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Montero and Jiang Xi Yun Lithium sign a Memorandum of Understanding on cooperation and development of lithium production in Africa

Partnerships & JV

Montero and Jiang Xi Yun Lithium sign a Memorandum of Understanding on

cooperation and development of lithium production in Africa

Toronto, Ontario - September 24, 201 8: Montero Mining and Exploration Ltd. (TSX.V : MON) (“Montero”) is

pleased to advis e that the Company has signed a non-binding Memorandum of Understanding ( “MOU”) with the

Jiang Xi Yun Lithium Materials Company Limited ( “Jiang Xi Yun Lithium” ) of China for joint cooperation and

development of lithium production in Africa.

The co-operation between the Parties under this MOU may take the following forms:

i. Jiang Xi Yun Lithium will a sign long term off-take agreement with Montero

ii. Jiang Xi Yun Lithium would provide Montero with beneficiation technology and financing support

iii. Montero will supply Jiang Xi Yun Lithium with long term lithium production from Africa.

iv. Montero would have the opportunity of investing in Jiang Xi Yun Lithium upstream beneficiati on plant,

lithium carbonate and lithium hydroxide facilities in China.

Montero Mining and Exploration’s President and CEO, Tony Harwood, commented that this is an

exciting development for Montero. “Jiang Xi Yun Lithium is focused on the supply of battery grade

lithium products to the electric vehicle market in China. Jiang Xi Yun Lithium has already made a

significant investment in the development of lithium refining facilities in China and is continuing to

expand these with a view to becoming a major supplier of lithium. It wishes to supplement its current

supply with lithium from Africa which is the focus of our MOU. Jiang Xi is an ideal fit for Montero’s

intention of becoming a lithium producer.”

Montero currently has 3 lithium exploration and developme nt projects in Namibia . The current exploration

programs are targeting NI 43-101 compliant resources and the exploration of additional lithium targets in Namibia.

Jiang Xi Yun Lithium processes and manufactures lithium carbonate and lithium iron phosphate products for the

Chinese battery market. It also offers non -ferrous metal materials, cobalt, nickel, copper, and aluminum recycling,

processing and marketing services . The company currently has an annual production 20,000 tonnes of lithium

carbonate and i s targeting 40,000 tonnes per year by 2020 . 23% of the company is held by Guangzhou Tinci

Materials Technology, a Chinese battery manufacturing company.

The MOU between Montero and Jiang Xi Yun Lithium is non -binding and involves ongoing discussions and

technical investigations by an expert Montero and Jiang Xi Yun team.

About Montero

Montero currently has options to acquire the Soris lithium-tantalum-tin Project, the UIS lithium-tin tailings Project,

and EPL6162 in Namibia in order to prove up significan t lithium resource s. Lithium is a critical battery metal.

Montero’s focus is to advance its Namibian assets while seeking partners to advance the balance of its assets.

Montero other assets include the Wigu Hill Rare earth project in Tanza nia and phosphate projects in South Africa .

Montero trades on the TSX Venture Exchange under the symbol MON.

For more information, contact:

Montero Mining and Exploration Ltd.

Dr. Tony Harwood, President and Chief Executive Officer

E-mail: [email protected] Tel: +1 416 840 9197 | Fax: +1 866 688 4671

www.monteromining.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or

accuracy of this release.

CAUTIONARY STATEMENT REGARDING FORWARD -LOOKING INFORMATION: This news release incl udes certain "forward -looking information" within the meaning of applicable

Canadian securities laws. Forward -looking information includes, but is not limited to, statements, projections and estimates . Generally, forward -looking information can be

identified by the use of forward -looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “fore casts”, “intends”,

“anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or

“will be taken”, “occur” or “be achieved”. Such information is based on information currently available to Montero and Monter o provides no assurance that actual re sults will

meet management's expectations. Forward -looking information by its very nature involves inherent risks and uncertainties that may cause the actual results, level of activity,

performance, or achievements of Montero to be materially different from those expressed or implied by such forward-looking information. Actual results relating to, among other

things, results of exploration, project development, reclamation and capital costs of Montero’s mineral properties, and finan cial condition and prospe cts, could differ materially

from those currently anticipated in such statements for many reasons such as: changes in general economic conditions and cond itions in the financial markets; changes in

demand and prices for minerals; litigation, legislative, e nvironmental and other judicial, regulatory, political and competitive developments; technological and operational

difficulties encountered in connection with Montero’s activities; and other matters discussed in this news release and in fil ings made with s ecurities regulators. This list is not

exhaustive of the factors that may affect any of Montero’s forward -looking statements. These and other factors should be considered carefully and accordingly, readers should

not place undue reliance on forward -looking information. Montero does not undertake to update any forward -looking information, except in accordance with applicable

securities laws.