10^th April 2024

Fulcrum Metals plc

("Fulcrum" or the "Company" or the "Group")

Option Agreement to Acquire 100% of Sylvanite Gold Tailings Project

- Fulcrum to expand tailings portfolio and increase footprint in Kirkland Lake Gold Camp -

Fulcrum Metals plc (LON: FMET), a company focused on mineral exploration and development in Canada, is pleased to announce that its wholly owned subsidiary Fulcrum Metals (Canada) Ltd ("FMCL") has entered into an option agreement (the "Mining Option Agreement") to acquire a 100% interest in the Sylvanite Gold Tailings project ("Sylvanite"), located in Kirkland Lake, Ontario, Canada.

Sylvanite, an ex-producing mine, is strategically located 3km from Fulcrum's Teck-Hughes Gold Tailings project, the Company's first tailings investment (see announcement released on 30 November 2023) and significantly expands its footprint in the Kirkland Lake Gold Camp, one of the most productive gold camps in Canada.

Highlights

·    Option to acquire 100% of the Sylvanite Gold Tailings Project

o  Fourth largest gold producing mine in the Kirkland Lake gold camp having milled 4.58 million tonnes of ore and produced 1.67 million ounces between 1927 and 1961

·    Historic tailings resource estimate of up to 67,051 ounces of gold which cannot be currently classified in accordance with NI 43-101.

·    Based on recovery test work undertaken in 2008 it was suggested that a combination of gravity, grinding and flotation techniques might be able to boost the recovery of gold from tailings to 70%.

·    Larger scale pilot plant tests were performed in 2010 and 2012 using up to 850kg of sample material which recovered approximately 65-72% of gold to a rougher concentrate**.

·    Based on these results, the October 2012 continuous pilot plant campaign (undertaken by Advanced Reclaim Inc) was considered successful with the primary objectives of:

o  demonstrating a viable and scalable non-chemical mineral processing approach to recovering a saleable gold concentrate; and

o  leaving reprocessed tailings with properties suitable for use as a subsoil when restoring vegetation cover on the former tailings area.

·    Sylvanite is less than 3km from the Teck Hughes Gold tailings project which represents an opportunity for Fulcrum to optimise resources and leverage synergies across both projects

·    Sylvanite and Teck-Hughes provide Fulcrum with the potential to become cash generative using Extrakt's proven tailings technology

Ryan Mee, Chief Executive Office of Fulcrum Metals plc, commented:

"We are thrilled to sign our second gold tailings agreement and add Sylvanite to our project portfolio. Sylvanite is less than 3km from our first gold tailings investment, Teck-Hughes. This not only enhances our presence in the Kirkland Lake gold camp, one of the most productive gold camps in Canada, but provides us with an opportunity to create a tailings hub and, therefore, economies of scale.  

"Historic results confirm that Sylvanite has the potential to become a viable project, particularly in light of the current gold spot price hovering around USD$2,200 per ounce, whilst our estimated acquisition cost is less than USD$3.80 per ounce. Investing in these tailings projects presents an exciting opportunity for Fulcrum as it brings low discovery risk assets in established mining camps into our portfolio which are less capital-intensive to advance to production and cash flow. This approach not only conserves cash resources but offers significant upside potential to Fulcrum shareholders.

"Sampling at Sylvanite and test work with Extrakt Process Solutions will follow once the current test work programme at Teck-Hughes is completed. I look forward to updating the market on our progress as we seek to evolve into a significant exploration and development company".

Extrakt Process Solution

Fulcrum is in discussions with Extrakt Process Solution ("EPS") to licence efficient and sustainable, separation technology to enhance recoveries of precious metals and de-water the tailings after the process. Fulcrum will provide a further update once all parties have finalised the scopes and executed the necessary agreements. Notably, EPS recently announced a strategic global alliance with Bechtel Energy Technologies and Solutions , Inc. ("Bechtel") to commercialise Extrakt's ground breaking TNS^TM technology (see https://www.bechtel.com/newsroom/press-releases/extrakt-and-bechtel-partner-to-commercialize-groundbreaking-solid-liquid-separation-technology/).  

Summary of Acquisition Terms

Mining Option Agreement

Under the terms of the Mining Option Agreement, Thomas O'Connor (the "Optionor") has granted Fulcrum (the "Optionee") an option to acquire a 100% interest in the Sylvanite Tailings Project. In consideration for the grant of the option Fulcrum shall make payments to the Optionor as follows:

·    'On signing' cash to be paid within 10 business days of signing the Mining Option Agreement;

·    Shares in CA$ value to be paid at the 10-day Volume Weighted average price on, or before, the anniversary dates of signing the Mining Option Agreement;

·    Fulcrum retains the right to pay part, or all, of the share payments in cash; and

·    Fulcrum will grant the Optionor a 1.5% Net Smelter Return Royalty (the "NSR Royalty").

Once the payments above have been made, which at Fulcrum's discretion can be made in full prior to the stated dates, Fulcrum may exercise the option to acquire a 100% interest in the Sylvanite Tailings Project.

Fulcrum also has the right to terminate the Mining Option Agreement by giving 30 days' notice at any time and in the event of the Option being terminated Fulcrum would not be required to make any further payments to the Optionor.

Buy Back of Royalty

In addition, FMCL has an option to purchase 0.75% of the NSR Royalty (thereby reducing the NSR Royalty rate payable to the Optionors from 1.5% to 0.75%) for CAD500,000, at any time, or from time to time, after the NSR Royalty has been granted.

