Namibia Critical Metals Successful Drilling Campaign on Schedule to Meet Objectives at Lofdal Heavy Rare Earth JV

Press Release

Namibia Critical Metals Successful Drilling Campaign on

Schedule to Meet Objectives at Lofdal Heavy Rare Earth JV

Halifax, Nova Scotia June 18, 2020 – Namibia Critical Metals Inc. (“Namibia Critical Metals”

or the “Company” or “NMI”) (TSXV:NMI) today provided an update on progress on the Lofdal

Heavy Rare Earths Project (“Lofdal”) in northern Namibia, which is a joint venture between

the Company and Japan Oil, Gas and Metals National Corporation (“JOGMEC”). As previously

announced (Company press release March 11, 2020) the Lofdal Joint Venture is operating

under a Term 1 budget of CD$3,000,000 with the objectives of doubling the current resource

size at Area 4 with a 7,700 m drill program, testing two high priority exploration targets with

1,500 m of drilling and carrying out further metallurgical test work to optimize the processing

flow sheet. Progress since stating the drill program in early March is summarized as follows:

• Drilling ahead of schedule with over 50% completed at Area 4 with results from first

nine holes now reported

• Drill results consistent with expected grades and thickness as predicted from the

resource model, targeting to double current resource size in this first drilling phase

• Drill rig will now move to exploration targets at Northern Splay and Dolomite Hill

• Metallurgical bulk test runs (2.7 tonnes) completed on XRF sorter with analytical

results pending. XRT sorter tests underway expecting to complete bulk test runs (4.4

tonnes) by mid-July

Drill highlights of heavy rare earth enriched zones include:

• 22 m @ 0.29% TREO with 67.7% heavy rare earth enrichment

(including 3 meters @ 0.87% TREO with 89.0% heavy rare earth enrichment)

• 15 m @ 0.32% TREO with 62.5% heavy rare earth enrichment

(including 3 meters @ 0.51% TREO with 79.3% heavy rare earth enrichment)

• 6 m @ 0.33% TREO with 89.0% heavy rare earth enrichment

(including 2 meters @ 0.52% TREO with 93.1% heavy rare earth enrichment)

Don Burton, President of Namibia Critical Metals stated “All holes drilled to date have

intersected the Main Zone as expected. As we await lab results from the remaining thirteen

holes from this phase of the Area 4 drilling, it is an opportune time to move the drill to our

exploration targets where we believe the potential exists to develop satellite deposits. The

drill will then return to Area 4 to complete the resource drilling program. The metallurgical

program is advancing well wit h both XRF and XRT sorting tests provid ing very encouraging

results. The objective with sorting is to achieve a 2-3X upgrade to the deposit grade and we

2

look forward to a comprehensive evaluation of both technologies upon completion of the bulk

test runs which will use about 7 tonnes of representative sample collected from trenches at

Area 4.

These are challenging times for field operations and we are extremely fortunate to have a

dedicated team in Namibia that has actually exceeded the planned monthl y production since

start up in March. Field operations continue with strict Covid-19 protocols in place.”

The Lofdal Heavy Rare Earths Project is located 450 kilometers northwest of the capital city

of Windhoek in the Kunene Region of north -western Namibia. The project area covers 314

square kilometers centered on the Lofdal carbonatite complex which hosts a number of rare

earth occurrences, including the Area 4 deposit (Figure 1 ). Mineralization at Area 4 is

dominated by xenotime, which is highly enriched in heavy rare earths. Value drivers at Lofdal

are dysprosium and terbium.

The current mineral resource at Area 4 has been drilled to depths of between 125 - 225

vertical meters and is estimated to be 2.88 Mt of indicated mineral resources at a grade of

0.32% TREO1 yielding 9,230 t of REO, of which 7,050 t are estimated to be heavy rare earth

oxides ("HREO”) and 3.28 Mt of inferred mineral resources at a grade of 0.27% TREO yielding

8,970 t of REO, of which 6,700 t are estimated to be HREO. Full disclosure is filed on SEDAR

and provided in Preliminary Economic Assessment on the Lofdal Rare Earths Project, Namibia

October 1, 2014 authored by David S. Dodd, The MDM Group, South Africa; Patrick J.F.

Hannon, and William Douglas Roy, MineTech International Lim ited, Canada; Peter Roy

Siegfried and Michael R. Hall, The MSA Group, South Africa.

Drilling will now move from Area 4 to test exploration targets at the Northern Splay and

Dolomite Hill targets. The Northern Splay is located 10 kilometers northeast of A rea 4 on an

extension of the Area 4 structure , and Dolomite Hill is situated 2.5 km north of Area 4 in a

separate mineralized structure (Figure 1).

