Mr. Gorden Glenn reports

CORPORATE UPDATE ON MINNOVA RENEWABLE ENERGY AND PROPOSED PL GOLD MINE ADVANCED EXPLORATION AND DEVELOPMENT PROGRAM

Minnova Corp. has provided a corporate update on its Minnova renewable energy (MRE) strategy and corporate developments at its wholly owned PL gold mine.

Minnova renewable energy

Flin Flon clean energy hub (FFCEH)

Following the announcement of MRE and the City of Flin Flon entering a non-binding memorandum of understanding on March 29, 2023, the company conducted an extensive consultation process with industry (original equipment manufacturers, technology providers and potential offtakers), government, first nations and community. Based on the results of these discussions, the company is eager to advance its Flin Flon clean energy hub (FFCEH) initiative and intends to engage a consulting engineering group with requisite experience in hydrolysis, syngas, processing, environmental and permitting (owners engineer) to complete a series of technoeconomic trade-off studies. The studies will analyze water electrolysis to produce green hydrogen at an initial minimum load of 20 megawatts of low-cost grid hydro power supplied by Manitoba Hydro with potential to scale up to over 100 megawatts.

Initial green hydrogen production is forecast at 2,880 tonnes that could be directly processed to over 16,000 tonnes of renewable ammonia or over 20,000 tonnes of renewable methanol. The studies will also consider renewable diesel fuel and sustainable aviation fuel (SAF) production.

While green hydrogen is not an established market in Canada, the markets for ammonia and methanol are offering a ready market to supply renewable energy fuels for industries seeking to decarbonize. Renewable diesel can be a drop-in fuel to replace conventional fossil-fuel-derived diesel, and SAF is gaining traction as a solution to reduce carbon emissions related to air travel.

The region's large-scale hydro power supply, combined with abundant forest biomass supply and other development considerations, including: competitive utilities, skilled labour force, road and rail infrastructure, and marine port access, was a key consideration in the site selection process.

Swan River biomass gasification pilot plant

Construction of its planned biomass gasification pilot plant is under way with the majority of reactor parts purchased and stored in Winnipeg. The company is currently sourcing specialized ATEX sensors and valves and, when received, will be in a position to advance fabrication and assembly. The company will have further market updates and as assembly progresses.

PL gold mine

Over the last several months, the company has pro-actively solicited interest from other gold sector companies regarding possible mergers and acquisitions and/or joint efforts to advance the PL gold mine. Discussions have included a range of strategies from additional drilling to increase the current National Instrument 43-101-complaint resource to full-scale development based on the 2018 feasibility study, which would be updated prior to any construction decision. These talks are continuing, and the company will comment further if an agreement is reached requiring a material announcement.

Separately, the company has been approached by a first-nation-owned mining contractor and a mining equipment/system developer with a proposal to consider an advanced exploration and underground development program designed to further advance the PL gold mine and consisting of surface bulk sample for updated metallurgical testwork followed by shallow underground mine development to test equipment and underground mining methods specifically designed for narrow, low-angle deposits like PL. Discussions are at an early stage, and it is encouraged by the experience and expertise of the parties involved and the potential to partner with a first-nation-owned contractor to share in the development and commercialization of the equipment and mining method with no dilution in the ownership of the PL gold mine.

Gorden Glenn, chief executive officer, commented: "We are extremely pleased with the progress made on both our MRE strategy and the level of interest in the PL gold mine. Momentum in the global energy transition is increasing, and we are confident our strategy to produce renewable energy fuels based on a combination of biomass gasification and electrolysis, initially in Manitoba but with worldwide ambitions, will deliver value to Minnova shareholders and all energy transition stakeholders seeking to reduce carbon emissions. Following the success of our PL North target area drilling in 2020 and 2021, which culminated in the bonanza gold grade intercept of 101.6 [grams per tonne] over [a] 0.50-metre interval in DDH M-21-48x, we have been eager to further advance PL. The market interest in the project is encouraging as is the possibility of working with a first nations partner to develop a specialized low-angle mining method and equipment. Management and board continue to believe in the potential for PL to be restarted under its existing Environment Act licence 1207E and deliver value to Minnova shareholders as a future gold producer."

About Minnova Corp.

Minnova is an evolving cleantech company building a worldwide pipeline of green energy projects. Its subsidiary, Minnova Renewable Energy, is focused on innovative carbon reduction technologies such as the third-generation biomass gasification technology developed by DUMA Engineering (2018) Inc. As of Sept. 30, 2022, Minnova owns a 50-per-cent interest in DUMA. Acquisition of the remaining 50-per-cent interest will consist of a combination of cash payments and shares, and will be dependent on several conditions, including: (a) long-run test performance of the demonstration plant to produce a 50-per-cent-hydrogen-content syngas; (b) other technoeconomic and environmental considerations; and (c) filing of patent applications, in addition to receipt of all regulatory approvals.

Prior to 2021, Minnova has focused on the restart of its PL gold mine, which included completion of a positive feasibility study in 2018. The study concluded that the restart of the PL mine at an average annual production rate of 46,493 ounces over a minimum five-year mine life was economically robust. Importantly, the global resource remains open to expansion, as does the reserve. The PL gold mine benefits from a short preproduction timeline forecast at 15 months, a valid underground mining permit (Environment Act 1207E), an existing 1,000-tonne-per-day processing plant and over 7,000 metres of developed underground ramp to a minus-135-metre depth. The project is fully road accessible and close to existing mining infrastructure in the prolific Flin Flon greenstone belt of central Manitoba.

Qualified person

Chris Buchanan, MSc, PGeo, a consultant of the company and a qualified person under National Instrument 43-101, has reviewed and approved the scientific and technical information in this press release.

We seek Safe Harbor.