Mr. Michael Mulberry reports

MEDARO MINING ENTERS INTO AGREEMENT TO ACQUIRE JAMES BAY PONTAX LITHIUM PROJECT

Medaro Mining Corp. has entered into a share purchase agreement (SPA) to acquire 100 per cent of the issued and outstanding shares of 1411409 B.C. Ltd. (the target), a company holding a 100-per-cent interest in the mining claims comprising the James Bay Pontax project in Quebec, Canada. The project comprises 101 mineral claims covering approximately 5,800 hectares (58 square kilometres) located in the heart of the lithium-rich Eeyou Istchee James Bay territory of Quebec.

The project is in a highly active prospective zone of James Bay area, being situated 30 km south of Allkem Ltd.'s James Bay lithium project, which has a published mineral reserve estimate of 40.3 million tonnes (Mt) at 1.4 per cent Li2O (lithium oxide). About one km west of the project lies Stria Lithium Inc.'s Pontax project, which hosts the Pontax lithium showing that was drilled in winter 2022/2023. The Pontax showing is made of a series of spodumene pegmatites. These pegmatitic dikes are aligned along the tectonic grain (northeast-southwest) and are hosted in the Chambois greenstone belt. The project is also (i) located less than six km to the east of Patriot Battery Metals Inc.'s Pontax showing, on which sampling in 2018 returned an assay of 0.94 per cent Li2O and Ta205 (tantalum pentoxide) of 520 parts of million; (ii) located 6.5 km north of LiFT Power Ltd.'s Moyenne project; and (iii) borders Brunswick Exploration Inc.'s Anatacau West project's southern boundary for 10 km. Mineralization hosted on the adjacent properties is not necessarily indicative of the mineralization hosted on the project.

The project is located in LaGrande subprovince, close to the boundary with the Nemiscau subprovince. Both subprovinces are separated by the Causabiscau shear zone. The project is underlain with granitoids of diverse composition within which are found dismembered volcanic units that could represent remnants of the Chambois greenstone belt.

While the project has not yet been prospected for lithium, anomalous Li values (up to 17.7 ppm Li) from a regional lake bottom sediment survey (Beaumier, 1996) are reported on the project. For comparative purposes, the highest Li value reported on Stria's Pontax property is 16.6 ppm Li. Most of these anomalous Li values are located at or in the vicinity of Chambois Lake. In addition, high-resolution satellite imaging shows an abundance of northeast-southwest-aligned outcrops, most notably in the surroundings Chambois Lake. A Hydro-Quebec power line traverses the centre of the project where a large part of these outcrops are found, which may facilitate their accessibility.

Transaction terms

Pursuant to the SPA, Medaro has agreed to acquire 100 per cent of the issued and outstanding shares of the target in exchange for (i) 1.2 million common shares in the capital of the company at a deemed issue price of 10 cents per share; (ii) a cash payment of $7,500; and (iii) a commitment to incur $150,000 in exploration expenditures over the 12 months following closing.

The consideration shares will be subject to resale restrictions, contemplating release in three equal tranches every four months following the closing date of the acquisition.

The company will also pay a bonus of $150,000 to the vendors of the target if, in carrying out exploration on the project, the company intersects five intercepts of spodumene-bearing pegmatite dikes grading a minimum of 1.20 per cent Li2O over a minimum of 1.5 metres.

Michael Mulberry, chief executive officer of Medaro, states: "We are very excited to be adding such a significant project to our stable of projects in Medaro. The James Bay area of Quebec has proven to be a significant area for the exploration of the spodumene in pegmatites grading significant values of lithium and lithium carbonate. We think the potential for discovery in the Pontax area is huge, as indicated by the interest of many other serious exploration companies in the area. This will be a significant asset for Medaro."

Qualified person

Isabelle Robillard, PGeo, a qualified person for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical information contained in this news release.

About Medaro Mining Corp.

The company is a lithium exploration company based in Vancouver, B.C., and holds options over the Darlin, Rapide, Lac La Motte and Cyr South lithium properties in Quebec and the Yurichson uranium property in the Athabasca basin in Saskatchewan. The company is a party to a joint venture agreement that engages the company in the development and commercialization of a new process to extract lithium from spodumene concentrate.

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