GBLEF - Global Energy Metals Signs Definitive Option Agreement with Metal Bank Limited to Commence Work Program on the Millennium Cobalt-Copper-Gold Project in Queensland Australia

(TheNewswire)

Vancouver, BC - TheNewswire - June 28, 2021 - GlobalEnergy Metals Corporation ( TSXV:GEMC ) | ( OTC:GBLEF ) | ( FSE:5GE1 ) (“Global Energy Metals”, the “Company” and/or“GEMC ”), a company involvedin investment exposure to the battery metals supply chain, is pleasedto announce that following on from signing binding termsearlier this month ithas now entered into a formal option agreement with Metal Bank Limited (“Metal Bank” and/or “MBK”) for a 6month exclusive option (“Option”) in favour of MBK to earn-in andjoint venture the Millennium cobalt, copper and gold project in MountIsa, Queensland (“Millennium” and/or the “Project”) owned byGEMC’s wholly owned subsidiary, Element Minerals Australia Pty Ltd(“EMA”).

During the exclusive 6-month option period, MBK willundertake further due diligence and complete an initial explorationprogram to confirm the potential for mineralisation in the northernhalf of the tenement package.   An infill pXRF soil survey andgeological mapping to refine drilling locations will commence in thefirst week of July.

At the end of the option period, MBK will have theright to commence a formal earn-in to the Project to earn up to an 80%interest over two phases.

Highlights

• - Global Energy Metals and MetalBank Limited (ASX:MBK) have signed a formal agreementgranting MBK a 6 month exclusive option to earn-in and joint ventureGEMC’s Millennium copper-cobalt-gold Project in the heart of MountIsa, Queensland;

  - Millennium contains an inferred Cuequivalent Mineral Resource of 5.89MT 1 across 5 granted mining leases withsignificant potential for expansion;

  - MBK’s initial explorationprogram at Millennium will commence in the first week of July;

  - At the end of the Option Period,MBK will have the right to commence a formal earn-in to the Project toearn up to an 80% interest ;

  - The transaction advances GEMC’sobjectives of monetizing its existing projects by unlocking unrealizedvalue and advancing projects through partner funded exploration; and

  - GEMC retains project levelexposure while diversifying its equity holdings in a well managedcompany that is creating value through a combination of exportationsuccess and quality project acquisition.

Mitchell Smith, President and CEO ofGlobal Energy Metals commented:

“ The option agreement with MBK is anothersignificant milestone in our ability to execute our strategic businessplan.  We are excited to be partnering with MBK to advance Millenniumwhile we continue to focus on strengthening our understanding of thepotential at Lovelock and Treasure Box, our cobalt-copper-nickelprojects in Nevada, and evaluating other opportunities within ourstrong and diverse portfolio of battery metal assets.  We lookforward to updating the market onother developments in the near future as MBK commences its explorationprogram at Millennium.”

Commenting on thesigning of the Option Agreement, Inés Scotland, MBK Chair,said:

“ The option on the Millennium project representsan excellent growth opportunity for MBK and its shareholders,providing us with exclusive rights to an advanced copper-cobalt assetof significant size in close proximity to processing solutions andexcellent infrastructure.

GEMC’s work to date on the Projecthas demonstrated both the quality of the known resource and the strongpotential for a significant increase in tonnage.  We are keen torealise this potential and are hitting the ground running with ourinitial work program commencing in the next week.”

The MillenniumProject

Millennium is a significant advanced copper-cobalt-goldproject with a large defined zone of copper-cobalt mineralisationholding an inferred 2012 JORC Resource of 5.89MT @ 1.08%CuEq 1 with significantpotential for expansion at depth and along strike.

The Project is strategically located on granted miningleases, less than 20 km from the Rocklands mine site and processingfacility which is host to 55.4Mt of Resources grading 0.64%Cu, 0.15g/t Au, 290ppm Co (0.90% CuEq) 2 .

The Project lies within the economic and infrastructurehub of Mount Isa, Queensland close to well establish mining, transportand processing infrastructure.

Mapping, soil geochemistry and rock sampling conductedby GEMC identified an additional 1.5 km of anomalous cobalt-coppermineralisation in geological analogues that occur along a potentialstrike extension in the northern half of the tenement package(‘Northern Extension’) 3 .  Thisarea has no previous drilling to date and provides an excellentopportunity to increase the overall resource potential of theMillennium Project.

The Millennium mining leases also include the Corellaand Federal prospects, along a parallel zone of significant surfaceCu-Co-Au anomalism and historical workings, that are untested bydrilling and provide yet further potential to grow the resourcebase.

