Mr. Martin Kostuik reports

BATTERY MINERAL RESOURCES ANNOUNCES ENCOURAGING DRILL RESULTS FROM ITS PUNITAQUI COPPER MINE IN CHILE

Battery Mineral Resources Corp. has received encouraging drill core assay results from the new 2024 underground exploration and infill drill program in the Cinabrio mine at the Punitaqui mine complex in Chile.

Highlights:

• Assay results from drill holes (see table No. 1) have returned with encouraging results as follows:
  • Drill hole CM-24-04: 6.9 metres (m) at 0.65 per cent total copper (CuT) and 2.1 grams per tonne (g/t) silver (Ag);
  • Drill hole CM-24-06: 3.9 m grading 1.9 per cent CuT and 5.3 g/t Ag;
  • Drill hole CM-24-07: 8.4 m grading 0.7 per cent CuT and 1.2 g/t Ag;
  • Drill hole CM-24-08: 4.4 m grading 1.3 per cent CuT and 4.9 g/t Ag;
  • Drill hole CM-24-09: 9.9 m grading 0.8 per cent CuT and two g/t Ag;
  • Drill hole CM-24-15: 10.2 m grading 2.6 per cent CuT and 10.5 g/t Ag;
  • Drill hole CM-24-16: 10.8 m grading 2.5 per cent CuT and 9.7 g/t Ag;
  • Drill hole CM-24-17: 1.4 m grading 1.2 per cent CuT and 4.1 g/t Ag.

Note that all intercepts reported as estimated true widths intervals:

• This drilling confirmed copper grades and better delineated the extent of the mineralization in the lower shale unit and footwall andesite within and adjacent to the planned production area.
• This phase of Cinabrio underground drilling targeted the level 135 scheduled production areas situated both above and below the level. Ten drill holes totalling 389.9 m of diamond core drilling were completed (see table No. 2).
• Nine of the 10 holes were designed to confirm the modelled geology, mineralization and probe the contact zone between the lower mineralized shale unit and the underlying andesites within and adjacent to the planned production area. Drill hole CM-24-10 was drilled to test for possible fault offsets of the mineralized horizons north of the planned production area.
• The 2024 Cinabrio drill program is designed to confirm mineralization identified by previous drilling programs and test for extensions along strike and at depth. All 10 holes drilled from the level 135 reached target depth. These drill results have been added to the three-dimensional geology and resource models that Battery's mining engineers use to update the current mine designs and optimize mining schedules.
• As of late September, the Cinabrio-San Andres underground drill program had resulted in the completion of 33 drill holes or 1,440.8 m, including 21 holes or 910.6 m at Cinabrio.
• Drilling is continuing and assay results for the recently completed San Andres and Cinabrio drill holes are pending.

Battery's vice-president of exploration, Peter Doyle, states: "We are excited to announce these new promising copper intercepts. This latest set of drill results not only confirms the copper grades but also enhances our understanding and accuracy of the current geological model."

During the current operational ramp-up period, the underground drilling program is focused on accessible targets within existing inferred resource to upgrade the resources to a higher resource category, as well as targeting areas adjacent to inferred resource to potentially add new resources.

The 2024 drill plan allows for some flexibility in terms of timing and sequencing of target areas, which permits the drilling to be shifted between the Cinabrio mine and the adjacent San Andres underground.

Cinabrio mine

Sample assay results, reported in this news release, are from planned production targets above and below level 135 in the Cinabrio mine. These 10 drill holes are infill and extension holes designed to verify and better delineate mineralization targeted for production from planned production areas above and below level 135. Six of the holes (CM-24-04 to CM-24-08 and CM-24-10) were drilled as upholes targeting a planned production area above level 135 while the remaining four holes (CM-24-09, CM-24-15 to CM-24-17) were drilled as downholes targeting a planned production area below the level.

Drill hole CM-24-04 was designed as an infill hole to test the northern part of the planned production area above level 135. The drill hole was drilled from the footwall andesites up through to the targeted sedimentary unit (TSU) and into the overlying andesitic flow breccia. Copper mineralization was intersected in a magnetite-rich zone in the footwall andesite from zero m to 17.7 m. Estimated true with assays intervals reported include 6.9 m grading 0.65 per cent CuT and 2.1 g/t Ag, including 2.7 m grading 1.0 per cent CuT and 5.1 g/t Ag result. The drill hole intersected TSU sequence between 17.6 m to 27.4 m, however, the TSU sequence is only weakly mineralized.

Drill hole CM-24-05 was designed as an infill hole to test the upper north central portion of the planned production area above level 135. The drill hole collared in the footwall andesites followed by the TSU sedimentary unit and was shut down in the overlying andesitic flow breccia. Mineralization was intersected in a magnetite-rich zone hosted within the footwall andesite from 5.6 m to 11.4 m and in the TSU sedimentary sequence from 11.4 m to 19.1 m. Estimated true width assay intervals reported include 4.4 m grading 0.37 per cent copper (Cu) and 0.7 g/t Ag, and 4.5 m at 0.33 per cent Cu and 0.6 g/t Ag, which confirmed the copper grades in the target area.

