Lancaster Resources Inc. announced entry into a binding Letter of Intent on July 23, 2023 (the "Agreement") to acquire 100% of the Trans-Taiga Lithium Project (the "Property") in the Eeyou Istchee James Bay region of Quebec. The Property, hosting several historical pegmatite samples, lies 120 km west of Patriot Battery Metals' Corvette Project, 74 km west of Winsome Resources' Cancet Project, and a few kilometers east of Loyal Lithium's Brisk Lithium Project Location. The Trans-Taiga Lithium project.

The Property covers 1,432 hectares and is located along the boundary between La Grande and Opinaca Subprovinces. Subprovince boundaries are often delineated by deep-rooted crustal features filled by late-stage intrusives including pegmatites. Further along this road, the pegmatite exhibits a graphic texture, characterized by quartz-feldspar, and it also contains sizable feldspar megacrysts.

Strategic Acquisition Diversifies Position. With the acquisition of the Property, Lancaster diversifies its exploration projects. Lancaster's focus expands from its existing lithium brine exploration at the Alkali Flat Project in New Mexico to include hard rock lithium exploration in Quebec's James Bay region.

This strategic move enhances Lancaster's exploration capabilities and geographical diversity, positioning it to unlock different types of lithium resources in varied geological settings. Planned Work Program. Lancaster plans to embark on an exploration campaign on the Property with a goal to identify lithium-rich areas, construct detailed geological maps, and evaluate the lithium content through sampling.

Property Access. Year-round access by road via Trans-Taiga Road which transects the Property. The Property is located approximately 105 km east of the junction with the year-round James Bay Road.

Lancaster may, at its discretion, make 50% of each payment in common stock; Royalty: The agreement includes a 2% net smelter returns royalty, of which 1% can be bought back by the Optionors for $1,000,000; Milestone Payments: Lancaster agrees to make the following additional payments: $50,000 fee if exploration results yield a minimum of 10 contiguous meters of lithium with values of 1% or more; $1,000,000 if Lancaster publishes a 43-101 technical report for a resource of not less than 5 million tons with 1% lithium concentration; and Long Form Agreement: the parties will negotiate to enter into a long form agreement to replace the Agreement within the next 30 calendar days. Lancaster plans to conduct exploration activities with a holistic view of stakeholder interests. Recognizing the importance of the diverse interest of various stakeholders, Lancaster will review and consider the environmental, social, and economic impacts of its planned activities in the Eeyou ISTchee James Bay area.

Lithium is a critical mineral to produce electric vehicle batteries and a host of other applications that are propelling the global shift towards decarbonization and renewable sources of energy. Andrew Watson, PEng, a qualified person for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical information contained in this news release.