and 3 is ongoing. Highlights: The approved Viken nr 1 mineral license application covers 68% of the Viken Deposit, which is a large polymetallic deposit containing economically significant levels of vanadium (V), uranium (U), molybdenum (Mo), nickel (Ni), copper (Cu), and zinc (Zn). Mineral license applications to the south (Viken®?

2) and north (Viken nr 3) of Viken nr 1 will allow the Company to target mineralized Alum Shale that has been tectonically thickened from 20 to 30 m by thrusting and folding up to 180 m. with substantial exploration and development expenditures that resulted in the definition of large historic polymetallic resource estimates and positive economic studies in 2010 and 2014. The Viken Deposit is situated in the province of Jämtland, approximately 570 km northwest of Stockholm, Sweden. Infrastructure is well developed in the area with daily air service, as well as rail and truck freight services.

Electrical power and modern communications are also readily available in the area. The Geological Survey of Sweden (SGU) carried out work on the Alum Shales from 1977 to 1978 and drilled approximately 19 holes within and in the vicinity of the Viken Deposit. In 2005, Continental Precious Minerals Inc. (CPM) purchased mineral licenses that covered prospective Alum Shales where CPM drilled 26,293 m in 133 holes from 2006 to 2008 to delineate the Viken Deposit.

The Viken Deposit is a polymetallic shale resource contained within the Cambrian Viken Shale which regionally is referred to as the Alum Shale. The Alum Shale is enriched in metals such as vanadium, uranium, nickel, copper, zinc, and molybdenum. It occurs over a significant area in Sweden and is locally valued as a bituminous shale with recoverable hydrocarbons.

The Alum Shale is regionally extensive in Sweden. The stratigraphy across the Viken Mineral License application consists of upper Middle and Upper Cambrian age Alum Shale occurring as both in situ and fault detached blocks, with the latter having greater potential for economic mineralization due to imbrication of mineralized blocks. The Alum Shale is mostly exposed at surface and is underlain by Proterozoic granites and gneisses thrust Eastward over Archean granitic basement rocks.

The thickness of the Alum Shale host rock has been tectonically thickened from 20 to 30 m by thrusting and folding during the Silurian to approximately 180 m. Mineralization of potential economic significance is hosted in Middle and Upper Cambrian Alum Shale, with the Upper Cambrian age strata more enriched in vanadium and uranium than the Middle Cambrian3. Vanadium occurs within the lattice of a mica mineral named roscoelite. Uranium values are predominantly associated with sub-micron-scale uraninite crystals.

Nickel, molybdenum, copper and zinc are present as sulphides.