Current Drilling Operations

The primary objective of the Lofdal Joint Venture is to double the current resource size with

an additional 7,700 m of drilling. The Company has completed 4,447 m of drilling to date in

twenty-one holes at Area 4 (Figure 2). Drilling operations have continued un-interrupted since

beginning in early March and remain on schedule , however slight delays in receiving

laboratory results have been realized due to Covid -19 restrictions in Namibia and Canada.

These restrictions have since eased and a steady flow of analytical results is now expected to

resume.

Results from the first nine holes have been received and all holes have intersected

mineralization in the Main Zone (highlighted in grey) consistent with expected grades and

thickness as predicted from the resource model . Drill results are reported in summary form

in Table 1 and full disclosure of all individual elements is provided in Table 2.

1 “TREO” refers to total rare earth oxides; “HREO” refers to heavy rare earth oxides; “heavy rare earths” as used in

all Company presentations comprise europium (Eu), gadolinium (Gd), terbium (Tb), dysprosium (Dy), holmium (Ho),

erbium (Er), thulium (Tm), ytterbium (Yb), lutetium (Lu) and yttrium (Y). Light rare earths comprise lanthanum (La),

cerium (Ce), praseodymium (Pr), neodymium (Nd) and samarium (Sm). "Heavy rare earth enrichment” is the ratio

of HREO:TREO, expressed as a percentage

3

Table 1 – Summary of Significant Drill Intercepts from Area 4 Resource Extension

Program

Intercept widths are reported as down the hole widths and are not necessarily true widths.

Field operations follow strict company Standard Operating Procedures with regards to drilling

practices, sam pling procedures, security of transport and analytical procedures as per

recommendations in the Canadian Institute of Mining, Metallurgy and Petroleum CIM’s Best

Practices Guidelines (2018), which includes strict internal QAQC procedures for the insertion

of blanks, standards and duplicates. QAQC samples account for 10% of samples submitted in

each batch. Sample preparation and analytical work for the drilling program is being provided

by Activation Laboratories Ltd. ( “Actlabs” Windhoek, Namibia and Ancaste r, Ontario)

employing appropriate crushing and pulverization procedures (Actlabs Code RX -1) on half

sawn core samples provided from the selected intervals, and utilizing lithium

metaborate/tetraborate fusion and ICP-MS techniques suitable for rare earth element

analyses (Actlabs Code 8). Activation Laboratories is an ISO/IEC 17025 accredited laboratory.

Drill intercepts confirm the highest levels of heavy rare earth enrichment (“HREE”) in the

central portion of the deposit together with the highest concentrations of dysprosium. A

number of significant intercepts have been noted in both the hanging wall (“HW”) and foot

wall (“FW”) to the Main Zone which are expected to contribute to the updated resource

estimate that will be undertaken upon completio n of the current drill program end of 2020 .

Representative drill sections are shown in Figure 3 and Figure 4 with Main Zone intercepts

highlighted in red boxes.

