Core drilling results indicates a connection between the resource areas in Hautalampi, Finland

Stockholm, 31st of March 2022 – Eurobattery Minerals AB (Nordic Growth Market: “BAT” and Börse Stuttgart: “EBM”), a growth company in the mining and exploration industry with the vision to help Europe become self-sufficient in ethical battery minerals, today announces first results from the phase 2 drilling campaign completed at the FinnCobalt Hautalampi Ni-Co-Cu project in eastern Finland, a project Eurobattery Minerals have the option to acquire to 100 %.

The results indicate a connection and resource expansion potential between the earlier defined Hautalampi and Mökkivaara resources making intended future mining operations more efficient and economic. Complete results (initially planned for in Q1 2022) are delayed due to Covid-19 problems at the external ALS Laboratory, Ireland. Results and a mineral resource update in accordance with the JORC code, is now expected in Q2.

Key points

• The first received assay results and visual observations from phase 2 drilling campaign in Hautalampi Ni-Co-Cu project give a strong indication that Hautalampi and Mökkivaara resources are connected.
• The company expect to receive final assays results based on the 1,600 samples from 45 drill holes completed in phase 2 drilling campaign including a mineral resource update in the second quarter of 2022.
• Complete results (initially planned for in Q1 2022) are delayed due to Covid-19 at the external ALS laboratory in Ireland. Results and a mineral resource update in accordance with the JORC code, is now expected in Q2.
• Previous drilling campaign in 2020 confirmed a resource increase of approximately 100%.

“From what we know to date, the drilling has confirmed our view of the connection between Hautalampi and Mökkivaara resource area. This means that we most probably have some 2,5 km continuous resource area. This will subsequently make intended future mining activities more efficient and economic. Obviously, we are very eager to get the results and as such concerned about the delay caused by ALS laboraory in Ireland due to circumstances outside of our control”, comments Roberto García Martínez, CEO of Eurobattery Minerals. 

Additional information

FinnCobalt Oy commenced the new drilling campaign (Phase 2) in mid-October 2021 in the Hautalampi mine project development area. The campaign covered the previously non-drilled gap area between the Hautalampi deposit and the north-eastern extension of the project, known as the Mökkivaara deposit, and aimed to verify resources between these already established deposits.

The goals of the Phase 2 drilling campaign were:

• Fill the drilling gap between the existing Hautalampi resource area and the north-eastern extension known as the Mökkivaara resource area (Central-Gap fill).
• Convert inferred resource to indicated resource at the Hautalampi resource area through drilling the most important gaps in the currently existing indicated resource zone (Hautalampi-Resource conversion).
• Extend the Hautalampi resource area further to the northeast (Central-Resource extension).
• Create an indicated mineral resource of the Mökkivaara resource by increasing the drilling density.

Phase 2 drilling campaign was completed in late 2021. In total 45 drill holes were completed for a total of 4,606 meters. More than 1,600 samples will be submitted for geochemical assaying at ALS Geochemistry in Outokumpu and Ireland.

The first received assay results and visual observations give a strong indication that Hautalampi and Mökkivaara resources are connected. Assay results from the first 18 holes are:

The true width of the intercepts is estimated to be mainly 80 – 90 percent and in minimum 75 percent of the intercept length. In HA21-125 and HA21-126 the true width is estimated to be lower than in other holes because of oblique drilling against the strike. All core loss is assigned a 0 value. Notable core loss occurs in HA21-120 between 64.42m - 65.62m, totalling 1.2 m.

NiEq = nickel equivalent percentage. NiEq grade is calculated using USD prices of nickel $17,500/t, copper $7500/t and cobalt $45,000/t. No metallurgical or recovery factors have been assumed at this early stage of the Project. NiEq grade calculation = NiEq = Ni% + (Co%*45000 + Cu%*7500)/17500.

Quality assurance and quality control (QA/QC)

Drill core is logged and sampled in a secure core storage facility located in Outokumpu, Finland. The core samples were sent to ALS Laboratories in Outokumpu, Finland, for cutting the core in half by a diamond saw and for sample preparation.  From Outokumpu, the samples were sent to ALS Laboratories in Ireland for a four-acid digest multi-element suite including cobalt, nickel, and copper. Based on previous studies the silicate nickel content of the Hautalampi host rock is below 0.03 %. Blank, field duplicates, and standards were included in the sample batches and their values allow the public disclosure of the assay results. No QA/QC issues were noted with the results reported herein.

Qualified person

The technical information in this press release has been reviewed by Dr Hannu Makkonen from Suomen Malmitutkimus Oy. He has over 40 years of experience in mineral exploration in Finland, he is a European Geologist (EurGeol) and a Competent/Qualified Person as defined by the PERC Reporting Standard 2021, 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.

For more information, please contact:

Roberto García Martínez, CEO of Eurobattery Minerals

press@eurobatteryminerals.com

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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 31st of March 2022 at 07:30 CET.

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 sustainably mined raw materials critical to the rapidly growing battery market.

Visit www.eurobatteryminerals.com for more information.

Augment Partners AB, e-mail: info@augment.se, phone: +46 8-604 22 55, is the company’s Mentor.