RESOURCE UPSIDE AT HAUTALAMPI-PROJECT IN FINLAND

Eurobattery Minerals AB (Nordic Growth Market: "BAT"; “the Company”) a growth company in the mining and exploration industry with the vision to help Europe become self-sufficient in ethical battery minerals, today announces that FinnCobalt Oy has updated the Company on the final assay results from summers drilling programme at the Hautalampi Ni-Co-Cu Project (“Hautalampi”; “the Project”), eastern Finland. The drilling has confirmed significant resource expansion potential from 800m to 1,400m along strike to the northeast of the historical mineral resource, as well as continuity of the westernmost mineralised horizon (Blue Sky 1) in a southwest direction towards the historic Hautalampi mineral resource. Eurobattery Minerals has the option to acquire 100% of FinnCobalt Oy in a staged acquisition.

Key points:

• Final assay results received from the drilling programme completed at the Hautalampi nickel (Ni), cobalt (Co), copper (Cu) project in eastern Finland.
• Drilling has confirmed significant resource expansion potential from 800m to 1,400m along strike to the northeast of the historical mineral resource as well as continuity of the westernmost mineralised horizon (Blue Sky 1) in a southwest direction towards the historic Hautalampi mineral resource.
• Assay highlights include:
  • 5.0m @ 0.19% Ni, 0.07% Co, 0.21% Cu (0.46% NiEq)[1] from 62.0m (HA20-022), and
    • 3.0m @ 0.37% Ni, 0.02% Co (0.41% NiEq) from 74.0m (HA20-022)
  • 4.7m @ 0.26% Ni, 0.03% Co, 0.11% Cu (0.38% NiEq) from 110.3m (HA20-023)
    • incl. 1.4m @ 0.47% Ni, 0.06% Co, 0.23% Cu (0.72% NiEq) from 113.6m
    • 7.15m @ 0.46% Ni, 0.06% Co, 0.10% Cu (0.64% NiEq) from 104.5m (HA20-024)
    • incl. 0.5m @ 1.15% Ni, 0.18% Co, 0.32% Cu (1.72% NiEq) from 105.5m
    • and 2.7m @ 0.51% Ni, 0.05% Co, 0.06% Cu (0.65% NiEq) from 107.15m
    • 9.0m @ 0.23% Ni, 0.05% Co, 0.04% Cu (0.38% NiEq) from 39.0m (HA20-025)
    • 9.0m @ 0.24% Ni, 0.09% Co, 0.18% Cu (0.55% NiEq) from 66.1m (HA20-026)
    • incl. 0.5m @ 0.65% Ni, 0.29% Co, 0.15% Cu (1.40% NiEq) from 66.75m
    • and 0.75m @ 0.28% Ni, 0.14% Co, 0.32% Cu (0.77% NiEq) from 68.5m
    • 8.5m @ 0.24% Ni, 0.06% Co, 0.11% Cu (0.44% NiEq) from 82.6m (HA20-027)
    • incl. 0.7m @ 1.41% Ni, 0.33% Co, 0.19% Cu (2.28% NiEq) from 89.7m
• Geological and mineralisation models are being updated following analysis of diamond core and assay data. Data will be used for prioritising Phase 2 drilling and fast-tracking a mineral resource.

“The final phase 1 drilling results from the nickel-copper-cobalt Hautalampi project further demonstrate the continuity of the mineralised horizon along strike from the historic resource. This is very promising and we are confident there is still significant upside to be realised with additional drilling both along strike and downdip. We look forward to seeing the final analysis from FinnCobalt soon which will then be used for drill planning and resource definition,” said Roberto García Martínez, CEO of Eurobattery Minerals.

The Hautalampi Project

FinnCobalt has informed the Company of the final assay results received from Phase 1 drilling at the project completed in September 2020. The Phase 1 drilling targeted resource extensions to the northeast of the historic NI43-101 mineral resource estimate of 3.15Mt @ 0.43% Ni, 0.35% Cu, 0.12% Co (Fig. 1). A total of 29 drill holes were completed for 3,769m with all drill holes completed within the valid Hautalampi mining concession (Fig. 1). More than 1,700 samples from the drilling have been submitted for geochemical assaying at ALS Geochemistry. All sample preparation and analysis were subject to industry standard QA/QC procedures.

Previous drilling results highlighted the potential for resource expansion with significant Ni-Co-Cu sulphide mineralisation being confirmed from 800m to 1,400m along strike [2],[3]. The latest results further confirm the continuity of the westernmost mineralised horizon (Blue Sky 1) in a southwest direction towards the historic Hautalampi mineral resource. Good thicknesses and grades of mineralisation were intersected in HA20-022, HA20-023, HA20-026 and HA20-027 (Fig. 1). The latest assay highlights are summarised in Table 1. Pyrrhotite, pyrite, pentlandite and chalcopyrite are the dominant sulphide minerals.

