Mr. Edward Lee reports

NEVADA CLEAN MAGNESIUM ANNOUNCES AMENDMENTS TO JOINT VENTURE WITH SCANMAG AS

Nevada Clean Magnesium Inc. has amended certain terms of its research and development joint venture with ScanMag AS of Norway, dated June 18, 2015.

Under the terms of the R&D agreement, ScanMag was to make an initial payment of $2-million (U.S.) to Nevada Clean within 12 months, based on the assumption that certain research and development would have been completed within the time frame of the agreement. Unfortunately, difficulties with the equipment and research contractor have failed to provide the needed information. In order to permit further testing of the alternate reductant, and allow sufficient time for ScanMag to submit funding grant applications to Enova As (a development bank in Norway) for $400-million Norwegian kroner (approximately $45-million (U.S.)) for the construction of full-scale pilot furnaces to be operated and commercialized at ScanMag's facility in Norway, the parties have agreed to extend the time for the payment to Nevada Clean until Dec. 18, 2016.

In addition, the parties have agreed that the joint venture operator under the R&D agreement, Meloy Innovation and Technology Centre AS (MITC), is responsible to pay for the new reductant testing program to be completed by the research lab of the University of Colorado, for the salary and travel costs of James Sever to oversee that testing, and to contribute $20,000 toward the planning and fabrication of Nevada Clean's bench-scale furnace currently being built in British Columbia. In other respects, the R&D agreement remains in effect as before.

Lothar Maruhn of ScanMag AS states: "We remain strongly committed to completing the joint venture between ourselves and Nevada Clean. Confirmation of the alternate reductant is a very important step for us, and completion of the work will allow us to accelerate the commercialization of the process, which benefits both our companies."

Edward Lee, chief executive officer of the company, states: "Shareholders can now see that completing the testwork will result, not only in the initial investment from ScanMag, but ultimately in the construction of commercialized full-size furnaces. Any reduction in our timeline will be invaluable and we may be in a position to move straight to a bankable feasibility while conducting the prefeasibily study. So yes, we are very pleased that ScanMag remains committed to the completion of our joint venture."

We seek Safe Harbor.