FTEL:CC - First Tellurium Launching September Drill Program and IP Survey at Deer Horn Conducts Private Placement Financing

(TheNewswire)

Following up on successfulprospecting, mapping and sampling conducted over past twoyears.

Vancouver, BC, Canada – TheNewswire - September 11, 2023 – First Tellurium Corp. (CSE:FTEL ) ( OTC:FSTTF), reports that itsSeptember drill program is scheduled to launch in the second half ofSeptember at the Company’s Deer Horn property in west-centralBritish Columbia.  Drilling will focus on the Pond zone copper-goldporphyry target, where the objective is to intersect disseminatedmineralization and help locate the main mineral zone in thesubsurface. This information, combined with results from work over thepast two years, would inform an expected much larger drill program in2024.

First Tellurium is also launching an InducedPolarization (IP) geophysical survey in September. The Company hasengaged Dias Geophysical of Saskatoon, Saskatchewan to conduct thesurvey. The program will follow up on successful rock sampling,channel sampling and prospecting conducted in 2022, and mapping and rock sampling conducted in August 2023. This combined work has extended thecopper-gold porphyry target to five kilometers (3.1 miles) in length,which includes a possible 1.1-kilometer (.7 miles) extension of theexisting 2.4-kilometer (1.5 miles) gold-silver-tellurium vein system,which now extends a total of 3.5 kilometers (2.2 miles) within theoverall porphyry target.

“Our prospecting, mapping and sampling over the pasttwo years has given us an extensive base of information to support thedrilling and IP survey,” said First Tellurium President and CEOTyrone Docherty. “What we have learned is that both the copper-goldporphyry target and gold-silver-tellurium vein system extend muchfarther than we first understood. Even more important is the discoverylast month that the two mineralized systems are connected, supportingthe premise that the property could support a large copper-goldporphyry across ground that has never been explored.”

Private Placement Financing

First Tellurium also announces a non-brokered privateplacement (the “Offering”) to raise up to $600,000 through thesale of up to 5,000,000 flow-through shares at $0.12 (the“Flow-Through Shares”) and up to $400,000 through the sale of upto 4,000,000 units at $0.10 (the “Units”).  Each Unit willconsist of one non-flow-through common share and one common sharepurchase warrant exercisable at $0.15 for a period of two yearsfollowing the close of the offering.

Tyrone Docherty, President, CEO and a director of theCompany (the “Insider”), will participate in the Offering throughthe purchase by his private company, Docherty Capital Corp., of1,000,000 Flow-Through Shares for gross proceeds of $120,000.Participation by the Insider in the Offering is considered a“related party transaction” pursuant to Multilateral Instrument61-101 – Protection of Minority Security Holders in SpecialTransactions ("MI 61-101"). The Company is exempt from therequirements to obtain a formal valuation and minority shareholderapproval in connection with the Insider's participation in theOffering in reliance of sections 5.5(a) and 5.7(a) of MI 61-101,respectively, on the basis that participation in the Offering by theInsider did not exceed 25% of the fair market value of the Company’smarket capitalization.

“I continue to be a major investor and big believerin the future of the Deer Horn Property, especially with the resultsof the past two years,” said Docherty. “We’ve kept thisfinancing deliberately small, believing that the upcoming drilling andIP will allow us to conduct subsequent financings on betterterms.”

The Company may pay a finder’s fee consisting ofcash, shares and/or warrants to eligible finders as permitted underapplicable securities laws and CSE policies. Proceeds arising from thesale of Flow-Through shares will be utilized for explorationexpenditures on its Deer Horn Property.  Proceeds arising from thesale of Units will be utilized for exploration on the ColoradoKlondike Property in Saguache County, Colorado, and for unallocatedworking capital.

Qualified Person

The Company’s disclosure of technical or scientificinformation related to the Deer Horn Project in this news release wasreviewed and approved by Prof. Lee Groat, Ph.D, P.Geo, TechnicalAdvisor to First Tellurium, who is a qualified person within thecontext of NI 43-101.

About First Tellurium Corp.

First Tellurium’s unique business model is togenerate revenue and value through mineral discovery, projectdevelopment, project generation and cooperative access to untappedmineral regions in Indigenous territory with sustainableexploration.

Our Klondike tellurium-gold property in Colorado andpolymetallic Deer Horn Project in British Columbia anchor adiversified search for metals, working in alliance with Indigenouspeoples, NGOs, governments and leading metals buyers. This is thefuture of mineral exploration—generating revenue by exploringresponsibly and leveraging diverse partnerships.

First Tellurium proudly adheres to, and supports, theprinciples and rights set out in the United Nations Declaration on theRights of Indigenous Peoples and in particular the fundamentalproposition of free, prior and informed consent. First Tellurium islisted on the Canadian Stock Exchange under the symbol “FTEL” andon the OTC under the symbol “FSTTF”. Further information aboutFTEL and its projects can be found on www.firsttellurium.com .

Neither theCanadian Securities Exchange nor its regulations services acceptresponsibility for the adequacy or accuracy of this release.

Forward-lookinginformation

All statements included in thispress release that address activities, events or developments that theCompany expects, believes or anticipates will or may occur in thefuture are forward-looking statements.  These forward-lookingstatements involve numerous assumptions made by the Company based onits experience, perception of historical trends, current conditions,expected future developments and other factors it believes areappropriate in the circumstances. In addition, these statementsinvolve substantial known and unknown risks and uncertainties thatcontribute to the possibility that the predictions, forecasts,projections and other forward-looking statements will proveinaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-lookingstatements.  Except as required by law, the Company does not intendto revise or update these forward-looking statements after the datehereof or revise them to reflect the occurrence of futureunanticipated event.

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