Mr. Jean-Marc Lulin reports

AZIMUT AND Soquem CUT THICK SPODUMENE PEGMATITES AT GALINEE, JAMES BAY REGION, QUEBEC

Azimut Exploration Inc. is talking about very encouraging visual results from its second phase of diamond drilling on the Galinee property in the Eeyou Istchee James Bay region of Quebec, Canada.

Hole GAL24-025 intersected a 166.1-metre-thick envelope containing two broad intervals of spodumene-rich pegmatite of 92.1 metres and 56.55 m separated by 17.45 m of amphibolite (cumulative thickness of 148.65 m). The visual drill results represent material progress in the continuing delineation of the Galinee discovery. The possible spatial convergence on Galinee of the Main and Footwall zones identified on the adjacent Adina project (Winsome Resources Ltd.) may explain this wide envelope. This hypothesis will be tested by additional drilling and, if confirmed, would have a significant positive impact on the size of the mineralized zone on the Galinee project.

The current drilling phase was designed to further define and expand the high-grade lithium zone discovered during the maiden program in late 2023. Ten holes have been drilled to date for a total of 2,569.65 metres and drilling is still continuing. Initially planned as 2,500 metres, the program will be expanded early this summer, following the Goose Break holiday, a traditional first nations hunting period.

Azimut and its partner, Soquem Inc., have ranked the Galinee property as one of its top priorities for 2024. Azimut is the operator of the work program.

Highlights:

• Significant spodumene-bearing intercepts from the continuing program are as follows (visual observations, downhole lengths, assays pending):
  • Hole GAL24-018: 34.45 metres (from 158.15 m to 192.6 m): pegmatite with up to 15 per cent spodumene, including 40 per cent spodumene over 4.5 metres (from 165 m to 169.5 m); one amphibolite intercalation of 1.35 metres is present within this interval:
    • 8.3 metres (from 213.5 m to 221.8 m): pegmatite with up to 30 per cent spodumene.
  • Hole GAL24-020: 71.85 metres (from 75.85 m to 147.7 m): pegmatite with up to 40 per cent spodumene, including a strongly mineralized section with up to 70 per cent spodumene over 14.6 metres (from 108 m to 122.6 m), with giant crystals reaching up to 1.4 metres.
  • Hole GAL24-022: 42 metres (from 132.7 m to 174.7 m): pegmatite with variable spodumene contents, including a 40 per cent to 50 per cent spodumene-rich section over 14.8 metres (from 135.2 m to 150 m).
  • Hole GAL24-023: 20.9 metres (from 104.9 m to 125.8 m): pegmatite with 15 per cent to 20 per cent spodumene:
    • Eight metres (from 130.3 m to 138.3 m): pegmatite with 20 per cent to 25 per cent spodumene.
  • Hole GAL24-025: 92.1 metres (from 207.9 m to 300 m): pegmatite with 15 per cent to 30 per cent spodumene; coarse to giant spodumene crystals reaching up to 1.65 metres; two amphibolite intercalations totalling 4.6 m are also present within this interval:
    • 56.55 metres (from 317.45 m to 374 m): pegmatite with 10 per cent to 30 per cent coarse spodumene; three amphibolite intercalations totalling 4.8 m are also present within this interval.

The lithium content of the spodumene mineralization can only be accurately determined by assay analysis. The true widths of the drill intervals are undetermined at this stage. Holes GAL24-019A, -021, -024 and -026 display weak or no mineralization. Hole 24-019 was abandoned due to drilling difficulties.

Material progress for the Galinee discovery

Visual observations from the continuing drilling program confirm a sizable mineralized system at Galinee and better define the geometry of the mineralized zone:

• Currently, the lithium zone has a strike length of 700 metres and trends roughly east-west. It remains largely open on the property to the east and south. The variability in thickness and grade is as expected for these types of pegmatitic bodies. The discovery at Galinee likely represents the southern extension of the Adina deposit on the adjacent Adina project belonging to Winsome Resources.
• At Galinee, initial drilling data indicate a generally shallow dip to the south from subhorizontal to 15 degrees. Additional intercepts from the current program reveal that some pegmatite bodies may dip to the north, suggesting that the pegmatite system consists of coalescing branches with variable dips. At least one of the north-dipping branches has been intersected at shallow depth, as shown by the wide spodumene intercept cut at a vertical depth of 70 metres in hole GAL24-020.
• The 166.1-metre envelope (from 207.9 m to 374 m) in hole GAL24-025 contains two wide spodumene pegmatites with a cumulative thickness of 148.65 metres, possibly representing the spatial convergence of the Adina Main and Footwall zones:
  • First pegmatite: 92.1 metres thick (from 207.9 m to 300 m), including two narrow amphibolite intervals totalling 4.6 metres. The upper part of this intercept (over 26.1 m) may correspond to a north-dipping branch coalescing with the south-dipping main body.
  • Second pegmatite: 56.55 metres thick (from 317.45 m to 374 m), interpreted as a subhorizontal body, with three narrow amphibolite intervals totalling 4.8 metres.

