NMI.V · 2024-05-21 12:00:00

Namibia Critical Metals Files NI 43-101 Mineral Resource Estimate Report for the Lofdal Heavy Rare Earth Project on SEDAR

Resource Estimates

Namibia Critical Metals Files NI 43-101 Mineral Resource Estimate

Report for the Lofdal Heavy Rare Earth Project on SEDAR

HALIFAX, NS / ACCESSWIRE / May 21, 2024 / Namibia Critical Metals Inc. ("Namibia

Critical Metals" or the "Company" or "NMI") (TSXV:NMI)(OTCQB:NMREF) is pleased to

announce that the updated NI 43-101 Mineral Resource Estimate on the Lofdal Heavy Rare

Earth Project in northern Namibia ("Lofdal" or "the project") has been filed on SEDAR. Lofdal

is a joint venture between the Company and Japan Organization for Metals and Energy Security

("JOGMEC").

Lofdal is unique as one of only two primary xenotime projects under development in the world.

The deposit has the potential for significant production of dysprosium and terbium, the two most

valuable heavy rare earths used in high powered magnets. The joint venture with JOGMEC is

driven by Lofdal's potential to be a long term, sustainable supply of heavy rare earths for Japan.

Mineral Resource Estimate

As previously reported (Press Release of April 9, 2024) the updated Mineral Resource Estimate

was independently prepared by The MSA Group of South Africa ("MSA") and was based on

geochemical analyses and density measurements of core samples obtained by diamond drilling

and drill chips obtained by reverse circulation drilling undertaken by Namibia Critical Metals

from 2010 to 2012, 2015, 2020 and more recently in 2023. From the assumed parameters a 0.1%

TREO cut-off grade was calculated, which together with the Whittle optimized pit shell

demonstrates reasonable prospects for eventual economic extraction (RPEEE) for the Mineral

Resource.

The Mineral Resource is reported as Measured, Indicated and Inferred Mineral Resources as

shown in Table 1 for Area 4 and Table 2 for Area 2B. The Mineral Resource was estimated

using The Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Best Practice

Guidelines (2019) and is reported in accordance with the 2014 CIM Definition Standards, which

have been incorporated by reference into National Instrument 43-101 - Standards of Disclosure

for Mineral Projects (NI 43-101).

The Qualified Person (QP) for the Mineral Resource estimate is Mr. Jeremy C. Witley (BSc

Hons, MSc (Eng.)). In the QP's opinion, the Mineral Resources reported herein at the selected

cut-off grade have "reasonable prospects for eventual economic extraction", taking into

consideration mining and processing assumptions. The Mineral Resource was reported from

within a Whittle optimised pit shell at a cut-off grade of 0.10% TREO.

Table 1: Area 4 Mineral Resources above a 0.1% TREO cut-off

grade - 5 April 2024

Category

Tonnes

(Mt)

TREO*

HREO**

LREO***

Dy2O3

ppm

TREO

(kt)

Indicated 2.7 0.16 0.09 0.07 97 4.4

Inferred 4.4 0.15 0.07 0.08 75 6.6

Notes:

1. All tabulated data have been rounded and as a result minor computational errors may

occur.

2. Mineral Resources, which are not Mineral Reserves, have no demonstrated economic

viability.

3. Quantities reported are the total quantities for the project regardless of ownership.

4. *TREO = Total Rare Earth Oxides and includes Y2O3

5. **HREO = Heavy Rare Earth Oxides and includes Y2O3

6. ***LREO = Light Rare Earth Oxides

7. Mt = Million tonnes, kt = Thousand tonnes,.

The Area 4 Mineral Resource Estimate has increased from the previous estimate of 12 May 2021

(see Tables 3 and 4), due to the additional drilling, which has expanded the Indicated and

Inferred Mineral Resources, along with changes in the economic input parameters used to define

the optimised pit-shell for determining Reasonable Prospects for Eventual Economic Extraction

(RPEEE). The Inferred Mineral Resources have increased in tonnages due to the additional RC

drilling which has extended the Mineral Resource in a northeasterly direction along strike.

