Pan American Energy Corp. (CSE: PNRG) (OTC: PAANF) (FRA: SS60) is pleased to announce additional assay results on 14 holes from the ongoing 2023/2024 diamond drill program on the Big Mack Lithium Project, located approximately 80 kilometers north of the town of Kenora, ON. The drilling campaign is being carried out by Full force Diamond Drilling Ltd. under the geological guidance of Axiom Exploration Group Ltd.

HIGHLIGHTS

• Drilling encountered high grade lithium-bearing intercepts within the Big Mack and Eleven Zone pegmatites:
  • 1.90% Li₂O over 16.90 meters within the western flank of the Big Mack pegmatite of 1.67% Li₂O over 22.85 meters (BM23-011)
  • 1.78% Li₂O over 6.75 meters within the western flank of the Big Mack pegmatite of 1.46% Li₂O over 12.00 meters (BM23-012)
  • 2.36% Li₂O over 1.90 meters and 1.79% Li₂O over 6.60 meters within the western flank of the Big Mack pegmatite of 1.51% Li₂O over 16.60 meters (BM23-014)
  • 2.13% Li₂O over 2.00 meters within the Eleven Zone pegmatite of 1.34% Li₂O over 7.67 meters (BM23-017)
  • 1.51% Li₂O over 4.00 meters, 1.77% Li₂O over 6.00 meters and 1.59% Li₂O over 4.80 meters within the Eleven Zone pegmatite of 1.32% Li₂O over 22.20 meters (BM23-021)
• Holes 10 to 15 show multiple lenses of lithium mineralization continue west from the interior of the Big Mack pegmatite.
• Holes 16 to 22 show multiple lenses of lithium mineralization stack below surface at the Eleven Zone pegmatite and remain open at depth.
• The on-going drilling program is currently testing a lithium surface anomaly that coincides with a geophysical target along strike of the Eleven Zone towards the west.

Drill hole BM23-009 to BM23-015 were drilled to test the western flank of the Big Mack pegmatite, while BM23-016 to BM23-022 were drilled to test the Eleven Zone pegmatite. Big Mack targets BM23-010 and BM23-011 returned encouraging values of 1.23% Li₂O over 22.60 m and 1.67% Li₂O over 22.85 m respectively, while BM23-0014 returned 1.51% over 16.60 m. Eleven Zone targets BM23-017 and BM23-021 intercepted 1.50% Li₂O over 14.53 m and 1.32% Li₂O over 22.20 m respectively. These results indicate that meaningful mineralization may continue at depth through the western zone of the pegmatite, and provide valuable insights into mapping of the internal structure for Big Mack and Eleven Zone. Table 1 highlights assay result details on holes BM23-009 to BM23-022, and Table 2 describes the attributes associated with these drill holes.

Phase one of the 2023/2024 drilling program was completed in late-2023, when the Company drilled 35 holes (including one abandoned hole), to a total meterage of 4,582 meters. Targeting is based upon historical drilling analyses, the UAV magnetic survey conducted on the Property, and the Company’s 2023 field prospecting program. In this second phase of the program, the Company plans to drill approximately 5,000 meters to delineate the Big Mack and Eleven Zone pegmatites, test their down-dip extensions, explore the Sprinkler Zone, and test other exploration targets. To-date, over 6,800 meters have been drilled across 50 collar locations as part of the 2023/2024 drill program, with 2,317 samples having been submitted for analysis at the time of this news release.

Jason Latkowcer, Chief Executive Officer, commented, “We continue to see promising intercepts at the Big Mack western flank drilling and the Eleven Zone pegmatite to the west. These impressive intercepts will help the team plan follow-up drilling to test deeper targets and understand the geometry of these pegmatite bodies and their lenses. Strategic drilling will continue to test the western side of Big Mack before moving to focus on exploration drilling toward the Sprinkler Zone to understand the geology between the two eastern pegmatite bodies. Our ranked targets are quickly becoming higher confidence with our successful intercepts and promising assays, and further exploration step-outs will be planned as the drill campaign continues.“

Table 1: 2023 Big Mack Drill Hole Assay Highlights Table

* (not true widths)

Table 2: Attributes for Drill Hole BM23-009 to BM23-022

Figure 1: Core photo of hole BM23-017 (21.14m to 38.04m) highlighting Li₂O% values in high grade intercepts from 30.45 to 36.0 m (blue).

Figure 2: Core photo of hole BM23-021 (98.4 to 115.25m) highlighting Li₂O% values in high grade intercepts from 98.6 to 103 m (red) and 106 to 112 m (blue).

