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Direct Lithium Extraction Process Test Work Now Underway

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September 29 , 2020 / Vancouver, BC / NRG Metals Inc. (“NRG” or the “Company”) (TSX-V: NGZ) (OTCQB: NRGMF) (Frankfurt: OGPN) the Company is pleased to announce an update on the Hombre Muerto North Lithium Project (HMN Project), Argentina.  Test work is being conducted by Sino Lithium Materials Pty Ltd (Sino Lithium) and Chengdu Chemphys Chemical Industry Co. (Chemphys)( collectively Sino LI) for the advancement and development to potential lithium production, of the Hombre Muerto North Lithium Project (HMN Li Project), located in Salta and Catamarca Provinces, Argentina.

Sino LI is developing a direct lithium extraction process which could represent an alternative to the conventional evaporation process currently used by the industry.  The process under development would potentially shorten lithium recovery time and provide higher recovery of lithium. The on-site environmental footprint is projected to be significantly smaller than current industry methods which require the construction of large evaporation ponds. Work to date by an eleven member technical team has been conducted at the Chemphys’ Production & Technology Center outside Chengdu, China, which is an ISO 9000 and ISO 14001 certified facility.

To validate test work completed to date by Sino LI and Chemphys, Hains Technology Associates of Toronto, Ontario, Canada have been retained to provide a technical review and Qualified Person validation. Upon the completion of check sampling currently underway, the Company will provide further information and full technical results.  Hains will be working with Carlos Galli who will provide support for any local work required in Argentina.  Hains and Carlos Galli are recognized for their lithium industry expertise and have conducted studies for numerous lithium resource companies.

Sino Li and Chemphys have completed bench scale test work of the new technology, and results are now under review by Hains, expected to be released in Q4 2020. The pilot test unit has been constructed and is undergoing commissioning in China. Pilot test work will involve bulk samples of HMN brine with test work due to be completed at the end of Q4 2020. Upon completion of pilot test work in China, it is expected that the unit will be shipped to Argentina in 2021 and tested on site at the Hombre Muerto Salar, subject to covid-19 restrictions.

The HMN Project is located on the Hombre Muerto Salar, the premier lithium producing salar in Argentina. The property is adjacent to land under development by Korean multinational corporation POSCO, whom acquired their ground from Galaxy Resources Ltd. for $ US 280 million. The Company completed a Preliminary Economic Assessment of the HMN Li Project in 2019, using conventional extraction technology. The project is located in a mining friendly province and has two pumping wells installed.

Chemphys was established in 1998 and have operated their ISO9001:2000 certified facilities since 2000.
The company is a leader in high purity lithium carbonate and battery grade lithium hydroxide for the
manufacturing of cathode materials and electrolytes of lithium ion batteries. Their products are
recognized by all major lithium ion battery materials manufacturers and is an integral part of the electric
vehicle supply chain.

On behalf of the board of directors of NRG Metals Inc.:

Adrian F. C. Hobkirk
President and Chief Executive Officer

Investors / Shareholders Call 855-415-8100 / ahobkirk@nrgmetalsinc.com
W: www.nrgmetalsinc.com

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