Table 3: Comparison of Lofdal Mineral Resource Estimates of 2021 and 2024 at a 0.1%

TREO cut-off grade

Year of Mineral Resource

Estimate 2021 2024

Million

tonnes Grade

Million

tonnes Grade

(Mt) %TREO (Mt) %TREO

Measured Resource Area 4 5.9 0.21 6.6 0.21

Indicated Resource Area 4 36.6 0.16 49.2 0.15

Indicated Resource Area

2B 2.2 0.19 2.7 0.16

Total Measured &

Indicated Resources 44.8 0.17 58.5 0.16

Inferred Resource Area 4 6.1 0.17 10.5 0.14

Inferred Resource Area 2B 2.6 0.19 4.4 0.15

Total Inferred Resources 8.7 0.17 14.9 0.14

Table 4: Comparison of contained TREO, Dysprosium oxide and Terbium oxide in

Mineral Resource Estimates of 2021 and 2024 at a 0.1% TREO cut-off grade

TREO Dy2O3 Tb2O3

Year of Mineral

Resource Estimate 2021 2024 2021 2024 2021 2024

tonnes tonnes tonnes tonnes tonnes tonnes

Measured Resources 12,710 13,650 820 855 120 124

Indicated Resources 59,970 80,081 3,240 3,648 500 568

Total Measured &

Indicated Resources 72,680 93,731 4,060 4,503 620 692

Total Inferred

Resources 10,120 21,602 680 937 110 153

Filing of Report

The report, titled Namibia Critical Metals Inc. Lofdal Heavy Rare Earths Project, Namibia NI

43-101 Technical Report -21 May 2024 Mineral Resource Estimate is authored by Jeremy

Witley, MSc, P. Sci. Nat - The MSA Group, South Africa; Scott Swinden, Ph.D, P.Geol -

Swinden Geoscience Consultants Ltd. and Barbara Mulcahy, P,Eng.

The Qualified Person for the Mineral Resource estimate is Mr. Jeremy C. Witley (BSc Hons,

MSc (Eng.)) who is a geologist with more than 35 years' experience in base and precious metals

exploration and mining as well as in Mineral Resource evaluation and reporting. He is a

Principal Resource Consultant for The MSA Group (an independent consulting company), is

registered with the South African Council for Natural Scientific Professions (SACNASP) and is

a Fellow of the Geological Society of South Africa (GSSA). Mr. Witley has the appropriate

relevant qualifications and experience to be considered a "Qualified Person" for the style and

type of mineralization and activity being undertaken as defined in National Instrument 43-101

Standards of Disclosure of Mineral Projects.

Geological services were provided by Gecko Exploration (Pty) Ltd. under the supervision of Dr

Rainer Ellmies, VP Exploration for Namibia Critical Metals. Drilling services were provided by

Günzel Drilling and Prinsloo Drilling, both Namibian contract drilling companies which also

carried out the downhole geophysical measurements. Sample preparation and analytical services

were provided by Activation Laboratories Ltd. (Windhoek, Namibia and Ancaster, Ontario) as

the primary laboratory employing ICP-MS techniques suitable for rare earth element analyses

and following strict internal QAQC procedures inserting blanks, standards and duplicates. Check

analyses were carried out by ALS Minerals (North Vancouver) as the umpire laboratory on

approximately 5% of the resource database.

Neither Mr. Witley nor any associates employed in the preparation of the Mineral Resource

report ("Consultants") have any beneficial interest in Namibia Critical Metals. These Consultants

are not insiders, associates, or affiliates of Namibia Critical Metals. The results of the report are

not dependent upon any prior agreements concerning the conclusions to be reached, nor are there

any undisclosed understandings concerning any future business dealings between Namibia

Critical Metals and the Consultants. The Consultants are to be paid a fee for their work in

accordance with normal professional consulting practices.

About Namibia Critical Metals Inc.

