Mr. Dan Symons reports

C3 METALS ENTERS INTO 50/50 JOINT VENTURE AGREEMENT WITH GEOPHYSX JAMAICA TO COMBINE PAST PRODUCING PENNANTS GOLD MINE AND MAIN RIDGE PROJECT TO CREATE SUPER BLOCK PROJECT

C3 Metals Inc. has entered into a joint venture (JV) agreement with Geophysx Jamaica Ltd. to combine the past-producing Pennants gold mine with its Main Ridge project to create the Super Block project. C3 Metals will act as the operator of the joint venture.

Super Block project JV highlights and benefits for C3 Metals' shareholders:

• JV property: Exposure to the past-producing Pennants gold mine and other highly prospective copper and gold exploration targets that appear to overlap C3 Metals' and Geophysx's mineral concessions:
  • Past-producing Pennants gold mine:
    • Operated as an open pit between 2002 and 2004 with estimated production of approximately 16,000 gold ounces (source: Jamaica Mines and Geology Division).
    • Reported non-compliant National Instrument 43-101 historical mineral resource of 75,500 tonnes at 20.4 grams per tonne (g/t) gold.
    • Historical high-grade drill intersections from the mine property (drill results are historical in nature and have not been independently confirmed):
      • 1.7 metres at 430 g/t gold;
      • 3.8 m at 56.4 g/t gold;
      • 4.6 m at 25.6 g/t gold;
      • 9.2 m at 18.4 g/t gold;
      • 3.1 m at 17 g/t gold.
  • The Main Ridge project:
    • Rock and soil sampling defined a coherent gold anomaly extending four kilometres southeast and northwest of the former Pennants gold mine, along the Bennett fault:
      • Rock chip samples assayed up to 35.8 g/t gold at surface.
    • The Rio Minho fault, a parallel fault to the north of the Bennett fault, is host to strong copper-silver mineralization defined over a four km strike length. Channel sample results include:
      • 16 m at 1.22 per cent copper and 7.8 g/t silver;
      • Two m at 6.07 per cent copper and 19.4 g/t silver.

Geophysx is a known brand in Jamaica with considerable financial bandwidth. Geophysx is a private mineral exploration company that has explored the whole island of Jamaica and is the dominant mineral exploration licence holder in the nation. It is managed by its founder, Robert (Bobby) Stewart. The Stewart family is a hospitality and industrial powerhouse in the island. The JV gives C3 Metals leverage to Geophysx's relationships and acumen in Jamaica. Conversely, the JV gives Geophysx leverage to C3 Metals' technical team.

Dan Symons, president and chief executive officer of C3 Metals, stated: "We are very excited to enter into this JV with Geophysx. The Pennants mine was a small, high-grade producer of some 16,000 ounces of gold. We believe the potential for additional discovery to be very high. Historical data, surface sampling and geophysical data suggest that mineralization at Pennants potentially extends over four km. C3 Metals' will maintain its primary focus on copper-gold along a cluster of porphyries within our Bellas Gate project. We see this JV as an excellent opportunity to add unrealized value to our company. The synergies of putting these properties together are very clear.

"We would also like to take the opportunity to welcome Mr. Stewart as a strategic, 5-per-cent shareholder of C3 Metals through our November, 2023, private placement. Bobby and I share a vision of the stakeholder value that can be created through the systematic exploration of the Super Block project."

Mr. Stewart, president of Geophysx, commented: "We're very happy to be partnering with C3 Metals on the Main Ridge Super Block project. As fellow explorers, we've come to know the company, their team, their skill set and their values. We have always been an advocate of combining our two halves of the mineral system around Main Ridge, as a necessity to build value and create a potentially very successful project here. Geophysx Jamaica is passionate about realizing a new and exciting industry here in Jamaica, which can bring tremendous social and economic benefit through sustainable and environmentally sound mineral exploration and development. We truly believe that this partnership will be good for Jamaica, and are excited to begin the planned work program with our new partners."

