Surge Battery Metals Announces Phase 2 Drilling Underway With Two Holes Complete
Surge Battery Metals Inc.
300-1455 Bellevue Avenue
West Vancouver, BC, Canada
V7T 1C3
778-945-2656
www.surgebatterymetals.com
Surge Battery Metals Announces Phase 2 Drilling Underway
With Two Holes Complete
August 15, 2023: West Vancouver, BC; Surge Battery Metals Inc. (the “Company” or “Surge”) (TSXV:
NILI, OTC: NILIF, FRA: DJ5C) is pleased to announce the second program of drilling is underway and
the first two holes have been completed on the Nevada North Lithium Project (NNLP) located
northeast of Elko, Nevada.
Drill pad locations for this second program of drilling have been laid out to further test and extend
the presence of clay beds that were assayed for high levels of lithium in last year’s program. The
possible expansion in area and at depth were interpreted from the recently completed geophysical
surveying. Of the eight holes planned, seven can be regarded as step-out holes from the first drill
program in 2022 with drill hole location “V” (see map accompanying this news release) being located
on an assumed northwest trend. Site “V” has the potential to extend the known lithium-rich clay from
the current 1,620 meters strike length to more than 3000 meters. Site “Q” will test the known width
of the mineralization to 950 meters from the previously drill-indicated 400 meters.
Drillhole location “R”, which is a 400 meter step out, and “M” have been completed. Drilling at hole
location “V” is underway. Hole “V” is a significant step out of over 1,000 meters from previous drill
holes. The stratigraphic package and general intercepts of the favorable claystone which have been
encountered in the first two holes are consistent with the 2022 drilling results.
Most recently (news release July 26, 2023), the Company announced a significant expansion of its
land holdings at NNLP through additional claim staking by the Company (100% interest without any
royalties), and by way of an Agreement with M3 Metals Corp (“M3M”). With the additional staked
lands and including the interest in the M3M Lands, the Company will, once the M3M Agreement has
received regulatory approval, have significantly increased its land position in the area of the NNLP.
Mr. Greg Reimer, Chief Executive Officer, and Director commented “We have initiated the second
drilling program on our Nevada North Lithium Project, with the completion of holes “R” and “M”. Drill
hole location “V”, our most northerly location, is underway. We are encouraged that the first two
holes show similar geological characteristics to the 2022 program and expect to see an increase in
the overall area of clay bearing horizons that, to date, have contained significant lithium values.”
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Surge Battery Metals Phase 2 Drill Location Map
Qualified Person as Defined Under National Instrument 43-101
Alan J. Morris, MSc, CPG of Spring Creek, Nevada, a Qualified Person as defined under National
Instrument 43-101 has reviewed and approved the technical aspects of this news release.
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Equity Incentive Plan and Grant of RSUs / PSUs and Options
The Company has, effective August 14, 2023, granted a total of 6,609,000 RSUs (the "RSUs") and
6,609,000 PSUs (the "PSUs") under its Equity Incentive Plan dated effective July 19, 2023 (the "Plan") to
certain Participants (as that term is defined under the Plan). As previously announced, the Plan received
shareholder approval on July 19, 2023. The Plan subsequently has received final approval from the TSX
Venture Exchange.
The vesting provisions of the RSUs are as follows: One-third of the RSUs granted to the Participant vest
on the first anniversary of the date of grant. An additional one-third of the RSUs granted to the Participant
vest on the second anniversary of the date of grant. The remaining one-third of the RSUs granted to the
Participant vest on the third anniversary of the grant.
The vesting provisions of the PSUs are as follows: One-third of the PSUs granted to the Participant vest on
the completion of a resource calculation for the Company's Nevada North Lithium Project (the "Project")
in the form of an NI 43-101 technical report filed on the Company's issuer profile on SEDAR. An additional
one-third of the PSUs granted to the Participant vest upon completion of a preliminary economic assessment
of the Project in the form of an NI 43-101 technical report filed on the Company's issuer profile on SEDAR.
The remaining one-third of the PSUs granted to the Participant vest upon the Company listing on a senior
exchange such as the TSX after the first two performance goals have been reached.
No transactions which would trigger vesting of the PSUs in the paragraph above are currently under
negotiation nor has any agreement been reached regarding such a transaction.
