Battery X Metals Advances 2025 Critical Metals Exploration Strategy, Initiates NI 43-101 Report for Y Lithium Project, and Strengthens Financial Position

Rhea-AI Summary

Battery X Metals (OTCQB:BATXF) has announced significant progress in its 2025 critical metals exploration strategy, focusing on its Y Lithium Project in Saskatchewan. The company has completed a high-resolution LiDAR survey costing $56,400 and initiated an NI 43-101 technical report estimated at $7,000.

The Y Lithium Project, spanning 5,856 hectares near Bailey Lake, represents a district-scale opportunity for hard rock lithium mineralization. The company has also finalized its acquisition of the Belanger Project with a final payment of $5,500, securing 100% interest subject to a 3% NSR.

Additionally, Battery X Metals has strengthened its financial position by settling outstanding debt of $544,425.18 through the issuance of units and shares at $0.24 per unit, including warrant coverage at $0.315 for a two-year term.

Positive

• None.

Negative

• Additional costs may be incurred for NI 43-101 report beyond initial $7,000 estimate
• Significant dilution from debt settlement through share issuance
• 3% NSR royalty obligation on Belanger Project

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, BC / ACCESS Newswire / August 1, 2025 / Battery X Metals Inc. (CSE:BATX)(OTCQB:BATXF)(FSE:5YW, WKN:A40X9W)("Battery X Metals" or the "Company") an energy transition resource exploration and technology company, announces that, its wholly-owned subsidiary, YY Resources Inc. ("YY Resources") has completed a high-resolution LiDAR (Light Detection and Ranging) and orthophoto survey program (the "LiDAR Survey") at its Y Lithium Project (the "Y Lithium Project") located in northern Saskatchewan, near Bailey Lake. An assessment report (the "Assessment Report") has been submitted to the Saskatchewan Ministry of Energy and Resources, and the Company has engaged an arm's-length geological consulting firm (the "Geological Consulting Firm") to prepare a National Instrument 43-101 ("NI 43-101") technical report on the Y Lithium Project.

Battery X Metals' Comprehensive 360° Strategy Across the Battery Metals Value Chain
As previously disclosed in the Company's news release dated February 24, 2025, Battery X Metals is advancing a comprehensive 360° strategy across the battery metals sector. This strategy encompasses the exploration of prospective battery metal properties; the development of proprietary recovery technologies pursued through a prior research collaboration with a globally ranked top 20 university to recover battery-grade materials from end-of-life batteries;¹ and the development and future commercialization of patent-pending software and hardware technology for the extension of remaining useful lifespan of electric vehicle batteries.

The Company's strategic exploration initiatives during the 2025 season are intended to focus its efforts and reinforce its commitment to innovation across the battery metals value chain.

The Y Lithium Project is located in a remote and underexplored region near Bailey Lake, approximately 160 kilometers northeast of Stony Rapids and 10 kilometers south of the Saskatchewan/Northwest Territories border. The project comprises four mineral claims across two distinct blocks, covering a total area of approximately 5,856 hectares. It forms a core part of Battery X Metals' 2025 exploration strategy targeting high-potential lithium-bearing projects in North America. Notably, the Bailey Lake lithium occurrence is situated approximately 10 kilometers east of the Y Lithium Project's central claim area.

To support the evaluation and advancement of the Y Lithium Project's critical battery metal potential, YY Resources has engaged the Geological Consulting Firm to commission a NI 43-101 technical report. The NI 43-101 technical report is expected to provide a formal geological assessment of the property and serve as the foundation for future exploration planning, technical disclosure, and potential development. The estimated cost of the report is approximately $7,000, plus applicable taxes, and may be subject to additional fees related to travel, further revisions, or supplementary technical analysis, as required.

The completion of the LiDAR Survey represents a key milestone in the Company's 2025 exploration program. The total cost of the survey was $56,400 plus applicable taxes, which has been fully paid.

Notably, the LiDAR Survey qualifies for a 1.5x exploration expenditure credit under Saskatchewan's mineral exploration incentive program. As a result, YY Resources is able to apply a total of $116,348 in assessment credits on the Y-Lithium Project, effectively reducing its annual exploration expenditures and improving capital efficiency. This allows for a strategic reallocation of resources toward potential future exploration efforts and additional technical initiatives, such as the NI 43-101 technical report.

