Mr. Jeff Wilson reports

EUREKA LITHIUM CONTINUES DUE DILIGENCE ON THE LAC LA MOTTE LITHIUM PROJECT, VAL D'OR, PQ

Eureka Lithium Corp. is continuing to review and assess the Lac La Motte lithium project (see press release dated Dec. 8, 2023) as part of its due diligence period under the letter of intent, to be followed by the negotiation and drafting of the definitive agreement with the optionor, Medaro Mining Corp.

The Lac La Motte property is located in La Corne township, in the prolific mining area of the Abitibi-Temiscamingue region, Quebec province, 40 kilometres northwest of the city of Val d'Or. Spodumene lithium occurrences hosted in the intrusive rocks of the La Corne batholith have been explored since the 1950s, with the La Corne region renowned as one of the world's most prospective and active area for hard rock lithium deposits.

The property is situated almost midway between the North American Lithium (NAL) mine and the Authier project. The NAL operation started in March, 2023, and is Quebec's only producing lithium mine, and Canada's most recent producer owned by Sayona Quebec, a joint venture between Australia's Sayona Mining Ltd. and North Carolina's Piedmont Lithium Inc. Sayona Mining also owns the Authier project in Lac Motte township, which is at the permit stage for open-pit production, with processing at the NAL site. With two operating lithium mines in the near term, and numerous advanced and early-stage projects, the La Motte-La Corne area represents an emerging lithium hub. The company's Lac La Motte project is located nine km east of the Authier project and 15 km west of the NAL mine.

Jeff Wilson, chief executive officer of Eureka Lithium, stated: "We are excited about the opportunity the Lac La Motte project presents to Eureka and its shareholders. Should our due diligence lead us to proceed to a definitive agreement, the favourable terms under which Eureka can earn a 100-per-cent interest in the project allows Eureka to put money in the ground in exploration and drilling expenditures on a prospective project with year-round access. Furthermore, the high-quality work and advancement of targets by prior operators provides Eureka with a drill-ready and drill-permitted asset with multiple compelling target areas to test in the coming months."

Two areas key areas of interest have been identified on the Lac La Motte property, designated as the West target and East target, respectively.

East target

The East target is located near the southeast corner of Lac La Motte, approximately 300 metres inland from the lake shore. Sampling, prospecting and mapping by the optionor in 2022 identified multiple spodumene occurrences, which were investigated with surface sampling and a nine-hole diamond drill program (MD22-01 to 09). The work was mainly focused along a roughly 500 m long pegmatite trend, partially exposed at surface, with widths in the range of 0.5 m to two m.

Work results highlights:

• The surface sample results from the main La Motte showing indicate lithium oxide (Li2O) values in the range of less than 0.02 per cent Li2O to 2.58 per cent Li2O.
• Drill hole MD22-02 intersected a 0.7 m wide pegmatite with 0.89 per cent lithium oxide (Li2O) at 72.7 m drilled depth.
• Drill hole MD22-05 intersected three pegmatites: top 0.79 m wide with 1.34 per cent Li2O at 13.18 m depth; middle 0.7 m wide with 0.5 per cent Li2O at 20 m depth; and lower 0.81 m wide at 0.78 per cent Li2O at 22.92 m depth.
• Drill hole MD22-06 intersected three pegmatites: top 0.11 m wide with 1.10 per cent Li2O at 31.95 m depth; middle 0.87 m wide with 1.01 per cent Li2O at 34.53 m depth; and lower 0.80 m wide at 0.55 per cent Li2O at 37.58 m depth.
• Drill hole MD22-07 intersected 1.76 m wide pegmatite with average 4,375 parts per million (ppm) Li (lithium) (0.94 per cent Li2O).
• Drill hole MD22-08 intersected two pegmatites: upper 1.33 m wide with 1.49 per cent Li2O at 36 m depth; and lower 0.93 m wide at 88 per cent Li2O at 41.2 m depth.