Additional details on the project are set out in theCompany’s website:https://www.globalenergymetals.com/projects/.

Option Agreement Summary

MBK’s exclusive option to earn-in and joint venturethe Project commenced upon signing the Option Agreement and payment ofa $10,000 payment to GEMC, and will continue for a term of 6 months(Option Period).

During the Option Period MBK will conduct further duediligence and complete a Phase 1 work program including detailedgeological mapping, infill pXRF soil survey and mapping to refinedrill locations and reconnaissance drilling of up to 4 RC holes for upto 500m at Millennium North.

During the Option Period the parties will negotiate andagree the terms of a formal earn-in and joint venture agreement basedon agreed earn-in and joint venture terms set out in the OptionAgreement and otherwise on usual and customary terms, conditions,representations and warranties for earn-in and joint ventureagreements in Australia based on the AMPLA model earn-in and jointventure agreements for exploration and mining.

On or before expiry of the Option Period, and subjectto completing the Phase 1 work program, MBK may give notice to GEMCexercising the exclusive Option to earn-in and joint venture theProject and move to Phase 2.

At the commencement of Phase 2, MBK will issue theequivalent of AUD$250,000 in MBK shares to GEMC and MBK will sole fundexploration expenditure of $1M to earn a 51% interest in the Project.MBK may withdraw during Phase 2 without earning any interest, providedMBK meets its $1M exploration expenditure commitment or pays thedifference to EMA.

Upon completing its Phase 2 expenditure commitment, MBKmay:

• - elect to earn the 51% interest and either:

  • - form the joint venture and move to Phase 3;

    - give notice to buy-out 29% of EMA’s remaininginterest, with MBK taking an 80% interest in the project inconsideration of the payment by MBK of $1M and issue of $1M of MBKshares to GEMC.

    - In the event such notice is given the joint venturewill be formed on an 80% MBK, 20% EMA basis; or

  - withdraw without earning any interest.

At the commencement of Phase 3, MBK will issue theequivalent of AUD$350,000 in MBK shares to GEMC and a Joint Venturewill be formed on a 51% MBK, 20% EMA basis, with MBK sole funding andmanaging. During Phase 3, MBK will sole fund exploration expenditureof $2M to earn an additional 29% interest in the project, takingMBK’s total interest to 80%.

Upon MBK completing its Phase 3 expenditure commitmentand moving to an 80% interest, EMA may elect to require MBK to buy outEMA’s remaining 20% interest for shares in MBK at a value to beagreed.  If EMA does not make this election, both parties willjointly fund exploration, feasibility and development expenditure intheir proportionate shares, with each parties’ interest diluted inaccordance with a standard industry dilution formula should either MBKor EMA not contribute.

MBK Option, Earn-in and JV WorkPrograms

Note:  Work programs are indicativeand may change subject to exploration results.

Phase 1 – Option Period

• - detailed geological mapping

  - infill pXRF soil survey (25m spacing) and mapping torefine drilling locations

  - reconnaissance drilling up to 4 reverse circulation(“RC”) holes (2 section lines) for up to 500m at Millennium North

Phase 2 - Earn-in – Resource andexploration drilling

• - Millennium Resource

  • - 2 x deep down dip extension test holes – for 600m(RC/DD)

    - 6 x resource infill holes – for 900m (RC/DD)

  - Millennium North

  • - 14 holes on 7 section lines at 100m spacing –2,800m (RC)

  - Federal/Corella Trend

  • - early reconnaissance exploration - up to 4 x RC holesfor up to 600m (RC)

Phase 3 - Joint Venture – Resourceupgrade and commencement of feasibility study

• - Millennium Resource upgrade (drill-out) – up to2,500m Diamond drilling

  - Update Mineral Resource Estimate

  - Commencement of feasibility study

Phase 4 – Joint Venture

• - Completion of bankable feasibility study

  - Development approvals

  - Development

  - Mining

1 HMX ASX Announcement dated 6December 2016 “Millennium Mineral Resource Estimate”.

Copper equivalent (CuEq)calculation was based solely on commodity prices using prices asfollows: Cu: US$4,600/t; Co: US$27,000/t; Au: US$1,330/oz; and Ag:US$20/oz

2 CDU:ASX Announcement dated 31October 2017

3 GEMC News Release dated 6September 2018

Metal Bank Limited

Metal Bank Limited is an ASX-listed mineralsexploration company (ASX:MBK).