The PSUs and RSUs are subject to the provisions of Exchange Policy 4.4 which stipulate generally,
amongst other things, that vesting of PSUs and RSUs may not occur less than one (1) year from their date
of grant.
All unexercised or unvested PSUs and RSUs expire five (5) years from the date of grant. The PSUs and
RSUs are subject to early cancellation in certain circumstances including in the event that a Participant
ceases to hold office or provide services to the Company.
All PSUs and RSUs have an exercise price of $0.01 per share and all RSUs and PSUs are exercisable for
the issuance of one common share of the Company.
The grant of the PSUs and the RSUs is subject to the approval of the TSX Venture Exchange.
The company is granting a total of 1.5 million stock options, exercisable for a period of five years, at an
exercise price of 60 cents a share to certain directors, officers, and consultants.
About Surge Battery Metals Inc.
The Company is a Canadian-based mineral exploration company active in the exploration for lithium
in Nevada whose primary listing is on the TSX Venture Exchange. The Company's maintains a focus
on exploration for high value battery metals required for the electric vehicle (EV) market.
About the Nevada North Lithium Project
The Company owns the Nevada North Lithium Project located in the Granite Range southeast of
Jackpot, about 73 km north-northeast of Wells, Elko County, Nevada. The first round of drilling,
completed in October 2022, identified a strongly mineralized zone of lithium bearing clays occupying
a strike length of almost 1,620 meters from drillhole NN2205 in the north to drillhole NN2208 in the
south. Widths of the mineralized horizons are not well determined since the holes are mostly on a
north-south alignment, however, widths are at least 400 meters, supported by highly anomalous soil
values indicating potential for the clay horizons to be much greater in extent. The potential for a
significant lithium deposit can be illustrated by the results of drilling and surface soils sampling,
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which indicate an extensive area of enrichment beyond the drilling pattern to date. Drillhole NN2207
intersected the thickest intervals of lithium-rich claystone encountered to date; a total of 120.4
meters (395 feet) averaging 3,943 ppm lithium in four zones. Additionally, drillhole NN2208 had the
strongest downhole individual sample of 5,950 ppm lithium between 45 and 50 feet (13.72 and 15.24
meters). The average lithium content within all near surface clay zones intersected in 2022 drilling,
applying a 1000 ppm cut-off, was 3254 ppm. (news release March 29, 2023)
On behalf of the Board of Directors
“Greg Reimer”
Greg Reimer,
President & CEO
Contact Information
Email : [email protected]
Phone : 778-945-2656
Website: surgebatterymetals.com
Neither the 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.
This document may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation
Reform Act of 1995 and applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”, “estimate”,
“expect”, “target, “plan” or "planned", "possible", "potential", “forecast”, "intend", “may”, “schedule” and similar words or expressions
identify forward-looking statements or information. These forward-looking statements or information may relate to future prices of
commodities including lithium and nickel, the accuracy of mineral or resource exploration activity, reserves or resources, regulatory or
government requirements or approvals including approvals of title and mining rights or licenses and environmental, local community or
indigenous community approvals, the reliability of third party information, continued access to mineral properties or infrastructure or
water, changes in laws, rules and regulations including in the United States, Nevada or California or any other jurisdiction which may
impact upon the Company or its properties or the commercial exploitation of those properties, currency risks including the exchange rate
of USD$ for Cdn$ or other currencies, fluctuations in the market for lithium related products, changes in exploration costs and government
royalties, export policies or taxes in the United States or any other jurisdiction and other factors or information. The Company’s current
plans, expectations, and intentions with respect to development of its business and of its Nevada properties may be impacted by economic
uncertainties arising out of any pandemic or by the impact of current financial and other market conditions (including US government
subsidies or incentives) on its ability to secure further financing or funding of its Nevada properties. Such statements represent the
Company’s current views with respect to future events and are necessarily based upon several assumptions and estimates that, while
considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political, environmental
(including endangered species, habitat preservation and water related risks) and social risks, contingencies, and uncertainties. Many
factors, both known and unknown, could cause results, performance, or achievements to be materially different from the results,
performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend,
and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or
changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules,
and regulations.