West target:

• The West target comprises a historical lithium spodumene prospect, La Motte VII-47, discovered in the 1950s, with the La Motte showing located approximately 280 metres to the northeast, discovered in 2010. Spodumene mineralization is hosted in a pegmatite dike cutting metasedimentary rocks of the Caste formation (Kewagama group) which are in contact to the west with basalts of the La Motte-Vassan formation (Malartic group). In 2022, the optionor completed five diamond drill holes (MD22-10 to 15) over the La Motte showing, over a north-northwest to south-southeast strike of approximately 240 metres. The drill holes intersected multiple low-grade pegmatites.
• In 2022, the optionor also contracted CC Explorations LLC for satellite imaging technology (SIT) to define lithium exploration targets in the West target area. The SIT survey was able to detect and plot potential lithium concentrations, possibly veins but appearing to run along contact zones, as well as indications of outcrops in the bedrock surrounding these areas at depth and near surface.

The optionor has reported (see press release dated Feb. 15, 2023) that all intersections reported are based on drilled widths and have not been converted to the true width. The drill core from the 2022 program was logged and sampled at a facility located about 50 kilometres from the property in the village of Saint-Dominique-du-Rosaire. The samples were bagged and tagged, using best practices, and were delivered to Activation Laboratories in Ancaster, Ont., for sample preparation and analyses, using laboratory code Ultratrace 7 and sodium peroxide fusion (Na2O2). Activation Laboratories is an independent, commercial, ISO-certified laboratory.

The optionor reports that the pegmatites encountered within the significant drill intercepts correlate strongly with the historical diamond drilling completed on the property in the 1950s. Results from the optionor's 2022 field prospecting and sampling program was the basis for deciding on the targets for the 2022 drill program. The 2022 results are being compiled and assessed by Eureka, and this information will be used to plan a follow-up drill program at the property in Q1 2024, subject to Eureka's completion of its due diligence process and election to proceed with the option.

The optionor has acquired 15 additional claims in the Lac La Motte area, which can also be included in the final property purchase agreement.

About satellite imaging technology

The optionor contracted CC Explorations LLC of the United States to complete a first-phase satellite assessment over a part of the CYR lithium property. CC Exploration provided the following rationale for usefulness of its technology to define lithium exploration targets at depth:

1. Satellite technology has been around for almost 80 years and there are continuous new developments on applications. The study of molecular structures (atoms, protons, neutrons) has been going on for centuries and each element of the periodic table has its own structure. Every element on the periodic table, and any other material product, organic or inorganic, has its own measurable frequency. This includes all metals, oil and gas, and water.
2. One satellite-based technology has been deployed now for over a decade and that is NMR technology, or nuclear magnetic resonance, in which the satellite can capture neutron measurements. These can then be extrapolated into readings of different elements and subsurface bodies. This is a fast reconnaissance instrument and can be used as a prospecting instrument to guide any future follow-up.
3. In practical operations, CC Exploration first does the satellite imaging, which confirms the presence of the target element. This information then provides GPS (Global Positioning System) locations to place the ground sensors.
4. Frequency density data are then collected for 30 days onto SD cards. At the end of 30 days, the cards are shipped to the research facility for processing and 3-D modelling.

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Qualified person

The scientific and technical content of this news release has been reviewed and approved by Afzaal Pirzada, PGeo, who is a qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects.

About Eureka Lithium Corp.

Eureka Lithium is the largest lithium-focused landowner in the northern third of Quebec, known as the Nunavik region, with 100-per-cent ownership of three projects comprising 1,408 square kilometres in the emerging Raglan West, Raglan South and New Leaf lithium camps. These claims were acquired from legendary prospector Shawn Ryan and are located in a region that hosts two operating nickel mines with deep-sea port access. The recent acquisition of the La Motte lithium project near Val D'Or, Que., broadens Eureka Lithium's holdings into the heart of Canada's major lithium-production district.

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