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Second Pump Well/Potential Production Well at Hombre Muerto North

Maiden Resource Estimate Expected Shortly


News provided by

NRG Metals Inc.

21 Sep, 2018, 12:30 GMT

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VANCOUVER, British Columbia, September 21, 2018 /PRNewswire/ --

NRG Metals Inc. ("NRG" or the "Company") (TSX-V: NGZ) (OTCQB: NRGMF) (Frankfurt: OGPN) The Company is pleased to announce the completion of a second pumping well at the Hombre Muerto North Lithium Project, Salta, Argentina. The well, designated TWW18-02, was drilled to the target depth of 400 meters, and it is located immediately adjacent to core hole TH18-02, which was described in the company's press releases dated July 10, 2018 and August 23, 2018. Pumping tests will commence shortly.

Pumping well TWW18-02 was drilled adjacent to core hole TH18-02 on the western side of the Tramo concession.  The core hole was drilled to a depth of 281 meters, and the arithmetic average of single packer, double packer and one bailer sample from surface to a depth of 230.5 meters was 638 mg/L with a low Mg to Li ratio of 2.65 to one. Host rocks were mainly poorly-consolidated sandstone from surface to 77 m, followed by compact halite from 77 to 139 m, poorly-consolidated sandstone from 139 to 166 m and then intercalated halite and sandstone to the bottom of the hole.  The results from the pumping well were consistent with the core hole.

As we reported in our press release dated June 28, 2018, the arithmetic average of all samples (single packer) for TH18-01 from the surface to a depth of 401 meters was 900 mg/L with a low magnesium to lithium ratio of 3.0 to one. Host rocks were almost entirely poorly-consolidated sandstone and conglomerate.  Pumping well TWW18-01 was drilled adjacent to core hole TH18-01, and the results from the pumping well were consistent with the core hole. Initial pumping tests from TWW18-01 indicated an average pumping rate of 25 liters per second of brine, but the capacity of the pump was limited, and we expect that this rate will be exceeded with a larger pump. TH18-01 and TWW18-01 are located on the eastern side the Tramo concession approximately 2.1 kilometers from hole TH18-02 and TWW18-02.

Two bulk samples of brine have been collected from pumping well TH18-01 for technical evaluation. A 200 liter sample has been shipped to the Company's strategic partner Chengdu Chemphys Chemical Industry Co., Ltd, ("Chemphys"), located in Chengdu, China. Chemphys, along with Sunresin New Materials Co. Ltd. , Xi'an, located in Shaanxi, China, are evaluating  the brine for new recovery applications. A large bulk sample has also been collected via tanker truck by Alex Stewart Laboratories, located in Jujuy, Argentina, to evaluate and optimize magnesium removal.

NRG's technical advisor, Montgomery and Associates of Santiago, Chile, is preparing a maiden resource estimate compliant to National Instrument 43-101, as part of a technical report for the Hombre Muerto North project, which will be completed and announced shortly. 

The preparation of this press release was supervised by Mr. William Feyerabend, a Certified Professional Geologist and a Qualified Person under NI 43-101. Mr. Feyerabend approves of the technical and scientific disclosure contained in this press release. 

The TSX Venture Exchange has not reviewed the content of this news release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this news release. 

This news release contains certain "forward- looking statements" within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward- looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward looking statements. The reader is cautioned not to place undue reliance on forward- looking statements. The transaction described in this news release is subject to a variety of conditions and risks which include but are not limited to: regulatory approval, shareholder approval, market conditions, legal due diligence for claim validity, financing, political risk, security risks at the property locations and other risks. As such, the reader is cautioned that there can be no guarantee that this transaction will complete as described in this news release. We seek safe harbor.

On behalf of the board of directors of NRG Metals Inc.,
Adrian F. C. Hobkirk, President and C.E.O.
Investors / Shareholders Call +1-855-415-8100 / Direct to Adrian Hobkirk +1-714-316-3272  ahobkirk@nrgmetalsinc.com

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