Mr. Richard Barnett reports

ICONIC COMPLETES UPDATED 43-101 TECHNICAL REPORTS ON SMITH CREEK AND GRASS VALLEY LITHIUM BRINE PROJECTS

Iconic Minerals Ltd. has completed updated National Instrument 43-101 technical reports on Iconic's 100-per-cent-owned Grass Valley and Smith Creek lithium properties located in Nevada. Work to date indicates that both projects have high potential to host lithium brine.

Highlights:

• A seven-line MT survey (see news release dated May 12, 2023) has identified a widespread conductive zone over a seven-mile-long (11 kilometres (km)) portion of Smith Creek basin.
• The Smith Creek MT survey shows a favourable deepening of potential brine horizons to the west coincident with a hot springs system along a fault.
• Drilling at both Smith Creek and Grass Valley show high lithium values (over 200 parts per million (ppm)) at surface decreasing with depth along with apparent leaching of the bedrock by abundant near neutral pH groundwater.
• Drilling to date has not reached the interpreted brine zones, however, a drill program in 2024 will target these deeper brine zones.

Details

The National Instrument 43-101 mineral resource estimate will be filed on SEDAR within 45 days and carries an effective date of Oct. 19, 2023. The reports on the properties were written by R.A. Lunceford, MSc, CPG, a qualified professional and SME registered member, of Reno, Nev.

Smith Creek lithium property

Extensive exposures of Tertiary siliceous volcanic units, which are recognized source rocks for lithium, surround the Smith Creek property both on the east and west sides of the Smith Creek basin. Surrounding drainages which have leached lithium and other alkaline salts have been deposited in the central closed basin where the property is located. On the west side of the property, hot geothermal springs are present, which are believed to enhance the solubility of lithium and lower the pH of the brine to reduce the precipitation of lithium ions out of solution. Here, local faults which are believed to be conduits to the geothermal springs enhance the amenability for proximal lithium-rich brines and lithium-bearing sediments. Limited geochemical surficial sampling of sediments surrounding the hot springs conducted by Iconic subsidiaries in 2015 to 2016 reached 470 parts per million (ppm) lithium (Li), considered to be strongly anomalous. A second MT (magnetotelluric) survey, accruing 46.2 line kilometres along northwest-southeast lines was conducted. The 2023 MT survey identified a significant low resistivity zone extending plus/minus 5.5 miles (nine kilometres) along the western margin of the property. The low-resistivity horizon appears to be most well developed on the northwest margin of the playa. Here, the core low resistivity horizon is believed to be at least 650 feet (ft) (200 metres (m)) in thickness. The tops of the zones range from 650 ft (200 m) to over 3,000 ft (one km). The presence of the hot springs along the fault zone and the strongly anomalous geochemical sampling indicate a possibly significant target.

Grass Valley lithium property

At Grass Valley Tertiary siliceous volcanic units occur on the western side of the Grass Valley basin and provide a critical source for lithium-rich sediments or brines within the Grass Valley basin. The basin is flanked by hot geothermal springs which are believed to enhance the solubility of lithium and lower the pH of the brine to reduce the precipitation of lithium ions out of solution. Local faults associated with basin development are conduits to circulating fluids. Gravity data indicates that the subsurface shape of the Grass Valley basin deepened along the eastern side of the playa. To determine brine potential within this north-south declivity, a follow-up, single, north-south MT (magnetotelluric) survey line was conducted along the axis. The survey indicated that a significant low resistivity zone possibly indicating brine occurred within the alluvial sequence. The depth to the low resistivity target ranges from 2,500 ft (760 m) to more than 3,300 ft (1,000 m) beneath the surface at the north end of the surveyed line. Limited surface sampling confirmed that lithium in sediments contained up to 310 ppm Li which is considered to be significantly anomalous.

In late 2022, Great Basin commenced a deep drill test near the north end of the MT survey line. The planned depth of the vertical core hole was 2,200 ft (669 m) but the hole was terminated at 1,888 ft (574 m) after weather and ground conditions prevented completion. Sediment sample lithium values were anomalous but below ore grade and the rocks appeared leached. Three water samples collected had minor Li and boron (B) values. The drill hole did not reach the depths at which more saline waters were identified by the 2016 MT survey. The lack of significant lithium in water samples collected higher in the drill hole indicated that lithium has migrated after being leached and deeper water and sediments may have a higher lithium content.

As recommended by the two reports, Iconic plans on conducting additional geophysics to further define the drill targets and then will drill deep holes into the best identified brine targets for detailed water testing.

Qualified person

Richard Kern, certified professional geologist, a qualified person as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this news release. Mr. Kern is not independent of the company as he is the chief executive officer of Iconic.

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