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District Intersects Strong Visual Polymetallic Sulphide Mineralization at the Tomtebo Property

Drill Results

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

District Intersects Strong Visual Polymetallic Sulphide

Mineralization at the Tomtebo Property

Vancouver, B.C. April 29, 2024

April 29, 2024 – District Metals Corp. (TSX-V: DMX) (OTCQB: DMXCF) (FRA: DFPP);

(“District” or the “Company”) is pleased to provide an update on the recently completed core

drilling program at the Tomtebo Property located in the Bergslagen Mining District of south-

central Sweden.

Drilling at the Tomtebo Property is part of the CDN $2.0M budget for exploration on the Tomtebo

and Stollberg Properties approved by District and Boliden Mineral AB. As previously announced

District and Boliden Mineral AB have agreed to collaborate on the development of District’s

wholly-owned polymetallic Tomtebo Property and Boliden’s wholly- owned polymetallic

Stollberg Property, pursuant to which District has been appointed as operator (October 30, 2023

and February 20, 2024 news releases).

Drilling at the Tomtebo Property commenced in mid-February where a total of 2,196 m of drilling

in six holes (extension of TOM22-037B, TOM24-039 to -043) was completed (Figures 1 to 4). A

total of 315 samples for multi-element assay and 120 samples for whole-rock lithogeochemistry

were then selected. Drill core samples from these six holes have recently been sent to Boliden’s

Garpenberg Mine for core cutting. The s amples will be sent to ALS Geochemistry in Malå,

Sweden for assay preparation and then to ALS Geochemistry in Loughrea , Ireland for analysis.

Assay results are expected in June.

Highlights

• Strong footwall polymetallic sulphide mineralization encountered at the

Steffenburgs zone: Hole TOM2 4-042 intersected copper-rich semi -massive to

massive sulphide mineralization over approximately 17.0 m ( 309.0 to 326.0 m)

(Figures 1 to 4).

• Additional footwall polymetallic sulphide mineralization from the Steffenburgs zone

includes:

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

o Hole TOM24-041 intersected multiple intersections of disseminated to

stringer-style copper-rich sulphide mineralization over approximately 60.0 m

(190.0 to 250.0 m).

o Hole TOM24-043 intersected intermittent disseminated copper-rich sulphide

mineralization over approximately 21.0 m (327.0 to 348.0 m).

• Down-hole electromagnetic results show multiple off -hole conductors: all drill holes

were followed up by Boliden’s in- house, state of the art, down- hole, three component

electromagnetic (DHEM) survey1, and holes TOM24-037B, 041 to -043 showed both in-

hole and off-hole EM conductors that likely represent sulphide mineralization.

Rodney Allen, Technical Advisor for District, commented: “The most important exploration

guide to track down volcanogenic massive sulphides (VMS) is to define where in the stratigraphic

succession the original sea floor horizon that the VMS formed on occurs, and to then follow this

"mineralized horizon" along strike and down- dip to locate the VMS lenses using the tools of

geology, geochemistry and geophysics. VMS deposits always occur in clusters and each deposit

generally comprises a cluster of massive sulphide lenses separated by less mineralized rock.

Therefore, we can be certain that the massive sulphide that we intersected previously at the

Steffenburgs zone is not the only massive sulphide lens in the Tomtebo system. Consequently,

we designed hole TOM22-037B to locate and test the mineralized horizon to the northeast of the

Steffenburgs zone and holes TOM24- 039 and TOM24- 040 to locate and test the mineralized

horizon west of Steffenburgs. We anticipate that these holes have intersected the mineralized

horizon, interpretation of the lithogeochemical samples taken in the drill cores is required in order

to be certain. Holes TOM22- 037B, TOM24-039 and -040 all intersected moderately to strongly

hydrothermally altered volcanic rocks, which indicates that they are still within the Tomtebo

mineral system. However, mineralization is weak and the alteration is interpreted to represent

medial to distal types that occur several tens to hundreds of met ers from potentially high grade

mineralization. Consequently, further drilling will step out further along strike and/or drill deeper

at these localities.

Holes TOM24-041 to -043, which drilled the Steffenburgs zone, all intersected intense proximal

footwall-style alteration and associated footwall "stringer" sulphide veins and sulphide

impregnation. In addition, TOM24- 042 intersected extensive strong semi -massive to massive

sulphide mineralization, which could be intense footwall mineralization rather than the sea floor

massive sulphide; again, here we require results from the lithogeochemical sampling to be certain

of the exact location of the ancient sea floor ore horizon. Strong footwall alteration and

mineralization are more widespread than the overlying sea floor massive sulphide lens at

Steffenburgs zone. Consequently, some drill holes intersect high grade mineralization within the

footwall and little or no massive sulphide at the actual sea floor "mineralized horizon", whereas

other holes intersect both semi-massive to massive sulphide in the footwall and massive sulphide

at the mineralized horizon. This is normal in VMS exploration. Delineation of the sea floor

massive sulphide lenses, which typically contain the highest grades, requires systematic drilling.”