Sylvanite Gold Mine Tailings Project

The Sylvanite Gold Mine Tailings Property (the "Property") is located within the Timiskaming District, approximately 3 kilometres north of Kirkland Lake, Ontario (Figure 1).

The Property comprises of eight contiguous mineral claims consisting of 19 mining claims (179.4 hectares) covering tailings associated with the historic Sylvanite gold mine in the Kirkland Lake camp.   Located just 2.8km north east of the Teck-Hughes gold mine where Fulcrum already has an option to acquire a 100% interest in the former mine gold tailings project (see announcement released by Fulcrum dated 30 November 2023), Sylvanite's tailings have a historic resource estimate of up to 67,051 ounces of gold which cannot be currently classified in accordance with NI 43-101.

The Property hosts the tailings from the output of the Sylvanite Mine which, between 1927 and 1961, is reported to have produced approximately 1.67 million ounces of gold from over 5 million tons (4.58 million tonnes) of ore, at an average recovered grade of 0.332 oz/ton gold (10.38g/t Au), making it the fourth largest gold producer in the Kirkland Lake gold camp from 36 historic mines.

A 1986 report filed on the Property estimated a tailings resource* of 4.52 million tons (4.14 million tonnes) grading 0.015 oz/ton gold (0.47g/t Au).

In 2008 a 30m x 25m sampling grid was established with drilling to base of tailings to obtain samples for assay and recovery test work - 1.22m sample length in 149 holes totalling 926.6m - with a maximum tailings thickness of 12.2m reported. An average grade of 0.541g/t Au was reported in the 20 holes fully sampled and assayed.

Based on recovery test work undertaken in 2008 it was suggested that a combination of gravity, grinding and flotation techniques might be able to boost the recovery of gold from tailings to 70%.

Larger scale pilot plant tests were performed in 2010 and 2012 using up to 850kg of sample material which recovered approximately 65-72% of gold to a rougher concentrate**.

Based on these results, the October 2012 continuous pilot plant campaign was considered successful in the primary objectives of:

o  demonstrating a viable and scalable non-chemical mineral processing approach to recovering a saleable gold concentrate; and

o  leaving reprocessed tailings with properties suitable for use as a subsoil when restoring vegetation cover on the former tailings area.

\* These mineral resource estimates cannot be relied on as they are pre-National Instrument 43-101 and a Qualified Person has not done sufficient work to classify the historic estimates as current mineral resources. The potential quantity and grade is conceptual in nature, and it is uncertain if further exploration will result in the delineation of a mineral resource.

**It should be noted that confirmation of the reported tailings metallurgy and gold recovery will require further on-site sampling as part of future environmental baseline and mine planning activities. Further understanding of the tailings bed composition and surrounding topography is essential to design a minimally-invasive tailings management facility that promotes on-site tailings processing, remediation and disposal.

Figure 1 - property location

Qualified Person Statement

The technical information in this announcement has been reviewed by Edward (Ed) Slowey, BSc, PGeo, technical advisor to Fulcrum Metals Plc. Mr Slowey is a graduate geologist with more than 40 years' relevant experience in mineral exploration and mining and a founder member of the Institute of Geologists of Ireland. Mr Slowey has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which has been undertaken to qualify as a "Qualified Person" in accordance with the AIM Rules Guidance Note for Mining and Oil & Gas Companies. Mr Slowey consents to the inclusion in the announcement of the matters based on their information in the form and context in which it appears.

-Ends-

For further information please visit https://fulcrummetals.com/ or contact:

Notes to Editors

FULCRUM METALS - BACKGROUND

Fulcrum Metals PLC (LON: FMET) is an AIM quoted exploration company which finances and manages exploration projects focused on Canada, widely recognised as a top mining jurisdiction.

Fulcrum currently holds a beneficial 100% interest in highly prospective gold and base metals projects in Ontario and Uranium projects in Saskatchewan.

Fulcrum's strategy is to focus on discovery and commercialisation of its Projects through targeted exploration programmes. The primary focus is to make an economic discovery on the flagship Schreiber-Hemlo Properties and to establish the prospectivity of its wider Ontario and Saskatchewan portfolio with a view to securing potential joint venture and/or acquisition interest.

The Schreiber - Hemlo properties have a history of prospecting and localised extraction since the late 19th century. However, coherent property-level exploration programmes have been limited or absent, particularly in recent times. Fulcrum has an opportunity to carry out such a programme and this approach provides the best opportunity to fully explore the significant prospectivity of the properties. A recent structural study identified 42 priority exploration targets, of which 24 targets within the Big Bear property and 18 in the Jackfish property, with 14 in total (9 on Big Bear and 5 on Jackfish) being ranked as high priority for follow-up. The properties have the potential to host a large, structurally controlled, stratabound-style banded iron formation (BIF) gold prospect similar to the Musselwhite deposit (McNicoll et al., 2016), in addition to an Archean greenstone, orogenic-style lode gold prospect, extending past the bounds of known historical mineral occurrences.

The Tully property, 458 hectares in area, is located 30 kilometres northeast of Timmins, Ontario and includes the Tully (Timmins North) deposit, which has been the focus of several drilling campaigns since its discovery in 1969. The Tully deposit is located 2 kilometres southwest of the Bradshaw Gold Project of Gowest Gold Ltd., currently in development. The property is accessed by an all-weather gravel road that extends 15 kilometres to the east off of highway 655.

While highly prospective, Fulcrum's mining assets are in the exploration phase, so Fulcrum stands to be able to add significantly to the inherent value through exploration success. Fulcrum will continually review opportunities with potential and with a view to increasing shareholder value. It is the Board's intention to deliver medium and long-term growth and to establish the Group as a significant exploration company.