Hole ID	Target		From (m)	To (m)	Int (m)	Ni (%)	Co (%)	Cu (%)	NiEq (%)
HA20-022	Blue Sky 1		59.00	70.00	11.00	0.18	0.05	0.12	0.37
		incl.	62.00	67.00	5.00	0.19	0.07	0.21	0.46
			74.00	77.00	3.00	0.37	0.02	0.00	0.41
HA20-0231	Blue Sky 1		83.00	84.00	1.00	0.43	0.08	0.11	0.66
			110.30	115.00	4.70	0.26	0.03	0.11	0.38
		incl.	113.60	115.00	1.40	0.47	0.06	0.23	0.72
HA20-0242	Blue Sky 1		88.10	99.30	11.20	0.16	0.04	0.10	0.30
		incl.	88.10	92.00	3.90	0.19	0.06	0.20	0.42
			104.50	111.65	7.15	0.46	0.06	0.10	0.64
		incl.	104.50	106.80	2.30	0.69	0.10	0.22	1.04
		incl.	105.50	106.00	0.50	1.15	0.18	0.32	1.72
		and	107.15	109.85	2.70	0.51	0.05	0.06	0.65
		and	110.60	111.65	1.05	0.31	0.03	0.05	0.41
HA20-025	Blue Sky 1		39.00	48.00	9.00	0.23	0.05	0.04	0.38
			53.00	56.00	3.00	0.20	0.04	0.03	0.31
			59.00	62.00	3.00	0.20	0.05	0.09	0.36
			66.00	70.00	4.00	0.27	0.02	0.06	0.35
		incl.	66.00	67.00	1.00	0.43	0.03	0.10	0.55
HA20-026	Blue Sky 1		53.50	54.00	0.50	0.42	0.03	0.16	0.57
			57.50	61.00	3.50	0.22	0.05	0.05	0.36
			66.10	75.10	9.00	0.24	0.09	0.18	0.55
		incl.	66.75	67.25	0.50	0.65	0.29	0.15	1.40
		and	68.50	69.25	0.75	0.28	0.14	0.32	0.77
			102.40	103.00	0.60	0.37	0.03	0.02	0.46
HA20-0273	Blue Sky 1		82.60	91.10	8.50	0.23	0.06	0.10	0.42
		incl.	88.00	91.10	3.10	0.44	0.11	0.13	0.76
		incl.	89.70	90.40	0.70	1.41	0.33	0.19	2.28
HA20-0284	Blue Sky 1		35.36	49.00	13.64	0.21	0.05	0.05	0.33
			51.00	54.00	3.00	0.25	0.05	0.07	0.39
			57.00	59.00	2.00	0.30	0.02	0.10	0.40
		incl.	57.00	58.00	1.00	0.38	0.03	0.14	0.50

Table 1. Summary of latest assay highlights from the Hautalampi project. The true width of the intercepts is estimated to be mainly 90 – 99 percent and in minimum 75 percent of the intercept length. All core loss is assigned a 0 value.  

1 Includes core loss 113.1m-113.6m (0.5m).

2 Includes core loss 90.8-91.0m (0.2m); 94.4-95.6m (1.2m); 97.7-98.6m (0.9m); 106.8-107.15m (0.35m); 109.85-110.6m (0.75m).

3 Includes core loss 89.3-89.7m (0.4m).

4 Includes core loss 42.6-42.7m (0.1m).   

Further Steps: FinnCobalt is currently interpreting geological and structural data collected from the Hautalampi core and adapting the geological and ore deposit model previously developed for the Keretti copper mine. All the drilling and assay data will be used for assessment of mineral resources and planning of Phase 2 drilling in 2021. Future drilling will target down-dip extensions to the recent drilling and also infill drill the gap between the historic resource and the 2020 drilling. There is good potential to define an additional 775m of strike extension of the Blue Sky mineralised lodes in this area.

Figure 1. Drill hole collar plan for Hautalampi Project. Drill holes recently completed highlighted by red dots.

Figure 2. Drill core from HA20-027 between 80.8m and 87.6m.

For further information, please contact:

Roberto García Martínez, CEO 

E-mail: roberto@eurobatteryminerals.com

Website: https://investors.eurobatteryminerals.com/en/

This information is of the kind that the Company is required to disclose in accordance with the EU’s Market Abuse Regulation. The information was issued for publication through the agency of the contact person set out above on 25 of January 2021 at 08:00 CEST.

The technical information in this press release has been reviewed by Dr Hannu Makkonen from Suomen Malmitutkimus Oy. He has 40 years of experience in mineral exploration in Finland, he is a European Geologist (EurGeol) and a Competent/Qualified Person as defined by the JORC Code, 2012 Edition and by National Instrument 43-101 – Standards of Disclosure for Mineral Projects. Dr Makkonen owns no shares in FinnCobalt Oy or Eurobattery Minerals AB.

About Eurobattery Minerals

Eurobattery Minerals AB is a Swedish mining company listed on NGM Nordic SME (BAT) and Börse Stuttgart (EBM). As the foundation of the battery value chain the company’s vision is to help Europe become self-sufficient in ethical and fully traceable battery minerals for the electric vehicle industry. The company is focused on exploration and development of several nickel-cobalt-copper projects in Europe to supply raw material critical to the expanding electric vehicle battery market. Please visit www.eurobatteryminerals.com for more information.

Augment Partners AB, e-mail: info@augment.se, phone: +46 8 505 651 72, is the company’s Mentor.

[1] NiEq = nickel equivalent percentage. NiEq grade calculated using (USD prices of) nickel $14,264/t, copper $6,545/t and cobalt $34,200/t. No metallurgical or recovery factors have been assumed at this early stage of the Project. NiEq grade calculation = Ni% + (Co%*34200+Cu%*6545)/14264.

[2] Press release 13/10/20: “High grade cobalt and nickel at Hautalampi project in Finland”.

[3] Press release 30/11/20: “Assays confirm resource expansion at the Hautalampi project, Finland”.