Interpretation and Recommendations of the LiDAR Survey
The Y Lithium Project is a district-scale property with the potential to host hard rock lithium mineralization. It is situated within the Ennadai Greenstone Belt, which begins in the project area and extends northeast into the Northwest Territories. The recent discovery of spodumene-bearing boulders at Bailey Lake underscores the lithium prospectivity of this underexplored region.

The LiDAR Survey is expected to play a critical role in identifying glacial features, potential outcrop, and boulder trains across the property. When integrated with available government data, the survey is expected to support the delineation of lithological contacts and structural corridors to be targeted in future exploration programs. Additionally, orthophotos generated from the LiDAR Survey are expected to highlight boulder trains and other high-potential features to potentially support a focused Phase I mapping and sampling program.

YY Resources may proceed with a multi-phase exploration approach in the future. If advanced, future exploration work is anticipated to include data compilation and desktop analysis, such as the review of historical till and sediment sampling, geophysical surveys, regional mapping, and glacial ice flow directions. These inputs would be intended to support YY Resources' ongoing efforts to refine exploration targeting and unlock value at the Y Lithium Project.

Belanger Project
The Company also announces that, further to its news releases dated November 29, 2024, in which it disclosed the execution of an addendum agreement (the "Belanger Addendum Agreement") with the optionor of the Belanger Project, Bounty Gold Corp. ("Bounty Gold"), an arm's-length third party, to acquire a 100% interest in the Belanger Project, it has made the final payment of $5,500 (the "Final Payment") to Bounty Gold on July 2, 2025. This brings the total cash consideration paid under the Belanger Addendum Agreement to $18,000.

With the completion of the Final Payment, the Company has satisfied all payment obligations under the Belanger Addendum Agreement and has earned a 100% interest in the Belanger Project, subject to a 3% Net Smelter Returns Royalty (the "NSR"). The Company retains the right to purchase the first 1% of the NSR for $750,000 and the remaining 2% for $2,000,000 at any time prior to the commencement of commercial production.

The Belanger Project, located in Ontario's Birch-Uchi Greenstone Belt near Red Lake, spans 109 unpatented mining claims across Belanger, Bowerman, Knott, and Mitchell townships. Situated within the Uchi Subprovince of the Superior Province of the Canadian Shield, the property lies in a geologically favorable region.

Debt Settlement
The Company also announces that, further to its news release dated July 18, 2025, it has settled outstanding indebtedness in the aggregate amount of $544,425.18 (the "Debt Settlement") owing to certain creditors of the Company, satisfied through the following issuances:

• $446,603.75 in consideration for the issuance of an aggregate of 1,860,844 units of the Company (each, a "Debt Settlement Unit") at a deemed price of $0.24 per Debt Settlement Unit. Each Debt Settlement Unit consists of one common share of the Company (each, a "Debt Share") and one transferable common share purchase warrant (each, a "Debt Settlement Warrant"). Each Debt Settlement Warrant is exercisable to acquire one additional common share of the Company (each, a "Debt Settlement Warrant Share") at an exercise price of $0.315 per Debt Settlement Warrant Share for a period of two (2) years from August 1, 2025.

• $97,821.43 in consideration for the issuance of an aggregate of 407,587 Debt Shares at a deemed price of $0.24 per Debt Share.

The securities issued under the Debt Settlement will be subject to a statutory hold period expiring December 2, 2025.

The Debt Settlements with Massimo Bellini Bressi, Martino Ciambrelli, John Campbell and Howard Blank (together, the "Insider Settlements") are "related party transactions" within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Insider Settlements are exempt from the valuation requirement of MI 61-101 by virtue of the exemptions contained in section 5.5(b) of MI 61-101 as the Company's common shares are not listed on a specified market and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in section 5.7(1)(a) of MI 61-101 in that the fair market value of the Insider Settlements will not exceed 25% of the Company's market capitalization. As the material change report disclosing the Insider Settlements is being filed less than 21 days before the transaction, there is a requirement under MI 61‐101 to explain why the shorter period was reasonable or necessary in the circumstances. In the view of the Company, it is necessary to immediately close the Insider Settlements and therefore, such shorter period is reasonable and necessary in the circumstances to improve the Company's financial position.