Garrett Ainsworth, CEO of District, commented: “ The highlight of our recently completed drill

program at Tomtebo is hole TOM24-042, which encountered 17.0 m of continuous semi-massive

to massive polymetallic sulphides. We were pleasantly surprised with the visual content of

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

copper-rich sulphides (chalcopyrite), which are often associated with elevated gold values at the

historic Tomtebo Mine. Polymetallic sulphide mineralization at the Steffenburgs zone remains

open at depth.

The use of Boliden’s DHEM survey identified significant off-hole electromagnetic conductors in

Hole TOM24 -042 and in several other drill holes that are likely associated with sulphide

mineralization that will require follow up.”

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

Figure 1: Plan Map of Drilling at Tomtebo

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

Figure 2: Simplified 3D Model Looking Southeast at Steffenburgs Zone

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

Figure 3: Simplified Cross Section Looking Northeast at Steffenburgs Zone

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

Figure 4: TOM24-042 Sulphide Mineralization from 312.4 to 326.5 m

Drill Hole Summaries

Extension TOM22-037B (900 m step out northeast from historic Tomtebo Mine):

Hole TOM22-037B was drilled in 2022 at an angled orientation ( -50° dip) to the south (180°

azimuth) to 357.9 m. It was designed to test a blind magnetic high anomaly along the interpreted

VMS mineralized horizon located 900 m northeast along trend from the historic Tomtebo Mine.

Interpretation of the lithogeochemical samples taken in 2022 indicated that the hole did not pass

918-1030 West Georgia Street, Vancouver, BC, V6E 2Y3

Telephone: (604) 288-4430

the mineralized horizon and warranted continuation. TOM22- 037B was extended by 200 m to

557.75 m.

Strong silicif ication and locally albit e altered felsic mass flow deposits/pumice breccia were

intersected up to 440 m. The alteration changed gradually from weak to moderate silica -biotite-

muscovite alteration to strong silica -biotite-amphibole-garnet alteration up to 547 m. Narrow

intervals of amphibole skarn replacing former carbonate rich layers were encountered at 516 to

523 m and 535 to 538 m. Small patches of up to 5% disseminated pyrite and pyrrhotite occurred

at 514 to 525m, 535 to 541 m and 542 to 545 m. Alteration weakened from 547 m and the host

has been interpreted as fine to medium grained, feldspar -quartz dominated felsic ash silt-

sandstone. A weak BHEM off-hole anomaly was interpreted at ~240 m down-hole.

TOM24-039 (700 m step out northwest from historic Tomtebo Mine):

Hole TOM24-039 (326.9 m) was drilled at an angled orientation (-50° dip) to the southeast (159°

azimuth). It was designed as a geological hole to test the interpreted VMS mineralized horizon

located roughly 700 m northwest from the historic Tomtebo Mine.

After 15 m of overburden, the hole intersected weak to locally moderate altered felsic

volcani(clastic) rocks with local meter-size cross cutting mafic dykes up. Trace pyrite is observed

as local patches. BHEM did not reveal any off-hole anomalies. Pending lithogeochemical results

should determine the rock precursor and alteration intensity.

TOM24-040 (500 m step out northwest from historic Tomtebo Mine):

Hole TOM24-040 (263.8 m) was drilled at an angled orientation (-50° dip) to the southeast (158°

azimuth). It was designed as a geological hole to test the interpreted VMS mineralized horizon

located roughly 500 m north west from the historic Tomtebo Mine and a 200 m step- out from

TOM24-039.

This hole intersected similar geology as TOM24-039, although alteration is more present. A zone

of strong amphibole-garnet-cordierite-biotite-muscovite-silica altered felsic volcanic rocks with

trace to 2% disseminated pyrite was observed between 159 to 175 m. A greenish, fine to medium

grained, amphibole-pyroxene dominated skarn(?) with trace of pyrite -chalcopyrite was noticed

from 202 to 226 m. A weak BHEM off -hole anomaly was interpreted at ~125 m down-hole.

Pending lithogeochemical sampling should determine the rock precursor and alteration intensity.

TOM24-041 (Steffenburgs Zone)

Hole TOM24-041 (362.8 m) was drilled at an angled orientation ( -59° dip) to the northeast (37°

azimuth). It was designed to step out 60 m down dip from massive sulphides encountered in hole

TOM22-038, which returned 25.5 m at 8.2% ZnEq 2 (249.0 to 274.1 m), including a 0.40m

interval at 384 g/t Au and 855 g/t Ag (273.7 to 274.1 m).

After 16 m of overburden, the hole intersected moderate to strongly altered felsic volcanic rocks

with local disseminated to stringer-style pyrite (0.1 to 1.0%, and up to 20%) and pyrrhotite (0.1