Geomega Successfully Completes Rare Earths Pilot Plant Testing

Geomega Successfully Completes Rare Earths Pilot Plant Testing

Montreal, January 12, 2021 – Geomega Resources Inc. (“Geomega” or the “Corporation”) (TSX.V: GMA) (OTC: GOMRF) a developer of clean technologies for the mining, refining and recycling of rare earths, is pleased to announce the successful completion of testing and optimization of its Rare Earths Pilot Plant (“Pilot Plant”), located at the National Research Council Canada facility in Boucherville, Quebec.

This is the 2nd generation pilot plant after the completion of the mini pilot in April 2019 (see full press release). Significant engineering work was performed which confirmed the validity of the Corporation’s recycling technology of rare earths from magnets (see full press release).  Geomega is pleased to report that the next engineering phase will begin shortly followed by the ordering and receipt of equipment for the construction of the larger demonstration plant located in Saint-Bruno, Quebec.

Four complete rounds of testing covering the entire recycling process were completed to date and these have confirmed the efficacy of the Corporation’s technology to produce rare earths. Pilot Plant testing has also validated and facilitated equipment selection for the demonstration plant. In addition, an important part of the Pilot Plant was to validate process efficiencies:

  • Rare earths recoveries >90%,
  • Main reagent regeneration around 90%
  • Product purities (>99.5% REO)
  • Heating and cooling design update to confirm process schedule (3 batch process per 8-hour shift).

In addition, two new features were successfully tested and integrated into the Corporation’s recycling process:

  • Boron – a small although important component in NdFeB magnets (Neodymium Iron Boron) can now be recovered as a by-product of the process. This will have a positive impact on both energy efficiency and anticipated revenues of the project.
  • Hydrogen – an emerging clean energy fuel in Quebec and globally. The process has demonstrated an ability to produce hydrogen as a by-product that could be collected. Hydrogen recovery is important because of its potential to reduce the overall energy consumption of the project. Most importantly, hydrogen recovery demonstrates the potential in applying the process to other metal rich feeds that lack valuables elements and are therefore not being recycled today due to poor economics.

The Corporation expects to continue running the pilot unit on an as needed basis to test various types of feed materials it receives on a regular basis and to produce additional material for testing by various end users.

“Having a fully operational Pilot Plant has provided Geomega with the necessary validation to proceed to the next stages of engineering, finalize discussions with vendors and launch procurement. Additional development and details on these activities will follow. We fully expect 2021 to be a transformational year for Geomega shareholders with the upcoming construction of the demonstration plant and its start of production of rare earth oxide using recycled magnets, a first in the Western world. We believe that the accelerated demand growth for renewable energy and the electric vehicle sectors, coupled with industries and governments striving for zero waste and reductions in greenhouse gases, is going to result in an even larger demand for recycling rare earths from magnets and other sources. Geomega is looking forward to providing the required clean technology in the critical metal space to achieve a circular economy for rare earth magnets with its initial demonstration plant to be showcased in St-Bruno, Quebec.” commented Kiril Mugerman, President and CEO of Geomega.

About Geomega (www.geomega.ca)

Geomega develops innovative technologies for extraction and separation of rare earth elements and other critical metals essential for a sustainable future. With a focus on renewable energies, vehicle electrification, automation and reduction in energy usage, rare earth magnets or neo-magnets (NdFeB) are at the center of all these technologies. Geomega’s strategy revolves around gradually de-risking its innovative technology and delivering cashflow and return value to shareholders while working directly with the main players in these industries to recycle the magnets that power all those technologies.

As its technologies are demonstrated on larger scales, Geomega is committed to work with major partners to help extract value from mining feeds, tailings and other industrial residues which contain rare earths and other critical metals. Irrespective of the metal or the source, Geomega adopts a consistent approach to reduce the environmental impact and to contribute to lowering greenhouse gases emissions through recycling the major reagents in the process.

Geomega’s core project is based around the ISR Technology (Innord’s Separation of Rare Earths), a proprietary, low-cost, environmentally friendly way to tap into a C$1.5 billion global market to recycle magnet production waste and end of life magnets profitably & safely.

Geomega also owns the Montviel rare earth carbonatite deposit, the largest 43-101 bastnaesite resource estimate in North America and holds over 16.8M shares, representing approximately 19% of the issued and outstanding shares, of Kintavar Exploration Inc. (KTR.V), a mineral exploration company that is exploring for copper projects in Quebec, Canada.

For further information, please contact:

Kiril Mugerman
President and CEO
Geomega
450-641-5119 ext.5653
kmugerman@geomega.ca

Nancy Thompson
Vorticom Public Relations
212.532.2208
nancyt@vorticom.com

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This news release contains statements that may constitute “forward-looking information” or “forward-looking statements” within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding future plans, costs, objectives or performance of the Corporation, or the assumptions underlying any of the foregoing. In this news release, words such as “may”, “would”, “could”, “will”, “likely”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate” “target” and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, including as regards the commercialization of any of the technology referred to above, or if any of them do so, what benefits the Corporation will derive. Forward-looking statements and information are based on information available at the time and/or management’s good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Corporation’s control. These risks, uncertainties and assumptions include, but are not limited to, those described under “Risk Factors” in the Corporation’s annual management’s discussion and analysis for the fiscal year ended May 31, 2020, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. The Corporation does not intend, nor does the Corporation undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.