Under the terms of the JV agreement, C3 Metals will contribute approximately 4,400 hectares and Geophysx will contribute 5,470 hectares, with a total of 9,870 hectares forming the Super Block project JV area. C3 Metals will continue to hold a 100-per-cent interest in 17,855 hectares, including the Bellas Gate project where the company is actively drilling with two rigs. The Bellas Gate project remains C3 Metals' primary focus.

Next steps for the Super Block project JV

C3 Metals, as the operator of the JV, intends to conduct immediate fieldwork to prepare for a drill program that is anticipated to commence during the second half of 2024. Work for the initial program includes:

• Merging historical drilling, geochemical and geophysical datasets to create a geologic model for the Super Block project;
• A boots-on-the-ground mapping and sampling campaign across the Super Block project, focused across the two main splay faults known to host gold and copper-silver mineralization (the Bennett and Rio Minho faults, respectively);
• In addition to the past-producing Pennants gold mine, nine intermediate- to low-sulphidation epithermal prospects have been identified to date:
  • Five gold prospects;
  • Four copper-silver prospects.
• Prospects will be ranked and prioritized following this work, with drilling anticipated to commence during the second half of 2024.

Key JV agreement terms

Under the terms of the JV:

• Each party has an initial 50-per-cent interest in the Super Block project.
• Each party will elect two members to a management committee, which will include the president from each party and one additional member.
• C3 Metals will act as the operator of the Super Block project:
  • In this role, C3 Metals will be responsible for proposing annual work plans and budgets to be approved by the management committee.
  • C3 Metals will receive a 5-per-cent operator administrative fee until such time a production decision is made on the Super Block project.
• The management committee has approved a 2024 work program and budget of approximately $950,000 (U.S.), or approximately $475,000 (U.S.) per party.
• Both parties must contribute to financing further development at the Super Block project on a pro rata basis, or have their interest diluted as per the standard formula outlined by the Rocky Mountain Mineral Law Foundation.
• Should either party of the JV be diluted to a 5-per-cent interest, such interest will be converted to a 3-per-cent net smelter royalty on the Super Block project, of which 2 per cent can be repurchased for $2-million (U.S.).

The JV agreement was executed on Feb. 24, 2024, and is subject to termination in the event certain conditions subsequent are not satisfied on or before July 15, 2024, including the subdivision of existing mineral tenures by the Ministry of Agriculture, Fisheries and Mines (Jamaica) to form the Super Block project.

About C3 Metals Inc.

C3 Metals is a mineral exploration company focused on creating substantive value for its shareholders through the discovery and development of large copper and gold deposits. The company is actively exploring in Jamaica where it has identified 16 porphyry and 40 epithermal prospects over a 30-kilometre strike extent. The company holds a 100-per-cent interest in 17,855 hectares of exploration licences and a 50-per-cent interest in 9,870 hectares in a joint venture with Geophsyx Jamaica Ltd., the largest mineral tenure holder in the country. Mining is currently the second-largest industry in Jamaica, and historical mining dates back to the colonial eras of the 1500s (Spanish) and 1800s (British). The company also holds approximately 24,000 hectares located in the prolific high-grade Andahuaylas-Yauri porphyry-skarn belt of southern Peru. Mineralization at Jasperoide is hosted in a similar geological setting to the nearby major mining operations at Las Bambas (MMG), Constancia (Hudbay) and Antapaccay (Glencore). At Jasperoide, the company has identified over 15 skarn prospects and an outcropping porphyry system over two parallel 28 km belts. The company has published a maiden resource estimate on the first of these skarn targets, which contained measured and indicated resources of 52 million tonnes at 0.5 per cent copper and 0.2 gram per tonne gold.

Qualified person statement

Stephen Hughes, PGeo, is vice-president of exploration and a director for C3 Metals, and is a qualified person as defined by National Instrument 43-101. Mr. Hughes has reviewed the technical information in this news release and approves the written disclosure contained herein.

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