Usha Resources Acquires Second Ontario Lithium Project with 119 Reported Prospective LCT-Pegmatites

The Nym Property is the second acquisition of Usha’s planned expansion into the hard-rock pegmatite space and is a continuation of the Company’s strategy to build an accretive portfolio of highly complementary hard-rock assets to its 100% owned flagship Jackpot Lake Lithium Brine Project, where it recently tripled its land position (see the Company’s news release dated February 28, 2023 ) and is progressing with its maiden drill program with a goal of defining a 43-101 compliant resource (see the Company’s news release dated February 16, 2023 ).

Nym Property

The Nym Property, located in the Thunder Bay Mining Division near Atikokan, Ontario, is contiguous with the recently acquired White Willow Lithium-Tantalum Property (“ White Willow ”, see the Company’s news release dated March 28, 2023 ), and expands the existing 712 claim block to a total of 720 claims, adding 170 hectares to the 15,510 hectares the Company has already optioned (Figure 1).

The Property is located approximately 500 metres along strike from the Maple Leaf Dike on the White Willow Property which is confirmed to host a fertile lithium-cesium-tantalum (“LCT”) system with samples assaying as high as 0.5% Li 2 O and 14.64% Ta 2 O 5 in and around the dike with coarse-grained tantalite present. Coarse-grained tantalite is only known to be found at one other locality in Ontario which is the North Aubrey pegmatite at Green Technology Metals (GT1) Seymour Lake Project where GT1 has identified a 9.9 Mt resource at 1.04% Li 2 O.

Similar to White Willow, the Property is under explored, with only three of 119 mapped pegmatites reported to be present by Bandore Resources, the former owners of the property, assessed in the limited modern exploration completed to-date. The assessed pegmatites, however, have been confirmed to be white pegmatites with highly anomalous lithium up to 520 ppm (>50 ppm is considered anomalous). Furthermore, drilling conducted for precious and base metals has identified pegmatite intersections as thick as 40 metres, suggesting that similar to the White Willow Property, the Nym Property pegmatites may also be highly fractioned LCT-pegmatites that bear spodumene and other LCT-minerals, particularly as they are located 500 metres away on trend from the Maple Leaf Dike. “We are very pleased to add the Nym Project to our growing portfolio of hard-rock lithium assets,” said Deepak Varshney, CEO of Usha Resources. “This property, collectively with White Willow, presents a unique and timely opportunity to capitalize on the rapidly growing lithium market in Canada. We believe this project has the potential to join an emerging group of Tier-1 projects in Ontario such as the Seymour Lake Lithium Project, the Georgia Lake pegmatite field, and the Separation Rapids Lithium deposit, and we look forward to beginning exploration work shortly with the goal of drilling White Willow and Nym in 2023.”

Figure 1 - Local area map outlining the location of the Nym Property with respect to the larger White Willow Lithium-Tantalum Property. The two highly evolved LCT-pegmatite dikes, one of which has the “Maple Leaf Showing”, are located approximately 500 metres along strike to the northeast. These dikes have been the focus of the limited exploration work completed thus far with samples assaying as high as 0.5% Li2O and 14.64% Ta2O5 in and around the dikes. The LCT-pegmatite dike hosting the “Maple Leaf Showing” appears to be at least 50 metres wide and outcrops for approximately 350 metres long strike and has coarse-grained tantalite present. The coarse-grained tantalite is only known to be found at one other locality in Ontario which is the North Aubrey pegmatite at Green Technology Metals (GT1) Seymour Lake Project where GT1 has identified a 9.9 Mt resource at 1.04% Li2O.

Figure 2 - Regional map overlaying the location of Usha’s White Willow Project with respect to other significant projects in the area. The newly acquired Nym Project will be amalgamated with Usha’s existing White Willow Project.

The Terms of the Agreements

Pursuant to the Option Agreement, the Company may acquire a 100% interest in the Property by paying a total of $100,000 and issuing an aggregate of 600,000 common shares in the capital of the Company as indicated in the table below:

The Company has granted to each of the Vendor and Assignor a 2% net-smelter returns royalty (the “ NSR ”). The Company may purchase two-thirds of the net-smelter returns royalty (the “ NSR ”) from the Vendor and Assignor at any time for consideration of $1,000,000.

The Option Agreement remains subject to the approval of the Exchange.