Nexmetals' Selebi met work shows smelter not required

Mr. Morgan Lekstrom reports NEXMETALS ANNOUNCES SELEBI MINES METALLURGICAL BREAKTHROUGH: UNLOCKS ABILITY TO PRODUCE SEPARATE HIGH-GRADE SALEABLE COPPER & NICKEL-COBALT CONCENTRATES Nexmetals Mining Corp. has released outstanding results from the recently completed comprehensive bulk-sample-based metallurgical program at its past-producing copper-nickel-cobalt Selebi mines in Botswana. These breakthrough results represent a significant milestone for the company. The optionality to produce both a saleable copper concentrate and a saleable nickel concentrate with cobalt supports potential restart scenarios with significantly lower capital intensity and decreased execution risk. Based on these results, the company now has an alternative path forward in which an on-site smelter or hydrometallurgical facility may not be required, significantly derisking the capital requirements and operational complexity of future production at the Selebi mines. For the first time since production began, the Selebi mines will benefit from a flow sheet design that results in lower energy requirements and a substantially reduced environmental footprint when compared with historical operations. Over all, the Selebi mines are now potentially positioned for a faster and more efficient restart. Highlights, what this means: Alternative development option: These results suggest that an on-site smelter or hydrometallurgical plant may not be required, reducing a major capital and execution risk for the Selebi mines. Streamlined, sustainable operations: A smaller land footprint, lower energy demand and no need for specialized smelter/hydrometallurgical skill sets significantly reduce operational complexity. Baseline results with upside: Mineralogical studies and flow sheet optimization under way with the objective of improving recoveries. Commercial advantage: High-grade concentrates materially expand the commercial pathways available to the company, providing flexibility in future potential offtake negotiations. Major milestone achieved: Metallurgical breakthrough: These results could significantly strengthen Selebi mines' project, potentially creating a low-capital, low-execution-risk option for future production. Excellent initial recoveries with the objective to increase recoveries: Copper concentrate -- 87.0-per-cent-copper recovery; Nickel concentrate -- 55.9-per-cent-nickel recovery and 64.7-per-cent-cobalt recovery. High-grade saleable concentrates: Copper concentrate -- 27.6 per cent Cu Nickel concentrate -- 10.5 per cent Ni and 0.59 per cent Co. Next steps: Complete mineralogical studies on copper rougher tailings and nickel cleaner tailings streams to better understand nickel losses; Assess finer regrind opportunities to improve nickel liberation and recovery; Conduct batch tests on Selebi Main and Selebi North material individually; Use results to optimize the flow sheet and mining sequence to drive higher overall recoveries; A concentrate quality assessment is under way with assay results expected in the coming weeks. Morgan Lekstrom, chief executive officer of the company, commented: "This is the largest transformational step forward for the Selebi mines that could materially change this asset. We now have the optionality to generate two separate saleable copper and nickel-cobalt concentrates, which may reduce or remove the need for capex to build a smelter/hydrometallurgy plant. This was a full underground bulk sample from both the Selebi North and Selebi Main deposits, representing what an operational profile would look like, another choice we made to derisk the future of this asset. This breakthrough reduces execution risk, broadens offtake opportunities and provides a pathway to a potential restart of the project with significantly lower capital costs. Results from this new metallurgical direction, together with ongoing resource expansion drilling, will be incorporated into an updated mineral resource estimate which we anticipate will demonstrate a significant improvement over the previous estimate. This is a key milestone that unlocks significant value for our shareholders." Technical details The metallurgical testing was carried out by Blue Coast Research, in Parksville, B.C., Canada, to evaluate the metallurgical performance of the Selebi material. The metallurgical flow sheet used is conventional, with a primary grind size of 75 microns (P80), sequential flotation with simple chemistry and a regrind of 35 microns (P80). The current testwork is appropriate for a future economic study, with further optimization expected as the project progresses. Additional variability testing on Selebi Main and Selebi North (N2/N3/South Limb) will support sequencing and help enable a path forward for a potential future restart. Locked cycle testing achieved a nickel recovery of 55.9 per cent. Of the nickel not recovered, 2.5 per cent reported to the copper concentrate, which is not payable, while the rest was lost to copper rougher tailings (24 per cent) and nickel cleaner tailings (17.6 per cent), as presented in Table 1. Losses in the cleaning stage were higher than typical for sequential circuits, suggesting opportunities to improve recovery. Some of these losses are likely due to fine pentlandite grains locked within pyrrhotite, which could be liberated with finer regrinding. Mineralogical studies are under way to confirm this, and future flotation optimization testwork is planned to target higher nickel recoveries. Note, the calculated head grade in the locked cycle test is above the MRE head grade for Selebi mine, which may result in higher recovery. This will be checked in the aforementioned variability testing. Qualified persons All scientific and technical information in this news release has been reviewed and approved by Norman Lotter, PEng, PrEng, CEng, FSAIMM, FIMM, consulting engineer, and by Sharon Taylor, vice-president, exploration, of the company, who are qualified persons for the purposes of National Instrument 43-101, qualified persons for the purposes of National Instrument 43-101 and Subpart 1300 of Regulation S-K. Technical report The mineral resource estimate on the Selebi mines is supported by the technical report entitled "Technical Report, Selebi Mines, Central District, Republic of Botswana," and dated Sept. 20, 2024 (with an effective date of June 30, 2024), and prepared by SLR Consulting (Canada) Ltd. for Nexmetals. Reference should be made to the full text of the Selebi technical report, which was prepared in accordance with NI 43-101 and Subpart 1300 of Regulation S-K and is available on SEDAR+ and EDGAR, in each case, under Nexmetals' issuer profile. About Nexmetals Mining Corp. Nexmetals is a mineral exploration and development company that is focused on the redevelopment of the previously producing copper, nickel and cobalt resources mines owned by the company in the Republic of Botswana. Nexmetals is committed to governance through transparent accountability and open communication within its team and its stakeholders. Nexmetals' team brings extensive experience across the full spectrum of mine discovery and development. Collectively, the team has contributed to dozens of projects, including work on the company's Selebi and Selkirk mines. Senior team members each have on average more than 20 years of experience spanning geology, engineering, operations and project development. We seek Safe Harbor.