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Margaret Lake Diamonds Announces Resumption of Trade

Corporate Updates

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Margaret Lake Diamonds Announces Resumption of Trade

VANCOUVER, BRITISH COLUMBIA / February 10, 20 20 / Margaret Lake Diamonds Inc.

(“Margaret Lake” or the “Company”) (TSX.V: DIA / FKT: M85) is pleased to announce, further to

its news release of January 27, 2020 announcing its proposed vanadium redox flow battery and

energy storage system joint venture (the “Transaction”) with KORID Energy Company Ltd.

(“KORID”), that effective at the open on Tuesday , February 1 1, 2020, trading in t he Company’s

shares will resume. Completion of the Transaction is subject to a number of conditions,

including but not limited to, TSX Venture Exchange acceptance.

For more information in respect of the Transaction, please refer to the Company’s news release

dated January 2 7, 2020 (the “Prior Release”) . As set out in the Prior Release, the Company

proposes to issue 20,000,000 post -consolidation common shares as initial Transaction

consideration (the “Consideration Shares”). Further to the Prior Release, the Company wishes to

clarify that the proposed recipients of the Consideration Shares will be: KORID, as to 7,500,000

Consideration Shares; DST Co., Ltd. (“DST”) (KOSDAQ: 033430), as to 7,500,000 Consideration

Shares; and LKAT Co., Ltd. (LKAT”) as to 5,000,000 Consideration Shares. Each of DST and LKAT

are shareholders of KORID . In connection with the Transaction, the Company proposes to

incorporate a United States subsidiary to principally operate the proposed joint venture obligations

of the Company (“DIA US”). The board of directors of DIA US will be comprised of two nominees

of the Company and two nominees of KORID . The Company also proposes to reconstitute its

board of directors in connection with completion of the Transaction to include three nominees of

the Company, and two nominees of KORID.

This press release refers to a joint venture to construct a factory (the “Factory”) in the United

States for the purpose of producing Vanadium Redox Flow Batteries and energy storage systems.

Remarks regarding the Joint Venture by Former Maine Secretary of Energy John Kerry and

former New York Governor George Pataki are available at https://youtu.be/KIre7TMNb5k .

Factory Design

Preliminary Factory footprint, process flow, equipment and personnel requirements have been

completed by KORID for Phase I of a Vanadium Flow Battery Factory with an annual output

capacity of 50MW and 200MWh of storage.

Battery Design

KORID’s proprietary Vanadium Flow Battery has been developed and tested over the past 10

years and is patent protected. The flow battery design allows for limitation of storage only

based on the capacity of the electrolyte tanks versus the fixed capacity of lithium-ion. The

battery is non-flammable and non-explosive. There is no degradation as a result of cycling,

partial charging, or time with a 100% depth of discharge and projected lifetime of 20 years.

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Battery efficiency is currently rated at up to 80%. The battery is scalable into the MW-range

through simple parallel connection of multiple units. The systems are shipped in self-

contained weatherproof and securely protected housing. The systems can be managed and

maintained by remote or online maintenance through intelligent battery management.

Temperature management and climate controlled containers eliminate weather impact on

energy efficiency.

The battery is composed of four primary components: electrolyte tanks, cell stacks, power

conversion system (including control system, communications, inverter, electrical wiring, etc.),

and pumps / balance of plant equipment (Figure 1). The systems are designed for

containerized deployment in twenty or forty foot containers. The forty foot design has a

capacity of 100kW output, 400kWh capacity.

Figure 1

Cell Stack

KORID has manufactured four cell stacks to date including 2.5kW, 5kW, 10kW, and 25kW

(Figure 2). KORID has developed and is currently testing a 50kW cell stack for high usage

industrial and grid scale utility and renewables applications.

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Figure 2

Grid Scale Mass Storage

Designs have been completed for a 3.6MW output system (Figure 3) to meet the demand for

grid scale applications. There are a variety of applications to support both renewables and

existing infrastructure as well as energy security. Placing batteries at substations or near high

demand areas reduces need for new infrastructure such as transmission lines, substation

capacity, and traditional power plants or hydro dams. The power is often wasted in the night

only for a lack of battery capacity. Grid scale energy storage systems allow for charging at

night during very low demand times (off peak) and release that energy during the day during

peak demand reducing the need for new transmission lines or power plants. This both

increases overall efficiency and provides backup/standby power for energy security and a

robust and efficient energy infrastructure.

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Figure 3

About KORID Energy and DST Co., Ltd.

KORID is a partially owned subsidiary of DST, a publicly traded company listed on the KOSDAQ

Exchange in South Korea. It operates the following businesses: Automation Machinery, Mining

and Metals Development and Processing, along with other diversified businesses. Its products

and services include energy storage technologies, equipment for the automobile components

industry, food processing equipment, mineral development and processing, rental services,

and others. The company was founded on May 11, 1995 and is headquartered in Changwon-si,

South Korea. For more information visit www.ds-t.co.kr.

About Margaret Lake Diamonds

Margaret Lake Diamonds Inc. (TSX.V: DIA) is a Canadian technology and strategic metals

exploration company focused on construction of Vanadium Redox Flow Battery Factory and

Vanadium Exploration in the United States. The Company continues to maintain an interest in

the Diagras Diamond property.

Contact Information

Jared Lazerson

President and CEO

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[email protected]

Web: www.margaretlakediamonds.com

Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the

policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this

release.

Forward-Looking Statements

This press release contains forward-looking information or forward-looking statements

(collectively "forward-looking information") within the meaning of applicable securities laws.

Forward-looking information is typically identified by words such as: "believe", "expect",

"anticipate", "intend", "estimate", "potentially" and similar expressions, or are those, which, by

their nature, refer to future events. The Company cautions investors that any forward-looking

information provided by the Company is not a guarantee of future results or performance, and

that actual results may differ materially from those in forward-looking information as a result

of various factors. The reader is referred to the Company's public filings for a more complete

discussion of such risk factors and their potential effects which may be accessed through the

Company's profile on SEDAR at www.sedar.com.