Hole ID Section Hole Hole Final Zone Sector From To Length TREO HREE Dy2O3

Inclination Azimuth (TN) Depth (m) Position (m) (m) (m) % % ppm

L4D0115 470375E -63 329 191.80 HW 132 149 17 0.13 36.4 38.9

Main Zone West 156 186 30 0.17 45.7 73.0

L4D0116 470375E -65 339 272.90 HW 85 91 6 0.23 23.4 31.5

HW 196 218 22 0.14 45.9 61.9

Main Zone West 221 249 28 0.11 44.6 47.6

L4D0117 470463E -65 337 245.30 HW 23 27 4 0.31 21.6 74.3

HW 66 69 3 0.30 47.2 85.0

Main Zone West 193 207 14 0.16 69.8 107.9

FW 227 231 4 0.18 21.3 34.2

L4D0118 470575E -65 338 284.90 HW 143 147 4 0.21 20.1 26.0

Main Zone Central 238 248 10 0.16 59.0 93.6

FW 252 276 24 0.13 55.0 68.1

L4D0119 470575E -67 340 377.80 Main Zone Central 282 291 9 0.26 78.2 184.3

incl 288 291 3 0.53 82.3 355.5

Main Zone Central 294 300 6 0.33 87.0 294.7

incl 298 300 2 0.52 93.1 494.2

FW 307 318 11 0.18 35.8 52.3

FW 325 358 33 0.17 50.8 86.6

L4D0120 470763E -58 346 177.10 HW 61 72 11 0.12 51.2 66.2

Main Zone Central 74 96 22 0.29 67.7 199.5

incl 76 79 3 0.87 89.0 668.0

and 81 82 1 0.51 93.4 389.0

FW 99 101 2 0.35 21.8 71.0

FW 105 107 2 0.45 25.7 97.1

L4D0121 470763E -63 342 200.80 HW 7 11 4 0.28 14.2 34.9

HW 151 163 12 0.13 57.9 74.9

Main Zone Central 175 190 15 0.32 62.5 180.0

incl 178 181 3 0.51 79.3 367.4

L4D0122 470763E -65 340 266.88 PENDING Central

L4D0123 470850E -58 342 224.70 HW 86 95 9 0.11 57.8 58.2

Main Zone East 113 122 9 0.16 29.7 40.3

FW 133 138 5 0.24 27.3 52.4

L4D0124 470900E -55 343 47.78 Main Zone East 23 30 7 0.16 48.1 70.5

FW 35 44 9 0.14 60.1 85.0

4

HoleID From To Length La2O3 Ce2O3 Pr2O3 Nd2O3 Sm2O3 LREO* Eu2O3 Gd2O3 Tb2O3 Dy2O3 Ho2O3 Er2O3 Tm2O3 Yb2O3 Lu2O3 Y2O3 HREO* TREO* HREE*

(m) (m) (m) (ppm) (ppm) (ppm) (ppm) (ppm) (%) (ppm) (ppm) (ppm) (ppm) (ppm) (ppm) (ppm) (ppm) (ppm) (ppm) (%) (%) (%)

L4D0115 132 149 17 227.47 417.29 42.14 145.30 34.92 0.09 11.61 42.40 6.85 38.86 7.35 19.85 2.90 17.91 2.53 247.46 0.04 0.13 36.4

156 186 30 246.60 466.57 48.44 168.46 56.02 0.10 22.51 85.63 13.62 73.04 13.14 34.32 4.69 27.81 3.84 422.28 0.07 0.17 45.7

L4D0116 85 91 6 617.41 985.86 87.74 281.06 40.33 0.20 10.82 28.44 5.03 31.51 6.42 19.26 3.01 19.51 2.82 203.67 0.03 0.23 23.4

196 218 22 197.76 386.24 41.57 153.29 42.32 0.08 16.57 57.73 10.30 61.91 12.09 33.50 4.69 28.46 3.96 379.89 0.06 0.14 45.9

221 249 28 157.14 309.34 34.21 121.61 34.24 0.07 13.60 44.97 7.77 47.62 9.32 26.04 3.62 21.97 3.12 308.50 0.05 0.11 44.6

L4D0117 23 27 4 576.82 1,148.75 127.44 504.30 117.48 0.25 33.19 99.45 14.19 74.28 12.09 29.43 3.57 19.31 2.63 346.12 0.06 0.31 21.6

66 69 3 729.76 1,007.96 88.21 287.89 47.95 0.22 16.75 59.80 12.47 84.99 16.81 49.30 7.02 40.17 5.38 558.78 0.09 0.30 47.2

193 207 14 105.00 201.20 22.64 89.87 38.88 0.05 18.32 79.32 16.09 107.89 22.13 66.57 9.54 54.02 7.44 753.88 0.11 0.16 69.8

227 231 4 375.95 678.59 69.79 245.15 48.14 0.14 10.57 42.75 6.13 34.21 6.59 19.63 3.05 20.05 3.37 216.36 0.04 0.18 21.3

L4D0118 143 147 4 570.78 891.39 84.25 273.40 40.14 0.19 10.64 27.82 4.32 25.97 5.16 15.46 2.28 14.29 1.98 165.29 0.03 0.21 20.1

238 248 10 159.60 296.97 31.19 113.01 33.36 0.06 12.78 55.47 13.14 93.64 20.50 61.96 9.16 55.53 8.05 673.97 0.10 0.16 59.0

252 276 24 142.12 275.36 32.19 121.80 44.15 0.06 16.04 58.76 10.91 68.11 13.33 36.90 5.14 31.22 4.43 444.15 0.07 0.13 55.0

L4D0119 282 291 9 116.04 229.80 26.83 102.01 45.70 0.05 22.71 101.22 24.61 184.32 41.21 121.96 18.20 115.43 16.43 1,413.95 0.21 0.26 78.2

incl 288 291 3 260.80 498.85 56.98 212.87 99.37 0.11 49.79 207.54 48.53 355.50 79.11 234.70 35.29 225.52 32.06 2,870.06 0.41 0.53 82.3