Figure 3: Completed and planned drillholes (Assays reported on holes in red).

Figure 4: Close up view of Big Mack (Assayed holes in Red)

Figure 5: Cross section of BM23-011, -012, -014.

Figure 6: Holes BM23-017 and BM23-021.

General Statements

All 14 holes described in this news release were drilled broadly perpendicular and inclined to the pegmatite orientations so that the true thickness of reported intercepts is estimated to range somewhere between 60-80% of the drilled widths. A collar header table is provided above. Visual core logging indicates that the predominant host mineral for the Big Mack pegmatites is petalite.

Sample Quality Assurance / Quality Control

A thorough chain-of-custody and QA/QC program is being carried out on the ongoing drill program. Samples are taken across all pegmatite intervals with shoulder samples into the host rock on either side of the dykes. Sample lengths are ranging from 0.3 m – 1.5 m, dependant on internal zoning of the dykes, mineralization, and lithology contacts. Core to be sampled is cut in half onsite, with half being sent for analysis and the other half remaining in the box for future reference and re-sampling, if needed.

A malfunction of downhole location survey equipment could cause inaccurate dip and azimuth tracking due to drillhole deviation, which would affect the planned drillhole spacing and required density for the resource estimation. To ensure accuracy, downhole surveys are performed every 30 meters of drilling, with survey tests repeated in the event of results that are outside planned drillhole drift. Additional downhole survey tools are kept on-site in the event of malfunction during drilling.

The Company’s implemented QA/QC procedures include the insertion of certified standard control samples, ¼ cut duplicates, and blanks. This is being used to test for natural variability / sampling bias / testing the lab for homogeneity during sample preparation processes within the lab, as well as testing the precision and any possible contamination from the lab and ensure proper calibration of lab equipment.

Sample analyses are being conducted by ALS Canada LTD (ALS), an independent lab. Samples are shipped to the Winnipeg, Manitoba prep lab, and then shipped by ALS to the geochemistry analysis lab in North Vancouver, British Columbia. Drill core samples are subject to sodium peroxide fusion analyses using ICP-MS for Trace element values on total digestion and ICP-AES on samples with values greater than 25,000 ppm Li. ALS follows the quality management and operational guidelines set out in the international standards ISO/IEC 17025 – “General Requirement for the Competence of Testing and Calibration Laboratories” and ISO 9001 – “Quality Management Systems”.

Qualified Person

The scientific and technical content of this news release has been reviewed and approved by Jared Suchan, Ph.D., P.Geo., who is an independent consultant to the Company, and a “Qualified Person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects. Dr. Suchan verified the data disclosed (or underlying the information disclosed) in this news release by reviewing imported and sorted assay data; checking the performance of blank samples and certified reference materials; reviewing the variance in field duplicate results; and reviewing grade calculation formulas.

About the Property

The Property is located 2 km east of the all-weather Snook Lake Road, about 80 km north of Kenora, ON. The property is proximal (~1.3 km) to Avalon’s Separation Rapids, Big Whopper deposit which hosts a measured and indicated resource. The Property is within an Ontario registered mining lease, with over 30 years of exploration history. The Property lies within the traditional land use area of the Wabaseemoong Independent Nations of Whitedog, Ontario: an Aboriginal community located approximately 35 km southwest of the property.

The Property hosts four known Li-bearing pegmatites including the Big Mack pegmatite, Eleven Zone, Sprinkler Zone, and 6095 pegmatite which are thought to be related to the Separation Rapids Pluton. They are interpreted as zoned Complex Type, Petalite Subtype LCT Pegmatites. The Big Mack pegmatite represents the largest petalite-bearing mass on the Property and is exposed over an 80 by 225 m area. Historic drilling campaigns (1998, 1999, 2001) intersected mineralization extending along a strike length of ~150 meters and to a depth of 75 meters. The mineralization at the Property remains open at depth and along strike.

About Pan American Energy Corp.

Pan American Energy Corp. is an exploration stage company engaged principally in the acquisition, exploration and development of mineral properties containing battery metals in North America.

The Company executed an option agreement in Canada with Magabra Resources, providing for the right to acquire up to a 90% interest in the drill-ready Big Mack Lithium Project, 80 km north of Kenora, Ontario. The Company has also entered a property option agreement with Horizon Lithium LLC providing for the right to acquire a 100% interest in the Horizon Lithium Project, located within Esmeralda County – Tonopah Lithium Belt, Nevada, USA.