Mineralization characteristics

Spodumene crystals generally range from a few centimetres to half a m long, but occasionally reach gigantic sizes (up to 1.65 m). The colour ranges from whitish, greyish-beige to greenish-beige. A portable LIBS (laser-induced breakdown spectroscopy) analyzer was used to confirm the presence of lithium. Other associated minerals include quartz, white feldspar, tourmaline and, less frequently, garnet, apatite, lepidolite and tantalite. Holmquistite, a typical lithium-bearing amphibole formed at the margins of lithium-rich pegmatites, is also observed. Dark green amphibolite is the dominant host rock.

Metallurgical tests

SGS Canada (Lakefield, Ont.) has been retained to conduct preliminary metallurgical tests on the mineralization once the current drilling phase is completed.

Summary results from the first drilling phase

The first phase of drilling yielded significant lithium pegmatite intervals (see press releases of Jan. 9, Feb. 23 and March 18, 2024):

• Hole GAL23-001 -- 2.48 per cent Li2O (lithium oxide) over 72.7 metres, including:
  • 3.38 per cent Li2O over 18 metres;
  • 3.27 per cent Li2O over 12.7 metres.
• Hole GAL23-003 -- 1.56 per cent Li2O over 36.6 metres, including:
  • 2.41 per cent Li2O over 21.2 metres.
• Hole GAL23-009 -- 2.13 per cent Li2O over 44.1 metres, including:
  • 3.35 per cent Li2O over 13 metres.
  • And 1.13 per cent Li2O over 16.5 metres, including:
    • 1.69 per cent Li2O over 9.2 metres.
• Hole GAL23-011 -- 1.71 per cent Li2O over 37 metres, including:
  • 2.95 per cent Li2O over 15 metres;
  • 2.24 per cent Li2O over seven metres.
• Hole GAL23-012 1.31 per cent Li2O over 41.3 metres, including:
  • 2.68 per cent Li2O over 4.5 metres;
  • 2.75 per cent Li2O over 12.7 metres.
• Hole GAL23-014 1.63 per cent Li2O over 17.5 metres, including:
  • 2.56 per cent Li2O over 5.2 metres.

Property-scale exploration

Azimut and Soquem consider Galinee's lithium potential to be largely underexplored. Azimut will conduct a comprehensive prospecting phase this summer to identify drill targets in highly prospective sectors with a cumulative length of 60 kilometres.

The region is widely considered an emerging lithium district. Winsome Resources published a mineral resource estimate for the Adina property, and other companies are rapidly advancing prospects on surrounding properties (see Azimut press releases of June 13 and Oct. 23, 2023, Jan. 9 and Feb. 23, 2024).

Drilling contract and analytical protocols

Miikan Drilling Inc., a majority Cree-owned company, has been contracted for the current program. Miikan Drilling is owned by local communities and Chibougamau Diamond Drilling Ltd. of Chibougamau, Que. Drilling is conducted with a core diameter of BTW.

Core samples are sent to ALS Laboratories in Montreal, Que., for ICP (inductively coupled plasma) multielement analysis (laboratory codes: ME-MS61, ME-MS89L, ME-ICP82b). Azimut applies industry-standard quality assurance/quality control (QA/QC) procedures to its drilling programs. All batches sent for analysis include certified reference materials, blanks and field duplicates.

About the Galinee property

The Galinee project (649 claims, 335 square kilometres) is a 50/50 joint venture between Azimut and Soquem, operated by Azimut. The 36-kilometre-long property is about 50 kilometres north-northwest of the Renard diamond mine (Stornoway Diamonds (Canada) Inc.) and 60 kilometres south of the Trans-Taiga Road, an all-season regional highway.

Qualified person

Dr. Jean-Marc Lulin, PGeo, prepared this press release as the company's qualified person within the meaning of National Instrument 43-101. Rock Lefrancois, PGeo, vice-president of exploration, and Francois Bissonnette, PGeo, operations manager, also reviewed the contents of this press release.

About Azimut Exploration Inc.

Azimut is a leading mineral exploration company with a solid reputation for target generation and partnership development. The company holds the largest mineral exploration portfolio in Quebec. Its wholly owned flagship project, the Elmer gold project, has advanced to the resource stage with a strong exploration upside. The company also controls a strategic land position for copper-gold, nickel and lithium, and is one of the province's most active explorers.

Azimut uses a pioneering approach to big data analytics (the proprietary AZtechMine expert system), enhanced by extensive exploration know-how. The company's competitive edge is based on systematic regional-scale data analysis and concurrently active projects. Azimut maintains rigorous financial discipline and a strong balance sheet, with 85.4 million shares issued and outstanding.

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