None of the securities acquired in the Debt Settlement will be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), and none of them may be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act. This news release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of the securities in any state where such offer, solicitation, or sale would be unlawful.

Qualified Persons
In accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects, Jason Arnold, P.Geo., President of DCX Geological Consulting and an independent Qualified Person, is the Qualified Person for the Company and has prepared, validated and approved the technical and scientific content of this news release. The Company strictly adheres to CIM Best Practices Guidelines in conducting, documenting, and reporting activities on its projects.

^{1 The initial research and collaboration agreement concluded on June 30, 2025. the Company is evaluating a new agreement with the globally ranked top 20 university to continue and expand its prior development work.}

About Battery X Metals Inc.
Battery X Metals (CSE:BATX)(OTCQB:BATXF)(FSE:5YW, WKN:A40X9W) is an energy transition resource exploration and technology company committed to advancing domestic and critical battery metal resource exploration and developing next-generation proprietary technologies. Taking a diversified, 360° approach to the battery metals industry, the Company focuses on exploration, lifespan extension, and recycling of lithium-ion batteries and battery materials. For more information, visit batteryxmetals.com.

On Behalf of the Board of Directors
Massimo Bellini Bressi, Director

For further information, please contact:
Massimo Bellini Bressi
Chief Executive Officer
Email: mbellini@batteryxmetals.com
Tel: (604) 741-0444

Disclaimer for Forward-Looking Information
This news release contains forward-looking statements within the meaning of applicable securities laws. Forward-looking statements in this release include, but are not limited to, statements regarding the exploration activities of the Company, the anticipated actions of YY Lithium, the exploration of the Y Lithium Project, the results of the LiDAR Survey and the impact of such results within the Company, the future potential exploration efforts and preparation of an NI 43-101 Technical Report for the Y Lithium Project, the Company's research collaborations with third parties, the future rights related to the Net Smelter Returns Royalty on the Belanger Project; any future development or commercial production scenarios relating to the Belanger Project; the anticipated impact of the completed Debt Settlement on the Company's financial position, the participation of related parties, the availability of exemptions under MI 61-101, and other future outcomes related to the transaction. Forward-looking statements reflect management's current beliefs, expectations, and assumptions based on available information as of the date of this release. These statements are subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements. These risks include, but are not limited to, general economic, market, and regulatory conditions, risks posed by environmental changes, the risk that commercial production at the Belanger Project may never occur, and the risk that the intended benefits of the Debt Settlement may not be realized as expected. Additional risks and uncertainties are discussed in the Company's filings on SEDAR+. The forward-looking statements in this news release are made as of the date hereof, and Battery X Metals disclaims any intention or obligation to update or revise such statements, except as required by law. Investors are cautioned not to place undue reliance on these forward-looking statements.

SOURCE: Battery X Metals

View the original press release on ACCESS Newswire

FAQ

What is the size and location of Battery X Metals' Y Lithium Project?

The Y Lithium Project comprises four mineral claims across two distinct blocks, covering 5,856 hectares. It is located near Bailey Lake, approximately 160 kilometers northeast of Stony Rapids and 10 kilometers south of the Saskatchewan/Northwest Territories border.

How much debt did BATXF settle and at what terms?

Battery X Metals settled $544,425.18 in debt through the issuance of units and shares at $0.24 per unit, with warrants exercisable at $0.315 for two years.

What was the cost of the LiDAR survey for BATXF's Y Lithium Project?

The LiDAR survey cost $56,400 plus applicable taxes, qualifying for a 1.5x exploration expenditure credit under Saskatchewan's mineral exploration incentive program, resulting in $116,348 in assessment credits.

What are the terms of Battery X Metals' acquisition of the Belanger Project?

Battery X Metals completed the acquisition with a final payment of $5,500, bringing total cash consideration to $18,000. The company owns 100% interest subject to a 3% NSR, with options to buy back 1% for $750,000 and the remaining 2% for $2,000,000.

What is Battery X Metals' exploration strategy for 2025?

The company is pursuing a comprehensive 360° strategy across the battery metals sector, including exploration of battery metal properties, development of recovery technologies, and advancement of patent-pending technology for extending EV battery lifespan.