Namibia Critical Metals Heavy Rare Earth Project

source：Yahoo Finance

Namibia Critical Metals Inc. ('Namibia Critical Metals' or the 'Company' or 'NMI') (TSXV:NMI) is pleased to provide an update on progress on the Lofdal Heavy Rare Earth Project in northern Namibia 'Lofdal' or 'the project'). Lofdal is a joint venture between the Company and Japan Oil, Gas and Metals National Corporation ('JOGMEC') which is operating under a Term 1 budget of CD$4,100,000 (Company press release September 21, 2020). Highlights of the program to date are as follows:

14,000 m diamond drilling completed in last 8 months with positive results confirming unique primary heavy rare earth mineralisation of district scale

Significant extension of Area 4 deposit along strike and at depth (highest grade intercept 3 m @ 1,773 ppm Dy2O3), deposit remains open to the west and at depth

First systematic resource drilling of a satellite heavy rare earth deposit completed at Area 2B with positive results. Drilling confirms two to three subparallel dysprosium mineralized zones (highest grade intercept from first 7 analysed boreholes 1 m @ 893 ppm Dy2O3); Area 2B to be added to 43-101 resource estimate

Site due diligence for 43-101 report completed by MSA Group. Updated resource estimate on schedule for delivery end of March 2021

Drilling program continues with two rigs for further infill drilling at Area 4 in December, and a systematic drill test of a second satellite deposit at Area 5C in January-February 2021.

Don Burton, President of Namibia Critical Metals stated 'Drilling has now extended the strike length of Area 4 by 60%, from 700 meters to 1,125 meters, and the provision of an additional $1.1M has allowed us to accelerate drilling with two rigs and to add our first satellite deposit to the resource estimation. The delivery of an updated resource estimate remains on schedule following the site visit by MSA Group which was a key component of their technical due diligence for the 43-101 report. This has been a very successful drilling campaign. An impressive amount of work has been completed on Lofdal and we are particularly grateful to our team in Namibia for their dedication to getting the job done during these extraordinary times, and to JOGMEC for their diligent support.'

The Lofdal Heavy Rare Earths Project is located 450 kilometers northwest of the capital city of Windhoek in the Kunene Region of north-western Namibia. The project area covers 314 square kilometers centered on the Lofdal carbonatite complex which hosts a number of rare earth occurrences, including the Area 4 deposit. Mineralization at Area 4 is dominated by xenotime, which is highly enriched in heavy rare earths.

Lofdal is unique as one of only two primary xenotime deposits under development in the world, the other deposit being Browns Range in Australia. As demonstrated in the Preliminary Economic Assessment1 Lofdal has the potential for significant production of dysprosium and terbium, the two most valuable heavy rare earths used in high powered magnets. The joint venture with JOGMEC is driven by Lofdal's potential to be a long term, sustainable supply of heavy rare earths for Japan.

Drilling Program Summary and Highlights

Drilling in the Term 1 program has focused on doubling the size of the existing Area 4 resource. With the injection of an additional CD$1,100,000 to the Term 1 budget (Company press release September 12, 2020) sufficient drilling has now been completed to add Area 2B to the planned 43-101 update. Results from the first ten holes in Area 4 were previously reported (Company press release June 18, 2020) and results from an additional thirteen holes in Area 4 and seven holes in Area 2B are reported here. Reconnaissance drilling on the Northern Splay and Dolomite Hill targets did not return significant results. Drilling will be completed in Area 4 in December and following the Christmas beak, will resume in Area 5C where additional resource targets will be evaluated.

Expansion of the Area 4 Resource

The main objective of the Area 4 drilling program is to double the size of the current mineral resource which covers a strike length of 700 meters to depths of 125-225 vertical meters. At a cut-off grade of 0.10% TREO the current mineral resource1 is estimated to be:

Drilling at Area 4 has now extended the strike length of the mineralized zone from 700 meters to 1,100 meters and to depths of 250-350 vertical meters (Figure 1). The MSA Group ('MSA') of South Africa has been engaged to update the Area 4 resource which will incorporate all the new drilling and is scheduled for delivery before March 31, 2021. As part of its due diligence process, MSA has recently completed a one week site/in-country visit to review all technical aspects of the project including the Company's standard operating procedures and quality assurance quality control ('QAQC') programs. Considerable time was dedicated to vetting the geological model and continuity of the mineralization. Following recommendations from MSA, nine drill holes will be completed in the central part of the deposit to increase the level of confidence in resource classification before drilling stops in mid December (Figure 1).

Procedures with regards to drilling practices, sampling procedures, security of transport and analytical procedures as per recommendations in the Canadian Institute of Mining, Metallurgy and Petroleum CIM's Best Practices Guidelines (2018), which includes strict internal QAQC procedures for the insertion of blanks, standards and duplicates. QAQC samples account for 10% of samples submitted in each batch. Sample preparation and analytical work for the drilling program is being provided by Activation Laboratories Ltd. ('Actlabs' Windhoek, Namibia and Ancaster, Ontario) employing appropriate crushing and pulverization procedures (Actlabs Code RX-1) on half sawn core samples provided from the selected intervals, and utilizing lithium metaborate/tetraborate fusion and ICP-MS techniques suitable for rare earth element analyses (Actlabs Code 8). Activation Laboratories is an ISO/IEC 17025 accredited laboratory.

Development of Area 2B as Satellite Deposit

Following discussions with the Joint Venture Management Committee, JOGMEC provided additional funds to the Term 1 budget (Company press release September 21, 2020) that provided for drilling in Area 2B with the objective of confirming the potential to develop additional resources in satellite deposits at Lofdal. Area 2B is located three kilometers northwest of Area 4 and was first identified by trenching and reconnaissance drilling in 2011. Seventeen holes were drilled in the area for a total of 2,133 meters, however no historic resource estimate was developed. An additional 4,400 meters of drilling has now been completed in 29 holes (Figure 2) and following consultation with MSA, it has been agreed that sufficient work has been completed to undertake a maiden resource for this zone.