Mr. Jason Latkowcer reports

PAN AMERICAN ENERGY CORP: EXPLORATION PERMIT ISSUED FOR THE BIG MACK LITHIUM PROJECT, ONTARIO

Pan American Energy Corp. has received an exploration permit (PR-23-000091) from the Ontario Ministry of Mines for the Big Mack lithium project. The company has identified several high-priority drill targets as a result of field sampling and geophysical work completed earlier this year which it intends to drill as part of the planned exploration program. The company's contractor partner, Axiom Exploration, will support the planned exploration work, including project management, drill program design, geological data collection, testing and technical reporting.

Project highlights:

• Over 20 pegmatites identified across the property with three priority targets -- Big Mack, Eleven zone and Sprinkler/6059, which will be the focus of the planned exploration program.
• The property is adjacent to Avalon Advanced Material Corp.'s flagship Separation Rapids joint venture project, the Big Whopper, which has an estimated measured and indicated mineral resource of 10.08 million tonnes averaging a grade of 1.35 per cent lithium oxide (Li2O).
• The company has completed a magnetic survey, lidar (light detection and ranging) survey and prospecting program with multiple high-priority drilling targets identified, which the company intends to drill as part of the planned exploration program.
• Prior surface samples taken from the property graded up to 3.21 per cent Li2O, with sample values above 1 per cent Li2O from the Eleven, Big Mack and 6059 zones, all with visible petalite on surface.
• The property is accessible by road and is located approximately 80 kilometres north of Kenora, Ont.

"We are thrilled to have received this exploration permit from the Ontario Ministry of Mines and look forward to getting to work in the coming weeks," said Jason Latkowcer, chief executive officer at Pan American. "The previous work on the property has allowed us to refine our drill targeting. We have identified some incredible targets in the program design." Mr. Latkowcer continued: "We would like to acknowledge that the Big Mack project lies within the traditional land use area of the Wabaseemoong independent nations of Whitedog, Ont. We are committed to conducting operations in accordance with applicable environmental laws and in collaboration with the local community."

Qualified person

The technical content of this news release has been reviewed and approved by Lynde Guillaume, PGeo, who is a consulting geologist of Axiom Exploration, an independent consultant of the company, and a qualified person as defined by National Instrument 43-101.

For additional information regarding the company's surface sampling program at the property, including a complete summary of the samples collected and the results of the sampling program, and the sampling and analytical methods, and quality assurance/quality control (QA/QC) protocols, please see the company's news release dated Aug. 9, 2023, which is filed on the company's SEDAR+ profile.

About the property

The property is located two kilometres east of all-weather Snook Lake Road about 80 km north of Kenora, Ont. The property is proximal (approximately 1.3 km) to Avalon's Separation Rapids, Big Whopper deposit, which hosts a measured and indicated resource. The property is within an Ontario registered mining lease, with over 30 years of exploration history. The property lies within the traditional land use area of the Wabaseemoong independent nations of Whitedog, Ont. -- an aboriginal community located approximately 35 km southwest of the property.

The property hosts four known lithium-bearing pegmatites, including the Big Mack pegmatite, Eleven zone, Sprinkler zone and 6095 pegmatite, which are thought to be related to the Separation Rapids pluton. They are interpreted as zoned complex type, petalite subtype LCT (lithium-cesium-tantalum) pegmatites. The Big Mack pegmatite represents the largest petalite-bearing mass on the property and is exposed over an 80 m by 225 m area. Historic drilling campaigns (1998, 1999 and 2001) intersected mineralization extending along a strike length of approximately 150 metres and to a depth of 75 metres. The mineralization at the property remains open at depth and along strike.

About Pan American Energy Corp.

Pan American Energy is an exploration-stage company engaged principally in the acquisition, exploration and development of mineral properties containing battery metals in North America.

The company executed an option agreement in Canada with Magabra Resources providing for the right to acquire up to a 90-per-cent interest in the drill-ready Big Mack lithium project, 80 kilometres north of Kenora, Ont. The company has also entered a property option agreement with Horizon Lithium LLC providing for the right to acquire a 100-per-cent interest in the Horizon lithium project, located within Esmeralda county-Tonopah lithium belt, Nevada, United States.

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