Metal Bank’s core focus is creating value through acombination of exploration success and quality project acquisition.The company’s key projects are the 8 Mile and Eidsvold gold projectssituated in the northern New England Fold Belt of central Queensland,which also hosts the Cracow (3 Moz Au), Mt Rawdon (2 Moz Au), MtMorgan (8 Moz Au, 0.4Mt Cu) and Gympie (5 Moz Au) gold deposits. Theprojects are both associated with historical goldfields and representintrusion related gold systems (IRGS) with multi-million-ounceupside.

The Company has an experienced Board and managementteam which brings regional knowledge, expertise in early stageexploration and project development, relevant experience in the midcap ASX-listed resource sector and a focus on sound corporategovernance.

The Company is committed to a strategy ofdiversification and growth through identification of new explorationopportunities which complement its existing portfolio and pursuit ofother opportunities to diversify the Company’s assets throughacquisition of advanced projects or cash-flow generating assets toassist with funding of the exploration portfolio.

In pursuit of this strategy, the Company is activelyreviewing new opportunities within Australia with a number of thirdparties under confidentiality arrangements. In addition, the Companyis continuing to work with government and stakeholders in the MENAregion with a view to securing an advanced copper exploration project.

Qualified Person

Mr. Paul Sarjeant, P. Geo., is the qualified person forthis release as defined by National Instrument 43-101 - Standards ofDisclosure for Mineral Projects.

Global Energy MetalsCorporation

(TSXV:GEMC | OTC:GBLEF| FSE:5GE1)

Global Energy Metals Corp. offers investment exposure to the growingrechargeable battery and electric vehicle market by building adiversified global portfolio of exploration and growth-stage batterymineral assets.

Global Energy Metals recognizes thatthe proliferation and growth of the electrified economy in the comingdecades is underpinned by the availability of battery metals,including cobalt, nickel, copper, lithium and other raw materials. Tobe part of the solution and respond to this electrification movement,Global Energy Metals has taken a ‘consolidate, partner and invest’approach and in doing so have assembled and are advancing a portfolioof strategically significant investments in battery metalresources.

As demonstrated with the Company’scurrent copper, nickel and cobalt projects in Canada, Australia,Norway and the United States, GEMC is investing-in, exploring anddeveloping prospective, scaleable assets in established mining andprocessing jurisdictions in close proximity to end-use markets. GlobalEnergy Metals is targeting projects with low logistics and processingrisks, so that they can be fast tracked to enter the supply chain inthis cycle.  The Company is also collaborating with industry peersto strengthen its exposure to these critical commodities and theassociated technologies required for a cleaner future.

Securing exposure to these criticalminerals powering the eMobility revolution is agenerational investment opportunity. Global Energy Metals believe thetime to be part of this electrification movement.

For FurtherInformation:

Global Energy MetalsCorporation

#1501-128 West PenderStreet

Vancouver, BC, V6B 1R8

Email: info@globalenergymetals.com

t. + 1 (604) 688-4219

www.globalenergymetals.com

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Cautionary Statementon Forward-Looking Information:

Certain informationin this release may constitute forward-looking statements underapplicable securities laws and necessarily involve risks associatedwith regulatory approvals and timelines. Although Global Energy Metalsbelieves the expectations expressed in such forward-looking statementsare based on reasonable assumptions, such statements are notguarantees of future performance and actual results or developmentsmay differ materially from those in the forward-looking statements.Except as required by law, the Company undertakes no obligation toupdate these forward-looking statements in the event thatmanagement’s beliefs, estimates or opinions, or other factors,should change.

GEMC’s operationscould be significantly adversely affected by the effects of awidespread global outbreak of a contagious disease, including therecent outbreak of illness caused by COVID-19. It is not possible toaccurately predict the impact COVID-19 will have on operations and theability of others to meet their obligations, including uncertaintiesrelating to the ultimate geographic spread of the virus, the severityof the disease, the duration of the outbreak, and the length of traveland quarantine restrictions imposed by governments of affectedcountries. In addition, a significant outbreak of contagious diseasesin the human population could result in a widespread health crisisthat could adversely affect the economies and financial markets ofmany countries, resulting in an economic downturn that could furtheraffect operations and the ability to finance itsoperations.

For more informationon Global Energy and the risks and challenges of their businesses,investors should review the filings that are available atwww.sedar.com.

Neither TSX VentureExchange nor its Regulation Services Provider (as that term is definedin the policies of the TSX Venture Exchange) accepts responsibilityfor the adequacy or accuracy of this release.

We seek safeharbour.

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