Inomin Mines Inc. reported that metallurgical test work for the extraction of magnesium from the 2021 Beaver drill core samples achieved recoveries of 99% using hydrochloric acid (HCl) leaching. The metallurgical test results demonstrate the ability to extract a very high level of magnesium utilizing conventional processing. The positive test results are an important milestone for the Company's Beaver-Lynx critical minerals property, an emerging magnesium-nickel-chromium-cobalt discovery located in south-central British Columbia. An 8-metre interval of drill core, composed of four contiguous samples from drill hole B21-02, was sent to SGS Canada Inc. ("SGS") for metallurgical testing for the recovery of magnesium. SGS completed scoping level tests for flotation, hydrochloric acid (HCl) leaching, high-pressure carbonic acid leaching (HPAL), as well as scoping level crystallization test work. Crushed drill core samples averaging up to 38.3% MgO were used for the studies. The highest recovery rates came from the HCl leach tests with approximately 99% of the magnesium extracted. HCl leaching also recovered 95% of the iron and between 52% - 58% of the nickel. The HCl tests were performed at a temperature of 85°C, a hydrochloric acid concentration of 50% HCl, and a retention time of 3 hours. These conditions are similar to conditions Alliance Magnesium applies to leach magnesium from serpentine ore and asbestos tailings in their projects. Alliance Magnesium produces pure magnesium ingots, mainly used by aluminum producers. Inomin's Beaver property is similar in composition to West High Yield Resources Ltd.'s Record Ridge magnesium-bearing serpentine deposit in southern British Columbia. A 24 November 2022 pre-feasibility study for their property describes robust project mining economics based on hydrochloric acid (HCl) leaching of magnesium from serpentine. The 2021 drill program at Beaver intersected extensive intervals of magnesium mineralization over a large 5.7- kilimetre long strike length with all completed holes intersecting greater than 20% magnesium content. Given recent magnesium metal prices of approximately USD 3,500 per tonne, the valuation of the rock at Beaver is quite significant. With the benefit of understanding the metallurgy of Beaver project mineralization as it relates to expected recoveries from any future mining, the next phase of exploration will work towards defining a resource on the Beaver block as well as testing the Lynx block to ascertain whether mineralization is consistent with that found at Beaver. Inomin's inaugural drilling 2021 program at Beaver generated a major discovery of high-grade magnesium and other critical minerals, primarily nickel, chromium, and cobalt. The Company's drill discovery intersected substantial near-surface mineralization in all drill holes. Furthermore, all holes ended in mineralization leaving the discoveries open to extension at depth. Drillhole B21-02 intersected 252.1 metres (827 feet) grading 20.6% magnesium with nickel, chromium, and cobalt. B21-02 is the longest mineralized hole ever drilled at Beaver, and the first-ever drilling in the Spur zone, one
of four mineralized zones on the eastern side of the property covering a 7-kilometre-long strike length. The 13,610-hectare Lynx area is geologically similar to Beaver with even larger mineral targets as defined by magnetics data. Although a ground magnetics survey completed on the Lynx block in 2022 developed a number of areas for testing, no drilling has been completed to date. The Beaver-Lynx property is ideally located in south-central British Columbia, 50 kilometres from the town of Williams Lake and just 15-kilometres east of the Gibraltar project, a large, open-pit, mining operation grading approximately 0.27% copper equivalent. Inomin's property is easily accessible by good all-season roads with nearby hydro-electric power. The Company owns a 100% interest in the project with no royalties.