New Energy Metals Provides Cobalt Projects Update
#2300 – 1177 West Hastings Street, Vancouver, BC, Canada, V6E 2K3
Phone: 604-484-1232 / Fax: 604-408-7499
NEW ENERGY METALS PROVIDES COBALT PROJECTS UPDATE
NR18-13 July 10, 2018
Vancouver, B.C., July 10, 2018 – New Energy Metals Corp. (“New Energy Metals” or the
“Company”) (TSX.V:ENRG) (OTC:NEMCF) announces that it has completed the first phase of
its initial field exploration program on its cobalt projects in Chile comprised of compilation of
historical data, regional mapping and prospecting, and sampling to identify priority areas for
detailed follow up.
The Company has been aggressive with its acquisition strategy, successfully acquiring several
prospective cobalt projects located within the past producing San Juan cobalt district. The projects
were acquired based on geological characteristics, abundance of historic workings, and evidence
of mineralization, and they all occur on the same regional tren d near past producing cobalt mines
such as Cobaltera, Blanca, Despreciada, Rosa Amelia and Prosperidad.
The results of the current field exploration program, which is expected to run through the summer
months, will provide priority are as for the Company’s initial f ocus as it works to delineate high
grade cobalt resources on its projects.
Cobaltera (San Juan) District Summary:
Established mining district located ~700km north of Santiago, Chile
Excellent infrastructure, nearby deep-water port, no social or permitting issues
District hosts a number of historical producing mines that oper ated for several decades at
the turn of the 20th century (ceasing at the end of WWII)
Extensive evidence of past high-grade mining activity; from 190 3-1944 the district
produced ~300,000 tonnes of cobalt grading up to 4% cobalt (+ Cu)*
Mineralization occurs in high-gr ade veins, with average cobalt grades reportedly up to
1.6% cobalt for primary mineraliz ation, and up to 6.4% cobalt i n the enriched secondary
oxidized zones which extend approximately 50m below surface; vein thickness varies from
0.5m to 20m*
Historical mining focused on oxidized near surface zones, mining cobalt for use as a
super alloy for military applications
The primary cobalt sulfide zone represents a compelling target zone considering that
similar copper rich veins in the district (i.e. Quebradita) were mined for copper to depths
of 700m
Very limited exploration has been conducted in more than 70 years, but the district is now
active due to awareness of its cobalt potential, and due to rob ust demand for new sources
of primary cobalt
US based Genlith Inc. (holding company focused on energy storag e and critical battery
materials) created Chilean Cobalt company and acquired a strate gic land position
neighbouring the Company’s projects; with a goal of achieving primary cobalt production
as quickly as possible
NR18-13 Continued 2 July 10, 2018
o Genlith has mobilized drill rigs to the project site; this will r e p r e s e n t t h e f i r s t
significant exploration work conducted in the district in over 70 years
o Potential synergies with Genlith operating in the district (exp loration and
development infrastructure, potential mining infrastructure in future…)
*November 2017 report by Chile’s Corporation for the Promotion of Production (“CORFO”) and the Chilean National Service of
Geology and Mining (SERNAGEOMIN)
Cobalt Market Summary*:
Key component in rechargeable Li-ion batteries (electric vehicles, consumer electronics…)
Critical battery cathode material for rechargeable batteries and energy storage systems
Annual refined cobalt production is only ~100K tonnes; dramatic demand growth is
forecast in the coming years
Efforts to reduce cobalt dependency due to its high price and s carcity, but the magnitude
of demand growth is expected to outweigh this
Demand growth due to green energy revolution (renewable energy sources and energy
storage systems)
Extremely tight supply (Congo dominates current supply, ethical source issues), very few
primary cobalt producers in the world
*Source BMO Capital Markets, Darton, others
New Energy Metals Highlights:
Focused on exploration and development of energy metals in Chile
High quality assets, strong team, established network in Chile
Tight capital structure (40M shares), market capitalization < $10M
Has secured a premier land position in a historically important primary cobalt district in
one of the world’s best mining jurisdictions; one of only a few known primary cobalt
districts outside of the Congo
Potential for development of high grade primary cobalt mineralization
Goal is to be a major player in the reactivation of Chile’s cob alt sector, developing new
ethical supply
Potential for excellent value creation
+Copper & lithium exposure in Chile’s world class mining districts
Qualified Person
Mr. Enrique Reichhard Barends, P.Geo., Comisión Calificadora de Competencias en Recursos y
Reservas Mineras (Chilean Mining Commission) is a qualified per son as defined by National
Instrument 43-101. He has reviewed the scientific and technica l information that forms the basis
of this news release and has approved the disclosure herein. M r. Enrique Reichhard Barends is
not independent of the Company.
NR18-13 Continued 3 July 10, 2018
On behalf of New Energy Metals Corp.
Grant Ewing, President & CEO
T: 604.484.1232
W: www.newenergymetals.ca
Neither the TSX Venture Exchange nor its Regulation Services Pr ovider (as that term is defined
in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Cautionary Note Regarding Forward-Looking Statements
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information
contained herein. This News Release includes certain “forward- looking statements”. Other than statements of
historical fact, all statements included in this release, including, without limitation, statements regarding future plans
and objectives of New Energy Metal s Corp., are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such s tatements. Important factors that could cause actual
results to differ materially from New Energy Metal’s expectations are the risks detailed herein and from time to time
in the filings made by New Energy Metals Corp. with securities regulators. Those filings can be found on the Internet
at http://www.sedar.com.