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European Electric Metals Reports on Advanced Stage Portugal Copper Project

Corporate Updates

488-1090 West Georgia St. www.europeanelectricmetals.com

Vancouver B.C. Canada V6E3V7 info @europeanelectricmetals.com

Tel: 604-687-7130 TSX-V: EVX

May 23, 2018

NEWS RELEASE

European Electric Metals Reports on Advanced Stage Portugal Copper Project

• 329 sqkm land package with historic copper production

• exploration potential for copper, gold, silver and other metals

• adds to current portfolio of electrification theme metal properties within Europe

European Electric Metals Inc. (TSXV-EVX) (“EVX” or “the Company”) is pleased to announce

that it has signed an agreement to acquire an exploration application in Portugal for an advanced stage

copper asset with historic production.

The application for the 329 sqkm (3,290 ha) Borba 2 (“Borba 2”) license is now well advanced after

the completion of the public annou ncement period with no object ions or competition. Borba 2 is

located 160 road km to the east of Lisbon. The remaining licens ing process will involve preparation

of definitive terms of the contract with the government. Once t his phase is completed the State

Secretary of Energy will set the date of signing.

The Borba 2 has two main copper (with associated metals) explor ation targets: Miguel Vacas and

Bugalho along with several other potential (less advanced) prospects both for copper and gold.

Under the terms of the agreement with ePower Metals Inc. (“EPWR ”), EVX will pay EPWR

US$20,000 on approval of the license while EPWR will retain a 1% NSR which can be acquired by

EVX at any time for payment of US$ 1 million.

Miguel Vacas Area

Miguel Vacas is a former operating open pit mine which operated intermittently between 1925 and

1986 producing an estimated amount of 464,000 tons of oxide and sulphide mineralized materials

grading 2.1% Cu prior to its closure (Reference Portuguese Mines Department file). Mining included

a sulphuric acid heap leach operation of the shallower oxidised ore material.

Mineralization consists of secondary copper minerals (malachite , chrysocolla, covellite, atacamite,

libethenite) near surface and primarily chalcopyrite in the sulfide zone below 80m. The mineralization

is associated with a 13m wide st eeply dipping vein system and b reccia zone within a 20-30m wide

shear zone trending north-south. Mineralization has been traced on surface and in drill holes over a

2km length of the shear zone.

Sampling by Rio Narcea Gold Mines Ltd., in 2006, in the pit ide ntified a 13m mineralized zone

grading 1.6% Cu with a high-grade zone of 2m grading 4.9% Cu. R io Narcea completed a resource

estimate based on 100m x 100m drilling campaign (20 drill holes in total) within 1 km of the 2km

recognized shear zone and estimated (non-NI 43-101 compliant) 5 .5 Mt of combined oxide and

sulfide mineralization grading 1.2% Cu (see Note 1 below with regards to this resource).

The Company believes there is potential for significant mineralization to continue below the historic

pit and along the 2km mineralized shear zone both in the remain ing near surface oxidised part and

the sulphide material below. As no systematic assays for other metals were done in the past, the

Company believes there is the potential for finding other valuable metals such as cobalt, gold and/or

silver associated with copper.

Bugalho Mine Area

The Bugalho Mine Area contains a historic underground mine on a separate mineralized trend from

the Miguel Vacas zone. Mineralization is associated with a 1km long section of a fault zone that

trends generally north-south which includes three veins that we re mined in the past. Vein 1 (main

vein) is up to 1.2 m thick and was mined 800 m along strike, Ve in 2 averaged 1.3 m thick (no strike

length reported) and thickness and length of Vein 3 is not known.

The primary copper mineralization consists of chalcopyrite and pyrite within quartz-carbonate matrix.

Supergene copper mineralization co nsists of malachite, hematite and scorodite. The mine operated

intermittently from 1800 to 1900. There are 9 underground levels known down to a depth of 200m.

Note 1: The tonnage and grade es timates stated above are historic in nature and were obtained from

information records at the Portuguese’s government library. The estimate was done by Rio Narcea

Gold Mines Ltd. (a former TSX-listed company prior to its acquisition by Lundin Mining in 2007) in

2006 but not published. The estimate was done using the Tysson Polygon method and is roughly

equivalent to the National Instrument 43-101 inferred category. No qualified person has done

sufficient work to classify the historical estimates as current mineral resources. Note, disclosure of

“historical estimates” that address the requirements of NI 43-101, 2.4 are compliant. EVX considers

the historical estimates relevant in guiding exploration effort s and planning although EVX is not

treating the historical estimates as current mineral resources. EVX will need to undertake a

comprehensive review of available data, including further drilling, to verify the historic estimates and

classify them as current resources.

Jose Mario Castelo Branco, EuroGe ol, a Qualified Person under t he meaning of Canadian National

Instrument 43-101 and Chief Geologist of the Company is respons ible for the technical content of

this news release.

EVX Chief Geologist, Mr. Jose Mar io Castelo Branco has signific ant exploration experience in

Portugal. For seven years, Mr. Branco was the Regional Exploration Manager Iberia and in the last 2

years for Europe with Lundin Mining, a global mining company with multiple projects varying from

exploration through to development and mining.

Prior to his time at Lundin, Mr. Branco was Exploration Manager (Portugal) for Rio Narcea Gold

Mines S.A for eight years, after his nine-year role as Project Geologist for Rio Tinto, one of the

world’s largest mining companies.

Mr. Branco is a member of the Society of Economic Geologists, the Society for Geology Applied to

Mineral Deposits and the European Federation of Geologists. He is also a member and was recently

a Director of the Portuguese Association of Geologists.

About European Electric Metals Inc.

European Electric Metals Inc. is a Canadian listed public company, with projects in Europe. A major

shareholder of EVX is the European Bank for Reconstruction and Development. The goal of EVX is

to become a major source of battery metals such as copper, nickel and cobalt, and the company seeks

to do so within safe, stable and logistically attractive European jurisdictions. The company's projects

are ideally located with excellent road, port and grid power availability, and near European countries

that are poised to experience dramatic growth in the electric-v ehicle-manufacturing industry. There

is a strong battery-manufacturing industry within Europe with many more projects in the pipeline.

Fred Tejada, CEO states “Today’s news is in line with EVX strategy of building a high-quality basket

of projects in good jurisdictions, with potential to provide me tals crucial to electrification. We are

excited about the potential of our existing Rehova project and now, Borba 2.”

On behalf of the Company,

Fred Tejada, Chief Executive Officer and Director

Forward-Looking Statements . This news release contains “fo rward-looking” statements and

information relating to the Company and the Borba 2 are based o n the beliefs of Company

management, as well as assumptions made by and information curr ently available to Company

management. Such statements reflect the current risks, uncertai nties and assumptions related to

certain factors including but not limited to, without limitatio ns, exploration and development risks,

expenditure and financing requirements, general economic conditions, changes in financial markets,

the ability to properly and efficiently staff the Company’s ope rations, the sufficiency of working

capital and funding for continued operations, title matters, co mmunity relations, operating hazards,

political and economic factors, competitive factors, metal pric es, relationships with vendors,

governmental regulations and ove rsight, permitting, seasonality and weather, technological change,

industry practices, and one-time events. Should any one or more risks or uncertainties materialize or

change, or should any underlying assumptions prove incorrect, a ctual results and forward-looking

statements may vary materially from those described herein. The Company does not undertake to

update forward-looking statements or forward-looking information, except as required by law.