Mr. Rishi Kwatra reports

NEW ENERGY METALS ANNOUNCES OPTION AGREEMENT FOR ATIKOKAN LITHIUM PROPERTY AND AMENDS TROITSA AGREEMENT

New Energy Metals Corp. has entered into an option agreement dated July 28, 2023, to acquire a 100-per-cent interest in the highly prospective Atikokan lithium property. The property consists of four mining claims comprising 3,788 hectares and is located approximately 12 kilometres east of Atikokan, Ont.

The claims straddle the contact between a peraluminous S-type muscovite-bearing granite and metasediments within the Quetico subprovince. The Quetico-Marmion subprovincial boundary lies just four km north of the property. Numerous lithium deposits of Northwestern Ontario occur proximal to a subprovincial boundary (Breaks et al., 2003). Historically, the Atikokan area has documented strongly anomalous lake sediment results in lithium (Li), rubidium (Rb), cesium (Cs), gallium (Ga) and tin (Sn) (Jackson, 2001). Muscovite-bearing pegmatite dikes and small pegmatitc granite masses are widely exposed along Highway 11, between Nym Lake Road junction and west to Niobe Lake (McIlwaine and Larsen, 1981a and 1981b). In 2003, Breaks et al., took 16 bulk rock samples along Highway 11, largely within the property boundary. Bulk rock chemistry showed a significant number of anomalous lithium values. Lithium ranged from 11 parts per million to 164 ppm, with a mean content of 72 ppm, however, 25 per cent and 60 per cent of the data, respectively, exceeded 100 ppm and 50 ppm. Taylor (1964) states that lithium values exceeding 100 ppm indicate extreme fractionation.

The Gilbert Lake rare-element mineral occurrence, sample 01-JBS-78-07, within the property boundary, was the most evolved pegmatitic rock encountered by the survey. This beryl-type pegmatite contains maximum levels in this area for most rare-elements: beryllium (Be) (18 ppm), Cs (80 ppm), Li (99 ppm), Rb (524 ppm), Sn (177 ppm), tantalum (Ta) (20 ppm), niobium (Nb) (42 ppm) and Ga (81 ppm) (Breaks et al., 2003).

For the rare alkali metals, cesium was significantly enriched, seven to 25 times above its mean crustal abundance for 80 per cent of the data population, and varied from 3.9 ppm to 80 ppm. Many values exceeded 15 ppm, a level considered by Cerny and Meintzer (1988) to indicate significant fractionation in granitic systems. Rubidium had a range of five ppm to 534 ppm, and mean content of 270 ppm.

In essence, Breaks et al. (2003) summed up their reconnaissance prospecting and mapping with:

"The anomalous Li, Rb, Cs, Sn and Ga documented in the bedrock by this survey corroborate the earlier lake sediment geochemistry work of Jackson (2001). Exploration for rare-element mineralization in the area should therefore focus on the numerous lake sediment anomalies for these metals in the general area as there is a close correlation with bedrock chemical data at least in the Nym-Niobe lakes area. The discovery of columbite-tantalite group minerals and beryl by this survey gives strong indications that, with careful prospecting, further rare-element minerals may be discovered. The presence of elevated Ta contents in bulk muscovite at localities 01-FWB-126 and 01-JBS-81 suggests that they should be investigated further for possible tantalum mineralization."

Under the terms of the agreement, New Energy has the right to acquire a 100-per-cent interest in the property by making aggregate cash payments of $66,000 over a period of two years. The optionors will retain a 3-per-cent net smelter returns royalty (NSR).

The technical information contained in this news release has been reviewed and approved by Mike Kilbourne, PGeo, a qualified person as defined in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects.

The acquisition is an arm's-length transaction and qualifies as an exempt transaction pursuant to the policies of the TSX Venture Exchange.

The company also wishes to announce that it has amended the terms of the Troitsa option agreement, pursuant to which the company will issue 900,000 shares of the company to the optionor in lieu of the cash payment of $45,000 due in July, 2023. The company or its assignees will have the right of first refusal to purchase the shares. All other terms of the Troitsa agreement remain the same.

About New Energy Metals Corp.

New Energy is a Canadian-based resource company listed on the TSX Venture Exchange under the symbol ENRG. The company has an option to purchase a 100-per-cent interest in the Roslyn lithium property, covering 5,100 hectares located 20 kilometres southeast of the Georgia Lake pegmatite field and 35 kilometres southeast of where Rock Tech Lithium just published a preliminary economic assessment supporting the indicated mineral resource of 10.6 Mt (million tonnes) grading 0.88 per cent lithium oxide and an inferred mineral resource of 4.2 Mt grading 1.0 per cent Li2O. The company also has an option to purchase a 100-per-cent interest in the Troitsa copper property covering approximately 7,000 hectares located in the Omineca mining division of British Columbia.

We seek Safe Harbor.