294 300 6 56.64 118.06 14.20 59.04 43.87 0.03 30.15 156.29 40.78 294.71 60.09 172.59 24.38 138.81 19.51 2,021.52 0.30 0.33 86.9

incl 298 300 2 55.37 126.12 16.15 71.13 61.94 0.03 47.25 256.54 69.00 494.21 99.24 284.04 39.23 214.70 29.96 3,371.73 0.49 0.52 93.1

307 318 11 357.39 580.18 54.67 178.22 31.93 0.12 9.29 35.48 7.38 52.32 11.03 34.43 5.15 31.36 4.79 375.16 0.06 0.18 35.8

325 358 33 221.52 378.05 38.68 140.84 49.29 0.08 17.24 68.28 13.18 85.15 16.72 47.82 6.76 40.53 6.02 521.60 0.08 0.17 50.8

L4D0120 61 72 11 131.72 252.14 28.13 108.34 30.29 0.06 11.10 47.43 9.86 66.17 13.70 41.04 6.31 41.26 6.02 419.92 0.07 0.12 51.2

74 96 22 154.63 288.80 32.27 121.71 40.75 0.06 18.70 93.19 25.75 199.50 46.58 151.56 24.04 158.92 23.10 1,521.82 0.23 0.29 67.7

incl 76 79 3 191.12 418.44 52.81 217.73 92.41 0.10 51.03 276.34 82.99 668.14 159.68 525.02 84.70 560.01 80.99 5,244.35 0.77 0.87 89.0

incl 81 82 1 131.15 131.15 20.01 92.11 47.10 0.03 28.26 156.81 47.31 389.17 93.63 320.04 53.22 371.31 56.40 3,251.18 0.48 0.51 93.4

99 101 2 820.51 1,336.11 130.22 422.68 72.91 0.28 22.47 73.45 12.95 71.00 13.52 38.69 5.65 36.39 5.17 410.52 0.07 0.35 21.8

105 107 2 1,129.60 1,692.68 156.60 483.31 84.80 0.35 26.17 89.65 16.52 97.06 18.74 52.58 7.19 43.68 6.11 563.44 0.09 0.45 25.7

L4D0121 7 11 4 719.93 1,197.93 116.44 371.08 50.63 0.25 12.88 34.96 5.73 34.90 6.99 20.60 2.95 18.08 2.60 228.74 0.04 0.28 14.2

151 163 12 108.16 210.82 23.67 93.81 47.10 0.05 18.32 64.41 11.89 74.93 15.45 46.58 7.14 45.26 6.56 509.72 0.08 0.13 57.9

175 190 15 308.55 540.19 55.05 200.84 65.56 0.12 24.85 112.72 25.88 187.02 40.84 128.05 20.24 131.54 19.40 1,297.76 0.20 0.32 62.5

incl 178 181 3 274.87 476.99 48.91 180.73 74.32 0.11 34.43 181.41 45.77 367.36 84.38 272.03 43.78 286.27 42.60 2,735.96 0.41 0.51 79.3

L4D0123 86 95 9 148.83 265.24 28.33 97.56 36.76 0.06 14.38 55.92 9.83 58.17 11.38 29.16 4.10 26.41 3.80 346.16 0.06 0.11 57.8

113 122 9 334.93 599.46 61.72 213.17 41.00 0.13 11.76 40.52 7.24 40.32 7.59 20.98 2.92 18.15 2.61 218.69 0.04 0.16 29.7

133 138 5 517.86 945.00 94.93 309.27 49.90 0.19 12.97 46.54 8.52 52.44 10.13 27.93 3.73 22.39 3.07 312.68 0.05 0.24 27.3

L4D0124 23 30 7 214.32 380.58 39.20 139.39 38.94 0.08 14.15 47.50 9.85 70.47 15.73 50.83 8.18 51.65 7.76 519.38 0.08 0.16 48.1

35 44 9 123.48 232.95 25.29 94.58 35.04 0.05 14.10 59.33 12.72 84.95 17.30 50.61 7.69 46.77 6.97 575.99 0.09 0.14 60.1

TABLE 2 - Complete Listing of Individual Rare Earth Element Analyses for Reported Drill Intercepts (June 18, 2020)

*Some total percentages subject to rounding errors

5

Figure 1 – Geology of the project area showing the location of the Area 4 deposit and the two exploration drill

targets at the Northern Splay and Dolomite Hill

Figure 2. Drill plan Area 4 showing location of historic drill holes and 2020 drill holes indicating results reported in

this press release (dark blue) and results pending (dark green). Main Zone alteration and outcrop at surface shown

in pink, carbonatite veinlets shown in red. Note four historic holes in turquoise were not included in the 2014

resource.

