Adina Lithium Project

Adina Lithium, a flagship Project

The Adina Lithium Project, Winsome team’s flagship project, was discovered in 2014 by the MRNF (government) geologist Adina Bogatu during regional mapping work. In 2018, a 1,726-metre drilling campaign was carried out on the main showing confirming the presence of a small-scale mineralized system.

In fall 2022, an exploration team working on behalf of Winsome made the discovery of the JAMAR showing, located 1.2 km directly east of the original showing. The showing was named to honor the team composed of Jason, Anaïs, Monserrat and Arnaud. They were looking for a place to land the helicopter, and the only accessible area covered the discovery outcrop. Initial drilling confirmed the significance of the discovery, with a 107.6 metre section grading 1.34% Li₂O, drilled along the main trend of the zone (press release).

The 150 or so diamond drill holes completed since then have highlighted a vast zone extending over just over 3 km and hosting high-potential lithiniferous grades. In addition, this mineralized zone has been intersected by peripheral drilling to both the east and west, suggesting that the mineralized system extends beyond the current core.

In spring 2024, other promising discoveries were made, including the discovery of a new area 200 metre southwest of Adina. The results then confirm the presence of high-grade mineralization with a section of 61.5 metre at 1.62% Li₂O, including 24.0 metre at 2.82% Li₂O (press release).

On September 17^th, 2024, Winsome Resources announced positive NI 43-101 compliant Preliminary Economic Assessment (“PEA”) results including a Mineral Resource Estimate (“MRE”) for Adina (press release). The PEA is based on the Adina Lithium Project and on the proposed acquisition of the Renard diamond mine (“Renard”) (together, “the Project”). On October 1^st, 2024, Winsome Resources has filed the technical preliminary economic assessment (“PEA”) study report on its Adina Lithium Project. This study is available on SEDAR+.

The Project considers the development of Adina through repurposing the processing facility at Renard. The average processing throughput would be of 4,650 tonnes per day for a dense media separation only operation at an average lithium recovery of 67.2% at an average process plant feed grade of 1.24% Li2O through the life of mine. The Project would produce more than 5,000 kt of lithium concentrate at 5.5% Li₂O.

After-Tax IRR and NPV₈ has been evaluated at 42.9% and C$1.0 Billion, respectively. The Project is expected to generate over C$10.0 Billion of gross revenue and C$1.6 Billion in carbon, provincial and federal taxes and Québec mining duties as well as creating over 500 and 600 direct jobs during construction and operations, respectively.

Recent Press Releases:

• Li-ft Power Agrees to Combine with Winsome Resources and Acquire Majority Interest in the Galinée Property to Unlock Value at the Tier-one Adina Project
• Results of Scheme Meetings
• Schemes Become Legally Effective

Check out our Project flyer here.

Exploration Work Planning for 2026: Click here

MERN Notice regarding the new obligations of holders of exclusive exploration rights for annual work planning: https://www.mern.gouv.qc.ca/wp-content/uploads/AV_Planification_annuelle_travaux.pdf

The technical information herein has been prepared in accordance with the Canadian regulatory requirements set out in NI 43-101 and reviewed on behalf of the Company by Kim-Quyên Nguyên, P.Eng., MBA, and Vice President Projects for Winsome Resources, a Qualified Person and registered permit holder with the Ordre des ingénieurs du Québec (#146014)

Winsome follows standard industry practices regarding quality assurance/quality control protocols for its exploration and drilling programs. Please see relevant press releases for details related to specific programs. All data is verified by Company geologists under the supervision of Mr Antoine Fournier, P.Geo, a Qualified Person and registered permit holder with the Ordre des Géologues du Québec (#0516).

