Ms. Gordana Slepcev reports

LOMIKO ANNOUNCES UPDATE ON LA LOUTRE NATURAL FLAKE GRAPHITE STUDIES

Lomiko Metals Inc. has provided an update on the feasibility studies at the La Loutre natural flake graphite project in Quebec, Canada. In May, 2024, Lomiko Metals was awarded $8.35-million (U.S.) in Defense Production Act Title III funding from the United States' Department of Defense (DoD) through a technology investment agreement (TIA) and funding of $4.9-million from Natural Resources Canada (NRCan) to support further studies and anode material piloting at La Loutre. The company has activated the DoD funding and the NRCan funding contribution. The company is pleased to report that funds from its last financings in 2023 were applied to the early works on the phase 1 and phase 2 studies, including flow-through funding. In addition, Lomiko has been granted permission by the DoD to transfer the previously awarded funding from phase 2 works to phase 1, which provides further financing for the prefeasibility studies and enables the company to make more efficient use of capital by applying flow-through financing to the early stages of phase 2 works. With this transfer of funding, there is a redistribution of the cost sharing, where Lomiko covers the entire costs of metallurgical studies (phase 2) and the DoD covers the cost of the engineering studies for the prefeasibility study in phase 1 while still maintaining 50-50 cost allocations.

Gordana Slepcev, chief executive officer, president and director, stated: "We are pleased to advance phases 1 and 2 of the prefeasibility studies and metallurgical testing with anode piloting. This is a unique demonstration of a partnership that will benefit Quebec and Canada as we further develop the local critical minerals supply chain. Many contractors and consultants participate in these prefeasibility studies, and we are pleased to be working with local contractors in the Laurentides area as well as Quebec groups such as P3 Solutions, Corem, SGS, SoftDb and others for the works currently in progress."

The company provides the following updates.

Phase 1 -- prefeasibility study (PFS) and baseline data collection

Lomiko is in the planning stages of initiating the engineering studies to complete the PFS in 2025, subject to access to capital and permitting timelines. The studies to be completed include geotechnical drilling, engineering and power studies, and decarbonization studies for a net-zero project. Community engagement is considered throughout the study phases. The company has already accomplished approximately 50 per cent of the feasibility studies to date, including an updated mineral resource estimate (MRE) in May, 2023, which is available on the company's website. The company has also completed PFS-level metallurgical testing and battery studies. The company also intends to complete a preliminary economic assessment (PEA) of downstream material processing for downstream anode material.

Phase 2 -- metallurgical studies, battery and bulk testing

Regarding the bulk sample, Lomiko submitted its application for approval to extract a 200-metric-tonne-to-250-metric-tonne bulk sample from the EV zone in December, 2024. It also submitted the required documentation for ATI-impact-causing work in late January, 2025, as required in Quebec. Pending the permit issuance by the Quebec government, Lomiko aims to start the work on the bulk sample excavation in the second half of March/April, with the work taking approximately three to four weeks on site. Lomiko is following all requirements of the Quebec government and Ecologo best practices for the management of the drilling campaign, including noise management and community consultations. The activities for the bulk sample are effectively quarry operations as the bulk sample will be processed off site.

Lomiko is pleased to be creating jobs and working with Quebec contractors and operators on all the bulk sample work and the metallurgical work.

In terms of the Canadian Critical Mineral Research, Development and Demonstration Program, administered by NRCan to pilot the integrated graphite-upgrading process for coated spherical purified graphite (cSPG) anode grade product, Lomiko has a three-year agreement for a total cost of $6.6-million. NRCan will contribute up to $4.9-million in funding, and Lomiko will contribute the remaining $1.7-million amount. The company has already activated this contribution with submissions of spending by Lomiko and will be progressing to the first stage of work later in 2025 after completion of the bulk sample work, which consists of crushing, grinding and flotation of La Loutre graphite.

The company is also progressing the CRITM (Le Consortium de recherche et d'innovation en transformation metallique) grant, which completes in 2025, for lab testing on a 1,100-kilogram sample. Final results are expected in April, 2025, which will further enhance the company's knowledge of La Loutre graphite's rock-to-battery capability.

Corporate update

Management will present or participate at the following conferences and continue to lead discussions and community meetings regarding the development of graphite in Quebec, Canada, to meet the long-term demand for this critical mineral:

• Feb. 27 and Feb. 28, 2025, Red Cloud Financials, Toronto -- 2025 Pre-PDAC mining showcase:
  • Ms. Slepcev will provide the corporate update on Feb. 28, 2025, at 9:40 a.m.;
• PDAC (Prospectors & Developers Association of Canada) convention -- March 2 to March 5, 2025, Toronto, Metro Convention Centre:
  • Ms. Slepcev will present on Tuesday, March 4, 2025, at 10:50 a.m. during the session on Electric Materials 1 at Room 801B, Toronto Convention Centre.
  • Belinda Labatte, chair of the board, will present on Wednesday, March 5, 2025, at 10 a.m. in Room 715.

About Lomiko Metals Inc.

The company holds mineral interests in its La Loutre graphite development in Southern Quebec. The La Loutre project site is within the Kitigan Zibi Anishinabeg (KZA) First Nation's territory. The KZA First Nation is part of the Algonquin Nation, and the KZA traditional territory is situated within the Outaouais and Laurentides regions. Located 180 kilometres northwest of Montreal, the property consists of one large, continuous block with 76 mineral claims totalling 4,528 hectares (45.3 square kilometres).

The La Loutre property is underlain by rocks from the Grenville province of the Precambrian Canadian Shield. The Grenville province was formed under conditions that were very favourable for the development of coarse-grained, flake-type graphite mineralization from organic-rich material during high-temperature metamorphism.

Lomiko published an updated MRE in a National Instrument 43-101 technical report and mineral resource estimate update for the La Loutre project in Quebec, Canada, prepared by InnovExplo on May 11, 2023, which estimated 64.7 million tonnes of indicated mineral resources averaging 4.59 per cent Cg (graphitic carbon) per tonne for three million tonnes of graphite, a tonnage increase of 184 per cent. Indicated mineral resources increased by 41.5 million tonnes as a result of the 2022 drilling campaign from 17.5 million tonnes in 2021 MRE, with additional mineral resources reported downdip and within marble units resulting in the addition of 17.5 million tonnes of inferred mineral resources averaging 3.51 per cent Cg per tonne for 650,000 tonnes of contained graphite; and the additional 13,107 metres of infill drilling in 79 holes completed in 2022, combined with the refinement of the deposit and structural models, contributed to the addition of most of the inferred mineral resources to the indicated mineral resource category, relative to the 2021 mineral resource estimate. The MRE assumes a $1,098.07 (U.S.) per tonne graphite price and a cut-off grade of 1.50 per cent Cg.

In addition to La Loutre, Lomiko has earned in its 49-per-cent stake in the Bourier project from Critical Elements Lithium Corp. as per the option agreement announced on April 27, 2021. The Bourier project site is located near Nemaska Lithium and Critical Elements southeast of the Eeyou Istchee James Bay territory in Quebec, which consists of 203 claims for a total ground position of 10,252.20 hectares (102.52 square kilometres) in Canada's Lithium Triangle near the James Bay region of Quebec, which has historically housed lithium deposits and mineralization trends.

The company also holds interest in seven early-stage projects in Southern Quebec, including Ruisseau, Tremblant, Meloche, Boyd, Dieppe, North Low and Carmin, covering 328 claims in total on seven early-stage projects covering 18,622 hectares in the Laurentian region of Quebec and within KZA territory.

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