Drill hole CM-24-06, an infill hole, was designed to test the central part of the planned production area above level 135. The drill hole was drilled from the footwall andesites up through to the TSU sedimentary unit and into the overlying flow breccia. Mineralization was intersected in a magnetite-rich zone footwall andesite from 5.4 m to 10.1 m. An estimated true width assay interval of 3.9 m grading 1.92 per cent Cu and 5.3 g/t Ag was reported. The drill hole confirmed the grade mineralization in the central portion of the planned production area.

Drill hole CM-24-07 was designed as an extensional hole to test the north end of the planned production area above level 135. The drill hole intersected variably mineralized magnetite-rich footwall andesites from zero m to 25.2 m. From 25.2 m to 34.38 m, the hole intersected an andesitic dike and then passed into hangingwall flow breccia from 34.3 m to end of hole at 56.7 m. An estimated true width assay interval of 8.4 m grading 0.69 per cent CuT and 1.2 g/t Ag was reported, and included 2.1 m at 1.28 per cent CuT and 3.2 g/t Ag. Results of this hole confirm the TSU sedimentary sequence has been offset by a fault and intruded by an andesite dike.

Drill hole CM-24-08, an infill hole, was designed to test the southern part of the planned production area above level 135. The drill hole collared in the footwall andesites, followed by the TSU sediments, and was terminated in the overlying flow breccia. Mineralization was intersected in a magnetite-rich zone in the footwall andesite from zero m to 10 m and strong copper mineralization was intersected in the overlying shale horizon from 10 m to 14.6 m. Estimated true width assay intervals reported include 4.4 m grading 1.33 per cent CuT and 4.9 g/t Ag in the shale horizon.

Drill hole CM-24-09 was planned as an infill hole to test the north central part of the planned stope area. The sequence drilled started in the footwall andesites and drilled upsection through the TSU sedimentary unit and into the overlying andesitic flow breccia. Mineralization was intersected both in the footwall andesite from 12.45 m to 20.75 m and in the TSU sequence from 20.75 m to 29.9 m. Estimated true width assay intervals reported include 9.9 m grading 0.75 per cent CuT and 2.0 g/t Ag. This assay interval includes both the magnetite-rich zone in the footwall andesite and sediment hosted mineralization. The drill hole confirmed the grade and extent of the mineralization in the planned extraction area.

Drill hole CM-24-10 was designed as an extensional hole to explore for potential for an interpreted faulted offset of the sedimentary horizon northwest of the planned production area. The drill hole collared in and cut 6.4 m of andesitic dike followed by hanging flow breccia to 25.45 m. An andesitic dike was intersected from 25.45 m to 40.45 m. The drill results confirm the faulted offset of the sedimentary unit does not exist in the area tested.

Drill hole CM-24-15, an infill hole, was designed to test the central part of the planned production area below level 135. The drill hole was drilled from the hangingwall andesitic flow breccia, down through a shale sandstone sequence and into the footwall andesites. Mineralization occurred in the sedimentary units from 6.2 m to 12.4 m and in the footwall andesite from 12.4 m to 20.5 m. Estimated true width assay intervals reported include 10.2 m grading 2.62 per cent CuT and 10.5 g/t Ag. This interval includes both the magnetite zone in the footwall andesite and sediment hosted mineralization. Drill hole CM-24-15 is 20 m north of 2012 drill hole CM-0-12-01, which returned an estimated true width interval of 6.6 m at 2.58 per cent CuT and 13.7 g/t Ag. This new hole confirmed the presence of mineralization in the planned extraction area.

Drill hole CM-24-16, an infill hole, was planned to test the central part of the planned production area below level 135. The drill hole was drilled from the hangingwall andesitic flow breccia, through the shale-sandstone sequence and into the footwall andesites. Copper-magnetite mineralization occurred in the sedimentary units from 6.2 m to 12.4 m and in the underlying andesite. Estimated true width assay intervals reported include 10.8 m at 2.58 per cent CuT and 9.7 g/t Ag. Drill hole CM-24-15 confirmed the continuity of mineralization in the planned extraction area.

Drill hole CM-24-17 was designed to test the southern end of the planned stope area below level 135 and confirm the results of historic drill hole CM-0-12-01 that cut 6.6 m (estimated true width) grading 2.58 per cent CuT and 13.7 g/t Ag. The current drill hole collared in the hangingwall andesitic flow breccia, through a shale-sandstone of the TSU sedimentary sequence and into the footwall andesites. Variable mineralization occurred in the sedimentary units from 11.4 m to 21.8 m. Estimated true width assay intervals reported include 1.8 m grading 0.67 per cent CuT and 1.1 g/t Ag, and 1.4 m at 1.24 per cent CuT and 4.1 g/t Ag. Drill hole CM-24-17 confirmed the presence of mineralization in the planned extraction area.

Background -- Cinabrio deposit

The Cinabrio copper deposit mined by Glencore and Xiana Mining was the main ore source for the Los Mantos processing plant for over 10 years. Cinabrio is the largest deposit mined to date and is part of the Punitaqui project. The project is situated within a 25-kilometre-long mineralized district that is a classic IOCG (iron ore, copper and gold) and manto style copper belt, comprising manto and structural controlled copper-silver veins.