NMI is developing the Tier-1 Heavy Rare Earth Project, Lofdal, a globally significant deposit of

the heavy rare earth metals dysprosium and terbium. Demand for these critical metals used in

permanent magnets for electric vehicles, wind turbines and other electronics is driven by

innovations linked to energy and technology transformations. The geopolitical risks associated

with sourcing many of these metals has become a repeated concern for manufacturers and end

users. Namibia is a proven and stable mining jurisdiction.

The Lofdal Project is fully permitted with a 25-year Mining License and is under a Joint Venture

Agreement with Japan Organization for Metals and Energy Security (JOGMEC).

The Company filed a robust updated PEA for "Lofdal 2B-4" on November 14, 2022, with a post-

tax NPV of USD$391 million and an annual IRR of 28% with a capital expenditure of USD$207

million. The project is projected to generate a life of mine nominal cash flow of USD$698

million post-tax over a 16-year mine life.

About Japan Organization for Metals and Energy Security (JOGMEC) and the JV

JOGMEC is a Japanese government independent administrative agency which seeks to secure

stable resource supplies for Japan. JOGMEC has a strong reputation as a long term, strategic

partner in mineral projects globally. JOGMEC facilitates opportunities with Japanese private

companies to secure supplies of natural resources for the benefit of the country's economic

development.

Rare earth elements are of critical importance to Japanese industrial interests and JOGMEC has

extensive experience with all aspects of the sector. JOGMEC provided Lynas with

USD$250,000,000 in loans and equity in 2011 to ensure supplies of the Light Rare Earths metals

suite to the Japanese industry.

Namibia Critical Metals owns a 95% interest in the Lofdal project with the remaining 5% held

for the benefit of historically disadvantaged Namibians. The terms of the JOGMEC joint venture

agreement with the Company stipulate that JOGMEC provides C$3,000,000 in Term 1 and

C$7,000,000 in Term 2 to earn a 40% interest in the Lofdal project. Term 3 calls for a further

C$10,000,000 of expenditures to earn an additional 10% interest. JOGMEC can also purchase

another 1% for C$5,000,000 and has first right of refusal to fully fund the project through to

commercial production and to purchase all production at market prices. The collective interests

of NCMI and historically disadvantaged Namibians cannot be diluted below a 26% carried

working interest upon payment of C$5,000,000 to JOGMEC for the dilution protection. NMI

may elect to participate up to a maximum of 44% by funding pro rata after the earn in period is

completed.

To date, JOGMEC has completed Term 2 and earned a 40% interest by reaching the C$10

million expenditure requirement. Total approved project funding to date is C$14,541,000 of the

$20,000,000 Earn-In requirement to reach 50% interest.

Rainer Ellmies, PhD, MScGeol, EurGeol, AusIMM and Vice President of Namibia Critical

Metals Inc., is the Company's Qualified Person and has reviewed and approved this press release.

The common shares of Namibia Critical Metals Inc. trade on the TSX Venture Exchange under

the symbol "NMI" and the OTCQB Market under the symbol "NMREF".

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.

For more information please contact -

Namibia Critical Metals Inc.

Darrin Campbell, President

Tel: +01 (902) 835-8760

Email: [email protected] Web site: www.NamibiaCriticalMetals.com

This news release contains certain "forward-looking information" within the meaning of

applicable securities laws. Forward looking information is frequently characterized by words

such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will",

"would", "potential", "proposed" and other similar words, or statements that certain events or

conditions "may" or "will" occur. These statements are only predictions. Forward-looking

information is based on the opinions and estimates of management at the date the information is

provided, and is subject to a variety of risks and uncertainties and other factors that could cause

actual events or results to differ materially from those projected in the forward-looking

information. For a description of the risks and uncertainties facing the Company and its business

and affairs, readers should refer to the Company's Management's Discussion and Analysis. The

Company undertakes no obligation to update forward-looking information if circumstances or

management's estimates or opinions should change, unless required by law. The reader is

cautioned not to place undue reliance on forward-looking information.

SOURCE: Namibia Critical Metals Inc.

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