Cautionary Statement – The reader is advised that the PEA summarized in this news release is intended to provide only an initial, high-level review of the Project potential and design options. The PEA mine plan and economic model include numerous assumptions and the use of inferred mineral resources. Inferred mineral resources are considered to be too speculative to be used in an economic analysis except as allowed for by NI 43-101 in PEA studies. There is no guarantee that inferred mineral resources can be converted to indicated or measured mineral resources, and as such, there is no guarantee the Project economics described herein will be achieved. Winsome has an exclusive option to purchase the Renard Operation as detailed in the Press Release of August 1st, 2024. The PEA contemplates usage of the infrastructure at Renard which will only be possible once the option is exercised, and all payments are made as contemplated in the terms of the Option Agreement. Winsome may be eligible for Clean Technology Manufacturing Investment Tax Credit. This legislation has been enacted on June 20, 2024. There is no guarantee the Company will be able to access the CTM-ITC. Investors outside Canada are cautioned that information contained in this announcement may not be comparable to information published by companies subject to the reporting and disclosure requirements of Australian securities laws. In particular, the MRE for Adina used in the PEA was prepared in accordance with the requirements of 43-101 – Standards of Disclosure for Mineral Projects (NI 43-101) and the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) – CIM Definition Standards on Mineral Resources and Mineral Reserves adopted by the CIM Council, as amended (CIM Definition Standards) which differ from the JORC Code on the basis of assumptions.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This document contains forward-looking statements concerning Winsome. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Such forward-looking statements include, but are not limited to, all statements relating to the contents of the PEA, such as the project’s potential, capital and operating costs, production summary and financial analysis; statements concerning the Company’s expectations with respect the exercise of Winsome’s exclusive option to purchase the Renard Operation and the timing of such acquisition; to continued resource growth through projected drilling; expected mining method and results; and expectations with respect to other activities, events or developments that the Company expects or anticipates will or may occur in the future. Information contained in forward-looking statements is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management’s perceptions of historical trends, current conditions and expected future developments, results of further exploration work to define or expand any mineral resources, as well as other considerations that are believed to be appropriate in the circumstances. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to the ability of exploration activities to accurately predict mineralization; the ability to complete further exploration activities and the results of exploration activities; the ability of the Company to obtain required approvals; risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory, including environmental regulation and liability and potential title disputes.

Forward-looking statements in this document are based on the Company’s beliefs, opinions and estimates of Winsome as of the dates the forward-looking statements are made, and no obligation is assumed to update forward-looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.

NON-IFRS AND OTHER FINANCIAL MEASURES

This document refers to C1 Operating Costs and All-In Sustaining Costs (AISC) per tonne. These are non-IFRS financial measures and non-IFRS financial ratios. The Company believes that these measures provide additional insight, but these measures are not standardized financial measures prescribed under International Financial Reporting Standards (“IFRS”) and therefore should not be confused with, or used as an alternative for, performance measures calculated according to IFRS. Furthermore, these measures should not be compared with similarly titled measures provided or used by other issuers. The non-IFRS financial measures and non-IFRS financial ratios used in this document are relatively common to the mining industry.

Quality control and data verification protocols

Pegmatite zones were sampled at approximately 1m intervals with sample lengths adjusted to honour geological contacts to aid representativeness. Quality Assurance and Quality Control procedures utilised standard industry practice, using certified reference materials (CRMs) for lithium, field blanks, duplicates sampled in the field and pulp duplicates at the laboratory. CRMs were submitted at a rate of approximately 20%, whereas blanks, duplicates and repeat assay determinations were submitted at a rate of approximately 5%. Samples were bagged and sealed with numbered tags, in order to maintain a chain of custody. The sample bags were transported from the site to either SGS or MSA Labs preparation facilities in Val-d’Or, Québec. Sample preparation at the laboratory (SGS & MSA) entailed crushing, milling and splitting to achieve a 250g sub-sample for assay. Laboratory QC procedures for sample preparation include quality control on checks crushing and milling to ensure representativeness. Analysis was done using Sodium Peroxide fusion followed by combined ICP-AES and ICP-MS analyses (56 elements). Li is reported by the lab and converted to Li₂O for reporting using a factor of 2.153. All results included in the MRE passed the QA/QC screening at the lab. Following reporting of results by the laboratory Winsome’s geologists verified that all inserted CRMs and blanks returned results that were within acceptable limits. Data verification is carried out by the Project Geologist on site, and a final verification was performed by the VP Exploration and the geologist responsible for database management. An independent verification was carried out by the QP prior to commencing the MRE.