Geomega Announces $3M Grant from Quebec Government

Geomega Announces M Grant from Quebec Government

MONTREAL, Jan. 30, 2023 (GLOBE NEWSWIRE) — Geomega Resources Inc. (“Geomega” or the “Corporation”) (TSX.V: GMA) (OTC: GOMRF), a developer of clean mining and refining technologies, and Recycling of Rare Earths and Other Critical Materials, is pleased to announce that it has received a US$3 million grant from the Technoclimat program funded by the Department of Environment and Combating Climate Change, Wildlife and Parks (MELCCFP) is managing the construction of the magnet recycling demonstration facility. In addition, we are pleased to provide a technical update on both the Magnet Recycling Demonstration Plant and the Pilot Plant for Bauxite Tailings.

This non-dilutive MELCCFP funding will contribute to the construction of the magnet recycling demonstration facility with a throughput capacity of 1.5 tonnes per day of feedstock. The plant will then be used to demonstrate the economic, efficiency and environmental benefits of the technology. This funding is welcome given the additional costs resulting from the detailed engineering work, the equipment cost increases and the various delays in the project to date.

For more details on the funding, see the government notice at this link (in French only).

“We are very grateful to the Quebec government for their support of our project. The government’s commitment to green energy, electrification and decarbonization is unwavering. Additionally, the Quebec government understands that investing in innovation is critical to achieving these goals. Developing new technologies that make the future green while remaining competitive with older technologies is challenging, but continued government support over the past few years has enabled our team to achieve this. As we continue to procure equipment and move closer to the construction phase, we are one step closer to bringing the rare earth industry to Quebec,” commented Kiril Mugerman, President and CEO of Geomega.

Updated the magnet recycling demonstration facility
Engineering, procurement and construction preparation activities have progressed as planned over the past 3 months. Geomega retained the services of BBA, a Canadian engineering consultancy specializing in energy, mining and metals, oil, gas and biofuels, to complete the final phase of detailed engineering and prepare the project for construction. Work started in December 2022 and is expected to be completed in April/May 2023. The progress in the different sections of the project is detailed below. More information will be provided as these milestones are reached.

Process Design – Process Flow Diagrams (PFD) are complete. Piping and Instrumentation Diagrams (P&ID) are approximately 100% complete with only minor changes expected as the project progresses towards construction. Auxiliary Items – Instrument List, Valve List and Control System Design have been updated based on the latest P&ID version. Orders are expected to be placed in February. Gear and Packs – Ordering of gear and packs has continued for the last 3 months. The main equipment for the crushing and grinding circuit was received in December 2022. Further equipment for other parts of the facility is expected to be received in February 2023. Several equipment drawings are currently being finalized with the vendors and are expected to be released for construction no later than late February 2023. Pre-construction activities – Peripheral engineering design (structural and architectural design, HVAC and structural systems, drainage systems, etc.) has been contracted to BBA. Work started in December 2022 and is progressing as expected. The project’s technical risk assessment, conducted by an external group, provided only minor recommendations for compliance with industry best security practices. The full HAZOP (Hazard and Operability) study is scheduled for early February 2023 and will be conducted by BBA. Permitting activities started in Fall 2022 are progressing and will continue into 2023.Layout – The latest version of the layout and mechanical equipment design has been provided to BBA who will provide the 3D model of the facility. This work has now started and is progressing as planned. Supplemental Testwork – Laboratory scale testwork has continued for the past 3 months. The main goals of this work are the optimization and verification of the reagent demand and the process robustness compared to deviations in the operating conditions. Construction Activities – With BBA’s peripheral design and 3D model complete, the Company will request detailed construction proposals throughout 2023.

Bauxite tailings project update
Geomega is pleased with the progress of the Bauxite Residues project and management is optimistic about the potential of this project to drive exciting developments in 2023. Laboratory work continued to explore additional avenues to monetize different product streams and will continue throughout the year. Most of the equipment for the initial phase of the pilot plant covering the core of the conversion process has been received. The layout of this phase of the pilot plant has been completed and installation began in January 2023. The continuous pilot plant is expected to provide kilograms of material from the main product streams to be used by end users for testing. Both laboratory and pilot work on this project will continue throughout the year and updates will be provided as milestones are reached.

About Geomega (
Geomega develops innovative technologies for the extraction and separation of rare earth elements and other critical metals essential to a sustainable future. With a focus on renewable energy, vehicle electrification, automation and reducing energy consumption, rare earth magnets or neo magnets (NdFeB) are at the heart of all these technologies. Geomega’s strategy revolves around progressively de-risking its innovative technology and providing shareholders with cash flow and returns, while also working directly with key players in these industries to recycle the magnets that power all of these technologies.

As its technologies are demonstrated on a larger scale, Geomega is keen to work with key partners to help extract value from raw materials, tailings piles and other industrial tailings containing rare earths and other critical metals. Regardless of the metal or source, Geomega takes a consistent approach to reducing its environmental impact and helping to reduce greenhouse gas emissions by recycling key reagents in the process.

Geomega’s process is based on its proprietary, cost-effective and environmentally friendly method of opening up a $1.5 billion global market to profitably and safely recycle magnet manufacturing scrap and end-of-life magnets.

Geomega also owns the Montviel rare earth carbonatite deposit, the largest 43-101 bastnaesite resource estimate in North America, and holds over 16.8 million shares representing approximately 14% of the issued and outstanding shares of Kintavar Exploration Inc. (KTR.V ) is equivalent to. a mineral exploration company exploring for copper projects in Quebec, Canada.

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Cautionary Statement Regarding Forward-Looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This press release contains statements that may constitute “forward-looking information” or “forward-looking statements” within the meaning of applicable Canadian securities laws. Forward-looking information and statements may include, among other things, statements regarding future plans, costs, objectives or performance of the Company or the assumptions underlying the foregoing. Words such as “may”, “would”, “could”, “will”, “likely”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate” are used in this press release. “Target” and similar words and their negative forms are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and are not necessarily accurate statements as to whether, or when, such future performance will be achieved. There can be no assurance that events anticipated in the forward-looking information will occur or occur, including with respect to the commercialization of any of the above technologies, or, if any of them do, what benefits the Company may derive therefrom will. Forward-looking statements and information are based on information available at the time and/or management’s good faith belief as to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Company’s control. These risks, uncertainties and assumptions include, but are not limited to, those described under “Risk Factors” in the Company’s annual management discussion and analysis for the year ended May 31, 2022 filed on SEDAR at www.sedar .com is available ; they could cause actual events or results to differ materially from those projected in the forward-looking statements. The Company does not intend and assumes no obligation to update or revise any forward-looking information or statements contained in this press release to reflect later information, events or circumstances or otherwise, except as required by applicable law.

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