On Oct. 3, 2022, Battery published a National Instrument 43-101 resource for Cinabrio at a cut-off of 0.70 Cu per cent:

• Indicated sulphide resource of 378,000 tonnes grading 1.55 per cent CuT;
• Inferred sulphide resource of 90,000 tonnes at 0.98 per cent CuT.

In addition, indicated resources in potentially recoverable pillars at Cinabrio reported, at a cut-off of 0.70 per cent Cu:

• Undiluted indicated resources of 1,027,000 tonnes at grading 1.51 per cent CuT;
• Diluted indicated resources of 1,312,000 tonnes at 1,27 per cent CuT.

Note that the scientific and technical information pertaining to the San Andres resource was extracted from the company's NI 43-101 report, titled, "Technical report on Punitaqui Copper Complex Coquimbo, Chile," dated as of Sept. 30, 2022, with an effective date of Aug. 16, 2022, prepared by Garth Kirkham (Kirkham Geosystems Ltd.), an independent qualified person in accordance with NI 43-101.

The Cinabrio deposit is a tabular sedimentary horizon known as the targeted stratigraphic unit (TSU) within a volcanic sequence. This sedimentary horizon is variably mineralized and has a variable width ranging from five m to 30 m. It consists of an interlayered volcano-sedimentary sequence composed of dark coloured laminated and unlaminated shales, volcanoclastic sandstone, conglomerates, and breccias and tuff breccias. Most of the copper mineralization is hosted in the shale units within the TSU package. The horizon dips at 40 to 50 degrees to the east.

Mineralization consists of veinlets and irregular disseminations in both the fine- and coarse-grained clastic rocks and locally within the volcanic rocks above and below the host unit. The host horizon is also cut and offset by faults and dikes with a wide range of orientations.

Quality control sample preparation, analysis and security procedures applied on the Battery exploration projects are aligned with industry best practice. Battery has implemented protocols and procedures to ensure high-quality collection and management of samples resulting in reliable exploration assay data. Battery has implemented formal analytical quality control monitoring for all field sampling and drilling programs by inserting blanks and certified reference materials into every sample sequence dispatched.

Sample preparation is performed at Battery's Los Mantos preparation lab. Samples are dried then crushed to 70 per cent less than two millimetres (mm) and a riffle split of 250 grams is then pulverized to 85 per cent of the material achieving a size of less than 75 microns. Sample pulps and rejects are then delivered to ALS Global's geochemistry analytical lab in La Serena, Chile, and sample analyses are done by ALS in Lima, Peru. ALS analytical facilities are commercial laboratories and are independent from Battery. All Battery samples are collected and packaged by Battery staff and delivered upon receipt at the ALS laboratory. Samples are logged in a sophisticated laboratory information management system for sample tracking, scheduling, quality control and electronic reporting. These prepared samples are then shipped to the ALS laboratory in North Vancouver for analyses by the following methods:

• ME-MS61: a high-precision, multiacid digest, including hydrofluoric, nitric, perchloric and hydrochloric acids; analyzed by inductively coupled plasma (ICP) mass spectrometry that produces results for 48 elements.
• ME-OG62: aqua regia digest; analyzed by ICP-AES (atomic emission spectrometry) or sometimes called optical emission spectrometry (ICP-OES) for high levels of cobalt (Co), Cu, nickel (Ni) and Ag.

Certified standards are inserted into sample batches by ALS. Blanks and duplicates are inserted within each analytical run. The blank is inserted at the beginning, certified standards are inserted at random intervals and duplicates are analyzed at the end of the batch.

Qualified persons

Peter Doyle, vice-president of exploration, and Michael Schuler, Chile exploration manager for Battery, supervised the preparation of and approved the scientific and technical information in this news release pertaining to the Punitaqui exploration drill program. Mr. Doyle and Mr. Schuler are qualified persons as defined by NI 43-101, Standards of Disclosure for Mineral Projects.

Scientific and technical information pertaining to the Punitaqui resource was extracted from the company's Punitaqui technical report.

All mineral resources have been estimated in accordance with Canadian Institute of Mining and Metallurgy and Petroleum (CIM) definitions, as required under NI 43-101. Cut-off grades are based on a price of $3.50 (U.S.) per pound (lb) copper and $20 (U.S.) per ounce (oz) silver, and several operating costs, metallurgical recoveries and recovery assumptions, including a contingency factor.

About Battery Mineral Resources Corp.

Battery's mission is to build a mid-tier copper producer and has recently initiated mine and mill operations at the Punitaqui mining complex, a historic copper-gold-silver producer, in the Coquimbo region of Chile. The company's portfolio also consists of two cobalt assets and one lithium asset located in North America, and two graphite assets in South Korea. The company is focused on providing shareholders accretive exposure to copper and the global megatrend of electrification while being focused on growth through cash flow, exploration and acquisitions in favourable mining jurisdictions.

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