6

Figure 3. Drill section showing results from L4D0118 and L4D0119. Drilling has intersected Main Zone 300 m

down-dip of historic hole NLOFDH055 and shows stronger grades and heavy rare earth enrichment at depth

Figure 4. Drill section showing results from L4D0120 and L4D0121. Significant improvement of grade and

thickness up-dip and down-dip of historic hole NLOFDH4097. Hole L4D0122 (pending results) will test Main Zone

100 m further down-dip

7

Metallurgical Program

A numb er of sequential processing stages have been recommended for treatment of the

xenotime mineralization at Lofdal and include upfront sorting, magnetic separation, flotation

and gangue acid leaching to produce a mineral concentrate. Each of these stages will be

further evaluated during Term 1 with t he initial focus on XR F and XR T sorting using a

representative 18 tonne sample that was collected from trenches along 650 meters of strike

length from the Area deposit.

X-Ray Fluorescence (“XRF”) sorting tests are being undertaken by Rados International

at their test facility in Pretoria, South Africa (Figure 4). Mineralization at Lofdal is amenable

to XRF sorting by analyzing for yttrium which is directly related to the concentration of the

heavy rare earth mineral xenotime. Detailed calibration tests were carried out using 500

individual rock particles from Area 4 to determine the relationship between concentrations of

yttrium as determined from a handheld XRF analyzer and the Rados XRF analyzer. Data was

used to develop a final algorithm that will determine the efficiency of the technology to

eliminate waste from run-of-mine (“ROM”) prior to milling and to further upgrade the ROM by

sorting at specific cut-off grades.

The strong correlation between calculated %TREO as estimated from concentrations of

yttrium from a handheld XRF analyzer , and the Rados analyzer is shown in Figure 4. Tests

were carried out on three separate size fractions from 20 mm to 150 mm to determine the

optimum size fraction for sorting. All test runs have been completed on 2.7 tonnes of

representative sample and analy ses are pending on all products to enable mass balance,

grade and recoveries to be determined.

Figure 4. Rados test facility in Pretoria with observation deck to XR F feed hopper on left and final calibration

algorithm showing correlation between Rados analysis for yttrium and %TREO

X-Ray Transmission (“XRT”) sorting tests are being undertaken by IMS Engineering at

their test facility in Johannesburg, South Africa using a Steinert KSS LXT sorter which

incorporates laser sensor technology with XRT (Figure 5). Mineralization at Lofdal is amenable

to XRT sorting by detection of higher density minerals which host the xenotime mineralization

(predominantly carbonate minerals calcite, ankerite and dolomite). Detailed calibration tests

were carried out using 750 individual rock particles from Area 4 to determine the relationship

8

between %TREO as estimated from concentrations of yttrium from a handheld XRF analyzer

and the Steinert XRT analyzer. Optimization of the sorting algorithm will be finalized using

laser sensors in conjunction with XRT to develop a final algorithm that will d etermine the a

series of cut points to produce three final products targeting i) maximum recovery, ii) high

grade and iii) a balance between recovery and grade. Tests Will be carried out on three

separate size fractions from 10 mm to 80 mm to determine the optimum size fraction for

sorting. A total of 4.4 tonnes of representative sample has been provided for the test program.

Figure 5. IMS test facility in Johannesburg showing feeder conveyor to XRT sorter on left and Lofdal bulk sample

ready for screening on right

Namibia Critical Metals is the operator for the Lofdal Joint Venture with JOGMEC and will

provide updates on the progress of the drilling and metallurgical programs as results become

available.

About Namibia Critical Metals Inc.

Namibia Critical Metals Inc. holds a diversified portfolio of exploration and advanced stage

projects in the country of Namibia focus ed on the development of sustainable and ethical

sources of metals for the battery, electric vehicle and associated industries. The Company

also has significant land positions in areas favourable for gold mineralization.

At the Erongo Gold Project, stratigraphic equivalents to the sediments hosting the recent

Osino gold discovery at Twin Hills have been identified but not yet sampled. Soil surveys are

progressing over this highly prospective area.

In addition to Lofdal, the Epembe Tantalum-Niobium Project is also at an advanced stage

with a well -defined, 10 km long carbonatite dyke that has been delineated by detailed

mapping with over 11,000 meters of drilling. Preliminary mineralogical and metallurgical

studies including sorting tests (XRT), indicate the potential for significant physical upgrading.

Further work will be undertaken to advance the project to a preliminary economic assessment

stage.

The Kunene Cobalt-Copper Project comprises a very large area of favorable stratigraphy

(“the DOF”) along strike to the west of the Opuwo cobalt-copper-zinc deposit. Secondary