District Applies for Additional Mineral Licenses over Alum Shale Energy Metal Targets in Sweden

Vancouver, British Columbia--(Newsfile Corp. - February 28, 2024) - District Metals Corp. (TSXV: DMX) (OTCQB: DMXCF) (FSE: DFPP) ("District" or the "Company") is pleased to report that Bergslagen Metals AB (a 100% owned Swedish subsidiary of District) has applied for eight mineral licenses covering a total area of 91,470 hectares (Figures 1 and 2). These applications target Alum Shale deposits, and have been registered with Bergsstaten (Mining Inspectorate of Sweden) to permit the exploration of vanadium, nickel, molybdenum, zinc, and other elements located in central and north-central Sweden. Bergsstaten is expected to reach a decision on the Company's mineral license applications in the coming weeks.

Although there is currently a moratorium on uranium mining and exploration in Sweden, the Swedish Government has recently initiated an inquiry into abolishing the ban on uranium mining and exploration (February 26, 2024 news release).

District consolidated 100% of the Viken Energy Metals Deposit on January 15, 2024 (news release here), which is the largest undeveloped Alum Shale uranium-vanadium-potash-molybdenum-nickel-copper-zinc deposit in Sweden, and amongst the largest deposits based on total historic mineral resources of uranium and vanadium in the world.

Alum Shale deposits in Sweden typically contain a large inventory of critical energy metals that will be required as part of the green energy transition. In addition, potentially viable Alum Shale deposits are large and shallow, which simplifies and lowers the cost of the exploration, discovery, and development stages.

Highlights:

  • Mineral License application Viken nr 4 will increase the area of the Viken Property from 9,367 hectares (ha) to 37,211 ha.

  • Mineral License applications T?sj? nr 106 to 108 will increase the area of the T?sj? Property from 15,625 ha to 34,317 ha.

  • Mineral License applications Malgomaj 1001 to 1003 is a new property that covers an area of 37,131 ha, and is located northeast of the T?sj? Property.

  • Mineral License application ?sterk?len nr 101 is a new property that covers an area of 7,803 ha, and is located southeast of the T?sj? Property.

Garrett Ainsworth, CEO of District, commented: "The Alum Shale Formation in Sweden is vast and insufficiently explored. As a result, it represents an opportunity to be a significant contributor to the green energy transition in Sweden, Europe, and elsewhere.

"These licence applications are the product of an elaborate methodology to vector in on high priority Alum Shale deposit targets developed by District in partnership with GeoVista AB. Alum Shales are radioactive and low-resistivity which is visible with airborne radiometric and Very Low Frequency (VLF) data, respectively. Also, potentially viable Alum Shale deposits need to be thickened substantially via structural thrusting, which is identifiable using detailed geological maps provided by the Swedish Geological Survey (SGU). Finally, glacial till geochemical data and a compilation of historical exploration work refined our selection of target Alum Shale deposits."